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ACTION PLAN

AAA Operations Office

[September 30, 2000]{.underline}

TITLE: [Ineffective Management of Projects at DOE
Laboratory]{.underline}

ACTION PLAN: REPORTABLE PROBLEM: [X]{.underline} REPORTABLE
NONCONFORMANCE:

HQ ORGANIZATION: [CR]{.underline} PROGRAM/ADMIN. FUNCTION:
[Program/Project Management]{.underline}

[DESCRIPTION]{.underline}: Performance of DOE Laboratory in the area of
project management was evaluated as "needs improvement". The "needs
improvement" assessment reflects problems/weaknesses in project
management. These weaknesses have been particularly evident in several
key projects at the Laboratory that have experienced severe problems
maintaining schedule, staying within budget, and maintaining the
expected level of quality. This performance problem is critical at this
time because the Department plans to invest nearly one billion dollars
in new projects at the Laboratory over the next five years.

The key weaknesses identified include (1) poor project development and
baseline definition, (2) failure to integrate program and project
management, (3) lack of implementation and enforcement of project
controls by the Laboratory, and (5) insufficient oversight. Continued
poor project performance at the Laboratory could impact the Laboratory's
capability to meet assigned missions.

[ASSESSMENT OF PROGRESS]{.underline}: In response to the identified
project management deficiencies, the Department and Laboratory have
undertaken additional assessment activities to determine root causes,
corrective actions, and implementation strategies required to fully
establish and maintain an effective construction project management
program and ensure proper management of the Stockpile Management at the
Laboratory. A key result of these efforts was the formulation of a
Nuclear Construction Projects Office (NCPO) within the field site in
July of 1997. The NCPO was established to provide a single DOE field
line management organization responsible for management oversight of
projects at the Laboratory. The NCPO includes both field office and site
personnel, and therefore, previously cited actions were incorporated
into the formulation of the new office.

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> COMPLETION OR ACTUAL

MONTH/YEAR MONTH/YEAR

[CRITICAL MILESTONES]{.underline}

22124. Strengthen management structure. 12/98 01/99

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1.  Strengthen project management controls. 09/99 09/00

2.  Prepare interface agreement for

    Stockpile Management. 11/99 09/00

3.  Develop laboratory corrective

> action plan. 12/97 12/97

4.  Reconstitute DOE/lab project

    oversight committee. 12/98 04/99

[SUCCESS INDICATOR FOR CLOSED CORRECTIVE ACTION PLANS:]{.underline}

Is plan closed [X]{.underline} Yes \_\_\_\_\_ No, not applicable.

Formal project reviews occur monthly, with "at risk" projects. Several
of the Laboratory's projects have turned around and been taken off the
Chief Operating Officer's watch list. DOE staff now also participate in
the generation, negotiation, and assessment of contract performance
measures for the laboratory related to project management.

NAME: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

TITLE: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

DATE: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_