# GENERAL SERVICES ADMINISTRATION

Federal Supply Service

Authorized Federal Supply Schedule Price List

On-line access to contract ordering information, terms and conditions,
up-to-date

pricing, and the option to create an electronic delivery order is
available through

GSA Advantage!, a menu-driven database system. The INTERNET address for

GSA Advantage! is: http://www.GSAAdvantage.gov.

Schedule for - Mission Oriented Business Integrated Services (MOBIS)

Federal Supply Group: 87 Class: 874

Contract Number: GS-10F-0293L

For more information on ordering from Federal Supply Schedules

click on the FSS Schedules button at http://www.fss.gsa.gov

Contract Period: 6-1-2001 through 5-31-2006

Pricelist Effective January 1, 2004

Contractor: **Heifetz, Halle Consulting Group, L.L.C.**

8555 NE Parrett Mtn Rd

Newberg, OR 97132-9321

Business Size: Small Business

Telephone: (503) 625-1265

FAX Number: (503) 625-5559

Web Site: http://www.leading-change.com

E-mail: change1@mindspring.com

Contract Administration: Stan Halle, Managing Director

***CUSTOMER INFORMATION:***

1a.Table of Awarded Special Item Number(s) with appropriate
cross-reference to page numbers: 874-1, 874-2, 874-3, 874-4, and 874-6

1b. Identification of the lowest priced model number and lowest unit
price for that model for each special item number awarded in the
contract. This price is the Government price based on a unit of one,
exclusive of any quantity/dollar volume, prompt payment, or any other
concession affecting price. Those contracts that have unit prices based
on the geographic location of the customer, should show the range of the
lowest price, and cite the areas to which the prices apply.

1c. If the Contractor is proposing hourly rates a description of all
corresponding commercial job titles, experience, functional
responsibility and education for those types of employees or
subcontractors who will perform services shall be provided. If hourly
rates are not applicable, indicate \"Not applicable\" for this item.

2\. Maximum Order: 1000000

3\. Minimum Order: 2500

4\. Geographic Coverage (delivery Area): FOB Domestic and Overseas

5\. Point(s) of production (city, county, and state or foreign country):
Same as company address

6\. Discount from list prices or statement of net price: Government Net
Prices (discounts already deducted). See prices attached

7\. Quantity discounts: None

8\. Prompt payment terms: 2%-10 days, Net 30 days or 1%-15 days, Net 30
days

9a. Notification that Government purchase cards are accepted up to the
micro-purchase threshold: Yes

9b. Notification whether Government purchase cards are accepted or not
accepted above the micro-purchase threshold: Contact Contractor

10\. Foreign items (list items by country of origin): None

11a. Time of Delivery (Contractor insert number of days): Specified on
the Task Order

11b. Expedited Delivery. The Contractor will insert the sentence \"Items
available for expedited delivery are noted in this price list.\" under
this heading. The Contractor may use a symbol of its choosing to
highlight items in its price list that have expedited delivery: Contact
Contractor

11c. Overnight and 2-day delivery. The Contractor will indicate whether
overnight and 2-day delivery are available. Also, the Contractor will
indicate that the schedule customer may contact the Contractor for rates
for overnight and 2-day delivery: Contact Contractor

11d. Urgent Requirements. The Contractor will note in its price list the
\"Urgent Requirements\" clause of its contract and advise agencies that
they can also contact the Contractor\'s representative to effect a
faster delivery: Contact Contractor

12\. F.O.B Points(s): Destination

13a. Ordering Address(es): Same as contractor

13b. Ordering procedures: For supplies and services, the ordering
procedures, information on Blanket Purchase Agreements (BPA\'s), and a
sample BPA can be found at the GSA/FSS Schedule homepage
(fss.gsa.gov/schedules).

14\. Payment address(es): Same as company address; EFT preferred

15\. Warranty provision: Contractor\'s Standard Commercial Warranty

16\. Export Packing Charges (if applicable): N/A

17\. Terms and conditions of Government purchase card acceptance (any
thresholds above the micro-purchase level): Contact Contractor

18\. Terms and conditions of rental, maintenance, and repair (if
applicable): N/A

19\. Terms and conditions of installation (if applicable): N/A

20\. Terms and conditions of repair parts indicating date of parts price
lists and any discounts from list prices (if applicable): N/A

20a. Terms and conditions for any other services (if applicable): N/A

21\. List of service and distribution points (if applicable): N/A

22\. List of participating dealers (if applicable): N/A

23\. Preventive maintenance (if applicable): N/A

24a. Special attributes such as environmental attributes, (e.g.,
recycled content, energy efficiency, and/or reduced pollutants): N/A

24b. If applicable, indicate that Section 508 compliance information is
available on Electronic and Information Technology (EIT) supplies and
services and show where full details can be found (e.g. contactor\'s
website or other location.) The EIT standards can be found at:
www.Section508.gov/.

25\. Data Universal Numbering System (DUNS) number: 62-4380366

26\. Notification regarding registration in Central Contractor
Registration (CCR) database:

***HEIFETZ, HALLE CONSULTING GROUP, L.L.C. (HHCG)***

# *MOBIS CONTRACT #GS-10F-0293L \-- revised 2006/02/14*

**DUNS #62-438-0366**

**EIN #91-1650728**

**Web Site: http://www.leading-change.com**

**eMail: change1@mindspring.com**

**SINs 874-1, 874-2, 874-3, 874-4, and 874-6**

***CONTENTS:***

1\. Pricing

2\. Detailed Descriptions of SINs 874-1, 2, 3, 4 & 6

3\. Professional Staff

4\. HHCG Corporate Experience

For more information, please visit our Web Site, phone or eMail us, for:

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

***1. PRICING***

Ref: MOBIS-Section: L-FSS-10FT-501

PRICE PROPOSAL (Revised 2006-02-14)

Heifetz, Halle Consulting Group, L.L.C. (HHCG)

8555 NE Parrett Mountain Rd.

Newberg, OR 97132

\(503\) 625-1265; Fax (503) 625-5559; Cell (503) 319-3011

SINs: 874-1: CONSULTING SERVICES

874-2: FACILITATION SERVICES

874-3: SURVEY SERVICES

874-4: TRAINING SERVICES

874-6: PRIVATIZATION SUPPORT SERVICES AND DOCUMENTATION

**[Pricing:]{.underline}**

HHCG has only one labor category called Principal Consultant (also
called Managing Director). Thus all SINs (except 874-4) are priced the
same way. Our rates, effective 2006/01/27 thru 2006/05/31, are \$290.47
per hour and \$2,323.78 per day. These rates include the Industrial
Funding Fee of 0.75%.

As required, SIN 874-4 pricing is proposed on a cost-per-participant and
cost-per-course basis, using our hourly and daily rates to build up
HHCG\'s cost estimates (individually by course offered).

**[Reasonableness of HHCG Pricing:]{.underline}**

All of HHCG\'s pricing is based on our current hourly and daily rates,
effective since 2006/01/27. These rates are the same we charge all
clients \-- Government (Federal, State and Local) as well as
Commercial/Industry.

As a very small business (3 owners/partners; no employees), we do not
use a formula to build up our rates (e.g., Hourly Wage + Overhead +
G&A). Instead we go by the best information we have available regarding
what our competition is charging. Most of our direct competitors are
private companies and are not readily forthcoming with their rates. Our
up-to-date market analysis comes from Alden Cushman, Director of
Research at Kennedy Information Research Group (a research provider to
the Consulting Industry & Executive Recruiting Industry). Based on his
research report \"Fee and Pricing Trends in Management Consulting\" puts
us within the range of reasonable rates as follows. We view HHCG as a
cross between categories #1 and #3 (2001 Data):

1\. Sole Proprietors (Senior Level Consultants) \-- \$1500-2500/day;
average = \$2150/day

2\. Small Firms under 12 employees (Senior Consultants) \-- \$1500/day

3\. Small Firms under 12 employees (Principal/Owner Consultants) \--
\$2300/day

(Note: this report can be purchased directly from their WebSite:
http://www.kennedyinfo.com/mc/krgfeespr.html )

Another way we validate the reasonableness of our rates is via the many
U. S. Government and State Government (Washington) projects that HHCG
has been contracted to work on. All of our work proposed and awarded
whether FFP (firm fixed price), time and materials, level of effort
(cost-based), competed or sole source, has been based on our current
rates. Copies of these contracts and sample invoices will be made
available electronically or in hard copy at your request.

**[Descriptions of the Labor Categories Offered:]{.underline}**

As noted above, HHCG has only three owners, called Managing Directors.
We each have extensive consulting experience operating at all levels,
from Boards of Directors in Fortune 500 firms to executives of all types
(CEOs, COOs, CTOs, CFOs, EVPs, etc.) to operating managers to blue
collar workers, bench scientists, etc. We have over 80 cumulative years
of experience in management consulting and related fields. We would be
pleased to provide any further information re: our backgrounds, bios,
etc.,

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***2. DETAILED DESCRIPTIONS of SINs 874-1, 2, 3, 4, 6, & 8***

***SIN 874-1: CONSULTING SERVICES***

Heifetz, Halle Consulting Group (HHCG) assists clients in implementing
change at the structural level (organization or job redesign, clarified
goals), the systems or process level (measurement, feedback,
communication, or reward systems), and/or the behavioral or action level
(group and personal skills, team building, conflict resolution). These
services have proven to be highly effective in helping leadership drive
improvements in management, organization or business processes.

# [Strategic, Business and Action Planning]{.underline}

HHCG offers strategy and tactical planning sessions, as well as
customized workshops to create better plans at any level of
organizational functioning. Planning sessions can be as short as a few
hours or can last several days, depending upon the situation. We utilize
a customized mix of the best diagnostic and planning models, tools and
techniques we have found over the past 18+ years in business. Some are
widely known - such as the Open Systems Planning Model, the Porter Model
for Competitive Strategy Development, the Change Formula, and Force
Field Analysis. Some of the most useful tools are at the leading edge of
organizational understanding, and are not yet widely known - such as the
Balanced System Model, the Change Cycleã, and Paradigm Shift Workshops.
These models allow management to grasp the overall health, functioning,
and success of your organization, and within the framework of this
understanding, develop appropriate plans.

## Change Management

HHCG has a special expertise in this area. Our book, Leading Change,
Overcoming Chaos, presents a roadmap for organizational change (The
Change Cycle), as well as a comprehensive treatment of how to achieve
change. We offer a full range of Change Management services including
all aspects of planning and implementation of the desired change. In
addition to strategic planning and hands-on, real time assistance
throughout an entire change effort, we have adapted essential aspects of
change management into a 2 day training session.

Our approach to managing change combines ideas derived from systems
theory with a highly participative process designed to build ownership
and commitment throughout the organization. Several models have proven
to be especially useful. Here is a sampling of the tools we use: The
Change Formula enables managers to sort out the key dynamic factors
necessary to accomplish your proposed change, and to begin to formulate
a strategically sound plan of action. The Change Cycle gives managers a
roadmap to follow throughout the process of planning and implementing a
change. It enables you to anticipate and plan for many of the challenges
that you will face along the way. Force Field Analysis gives management
a tool for strategically assessing the likely effectiveness of your
change effort, in the face of its situational barriers. Critical
Incident Analysis is valuable to capture learning from past experiences,
and in real time problem solving as a change effort unfolds.

## Systems Alignment, Cycle Time Reduction & Productivity Improvement

The Open Systems Planning Model is used to help define the core process
within an organization, and how each system and work unit is meant to
function within that core process. This model also allows for detailed
analysis of the interfaces between work units or systems. Customers and
suppliers are added to complete the picture. System alignment depends
upon clearly defined performance specifications at all the interfaces
within the organization. This Model helps define how you wish the
organization to function as a systemic whole, greatly facilitating
alignment across key system interfaces.

Cycle time improvement is approached by first analyzing an entire
production cycle. Sources of slowdown, unnecessary scrape and rework, or
quality control problems are located throughout the core process, as
well as at the interfaces with customers and suppliers. Once the
source(s) of excess cycle time are identified, we work with clients to
implement the needed changes. This type of analysis also produces a
blueprint of the entire internal production process that becomes the
baseline for further improvements.

## Developing High Performance Work Teams & Performance Metrics

High performance work teams can be created through a combination of
continuous improvement, training, alignment of work processes, and
effective interfaces. We begin by analyzing the current situation
through a Systems Study, using several organizational models.
Information is gathered through interviews and from current performance
data. Key managers are involved throughout. We offer implementation
assistance such as change management training, critical incident
analysis, job and systems redesign, real-time problem solving, and
management coaching. We help develop appropriate performance metrics,
along with the necessary measurement, feedback, audit and reward
systems. We also identify key indicators of system malfunction (e.g.
\"red flag\" and quality control problems) as well as morale and job
satisfaction indicators.

## Leadership Development

A key concept here is \"Every employee a leader.\" Developing leadership
skills at all levels of an organization can be a critical component for
success. We offer training in a variety of leadership skills, including
creating and implementing a compelling Vision, building broader
commitment and buy-in, effective planning methods, meeting design and
roles, process analysis techniques, personal coaching, improving work
group interactions, and communication skills. An Early Warning System
can be developed and deployed to ensure that issues gat raised &
addressed early.

## Organizational Assessments & Program Evaluation

This is a comprehensive analysis of organizational or program level
products, markets, results, strategy, long term viability, new product
development, systems and processes, goals and objectives, and
organizational structure. We study relevant performance, market, and
product information, and perform supplemental interviews throughout the
organization. Using a combination of proven methods and analytic tools,
we provide management with a clear and detailed picture of how your
organization is currently functioning, with strengths and weaknesses
explained systemically. We conduct Strategic Health Checks, 360 Degree
Assessments, and Customer Satisfaction Studies, all of which can be
harnessed to drive organization transformation.

## Tasker Management

The effective management of incoming taskers requires maintaining a
difficult balance between satisfyling key stakeholders while buffering
the team/organization from too many perturbations. An effective Triage
System for Tasker Management is essential.

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### SIN 874-2: FACILITATION SERVICES

Heifetz, Halle Consulting Group (HHCG) offers \'high-end\' facilitation
services as part of on-going consulting efforts, in coordination with
team building meetings, large group strategy planning sessions,
partnering sessions, change effort planning, etc. If you only need basic
meeting facilitation, there are many very competent
professional-facilitators who do just that. However, if you want to work
through core issues that are blocking a change effort, making a team or
group of leaders ineffective, or preventing an organization from
achieving its goals, then HHCG can help. When undertaking improvements
in management, organization and business, \'high-end\' facilitation can
leverage both your planning and implementation efforts.

**[Overall Meeting Planning, Facilitation and Debriefing:]{.underline}**

HHCG will assist in meeting planning to help client\'s achieve your
goals. This would include agenda preparation and list of tools to be
used to work individual and group processes. After the meeting is
completed, a debriefing session is held to evaluate the degree to which
goals were accomplished, conduct a lessons-learned evaluation, and plan
next steps.

**[Using Problem Solving Techniques:]{.underline}**

Problem solving techniques such as an Issue Escalation Process and
Communication Protocols can be developed to help teams work more
effectively together, whether within or across organizations. The Roles
and Responsibility Matrix Process can be used to clarify tasks and
hand-offs within and between groups. Brainstorming Techniques can be
used find solutions when stuck at a seeming impasse or when thinking
creatively about the future.

**[Resolving Disputes, Disagreements, and Divergent
Views:]{.underline}**

During the meeting, the facilitator can work as a neutral party to make
sure that all viewpoints are expressed, and to keep the discussion
focused and moving towards solutions. Tools to help this process include
Confidential & Non-Attribution Interviews (for issue identification),
Cost/Benefit Analysis, Tradeoff Analysis, etc.

Other tools can be used to help people come to agreement. An Expectation
Exchange can be used to improve working relationships and clarify roles
and responsibilities between two or more people. Also, Personal Coaching
(aka Leadership Development) can help increase personal effectiveness
within a team setting, or to facilitate the development of stronger
leaders.

**[Running More Effective Meetings:]{.underline}**

We can help a team or an organization make the best use of your time by
learning how to plan for and run more effective meetings. This would
include preparation of a clear and focused agenda (purpose, products,
process), specific roles at a meeting (e.g., leader, facilitator, scribe
and participants), as well as pre-meeting planning with key
stakeholders.

**[Recording Discussion Content and Focusing
Decision-Making:]{.underline}**

As facilitators we summarize and capture discussion points live. This
allows the facilitator to push the group to make decisions, as well as
to delineate a path forward with appropriate assignments, timelines, and
due dates. Recording may be done via computer and LCD projector, or
chart pads and markers as appropriate to the room and situation.

**[Preparing Draft and Final Reports for Dissemination:]{.underline}**

HHCG edits and prepares notes and computer graphics for distribution to
all attendees. Meeting notes provide each participant a written summary
of discussion, decisions, and assignments. This type of record is
essential for reinforcement of follow-through activities.

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### SIN 874-3: SURVEY SERVICES

Heifetz, Halle Consulting Group (HHCG) provides the full range of
qualitative survey services. Qualitative research can provide detailed,
customized information in support of many leadership objectives. We have
extensive experience applying these techniques in a wide variety of
organizational settings - where improvements in management, organization
and business are imperative. For example, qualitative research using
face-to-face or phone interviews can greatly enhance the understanding
of issues in process and productivity improvement analyses,
organizational assessments and multi-organization partnering processes.

Our technique of in-depth interviewing allows a better understanding of
respondent\'s attitudes and opinions. This type of questioning often
uncovers issues only hinted at or missed by quantitative or mail-in
surveys. One of the great benefits of qualitative research is
flexibility. We will pursue unanticipated, yet relevant subjects, beyond
the interview-guide, if the need and opportunity arises. All of this
will be done with the approval of the project managers.

**[Wide Range of Utility:]{.underline}**

Qualitative research is utilized in a wide range of situations, such as:

\* Customer, supplier or teammate satisfaction

\* Change effort readiness, mid-course correction

\* Pre- or post-merger issue identification

\* Leadership feedback and development opportunities

\* Employee attitudes

\* Cultural compatibility issues

\* Organizational diagnostics

**[Planning Survey Design:]{.underline}**

HHCG helps managers define the types of information required to meet the
needs of your project/goals. This process is iterative, ensuring early
buy-in before data collection effort commences.

**[Define And Refine Questionnaires:]{.underline}**

We work closely with our clients to understand your specific information
needs and design questionnaires and interview guides to collect this
information. These are tested and refined to ensure that key areas are
covered in-depth.

**[Collection Methodology:]{.underline}**

Several techniques are available to meet the needs of any project:
confidential, non-attribution personal interviews, small group
interviews (2-4 people) and focus group discussions (8-10 people).
Depending on the needs of the project and budget, the interviews can be
conducted in person or by phone. Focus groups are always done in person.

**[Experienced Interviewers:]{.underline}**

HHCG\'s three Managing Directors are experienced in interviewing people
from all walks of life and at all business levels: from housewives to
CEOs, from four star generals to school kids, from school
superintendents to school bus drivers, from Wall Street stock brokers to
union officials, from Mayors to building managers.

**[Subject Area Expertise:]{.underline}**

Our expertise lies primarily in the ability to elicit candid responses
even on the most sensitive of issues - across any function and in any
industry. Past projects, however, have also given us insights into
specific industries and functional areas, including:

\* Defense, Aerospace, Avionics

\* Transportation

\* Energy/Environment

\* Social and Health Services

\* Community Coalition Building

\* Government/Industry partnering

\* Telecommunications

\* Forest Products

\* Pharmaceuticals; Medical Devices

\* Education

\* Manufacturing

\* Investment Banking; Venture Capital

\* Consumer Products & Marketing

\* Advertising Testing

\* New Product Development

\* Technology commercialization

**[Analysis of Data:]{.underline}**

Qualitative data is carefully analyzed to help uncover inherent
strengths, weaknesses, opportunities & threats; lessons learned,
challenges ahead, as well as other patterns. From this data, a specific
path forward, recommendations, and strategies can be developed ranging
from \-- planning a Partnering or Team Building Process \-- to
developing a change management plan for the merger of several
organizations.

**[Production of Reports:]{.underline}**

Results will be described and summarized, including methodology and
sample characteristics. Reports will include a discussion of
recommendations, often a strategic approach, and key follow-up
actions,including, if appropriate, a trade off analysis of various
approaches. In person presentation of findings is usually done to
enhance understanding and planning for a path forward.

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***SIN: 874-4 TRAINING SERVICES***

***SCHEDULE OF AVAILABLE TRAINING COURSES***

(Course Price Data Sheet)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

Title of Course: #1 GOVERNMENT/INDUSTRY PARTNERING, COMMUNITY COALITION
BUILDING

Length of Course (# of Hrs/Days): 2 to 3 days training

**[Total Price of Course:]{.underline}** (excludes travel costs to be
billed at actuals)

\$22,076.00 (16 participantds-2 day)

\$27,885.28 (16 participants-3 day)

\$30,209.20 (40 participants-2 day)

\$34,856.80 (40 participants-3 day)

Minimum Number of Participants: 16

**[Price Per Participant:]{.underline}**

\$1,379.75@ (16 participants-2 day)

\$1,742.83@ (16 participants-3 day)

\$755.23@ (40 participants-2 day)

\$871.42@ (40 participants-3 day)

**[Commercial Price:]{.underline}** \<Same as above\>

**[Maximum Number of Participants: 40]{.underline}**

**[Government Discount from the Commercial Price (See
below)]{.underline}**

**[Description of Class:]{.underline}**

HHCG has extensive experience in creating and sustaining partnerships.
Partnering is a critical factor for both proactive risk management and
ultimate program success. It does not waive the rights of any party or
substitute for the contractual relationship already in place. It creates
highly effective working relationships across organizational boundaries,
allowing more focused use of today\'s limited resources to get the job
done. A multi-party coalition or enterprise can be formed using the same
techniques.

Customized Partnering Workshops are the key in creating more effective
working alliances. These two-to-three day sessions are an important part
of partnership formation, whether a multi-discipline team within a
company or an alliance between divisions, organizations or sectors (e.g.
Government, industry, public interest, regional, multi-national). The
result is an aligned team, sharing a common vision, and working together
to achieve important goals. Prior to a partnering session, confidential
non-attribution interviews are conducted with each team member to gain
an understanding of past successes, current challenges, along with each
one\'s objectives and concerns. This information is used to design a
customized workshop that solves existing problems and paves the way to a
smoother working relationship. These sessions are not just a feel good
exercise - instead, groups work on real issues. Outcomes include a clear
Vision of success, a set of operating principles, detailed action plans,
and a process for conflict resolution and better communication.

Price includes all preparation, interviews (participants and 360-view by
others), analysis, pre-session questions for attendees, follow-up
agreements and support. Related out-of-pocket expenses, such as travel,
phone, postage, etc., will be billed as actuals.

**[Quantity or Other Applicable Discounts:]{.underline}**

If multiple Partnering Offsites are contracted for (e.g., every 3 or 6
months for a year), HHCG would negotiate with the USG to identify areas
for savings.

NOTE: This Training Class cost includes the 0.75% Industrial Funding Fee
(IFF).

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### Title of Course: #2 TEAM BUILDING TRAINING

Length of Course (# of Hrs/Days): 2 to 3 days training

Total Price of Course: (excludes travel costs to be billed at actuals)

\$22,076.00 (16 participantds-2 day)

\$27,885.28 (16 participants-3 day)

\$30,209.20 (40 participants-2 day)

\$34,856.80 (40 participants-3 day)

Minimum Number of Participants: 16

Price Per Participant:

\$1,379.75@ (16 participants-2 day)

\$1,742.83@ (16 participants-3 day)

\$755.23@ (40 participants-2 day)

\$871.42@ (40 participants-3 day)

**[Commercial Price:]{.underline}** \<Same as above\>

## Maximum Number of Participants: 40

**[Government Discount from the Commercial Price (See
below)]{.underline}**

**[Description of Class:]{.underline}**

While similar to Partnering, this training focuses primarily on internal
issues of a single team. Training is customized, typically involving a
two-to-three day offsite. Confidential interviews (with all participants
plus a diagonal slice of other observors, stakeholders, or influencers)
precede the offsite to identify current functional status and key
challenges facing the team. Our approach is to emphasize working on
actual issues during the training, thus dealing with teaming issues
within the context of a work setting. The whole team establishes common
ground and operating principles for working together, while breakout
groups work specific issues. Analysis and resolution of past & current
problems provides the basis for true team building. This may be
supplemented by individual coaching before or after the offsite itself.

Price includes all preparation, interviews (participants and 360-view by
others), analysis, pre-session questions for participants, follow-up
agreements and support. Related out-of-pocket expenses, such as travel,
phone, postage, etc., will be billed as actuals.

**[Quantity or Other Applicable Discounts:]{.underline}**

If multiple Team Building Offsites are contracted for (e.g., every 3 or
6 months for a year), HHCG would negotiate with USG to identify areas
for savings.

NOTE: This Training Class cost includes the 0.75% Industrial Funding Fee
(IFF).

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### Title of Course: #3 CHANGEMANAGEMENT TRAINING

Length of Course (# of Hrs/Days): 2 to 3 days training

Total Price of Course: (excludes travel costs to be billed at actuals)

\$22,076.00 (16 participantds-2 day)

\$27,885.28 (16 participants-3 day)

\$30,209.20 (40 participants-2 day)

\$34,856.80 (40 participants-3 day)

Minimum Number of Participants: 16

Price Per Participant:

\$1,379.75@ (16 participants-2 day)

\$1,742.83@ (16 participants-3 day)

\$755.23@ (40 participants-2 day)

\$871.42@ (40 participants-3 day)

**[Commercial Price: \<Same as above\>]{.underline}**

**[Maximum Number of Participants: 40]{.underline}**

**[Government Discount from the Commercial Price (See
below)]{.underline}**

**[Description of Class:]{.underline}**

Our book, Leading Change, Overcoming Chaos, presents the concept of the
Seven Stage Change Cycle, as well as specific guidelines for achieving
organizational change. We have condensed this information into a two-day
training session. We provide managers with a working knowledge of change
dynamics to guide your organization through an entire change effort.
Several important tools are introduced:

-   The Change Formula enables managers to sort out key dynamic factors
    necessary to accomplish your proposed change, and to begin to
    formulate relevant strategies and actions.

-   The Change Cycle provides a roadmap for both planning and
    implementing a change.

-   Force Field Analysis helps assess potential effectiveness of your
    change strategies, in the face of its situational barriers.

-   Critical Incident Analysis helps teams learn from past experiences
    and solve problems in real time.

**[Outcomes:]{.underline}** participants have a basic understanding of
these tools, have applied them to your current situation, and have
developed actions to achieve your desired change.

Price includes all preparation, interviews (participants and 360-view by
others), analysis, pre-session questions for attendees, follow-up
agreements and support. Related out-of-pocket expenses, such as travel,
phone, postage, etc., will be billed as actuals.

**[Quantity or Other Applicable Discounts:]{.underline}**

If multiple Change Management Training Offsites are contracted for
(e.g., every 3 or 6 months for a year), HHCG would negotiate with USG to
identify areas for savings.

NOTE: This Training Class cost includes the 0.75% Industrial Funding Fee
(IFF).

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### Title of Course: #4 STRATEGIC PLANNING TRAINING

Length of Course (# of Hrs/Days): 2 to 3 days training

Total Price of Course: (excludes travel costs to be billed at actuals)

\$22,076.00 (16 participantds-2 day)

\$27,885.28 (16 participants-3 day)

\$30,209.20 (40 participants-2 day)

\$34,856.80 (40 participants-3 day)

Minimum Number of Participants: 16

Price Per Participant:

\$1,379.75@ (16 participants-2 day)

\$1,742.83@ (16 participants-3 day)

\$755.23@ (40 participants-2 day)

\$871.42@ (40 participants-3 day)

**[Commercial Price: \<Same as above\>]{.underline}**

**[Maximum Number of Participants: 40]{.underline}**

**[Government Discount from the Commercial Price (See
below)]{.underline}**

**[Description of Class:]{.underline}**

A flexible two-to-three day training session provides managers with a
working knowledge of strategic planning as a process, plus specific
models and tools. Depending upon unique needs, managers are trained in
any combination of the following tools and techniques: Open Systems
Planning Model, Sustainable Competitive Advantage, Force Field Analysis,
Industry & Competitive Analysis, and The Change Formula. In addition,
participants learn how to develop a compelling Vision, organizational
definition and focus, and linkages to business plans. Tools and
techniques are introduced by examples from other organizations, and then
applied to the participants\' organization. Outcomes: a working
knowledge of strategic planning, as well as preliminary work on your own
strategic plan. Additional training and support are offered to managers
as you apply your learning.

Price includes all preparation, interviews (participants and 360-view by
others), analysis, homework, session design, follow-up agreements and
support. Related out-of-pocket expenses, such as travel, phone, postage,
etc., will be billed as actuals.

**[Quantity or Other Applicable Discounts:]{.underline}**

If multiple Strategic Planning Training Offsites are contracted for
(e.g., every 3 or 6 months for a year), HHCG would negotiate with USG to
identify areas for savings.

NOTE: This Training Class cost includes the 0.75% Industrial Funding Fee
(IFF).

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### Title of Course: #5 LEADERSHIP DEVELOPMENT TRAINING

Length of Course (# of Hrs/Days): 8 two-day training sessions

Total Price of Course: (excludes travel costs to be billed at actuals)

\$99,922.40 (8 participants-8x2day)

\$108,927.00(15 participants-8x2day)

Minimum Number of Participants: 8

Price Per Participant

\$12,490.30@ (8 participants-8x2day)

\$7,261.80@ (15 participants-8x2day)

**[Commercial Price: \<Same as above\>]{.underline}**

**[Maximum Number of Participants: 15]{.underline}**

**[Government Discount from the Commercial Price (See
below)]{.underline}**

**[Description of Class:]{.underline}**

This is a series of 8 two-day workshops designed to explore the role of
the leaders throughout the organization, and give people enhanced
planning and management skills. The length of this series can be varied
to suit specific needs. This hands-on training in fundamentals includes:

\* Assessing an organization\'s readiness for significant improvement
efforts

\* How to develop and utilize a Vision and Operating Principles

\* How to do an Industry Analysis and Sustainable Competitive Advantage

\* Building broader commitment and buy-in; developing achievable action
plans

\* Change Formula analysis and the Task Cycle

\* Organizing and running more effective meetings

\* Conflict Resolution techniques, listening and communications skills

Price includes all preparation, interviews (participants and 360-view by
others), analysis, homework design, follow-up agreements and support.
Related out-of-pocket expenses, such as travel, phone, postage, etc.,
will be billed as actuals.

**[Quantity or Other Applicable Discounts:]{.underline}**

If multiple Leadership Teams are contracted for (e.g., two or more teams
of ten each), HHCG would negotiate with USG to identify areas for
savings.

NOTE: This Training Class cost includes the 0.75% Industrial Funding Fee
(IFF).

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### Title of Course: #6 EXECUTIVE COACHING

Length of Course (# of Hrs/Days): 5 participants at 2hr+ each for the
initial session

Total Price of Course: (excludes travel costs to be billed at actuals)

\$41,828.00 (8 participants -10hr+)

\$75,813.15 (15 participants -10hr+)

Minimum Number of Participants: 8 Executives

Price Per Participant

\$5,228.50@ (8 participants -10hr+)

\$5,054.21@ (15 participants -10hr+)

**[Commercial Price: \<Same as above\>]{.underline}**

**[Maximum Number of Participants: 15 Executives]{.underline}**

**[Government Discount from the Commercial Price (See
below)]{.underline}**

**[Description of Class:]{.underline}**

HHCG offers individualized coaching for executives designed to address
specific business and leadership challenges. These sessions are tailored
to the unique demands of the situation. It offers a chance to work
one-on-one and focus on those issues that stand in the way of success.
The focus could be on project dynamics, personal leadership skills,
change effort management, political considerations, commitment building,
or others arenas that are needed to improve an individual\'s
effectiveness as a leader. As part of the preparation, we conduct
several confidential 360-degree interviews with peers, subordinates and
supervisors to help identify the most significant opportunities for
improvement. A confidentail Coaching Coaching Profile is prepared and
utilized to pin down the specifics of an action plan for improvement.
Executive Coaching can be done in conjunction with Expectations
Exchanges (see Training Course #7) to work out the current or potential
interface between two or more individuals.

Price includes fees for all preparation, interviews (participants and
360 degree-view by others), analysis, homework design, follow-up
agreements and support. Related out-of-pocket expenses, such as travel,
phone, postage, etc., will be billed as actuals.

**[Quantity or Other Applicable Discounts:]{.underline}**

If multiple Leadership Teams are contracted for Executive Coaching
(e.g., two or more teams of ten each), HHCG would negotiate with USG to
identify areas for savings.

NOTE: This Training Class cost includes the 0.75% Industrial Funding Fee
(IFF).

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### Title of Course: #7 EXPECTATIONS EXCHNAGES

Length of Course (# of Hrs/Days): Four 4hr+ Sessions

Total Price of Course: (excludes travel costs to be billed at actuals)

\$22,075.88 (4 participants -4hr+)

\$39,504.16 (8 participants -4hr+)

Minimum Number of Participants: 4 Expectation Exchanges

Price Per Participant (per Expectations Exchange)

\$5,518.97@ (4 participants -4hr+)

\$4,938.02@ (8 participants -4hr+)

**[Commercial Price: \<Same as above\>]{.underline}**

**[Maximum Number of Participants: 8 Expectation
Exchanges]{.underline}**

**[Government Discount from the Commercial Price (See
below)]{.underline}**

**[Description of Class:]{.underline}**

The Expectations Exchange is a powerful tool designed to improve the
effectiveness of the interface between two (or more) leaders and, in so
doing, improve the working relationship between your respective
organizations (function-to-function; division-to-division; work
unit-to-work unit; etc.). These sessions are tailored to the unique
demands and issues that exist at that interface. Using a modified total
quality approach to clarify internal customer/supplier information flow
and the mutual determination of what each party needs from the other in
order to be successful. The result is a formal \'agreement\' between the
parties that is periodically audited and modified as the situation
evolves.

Expectations Exchanges can be done in conjunction with Executive
Coaching (see Training Course #6) to work on improving the effectiveness
of specific individuals.

Price includes all preparation, interviews (participants and 360-view by
others), analysis, homework design, follow-up agreements and support.

**[Quantity or Other Applicable Discounts:]{.underline}**

If multiple Leadership Teams are contracted for Expectations Exchanges
(e.g., two or more teams of ten each), HHCG would negotiate with USG to
identify areas for savings.

NOTE: This Training Class cost includes the 0.75% Industrial Funding Fee
(IFF).

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### SIN 874-6: PRIVATIZATION SUPPORT SERVICES & DOCUMENTATION

Heifetz, Halle Consulting Group (HHCG) provides critical services to
both Government and Industry who are considering Privatization -
Partnering, Customer Satisfaction Baselining, and Planning Support. In
our experience, Privatization represents a major upheaval for all
parties, significant cultural incompatibilities, and the need to build
and sustain an atmosphere of trust.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

## Public-Private Partnership Support

We strongly believe that Partnering is a critical factor for both
proactive risk management and ultimate Privatization success. It creates
highly effective working relationships across organizational boundaries,
allowing more focused use of today\'s limited resources to get the job
done. Any initiative that seeks to improve management, organizational or
business practices with multiple organizations can benefit from
Partnering.

HHCG has extensive experience in creating and sustaining partnerships.
Services include strategy sessions, planning workshops, leadership
training, executive coaching, interface clarification and management,
resolution of group and personal conflicts, and real time problem
solving throughout the implementation of the partnership. For example,
customized workshops are used to create a more effective working
alliance. The result is an aligned team, sharing a common vision, and
working together to achieve important goals.

Prior to a Partnering session, confidential non-attribution interviews
are conducted with each team member to gain an understanding of past
successes, current challenges, along with individual objectives and
concerns. This information is used to design a customized workshop that
solves existing problems and paves the way to a smoother working
relationship. These sessions are not just a feel good exercise. During
the workshop, groups work on real issues. **[Outcomes:]{.underline}** a
clear Vision of success, a set of operating principles, detailed action
plans, and an agreed upon process for conflict resolution and
communication.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

## Customer Satisfaction Baselining

Qualitative research can provide detailed, customized information in
support of Privatization objectives. Understanding where things stand
with your customers prior to Privatization provides an essential
baseline and roadmap toward success. We have extensive experience
applying these techniques in a wide variety of organizational settings -
where improvements in management, organization and business are
imperative.

Our technique of in-depth interviewing allows a better understanding of
respondent\'s attitudes and opinions. This type of questioning often
uncovers issues only hinted at or missed by quantitative or mail-in
surveys. One of the great benefits of qualitative research is
flexibility. We will pursue unanticipated, yet relevant subjects, beyond
the discussion guide, if the need and opportunity arises. All of this
will be done with the approval of the project managers.

HHCG helps managers define the types of information required to meet the
needs of your project/goals. We work closely with our clients to
understand your specific information needs and design questionnaires and
interview guides to collect this information. These are tested and
refined to ensure that key areas are covered in-depth.

Several techniques are available to meet the needs of any project:
confidential, non-attribution personal interviews, small group
interviews (2-4 people) and focus group discussions (8-10 people).
Depending on the needs of the project and budget, the interviews can be
conducted in person or by phone. Focus groups are always done in person.

Qualitative data is carefully analyzed to help uncover inherent
strengths and weaknesses, lessons learned, challenges ahead, as well as
other patterns. From this data, a specific path forward,
recommendations, and strategies can be developed ranging from planning a
Partnering or Team Building Process, to developing a change management
plan for Privatization.

Results will be described and summarized, including methodology and
sample characteristics. Reports will include a discussion of
recommendations, often a strategic approach, and key follow-up actions,
including, if appropriate, a trade- off analysis of various approaches.
In person presentation of findings is usually done to enhance
understanding and planning for a path forward.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

## Strategic, Tactical and Operational Level Planning Support

HHCG offers strategy and tactical planning sessions, as well as
customized workshops to create better plans at whatever level of
organizational functioning is needed. Planning sessions can be as short
as a few hours or can last several days, depending upon the situation.
We utilize a customized mix of the best diagnostic and planning models,
tools and techniques we have found or developed over the past 28 years.
Some are widely known - such as the Open Systems Planning Model, the
Porter Model for Competitive Strategy Development, the Change Formula,
and Force Field Analysis. Some of the most useful tools are at the
leading edge of organizational understanding - such as the Balanced
System Model, the Change Cycleã, and Paradigm Shift Workshops.

These models allow management to better understand the overall health,
functioning, and success requirements of your organizations, and within
the framework of this understanding, develop appropriate plans to make
your Privatization initiative succeed.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

***3. PROFESSIONAL STAFF for All SINs 874***

## Stan Halle, Managing Director

Stan Halle has worked in Change Management, organizational behavior &
development, strategic planning, and finance for over twenty-nine years.
He specializes in Government/Industry partnering initiatives, economies
in transition, building alignment within and across teams, leadership
development, process reengineering, and fostering greater individual and
team effectiveness. Areas of particular interest include addressing
challenges due to cultural incompatibility, consolidation, customer
dissatisfaction, mission change, industry restructuring, rapid growth,
total quality, technology commercialization, and \'post-merger corporate
indigestion\'. For HHCG, Stan is the Principal Contracting Authority,
handles taxes, licensing and invoicing. Focus Areas include: Defense &
Aerospace, Telecommunications/Electronics, Electro-Optics,
Manufacturing, Engineering, Pharmaceuticals, Medical Devices, Forest
Products. Other Functional Areas include: leadership coaching, customer
satisfaction, collaborative team building & training, privatization,
investment banking, venture capital, and M&A.

In addition to his work with Heifetz, Halle Consulting Group, Stan has
held the following positions:

\* Associate Director, Bear, Stearns & Co. Inc. (investment banking and
venture capital)

\* Unit Manager and Practice Leader for Organizational Strategy, Arthur
D. Little, Inc. (consulting)

\* Managing Consultant, Cresap, McCormick, & Paget

\* Assistant to the Comptroller, City of New York

\* Engineering Liaison, NASA

Stan is currently co-authoring a book entitled Power Tools for Managing
Change with one of his partners, Michael Heifetz, as a companion to
Leading Change, Overcoming Chaos. He has also written a number of
articles for APICS Magazine on paradigm shifts and various Change
Management topics. He\'s run several workshops on Leading & Managing
Effective Change. He was a featured speaker/panelist in the 1998
Conference Board\'s Conference on Managing Change in San Diego and was
featured on Forbes Radio\'s \"Best Consultants in America\" which aired
all of January 2003 on American Airlines. Stan\'s education includes
Bachelors in Electrical Engineering from Pratt Institute and an MBA from
Harvard University.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

## Laurel Heifetz, Managing Director

Laurel Heifetz has worked in market research, group dynamics,
organization behavior, interpersonal dynamics, and Change Management for
eighteen years. She specializes in organizational assessments,
partnering initiatives, customer satisfaction, collaborative team
building, Government/Industry partnering, and planning for cultural
change. For HHCG, Laurel handles information technology, communications,
travel and accounting. Focus Areas include: Defense & Aerospace,
Manufacturing, Consumer Products, Energy, Environment, Social & Health
Services. Other Functional Areas include: leadership coaching,
professional development, market research, new product test &
development, telecommuting.

Prior to joining HHCG, Laurel worked in government, advertising, and
publishing:

\* Qualitative Research Director, Washington State Energy Office

\* Project Manager, Washington State Department of Ecology

\* Market Research Manager, D\'Arcy, McManus & Masius Advertising,
Chicago, IL. (Accounts: Standard Oil, American Dairy Association, Gerber
Baby Foods)

\* Market Research Manager, Needham, Harper & Steers Advertising,
Chicago, IL. (Accounts: McDonald\'s, Betty Crocker, Oscar Mayer, new
product development.)

Laurel\'s education includes a B.A. in Psychology from the University of
Michigan and an M.A. in Psychology from the University of Chicago.
Laurel and Michael are co-authoring Personal Transformation, a book that
applies Change Management techniques at an individual level. She is
currently completing a book of poetry.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

## Michael Heifetz, Managing Director

Michael Heifetz has worked in organizational and leadership development,
total quality, and labor management for thirty-one years. He has had the
opportunity to design, lead and manage large successful change efforts
both inside large organizations and as an outside advisor. For HHCG
Michael handles strategic planning, new products & services, and
investments. Focus Areas include: Telecommunications, Transportations,
Defense, Manufacturing, Forest Products, Consumer Products. Other
Functional Areas include: leadership coaching, diversification,
strategic planning, organization development, process reengineering,
TQM, coalition building, new business development.

In addition to his work with Heifetz, Halle Consulting Group, Michael
has held the following positions in industry including:

\* Corporate Director for Strategy and Business Development, Schneider
National Inc. (transportation)

\* Marketing Manager, Quaker Oats Co.

\* Business Consultant, Booz-Allen, and Hamilton specializing in
organizational development, marketing strategy, and market research

Michael\'s education includes a B.A. and an M.A. in Psychology from
University of Florida and extensive post-graduate work with the
Committee on Human Development at the University of Chicago. He is the
author of Leading Change: Overcoming Chaos and was featured in the TV
series \"the Changing Culture of the Workplace\" aired on PBS and cable
networks in mid-1996. Michael was also a keynote speaker at the 1996
\"Executive Quality Management Summit\" in Chicago. Through Threshold
Institute, our community outreach program, we are able to apply Change
Management technology to a variety of local issues, which Michael is
capturing in a practical handbook for grass-roots community action.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

HHCG\'s U.S. & State Government Experience:

\* **[Defense Contract Management Agency:]{.underline}** Conducted an
in-depth 360-degree Assessment of the organization as well as the top 22
members of their Senior Leadership Team to launch a major Agency-wide
transformation. Effort included interviews of a wide range of customers
throughout DOD and NASA, and a cross-section of DCMA\'s workforce; team
building, coaching, change management planning and implementation
assistance.

\* **[Program Executive Office-Ground Combat and Support
Services:]{.underline}** Designed and conducted an in-depth
organizational assessment and cultural compatibility study. Applied
change management perspective/tools to assist in a complex merger.

\* **[Program Manager Unit of Action-Future Combat Systems
(UA-FCS):]{.underline}** Conducted a Strategic Lessons Learned study of
DoD MDA, Coastguard Deepwater, NASA International Space Station, and
Army Armored Systems Modernization for how the USG should work with an
LSI (Lead Systems Integrator). Provided advice to leadership, helped
establish the One Team, & worked on improving IPT Gov\'t/LSI working
relationships.

\* **[Technical Program Manager (TPM) Future Force Warrior
(FFW):]{.underline}** Conducted several StrategicHealth Checks to
identify and help implement improvements to internal-USG and Gov\'t/LTI
(Lead Technnology Intergrator) working relationships. Providing advice,
coaching, Expectations Exchanges, etc. to help address identified
weaknesses and emerging concerns.

\* **[Research Development & Engineering Command DCG for Systems of
Systems Integration (SOSI):]{.underline}** Conducted a Startegic Health
Check of the internal workforce, stakeholders & customers (including
TRADOC, ASAALT, PEO-CSCSS, PM-UA/FCS, RDECs, Army Labs and AMSAA).
Developing recommendations for mission clarification, better use of
resources, and addressing both workforce and customer concerns.

\* **[U.S. Army Tank Automotive and Armaments Command for the
CG:]{.underline}** Designed a survey of key customers and co-workers,
analyzed data to help Board of Directors shift their strategic focus and
plan a path forward.

\* **[U.S. Army Tank Automotive and Armaments Command for the CG and
DCG:]{.underline}** Conducted an in-depth organizational assessment;
helped develop a more effective organization (structure, interfaces, and
multi-site/multi-functional culture); assisted in implementation.

\* **[Multiple Army & FMS Programs:]{.underline}** Designed and executed
in-depth surveys for situational analysis, designing & facilitated
dozens of Partnering Workshops; helped create strategies for success,
communications protocols, issue escalation procedures, operating
principles, and a clear path forward.

\* **[Paladin/FAASV Program Office, U.S. Army & Paladin Production
Division:]{.underline}** Designed and facilitated a two-day workshop to
bring together multiple DoD agencies, advisors & contractors, explored
the notion of a M109 Fleet Management Pilot, and help build preliminary
alignment & support.

\* **[Bradley Program Office (U.S. Army):]{.underline}** Conducted a
survey of their Prime Contractor and presented feedback on how the
Bradley Program Office was doing as a customer; included suggestions for
internal process improvements.

\* **[Residential Care Services, Div. of the WA State Dept. of Social
and Human Services (DSHS):]{.underline}** Facilitated a \'visioning
process\' for the Management Team, on-going strategic planning sessions
and work with middle managers to resolve concerns and questions

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

HHCG\'s Industry Experience (often with U.S. Government counterparts):

\* **[Electo Optical Systems (Australia) for the CEO:]{.underline}**
Conducted a 360 Degree Assessment and Health Check to help build the
transoceanic Leadership Team. Providing extensive coaching, advice to
each key leader as well as the Board of Directors. Helping address key
personnel, organizational and working relationship issues.

\* **[United Defense, LP Naval Ordinance Station Louisville
(NOSL):]{.underline}** Designed & conducted a survey of key U.S. Navy
customers to identify specific areas of strengths and weaknesses at
NOSL. Suggestions were made to management on steps to alleviate customer
concerns and identify strategies for improving performance. Result:
successful privatization of NOSL.

\* **[Paladin Production Division (UDLP):]{.underline}** Helped
developed a \'five-party\' partnering agreement; facilitated multiple
Partnering sessions, Paladin was awarded \'Program Manager of the Year\'
due to the innovative nature of their partnering efforts.

\* **[Hughes Missile Systems Company:]{.underline}** Helped the
Leadership Council and the Engineering Leadership Team better understand
how comprehensive change is lead and managed; helped teams build
alignment across multiple organizations and cultures.

\* **[Crusader Program, United Defense:]{.underline}** Lead the Advisory
Integrated Product Team; helped build better working relationships among
principal parties (USG & Industry) at the executive, program & working
levels; implemented IPPD program-wide.

\* **[United Defense, LP, Ground Systems Division (GSD):]{.underline}**
Designed and conducted a survey of key U.S. Army customers to identify
needs, expectations, and key priorities as well as customer perceptions
of GSD\'s strengths and weaknesses. This data was used to identify
potential strategies for GSD Army Program success in the future.

\* **[FMC Ground Systems Division:]{.underline}** Designed and lead two
successive offsites; provided follow-up support on key initiatives to:
establish the Leadership Board; improve ECPs; and improve the Bids &
Proposal and Contract Closeout processes.

\* **[FMC Food Processing Systems Division]{.underline}**: Designed &
conducted process review & training (skill building in Change Management
tools); helped reinforce new culture where change had become a \'way of
life\'.

\* **[Weyerhaeuser Technology Center (Federal Way, WA):]{.underline}**
Developed and conducted a 5 1/2-day training package on \"Business
Development, Principals & Applications\", in response to a corporate
mandate to commercialize or spin-off their substantial investment in new
process and product technology; eight separate teams took the course
focusing on business strategy, planning and on-the-issue training.

\* **[Weyerhaeuser Solid Waste Management:]{.underline}** Provided
advisory and planning for the startup of a series of solid waste
disposal facilities serving both local/regional communities & industry.

\* **[Universal Avionics Systems Corp.:]{.underline}** Designed and
conducted a four-day workshop with Management on how to create a new
culture and plan/manage all the changes required in starting a new
division; ongoing project with several more sessions planned to provide
more equipping in Change Management skills.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### Experience of HHCG\'s Individual Managing Directors

\* **[Schneider National:]{.underline}** Designed and conducted
organization assessments and redesign of seven acquired trucking
companies, redefined department functions, roles, procedures and
accountabilities; helped shift to a matrix structure; implemented one of
the industry\'s first use of performance-based compensation - gain
sharing.

\* **[Pacific Bell/Pacific Telesis:]{.underline}** Helped shift from
monopoly/reactive to a competitive/ proactive culture; streamlined
maintenance & service from standard operating procedures to a greater
focused on problem solving, empowerment & training.

\* **[Southern New England Telephone:]{.underline}** Developed a
ten-year strategic plan to guide the SNET through the Bell System
breakup and aftermath. Conducted several additional studies to identify
the tradeoffs, critical shifts and actions needed to launch several new
businesses.

\* **[Ciba-Geigy Ltd:]{.underline}** Developed a world-wide strategic
planning process and organization alternatives for seven countries
involved in pharmaceutical research & development. Conducted extensive
training in the new SPP. Provided on-site implementation assistance for
over ten months to put these recommendations into effect.

\* **[Energy Office, Washington State:]{.underline}** Designed and
facilitated the qualitative research for a 2- year telecommuting
demonstration; explored environmental, organizational, and personal
aspects at 25 public and private organizations in western Washington.

\* **[ARC Research, New York:]{.underline}** Designed, managed and
facilitated qualitative research projects for accounts including the
U.S. National Park System, General Motors, Children\'s Television
Workshop, Chubb, and Liz Claiborne.

\* **[NASA-Delta Rocket Launch Vehicle:]{.underline}** Conducted several
problem-solving studies to make the launch vehicle more effective and
efficient. Discovered a new chemical fuel combination that has
potentially revolutionized rocket propulsion.

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

### HHCG Corporate Experience

Contents:

\* Three MOBIS-type Efforts Undertaken by Heifetz, Halle Consulting
Group (HHCG)

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

***MOBIS Experience #1 - Services: Consulting, Survey, Facilitation, &
Training***

***Agency: (Military) Office of the Deputy for Systems Acquisition and
Life Cycle Management (DSALCM) and the Tank Automotive & Armaments
Command (TACOM).*** The DSALCM is responsible for the development,
fielding and sustainment of weapon systems, vehicles, armaments, and
supplies for the U.S. Army, USMC, and U.S. Allies.

**[Project:]{.underline}**

1\) Evaluate the effectiveness of the DSALCM organization;

2\) Provide change effort planning and implementation assistance for the
subsequent re-organization TACOM-wide;

3\) Help create & support Team DSA Leadership Council Leadership (TDLC);

4\) Help TACOM Senior Leaders become a more effective team

**[Duration:]{.underline}** October 1999 through May 2001

**[Objectives:]{.underline}**

1\. To evaluate the impact of a prior re-organization on the workforce;
and the effectiveness

of the current organizational structure

2\. To facilitate a process for developing a more effective organization
for TACOM (structure, interfaces, and multi-site/multi-functional
culture)

3\. To assist in implementing the new organization applying change
management perspective and tools

**[Background:]{.underline}**

A bold concept entitled \'TACOM of the Future\' was implemented early
1999, after more than a decade of reorganizations, cutbacks, and DoD
initiatives. Leadership & workforce were numb from all these changes and
were having difficulties realizing the benefits promised. DSALCM, in
particular, determined that professional guidance was necessary to
assess the impacts of these changes and help determine a viable path
forward.

**[Methodology (Six main Phases):]{.underline}**

1\. Conduct a Management Assessment to help DSALCM Leadership better
understand the causes of current organization issues and determine
mitigating actions to the adverse impact of \"TACOM of the Future\".
Heifetz, Halle Consulting Group\'s (HHCG) role was to:

\* Design questionnaire, interview key executives and associates at
three sites (confidential,

individual, hour long interviews)

\* Analyze qualitative data

\* Perform a change management assessment using the following tools:
Cultural Compatibility Assessment, Change Formula, and Force Field
Analysis

\* Present findings, recommendations, and a path forward with trade-off
analysis

2\. Assist DSALCM Senior Leaders address reorganization issues (reps
from Picatinny, Rock Island, and Warren), review Management Assessment,
and setup teams to begin implementation planning.

HHCG\'s role was to:

\* Help define offsite agendas, provide facilitation and follow-up
support

\* Provide change management perspective, share how other organizations
handled similar issues, assist Leadership in applying relevant tools and
strategies

\* Conduct individual coaching sessions and expectation exchanges
between leaders (a tool used to improve working relationships and
clarify roles and responsibilities between two or more people.)

\* Help identify critical issues for DSALCM and TACOM\'s Commanding
General

3\. Help TACOM setup and support five Working Integrated Process Teams
(WIPTs) and an Overarching IPT (involving over 75 participants) to
evolve the organization and culture Command-wide. HHCG\'s role was to:

\* Suggest strategies to preserve what\'s working and address
implementation issues from previous reorganization, including lessons
learned from past efforts

\* Design a methodology where key employees with critical ownership and
knowledge of business processes would research, gather employee input,
and recommend the most effective choices for organizational change

\* Assist the OIPT as neutral advisors, supporting innovative thinking
by providing outside

perspective

4\. Assist in implementing the new organization. HHCG\'s role was to:

\* Help Senior Leaders develop a cultural Vision for TACOM and the
desired attributes for current & future leaders/managers

\* Define specific roles for a Transition Manager and Senior Advocate to
help drive and implement the change effort

\* Offer strategies and action suggestions to build workforce
commitment, manage expectations, and communicate more effectively re:
the change effort rationale

5\. Help set-up, facilitate and support Team DSA Leadership Council for
the newly organized Deputy for System Acquisition HHCG\'s role was to:

\* Consult on strategy, and action planning, develop priorities and path
forward

\* Help DSA Staff with offsite planning, facilitation, charting, and
follow-up

\* Provide change management assistance and issue intervention

6\. Work with TACOM Senior Leaders on more effective teaming. HHCG\'s
role was to:

\* Interview Senior Leaders, their deputies, a cross-section of TACOM
workforce and high level external customers (AMC and Pentagon)

\* Analyze findings, develop recommendations, and design/conduct two-day
teaming-effectiveness Offsite

\* Provide confidential individual feedback and coaching

**[Results:]{.underline}**

\* The new organization helped preserve the benefits realized from
\'TACOM of the Future\' while beginning to eliminate many of the
implementation issues from the recent past - a change allowing more
focus on mission accomplishment

\* The change went very smoothly, including communication with the
workforce on intent,

rationale, and expectations as well as demonstrations of leadership
alignment; almost flawless handling of countless administrative details

\* Cross-functional relationships & cooperation at working levels
continues to improve

\* Leadership now more focused on strategic issues and being proactive
in facing the challenges of Army Transformation and other major
initiatives

**[Contacts:]{.underline}**

\* BG(ret) Edward Harrington (DSALCM from 8/99 through 2/01), then
Director of Defense Contracts Management Agency, DoD; now a consultant
(617) 447-5972

\* Janet Bean, Integrated Business Strategy & Systems, TACOM 810-574-
5571

\* Dianne Duggan 810-574-3991 or Pat Plotkowski 810-574-8963 - DSALCM (&
now DSA) Operations Staff

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### MOBIS Experience #2 - Services: Consulting, Facilitation, and Training

***Agency: (State Social Services Agency) Residential Care Services
(RCS) Division of the***

***Washington State Department of Social and Human Services (DSHS).***
RCS is the agency responsible for the oversight, monitoring and
accreditation of nursing homes, boarding homes and adult family homes

**[Project:]{.underline}** Change Effort Planning and Implementation
Assistance for State-wide Agency

Reorganization of Residential Care Services

Duration: October 1999 through June 2001; several subsequent
interventions

**[Objectives:]{.underline}**

To help the management of Residential Care Services plan, prepare for,
and implement major change in the reorganization of their Agency while
maintaining their current high level of service and performance.

**[Methodology:]{.underline}**

1\. Helped RCS Leadership Team develop an overall framework for their
reorganization process that established the major phases (content,
timing, desired outcomes, challenges, etc.):

\* Provided definition and guidance for RCS\'s strategic and action
planning and implementation

\* Worked with RCS Director and Deputy on meeting planning, agenda,
discussion content, focused decision making, and debriefing

\* Developed and updated a CPM (critical path method) Master Plan as an
oversight and monitoring tool, given all the parallel and sequential
complexities of this reorganization effort

2\. Facilitated a \'visioning process\' for the Management Team to help
build a compelling vision of the future-(\"Residents First - Advocates
in the 21st Century\")

3\. Suggested Change Management strategies and tactics that helped the
Leadership Team:

\* Build workforce buy-in and commitment to the proposed change

\* Set appropriate expectations with upper management and employees as
to timing and impact

\* Anticipate and prepare for issues that could arise

\* Identify \'early-warning indicators\' that the change might be
running into difficulties

\* Overcome resistance to change

\* Implement an effective communications strategy to address employee
concerns

4\. Helped define new organizational structure and desired culture; our
role:

\* Identify implications and suggest problem-mitigating strategies as
various organizational

alternatives were explored

\* Find methods to make the interactions between the Field and Head
Quarters more effective

\* Examine and discuss tradeoffs

5\. Provided Change Management Training: Change management tools and
perspective including, Force Field Analysis, Change Formula,
Role/Responsibility Matrix

6\. Provided Leadership Training: skill building and personal coaching
for effectiveness

7\. Called in for an Issue Intervention re: major concerns of middle
management (just after

the initial announcement of the organizational changes being
implemented):

\* Facilitated meeting of middle managers to discuss concerns and
questions

\* Briefed upper management on middle managers concerns

\* Helped facilitate resolution of issues

8\. Designed a change management module and gave a half-day class for
the newly hired Field Managers and Regional Administrators

9\. Proposed using a Transition Manager; advised Leadership re: setting
up and chartering

several Transition Teams (to work most pressing issues)

**[Results:]{.underline}**

\* Residential Care Services successfully completed a comprehensive
State-wide re-organization from three programs made up of 9 Areas and 8
Districts into a single integrated organization with 7 Regions -
bringing it into parity with the rest of DSHS. This was successfully
done under severe constraints - \'budget and full-time equivalents
neutral\'. Despite the reshuffling of positions, responsibilities,
reporting relationships, and overall structure, the level of service to
clients was not adversely affected.

\* This new Agency structure was designed to accommodate continued
growth as well as anticipated program transfers into RCS in the future.

\* Buy-in of employees continues to build through two-way communications
and working key issues.

**[Contacts:]{.underline}**

Residential Care Services Division, 640 Woodland Square Loop SE, P.O.
Box 45600, Lacey, WA 98504-5600

\* Patricia Lashway, Director (360) 725-2401

\* Joyce Stockwell, Deputy Director (360) 725-2404

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

***MOBIS Experience #3 - Services: Survey, Facilitation, Alternative
Dispute Resolution, Training***

***Agency: (Military) Program Management Office (PMO) for the HERCULES
M88A2Vehicle, of the Tank Automotive and Armaments Command (TACOM),
U.S.Army*** -responsible for the design, development and fielding of the
M88A2, a vehicle that can tow a disabled Abrams M1A2-tank.

**[Project:]{.underline}** Four Stage Partnering Project for HERCULES
Program

**[Duration:]{.underline}** April 1998-January 2000

**[Objectives by Phase:]{.underline}**

**Phase I:** April 1998 Partnering between PMO/UDLP/DCMC (Defense
Contract Management Center) and PCO (Principal Contracting Officer of
TACOM)

\* Establish a more effective working relationship for Team HERCULES re:
M88A2 Full Scale Production and Systems Technical Support (STS)

\* Jointly lead and manage this dual program, including programmatic and
financial decision-making

\* Openly share & coordinate marketing

**Phase 2:** June 1998 Partnering between an Expanded Team HERCULES,
including: Material Developer \-- PMO-HERCULES, DCMC, and the PCO, User
Community - AC&S, CASCOM, and OC&S, Operational Evaluator - OEC; United
Defense, L.P.

1\. Build and formalize a more effective expanded-Team HERCULES

2\. Focus on M88A2 Full Scale Production and systems technical support -
lead and manage this dual program as a Government/Industry Partnership

3\. Coordinate efforts to assist Army & Industry by providing timely
information and addressing concerns raised by Congress

4\. Coordinate marketing initiatives (goal: higher volumes to drive down
unit cost), including US National Guard, US Marine Corps and U.S. Allies
(e.g., new co-production contract with Egypt)

**Phase 3:** October 1999: Intra-Government Partnering between Managers
from HERCULES PMO, Heavy-Commodities Business Unit (CBU)/TACOM -M88A1,
and Tank Automotive Research Development and Engineering Center
(TARDEC). Note: M88A1 is the predecessor to the M88A2, with significant
commonality. TARDEC supplies engineering services to both programs.

1\. A common vision of the future re: success for the both programs and
Team

2\. Operating Principles and the framework for a Teaming Agreement

3\. Agreement on the major challenges ahead and a process to address
them

4\. What each organization needs from the others in order to be
successful

**Phase 4:** January 2000: Partnering for all of Team Recovery with
Heavy-CBU, TARDEC & PMO-HERCULES leadership & work force

1\. To set the foundation and begin building the commitment and buy-in
for a broad-based Team Recovery

2\. To make progress towards a more seamless integration between the
M88A1 & HERCULES M88A2 Programs - recognizing the importance and
complementary nature of the two missions

3\. To increase the Team Members awareness of both the value of &
essential need to work

together - especially given the high degree of commonality and low
density.

**[Methodology- (Common to all four phases):]{.underline}**

1\. Conduct confidential non-attribution individual interviews with all
participants as well

as other key personnel not attending

2\. Analyze this qualitative data to gain an understanding of the unique
situation, past

baggage, and challenges ahead

3\. Prepare a neutral, summary of survey findings to present at each
Partnering offsite as a

starting point to clear up misunderstandings and build common ground

4\. Design/conduct a two day Partnering offsite to address each team\'s
unique issues as well

as to lead the team through specific Partnering Tasks as described in
the Army Materiel

Command\'s Partnering Process:

\* Vision of success & common goals

\* Problem solving techniques:

\* Brainstorming the most critical issues facing the program

\* Assignments for multi-agency groups to solve these issues

\* Discuss what each group needs from others and their management to
resolve these issues

and be successful

\* Operating Principles - how team members will treat each other

\* Issue Escalation Process - agreement on rules for resolving disputes
disagreements, and

divergent views

\* Draft Partnering Agreement

5\. Hold planning meeting with leaders to refine agenda, prepare for the
offsite

6\. Conduct the Partnering Offsite - usually two-days with 15-35 team
members

7\. Provide coaching sessions for managers/selected employees offering:
leadership skills,

management-by-objectives, time management, mediating employee conflicts,
stress reduction techniques, and planning and running effective meetings

8\. Provide follow-up assistance: strategies to sustain momentum,
critical incident

intervention, sounding board, problem resolution, meeting notes

**[Results:]{.underline}**

\* Proactive risk management and problem avoidance/resolution, avoids
disputes and costly

litigation

\* Promotes Dept of Defense acquisition streamlining and cycle-time
reduction initiatives

\* Increased trust and common focus allows a timely, cost effective
effort

\* Greatly improved communications, fosters \"no surprises\"

\* Employees fell empowered, increased job satisfaction and working
relationships

**[Contacts:]{.underline}**

\* BG(ret) Don Schenk \-- was PM-CMS (Combat Mobility Systems); then PM
Future Combat System; now consultant (248) 740-2784

\* Debra Davis - USG PM-Light Tactical Vehicles; now married (Debra
Saletta) working as Principal Deputy to RDECOM-DCG-SOSI (703) 806-0917

\* John Tile - Contractor PM-HERCULES (Industry) (717) 225-8024

\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\--

# Rev: 2006/02/14

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