Attachment 4- QASP Material Handling Equipment.pdf

QUALITY ASSURANCE SURVEILLANCE PLAN (QASP)

For Material Handling Equipment Preventive Maintenance (PM) and Corrective Maintenance (CM) Contract for

Naval Base Ventura County (NBVC)

In support of NAVSUP Fleet Logistics Center San Diego Site Ventura County

Contract # TBD

1. INTRODUCTION.

This Quality Assurance Surveillance Plan (QASP) is a Government developed and applied document used to monitor and evaluate contractor performance in connection with NAVSUP Fleet Logistics Center San Diego Site Ventura County Support. The QASP establishes the methodology for measuring key performance in the stated performance work areas and establishes the standard of performance for each.

1.1 Purpose.

1.1.1 The purpose of the QASP is to describe the systematic methods used to monitor performance and to identify the required documentation and the resources to be employed. The QASP provides a means for evaluating whether the contractor is meeting the performance standards identified in the QASP and the contractor’s quality control plan (QCP), and to ensure that the Government pays only the level of services received.

1.1.2 This QASP defines the roles and responsibilities of all members associated with the QASP; identifies the performance objectives; defines the methodologies used to monitor and evaluate the contractor’s performance;

describes quality assurance documentation requirements; and describes the analysis of quality assurance monitoring results.

1.2 Performance Management Approach

1.2.1 The PWS structures the acquisition around “what” service or quality level is required, as opposed to “how” the contractor should perform the work (i.e. results, not compliance). This QASP will define the performance management approach taken by the COR to monitor and manage the contractor’s performance to ensure the expected outcomes or performance objectives communicated in the QASP are achieved. Performance management rests on developing a capability to review and analyze information generated through performance assessments. The ability to make decisions based on the analysis of performance data is the cornerstone of performance management;

this analysis yields information that indicates whether expected outcomes for the contract are being achieved by the contractor.

1.2.2 Performance management represents a significant shift from the more traditional quality assurance (QA) concepts in several ways. Performance management focuses on assessing whether outcomes are being achieved and to what extent. This approach migrates away from scrutiny of compliance with the processes and practices used to achieve the outcome. A performance-based approach enables the contractor to play a large role in how the work is performed, as long as the proposed processes are within the stated constraints. The only exceptions to process reviews are those required by law (federal, state and local) and compelling business situations, such as safety and health. A “results” focus provides the contractor flexibility to continuously improve and innovate over the course of the contract as long as the critical outcomes expected are being achieved and/or the desired performance levels are being met.

1.3 Performance Management Strategy

1.3.1 The contractor is responsible for the quality of the work performed. The contractor measures that quality through the contractor’s own quality control (QC) program. The QC is work output, not workers, and therefore includes all work performed under this contract regardless of whether the work is performed by contractor employees or by subcontractors. The contractor’s QCP will set forth the staffing and procedures for self-inspecting the quality, timeliness, responsiveness, customer satisfaction and other performance requirements in the QASP. The contractor will develop and implement a performance management system with processes to assess and report its performance to the COR. This QASP enables the Government to take advantage of the contractor’s QC program.

1.3.2 The COR, with the assistance of on-site Technical Assistants (TA), will monitor performance and review performance reports furnished by the contractor to determine how the contractor is performing against performance objectives. The Government will notify the contractor when performance is less than satisfactory. The contractor will be responsible for making required changes in processes and practices to ensure performance is managed effectively.

2. ROLES AND RESPONSIBILITIES

2.1 Contracting Officer

The Contracting Officer is responsible for monitoring contract compliance, contract administration and cost control and for resolving any differences between the observations by the COR and the contractor. The Contracting Officer has designated the COR as the Government authority for performance management. The number of additional representatives serving as technical inspectors depends on the complexity of the services measured, as well as the contractor’s performance, and must be identified and designated by the Contracting Officer.

2.2 Contracting Officer’s Representative (COR)

The Contracting Officer’s Representative (COR) is designated in writing by the Contracting Officer to act as his or her authorized representative to assist in administering a contract. COR limitations are contained in the written appointment letter. The COR is responsible for technical administration of the contract and ensures proper Government surveillance of the contractor’s performance. The COR is not empowered to make any contractual commitments or to authorize any contractual changes on the Government’s behalf. Any changes that the contractor deems may affect contract price, terms or conditions shall be referred to the Contracting Officer for action. The COR will be responsible for documenting the inspection and evaluation of the contractor’s work performance.

Government surveillance may occur under the inspection of services clause for any service relating to the contract.

2.3 Designated Acceptance Officials

Personnel authorized to submit or accept deliverables are designated below. While other personnel may physically deliver or receive deliverables and perform the reviews to determine acceptability, only designated personnel may authorize the submission of deliverables or approve/reject deliverables.

Government personnel authorized to submit or accept/reject deliverables: Roberto Medina.

2.4 Technical Assistant (TA)/Technical Point of Contact (TPOC).

The requiring activity representative who may be assigned to provide technical/administrative assistance to the COR. TAs/TPOCs may be assigned to assist and support the COR, but do not have the authority to provide technical direction or clarification directly to the contractor.

3. IDENTIFICATION OF REQUIRED PERFORMANCE STANDARDS/QUALITY LEVELS

The required performance standards and/or quality levels are included herein in the QASP, as specified in “Performance Requirements Summary Tables.” The five critical areas defined herein are also identified within the Performance Work Statement (PWS) as subject to monitoring under this QASP. The five critical areas that will be used to measure performance success are:

3.1 Preventive Maintenance – percentage of operational equipment

3.2 Preventive Maintenance – PM performance on 100% of equipment as scheduled

3.3 Corrective Maintenance – timely repair of equipment, and

3.4 Corrective Maintenance – timely response to CM request

3.5 Deliverable reports – timely submission of reports

The “Performance Requirements Summary Tables” identify each of the five areas in more detail and includes the specific method of surveillance, inspection cycle, performance requirements, performance standard, sampling procedure and inspection procedure.

4. METHODOLOGIES TO MONITOR PERFORMANCE

4.1 Surveillance Techniques

In an effort to minimize the performance management burden, simplified surveillance methods shall be used by the Government to evaluate contractor performance when appropriate. The primary methods of surveillance are:

4.1.1 One Hundred–Percent Inspection – This surveillance type is preferred for those tasks that occur infrequently. It is also used frequently for those tasks having very stringent performance requirements. When this type surveillance is used, the COR must inspect and evaluate the contractor’s performance each time it is performed.

The results of the contractor’s overall performance are then evaluated to determine the acceptability of the lot.

4.1.2 Periodic Inspection - Periodic inspections shall be conducted if and when specified in the Contract. The COR typically performs the periodic inspection on a monthly basis.

4.2 Observing Contractor Performance

The COR or TA must inspect task performance by either watching actual task performance, physically checking an attribute of the completed task, checking a management report, or otherwise inspecting the task or its results to determine whether or not the performance meets the standards contained in the contract. The COR and TA should become familiar with the standards and requirements of compliance documentation set forth in the contract and incorporate surveillance of such requirements onto the overall plan. It is suggested that technical experts, who are most familiar with compliance requirements, be utilized as an extension of the COR.

4.3 Customer Feedback

The contractor is expected to establish and maintain professional communication between its employees and customers. The primary objective of this communication is customer satisfaction. Customer satisfaction is the most significant indicator of success and effectiveness of all services provided and can be measured through customer complaints.

4.4 Performance management drives the contractor to be customer focused through initially and internally addressing customer complaints and investigating the issues and/or problems but the customer always has the option to communicate complaints to the COR, as opposed to the contractor.

4.5 Customer complaints, to be considered valid, must set forth clearly and in writing the detailed nature of the complaint, must be signed and must be forwarded to the COR. The COR will accept those customer complaints and investigate further.

4.6 Customer feedback may also be obtained either from the results of formal customer satisfaction surveys or from random customer complaints.

4.7 Performance Threshold. The Performance Threshold included in “Performance Requirements Summary Table” are structured to allow the contractor to manage how the work is performed.

5. QUALITY ASSURANCE DOCUMENTATION

5.1 Performance Management Feedback Loop

The performance management feedback loop begins with the communication of expected outcomes. Performance standards/ Performance Threshold are expressed in the QASP and are assessed using the performance monitoring techniques shown in “Performance Requirement Summary Table.”

5.2 NAVSUP Fleet Logistics Center San Diego Site Ventura County an Over-The-Horizon activity will be participating in the exchange of deliverables and will be subject to deliverable acceptance process. Items such as system documentation, reports, and test results are examples of deliverables that the Contractor might provide to the Government for review and acceptance. Examples of Government deliverables are items such as review comments, marked-up documents returned to the Contractor, reference material, or other Government Furnished Information/Equipment (GFI/E). Deliverable Acceptance provides an opportunity for the receiving party to formally review a product and assess whether or not it conforms to specifications or will satisfy the requirements for its intended use. Some products are complete as is when delivered while others will be work product inputs into the creation of other deliverables or form part of the baseline for subsequent work to be performed. For example GFI such as test data would be a work product input to a testing process and a design specification would become part of the baseline. Aspects of the Deliverable Acceptance process are detailed in the remainder of this section.

5.3 Final inspection and acceptance of all deliverables shall be performed at the place of delivery. The government requires a period not to exceed 30 days after receipt of the final deliverable item(s) for inspection and acceptance or rejection. All deliverables must be submitted directly to the COR. The COR will monitor the contractor efforts to ensure technical suitability. If the deliverable does not meet the specified criteria, it will be returned by the government. After notification that the deliverable did not meet the acceptance criteria, the contractor shall re-submit the deliverable within 14 calendar days. Upon re-submission by the contractor, the government will reapply the same acceptance criteria. If the deliverable does not meet the acceptance criteria a second time the government might consider the Contractor as having deficient performance. The Contractor shall permit the Contracting Officer or designated representatives’ access at any reasonable time to all records, data, and facilities used in the performance of contemplated services.

5.4 Monitoring Forms. The Government's QA surveillance will in part be reported using the Deliverable Submission/Acceptance Form which shall accompany deliverable submissions. The Deliverable Submission/Acceptance Form, when completed, will in part document the Government's assessment of the contractor's performance under the Contract to ensure that the required quality levels are being achieved.

Attachment A to this QASP is a sample form with a brief explanation of the information to be entered on the form. Electronic copies of deliverables and quarterly summarized versions of all deliverables will be provided via email to the COR. The party submitting a deliverable will complete Sections 1 and 2 of the form. The preferred method is for the individual originating the form to submit it electronically as an attachment to an email rather than signing and submitting a hard copy of the form. This allows the form to be detached by the recipient (a person authorized to accept/reject deliverables) to complete Section 3 and return it to the originator as an email attachment. The Contractor shall provide a soft copy Deliverable Submission/Acceptance Form template to Government personnel that will be submitting deliverables and work products under the Deliverable Acceptance process.

6. ANALYSIS OF QUALITY ASSURANCE ASSESSMENT

6.1 Determining Performance

6.1.1 An individual authorized to accept/reject deliverables will need to complete Section 3 of the Deliverable Submission/Acceptance Form by acknowledging the acceptance of the deliverable, conditional acceptance of the deliverable, or rejecting the deliverable.

6.1.1.1 Acceptance of a deliverable means that the deliverable conforms to specifications or will satisfy the requirements for its intended use and will be considered completed by the submitting party. Accepted deliverables may become part of the baseline for subsequent work or may be work product inputs for future tasks. As important as it is to complete the review and acceptance of deliverables in a timely manner so as not to impede schedules, it is equally important that a thorough review be done so as not to overlook critical aspects that could adversely affect subsequent deliverables. Additional work on or changes to accept deliverables will be considered to be new deliverables and may affect scope, cost, and or schedule.

6.1.1.2 Conditional acceptance means that the deliverable essentially conforms to specifications or will satisfy the requirements for its intended use but some non-critical changes may need to be made. The reason(s) for the conditional acceptance and actions that may be deemed necessary to make the deliverable acceptable must be detailed in the Comments block of Section 3 of the Deliverable Submission/Acceptance Form. This will form a basis for discussion and understanding between the two parties of the steps necessary to make the deliverable acceptable. In some instances the conditional acceptance may not require any corrective action but full acceptance may be contingent upon some future event. The actions necessary to attain acceptance should represent low risk because conditionally accepted deliverables may become part of the baseline for subsequent work or may be work product inputs for future tasks.

6.1.1.3 Rejection of a deliverable means that it fails to conform to specifications or will not satisfy the requirements for its intended use. The reason(s) for rejection and actions necessary that may be deemed necessary to make the deliverable acceptable must be detailed in the Comments block of Section 3 of the Deliverable Submission/Acceptance Form. This will form a basis for discussion and understanding between the two parties of the steps necessary to make the deliverable acceptable.

6.1.1.4 The Deliverable Submission/Acceptance Form will always reflect the date that the deliverable was submitted for acceptance as well as the number of business days to review and accept or reject the deliverable. A default of five business days will be used. Of course it may not be realistic to expect that all deliverables can be reviewed and accepted within five business days. Whenever possible the parties involved should agree upon those cases where more or less review time will be required for planned deliverables. This will allow these expected review durations to be used in project plans to more accurately project the start and completion dates of dependent activities. Circumstances may arise such that a review cannot be completed within the time agree to and reflected on the Deliverable Submission/Acceptance Form. In such cases an extension of the review period should be discussed and agreed to by the parties before the scheduled review completion date. If project milestone dates are to be met, deliverable reviews cannot be allowed to continue for indeterminate periods of time. Therefore, deliverables not reviewed within the specified review period will be considered accepted.

6.2 Reporting

The Government will use the results of the Deliverable Submission/Acceptance to demonstrate whether the contractor is meeting the stated objectives and/or performance standards.

6.2.1 The COR will, in addition to providing documentation to the Contracting Officer, maintain a complete Quality Assurance file. The file will contain copies of all reports, evaluations, recommendations, and any actions related to the Government’ s performance of the quality assurance function. All such records will be retained for the life of this contract. The COR shall forward these records to the Contracting Officer at termination or completion of the contract.

6.3 Reviews and Resolution

6.3.1 The COR may require the contractor’s project manager, or a designated alternate, to meet with the COR or other Government personnel as deemed necessary to discuss performance evaluation. The COR will define a frequency of in-depth reviews with the contractor, including appropriate self-assessments by the contractor.

However, if the need arises, the contractor will meet with the COR as often as required or per the contractor’s request. The agenda of the reviews may include:

6.3.1.1 Monthly performance assessment data and trend analysis

6.3.1.2 Issues and concerns of both parties

6.3.1.3 Projected outlook for upcoming months and progress against expected trends, including a corrective action plan analysis.

6.3.1.4 Recommendations for improved efficiency and/or effectiveness.

6.3.1.5 Issues arising from the performance monitoring processes.

6.3.2 The COR must coordinate and communicate with the contractor to resolve issues and concerns regarding marginal or unacceptable performance in any critical area.

6.3.3 The COR and contractor should jointly formulate tactical and long-term courses of action. Decisions regarding changes to metrics, thresholds or service levels should be clearly documented. Changes to service levels, procedures and metrics may be incorporated as a contract modification at the convenience of the Contracting Officer.

7.0 NOTIFICATION OF DEFICIENT PERFORMANCE

Contractor performance deficiencies identified during the 6-month evaluation periods will be brought to the immediate attention of the COR. When contractor performance in any area approaches or reaches below the performance standard or is not fully compliant with the requirements of the contract, the COR will notify the Program manager of the discrepancy in writing. The contractor will then have no more than one week to implement corrective action and to explain the corrective action in writing to the COR. If the contractor’s response resolves the problem, no further action will be taken. If the problem continues after implementation of corrective action, the COR will submit a Contract Discrepancy Report (CDR) to the contractor. Unsatisfactory contractor performance that causes significant injury or damage to personnel or equipment, which puts personnel or equipment unnecessarily at risk, or which results from gross negligence or inattention to standing procedures may result in an immediate Contract Discrepancy Report (CDR) with no advance notification by the COR. When the COR submits a CDR, the contractor is required to prepare a formal reply delineating corrective action. If the reply satisfies the COR, no further action will be taken. If replies are unsatisfactory and resolution cannot be obtained, the COR will forward the contractor’s reply along with the recommended action to the Contracting Officer to initiate formal action against the contractor for unsatisfactory contract performance.

Performance Requirements Summary

The contractor service requirements are summarized into performance objectives that relate directly to mission essential items. The performance threshold briefly describes the minimum acceptable levels of service required for each requirement. These thresholds are critical to mission success.

Performance Objective PWS Performance Threshold Method of Surveillance

1. Preventive Maintenance - Equipment status

5.2 95% Operational Monthly Inspection by TA or COR

2. Preventive Maintenance 5.2.1 PM performance on 100% of the equipment *

Monthly Inspection by TA or COR

3. Corrective Maintenance 5.2.2 95% of equipment is repaired within 5 working days**

100% Inspection by TA or COR when completed

4. Response Time for Emergency COR request (i.e.

After Normal Working Hours and Weekends)

5.2.2.2 95% Within 24 Hours of Notification by TA or COR

100% Inspection by TA or

COR

5. Deliverable reports 5.2.4 100% on time submission IAW Due Dates listed in TE-2

100% Inspection by COR

*Situations that are beyond the control of the contractor that prevent PM performance to an equipment will not count against the 100% requirement (e.g. un-scheduled base closure, acts of nature, etc.).

**Delay caused by parts availability will not count against the contractor provided the situation is communicated to the COR the day of the knowledge of the situation, and the COR is also provided the target of CM completion.

ATTACHMENT A

Deliverable Submission/Acceptance Form

SECTION 1 Description Project Name: Name by which the project is generally referred to Project Identification: Applicable contract and or delivery order Deliverable Originator: Name and title of person submitting the deliverable Signature: (/s/ type name and return by email by the authorized person whose name appears in the "Deliverable Originator" block in lieu of hardcopy signature).

Date Submitted: Date the deliverable was submitted Delivered to: Name and title of person the delivery was made to Review Period: Number of business days to review and accept or reject the deliverable

Complete by date: End date of the review period

SECTION 2

Deliverable Description:

Provide sufficient description of the contents of the deliverable