REPORT OF THE LOGISTICS ANNUAL PLANNING CONFERENCE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85-00988R000100040046-8
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 13
• Document Creation Date: December 16, 2016
• Document Release Date: July 19, 2005
• Sequence Number: 46
• Publication Date: November 4, 1982
• Content Type: REPORT

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44 November 1982
REPORT
OF
THE LOGISTICS ANNUAL PLANNING CONFERENCE
The Office of Logistics holds an annual conference to
assess what has been, what is, and what should be. This
year's conference was held 11 and 15 October
This location,
away from the pressures and demands of daily activities, pro-
vided an atmosphere that allowed continuous uninterrupted
discussion. The conference was attended by the Front Office,
Division and Staff Chiefs, and the conference coordinator from
the Plans and Programs Staff. For the past two years, the
primary objective of the conference has been to discuss and
establish goals and objectives for strategic and long-range
planning. Since the Logistics Five-Year Plan had been
completed and the Office's response to the Agency Long-Range
Plan was well underway, this year's conference focused on
issues that offered the potential to improve Logistics as a
place to work and to increase organizational responsiveness
and efficiency through mutually agreed changes. (S)
The conference was opened by the Director of Logistics,
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(D/L), Dan King, who set the tenor for open and informal
discussion on issues of Office-wide and Agency-wide concern.
The D/L had recently attended the Office of Management and
Budget hearings on OL's 1984 budget and stated that the
hearings went okay. He further stated that the funding pro-
cess for the two major projects underway in OL, LIMS and the
new building, was on schedule and there is evidence that both
will receive adquate funds to proceed. Regarding OL's
workload, the D/L stated that there is now more work than
people. Although the ideal situation is parity between work
and personnel, the majority prefer to be busy than to be
without sufficient work. (U)
The conference continued with discussions led by each
Division and Staff Chief. The topics discussed are summarized in
the following paragraphs. (U)
PROMOTION POLICY FOR NEW PROFESSIONAL ENTRANTS IN CATEGORY I
OL has been faced with and continues to address the question
of how to equitably integrate new logistics professionals in the
logistics workforce through the comparative evaluation panel pro-
cess. This issue applies mainly to professionals in the Supply
and Procurement Divisions and has most recently been discussed in
the S1 and S2 panels.
The dilemma is created by the unique characteristics of
the competitive groups; the new professional and the old pro-
fessional. The new professional is usually a recent college
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graduate with a good academic record but little related work
experience. These employees are most often placed in Category
I based on their educational background and academic records
which suggest the potential for rapid career growth into
higher level positions. Rapid promotions are warranted based
on this potential and to remain competitive with other
Government agencies, and the private sector, whose training
programs and/or promotion policies are more liberal than the
Agency's in grades 7 through 11. The old professional is
usually an employee who has come up through the ranks, who has
paid dues but often does not have a college degree. These
employees that are placed in Category I have very good perfor-
mance records but may be limited in growth beyond a specific
level. Promotions are warranted in recognition of performance
and to retain the experience and learning that has been gained
over the years and that is valuable to the Office. (AIUO)
It was generally agreed that dual or separate evaluation
systems would not be established and that equity in the promotion
process must be maintained. It was the consensus of attendees
that new professional entrants must be non-competitively pro-
moted through GS-9, providing performance is satisfactory,
to remain at least marginally competitive in the GS 7-11
grade range with other entities. Given the necessity of pro-
motion for new professionals through GS-9, then, to achieve
equity and fairness to all employees, it was thought that pro-
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motions should be made in excess of headroom, when possible,
to achieve a balance of all professionals. It was emphasized
that employees who are not performing satisfactorily should be
identified early on (during the trial period in the case of
new employees) and action taken to correct the situation. The
Chief, Personnel and Training Staff will draft the policy on
the promotion of professionals. (AIUO)
MANAGEMENT OF DATA IN OL
Data is a costly organizational resource and, therefore,
shoud be managed effectively. ADP systems should be accurate,
reliable, customer-oriented, maintainable, accepted, useful,
standardized and avoid duplication. The decentralized systems
in OL tend to prohibit the achievement of these objectives.
Hence, a proposal was presented for a greater degree of
centralized management of ADP in OL. (U)
The proposal provided for centralized management of all OL
ADP functions. OL currently has seventeen ADP systems and
fourteen information data bases with management and operation
decentralized in OL functional components. Although the
Systems Analysis Branch (staffed by ODP careerists), now a
part of P&PS, is responsible for maintenance of these systems,
approximately
full time to system operations. The centralized ADP structure
is envisioned to function much like the procurement team
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system; i.e., systems operations will continue to be decentra-
lized while personnel resources and requirements will be
centralized. In addition to becoming more effective and
meeting the objectives stated above, centralized management of
ADP resources will be more responsive to requirements, provide
parity between requirements and capabilities, allow continuity
and offer a specialized career tract to OL careerists. (AIUO)
All attendees favored some degree of centralization, and
the Chief, Plans and Programs Staff is coordinating with
Division Chiefs to identify the best balance between the effi-
ciencies of centralization and the responsiveness of decentra-
lization. (U)
AGENCY GROWTH AND ITS IMPACT ON PRESENT SPACE PLANNING
The total Agency projected growth in personnel and
advanced technical systems for the next ten years will
increase demands on OL for space. The planned increases
suggest that present space planning for consolidation on the
HQ compound will not be adequate to satisfy Agency space
needs. Hence, decentralization of Agency functions will most
likely continue and consideration should be given to alter-
natives for acquiring additional space to house the Agency.
It is presently very difficult to acquire adequate space in a
timely manner to satisfy customer requirements. This dif-
ficulty will be intensified by growth. The unknowns that
preclude proper space planning are actual growth of personnel
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and systems, the new building occupants, and the effects of
new technical systems on office designs and furniture require-
ments. (C)
The impact of the new building consolidation on OL's assign-
ment of resources is a major concern: i.e., where will field offi-
cers be assigned, will consolidating the Agency necessitate some
degree of duplication (ex. - a Headquarters and field engineer in
the same office) will the three printing plants now in
existence (P&PD, FBIS and OTS) be colocated at the Langley
complex as three autonomous and physical entities. (U)
The Furniture Task Force, headed by the Chief, Supply
Division, who is studying methods to improve OL responsiveness to
furniture requirementswill also study the space issue. (U)
IMPROVING PRODUCTIVITY IN OL THROUGH QUALITY CIRCLES
The implementation of Quality Circles in the Printing and
Photography Division is being considered as a tool to improve pro-
ductivity. A quality cricle is a small group of employees (8-15)
who perform related work and meet regularly to solve work-related
problems by using analytical problem solving methodology and
brainstorming. Quality Circles allow worker involvement in
problem resolution with decisions made by workers for workers.
Quality Circles require management support, interested members
and trained facilitators. (U)
Quality Circles have been successfully used in Japan and in
over seventy U.S. firms and government agencies. The Norfolk
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Naval Ship Yard has experienced significant dollar savings
through the use of quality circles in addition to intangible
savings; increased productivitiy, improved morale, and worker
motivation. (U)
Quality Circles have the potential for application in the
Logistics Services Division as well as P&PD.
The Chief, Printing and Photography Division will conduct further
research and initiate a pilot program in P&PD. (U)
REORGANIZATION OF OL
The following factors were presented in support of a reorgani-
zation of the Office of Logistics:
- The current organizational structure is sometimes a barrier
to the flow of requirements and communications, consequently,
responsiveness to customers is being degraded.
The implementation of LIMS.
Managers of Stock are too far from the Buyers.
Both managers and buyers are too far from
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There is no central Point of Contact for status on requirements.
The Data bases applicable to the acquisition process are not
sufficiently common.
- Procurement teams
Procurement Division.
have no interaction with
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It is generally felt that LIMS, as currently designed, will
require a group (possibly high level managers) at the front end of
the system to queue requirements into the system. The priority
system designed into LIMS must be enforced. (U)
Several views of OL functional realignment were discussed with
emphasis on the most effective place for
Staff/PD, Operations Support Branch/SD, Small Purchases
Branch/CD/SD and the Safehouse Section, Real Estate Branch/RECD.
The common concerns of reorganizing are the functional rela-
tionship of OL components, required and available expertise and
the commonality of functions. (S)
In defining the requirements for LIMS, OL management has
addressed the long range organizational impact of automation.
However, to address the more immediate requirements, a group was
established chaired by the Chief, Building Planning Staff, to
determine if organizational realie,men~,y' are appropriate at this
time. The group will report to OL managers with their findings
and identify the advantages and disadvantages of alternative
organziational changes. (U)
POLICY ON FOREIGN OWNERSHIP CONTROL AND INFLUENCE
The Office of Logistics is drafting a Headquarters Notice (HN)
which sets forth Agency policy for contracting with firms, colle-
ges and universities located within the United States, Puerto
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Rico, and a U.S. possession or trust territory that are under
Foreign Ownership, Control or Influence (FOCI). The HN will state
that firms, colleges and universities determined to be under FOCI
are not eligible for contracting with the Agency, unless approved
by the Director of Logistics and the Director of Security.
Several factors will be used to determine if an organization is
under FOCI, one of which is foreign interest ownership or benefi-
cial ownership of fifteen percent or more of the organization's
securities. This percentage is consistent with DOD guidelines.
(AIUO)
The Security Staff has modified its data base to identify
firms under FOCI by using the information provided by firms on
Form 441, Certificate Pertaining to Foreign Interests. The
Security Staff will investigate those firms identified, evaluate
the degreee of FOCI and determine which firms should be placed on
Procurement Note No. 85, Notice to or Approval of the Director of
Logistics Prior to undertaking Contractual Relationship With
Certain Contractors. The SS is coordinating with the Defense
Investigative Service (DIS) on those firms under FOCI. (AIUO)
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Various skills are required. In addition to general, civil,
electrical and mechanical engineering and architectural skills,
The Office is aggressively pursuing the above options and, if
any are found to be feasible, will develop a specific plan of
action. (U)
UNIFORM FEDERAL PROCUREMENT SYSTEM
Activities are in process to issue new procurement regulations
that will provide uniform policy and procedures for federal pro-
curements by all federal agencies. The Office of Federal
Procurement Policy has been given an extension to October 1983 to
prepare proposed regulations for submission to the Congress. Some
reasons supporting new uniform regulations are:
- Too many existing regulations to be reasonable, efficient
and effective.
- Inconsistency between procurements and the Federal
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Procurement Regulations (FPRs) and the Defense Acquisition
Regulations (DARs).
Reporting requirements are varied and extensive.
Year end spending.
Annual vs. Multi-Year Funding.
Lack of accountability.
Poor organizational placement of the procurement function.
Lack of management concern in the procurement process.
Lack of standards for performance measurement of contracting
Officer personnel.
- Inadequate planning to take advantage of prices.
- Lack of Competition.
- Lack of well-trained professionals to properly administer
contracts. (U)
The new procedures have the potential to substantially affect
the way the Office does business. They are expected to change the
methods of procurement to three: Sealed-Bid, Competition, and
Non-Competitive Sole Source. The procedures will eliminate the
requirement for consideration to amend a contract and there will
be no preferred type of contract. OL and Agency concerns are,
will the Agency be obligated to comply, what waivers will apply
and will a rewrite of all agency Procurement policy (regulations,
clauses, etc.) be required. (U)
Each government agency must designate a procurement executive
to coordinate action on the new regulations. The Agency represen-
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tative is the Chief, Procurement Management Staff. (U)
Employee Morale
It is generally felt that employee morale is better than it
has been in several years. This condition is attributed to
increased requirements--there is ample work for all employees.
Additionally, the quality of work and employee motivation has
improved. (U)
The working environment can be further improved by the
following:
- Managers should spend more time on employee turf.
- Deputy Chiefs should become more involved in personnel mat-
ters.
- Project/action officer$should be responsible for presenting
their work to management and initiate and sign memoranda (except
outside OL).
- Action will be taken to improve communications with
employees, especially employees who have low morale.
- Employees should live up to their committments, i.e., go
where they are needed. (U)
Impact of Rotations of Chiefs and Deputies
Although the recent rotations of OL division chiefs and depu-
ties are viewed as healthy, the verdict is still out on the
impact. The rotations were made to broaden awareness of problems
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in other divisions, broaden expertise of the managers and create a
new management style in the divisions. Even though it is too
early to assess the impact of the rotations on employees, it was
stated that the chief and deputy should not rotate at the same
time and that the rotations were potentially expensive due to
discontinuity. (U)
OL's Image
The Office is very effective and all of OL should be proud of
achievements. The Office has outstanding employees who probably
underestimate office accomplishments. The office is recognized
by the Deputy Director of Administration (DDA) and other Agency
components as responsive and professional. (U)
Future Conferences
It was the concensus of the attendees that a meeting of this
type away from the job is needed in the near future to discuss the
continuing issues and new topics of mutual interest. Toward this
end, the Chief, Plans and Programs Staff will establish an agenda
and coordinate arrangements for a breakfast at the Executive
Dining Room on or about 20 December 1982. Staff meetings will
also be used to discuss items of office-wide concern. (U)
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