1. This material is based upon work supported by the U.S. Department of Energy Office of Science under Cooperative Agreement DE-SC0000661, the State of Michigan and Michigan State University. Michigan State University designs and establishes FRIB as a DOE Office of Science National User Facility in support of the mission of the Office of Nuclear Physics. Thomas Nowak Procurement Department Manager Procurement Practices and Procedures

2. Procurement supports technical divisions who deliver scope Procurement processes well integrated Active supplier management established Adequately staffed and delivering procurements Summary Outline T. Nowak, May 2014 SPAFOA Meeting, Slide 2

3. Procurement fully integrated with technical divisions Contract and administrative support for Conventional Facilities Division Business Partner to Technical Divisions T. Nowak, May 2014 SPAFOA Meeting, Slide 3 TechnicalCivil Accelerator Systems Division (ASD) Experimental Systems Division (ESD) Conventional Facilities Division (CFD) Major Technical Procurements 16992--- Major Technical Procurements (dollars) $126,655,788$24,275,359--- Georg Bollen Experimental Systems Division Director Jie Wei Accelerator Systems Division Director Brad Bull Conventional Facilities & Infrastructure Division Director

4. Major procurements (>$50k) in P6 schedule 261 major procurements over a six-year period 40 major procurements have been let Technical Procurement Scope Understood T. Nowak, May 2014 SPAFOA Meeting, Slide 4 ProcurementsTotal <$250,000172 >$250,000, <$500,000 36 >$500,000, <$1,500,000 31 >$1,500,000 22 Division Major Procurements High Complexity Accelerator Systems Division16952 Experimental Systems Division9221 26173

5. Procurement Approach T. Nowak, May 2014 SPAFOA Meeting, Slide 5

6. Procurement plan ties in directly with baseline schedule and incorporates cross-functional groups Durations vary depending on complexity Procurement Processes Tied into Schedule Facilitates Pre-Procurement Planning T. Nowak, May 2014 SPAFOA Meeting, Slide 6 1 1 2 2 3 3 4 4 5 5 6 6 1 1 2 2 3 3 4 4 5 5 6 6 5a

7. Management tool reflective of the risk and effort needed to successfully deliver the procurement based on technical impact, acquisition type, and supply base strength Procurement complexity levels are High, Medium, or Low, determined by Control Account Manager (CAM) and approved by the Procurement Department Manager High if »The procurement is life of facility or cannot be removed for repair or »Technical impact is High or »Procurement is build-to-spec or »Supply base is weak Medium if not High and »Technical impact is Medium or »Procurement is build-to-print or »Modified standard equipment or »Supply base is adequate Low if not Medium or High »Technical impact assessed by CAM is low and »Procurement is COTS and »Supply base is determined to be strong Procurement Complexity Identified in Schedule T. Nowak, May 2014 SPAFOA Meeting, Slide 7

8. Risk mitigation tool utilized to identify unique storage and warranty needs CAMs identify storage requirements Space Duration of storage Climate control requirements Export compliance and special handling Develop and negotiate warranty plans for subsystems that arrive more than six (6) months before commissioning Based on machine hours versus calendar days T. Nowak, May 2014 SPAFOA Meeting, Slide 8 Storage and Warranty Considerations Identified in Schedule

9. Commodity procurement includes all project requirements that are considered COTS and those technical items that do not require FRIB to develop a specification to procure Examples »Vacuum supplies and components – flanges, valves »Electrical supplies and components – Programmable Logic Controller (PLC) components, cable, wire »Hardware items – screwdrivers, nuts, bolts, fasteners »Cryogenic supplies – gauges, bayonets, valves »Chemicals/cylinder gases »Machining services – water jet, milling, turning »Office supplies Pursuing potential e-commerce to help further streamline Similar to system Stanford Linear Accelerator Laboratory, California (SLAC) is currently using and Brookhaven National Laboratory, New York (BNL) is testing Commodities Procurement T. Nowak, May 2014 SPAFOA Meeting, Slide 9

10. Cohesive and dynamic team is moving forward with successful delivery of procurements Leveraging experience and organizational expertise Technical Develops Request for Quote (RFQ)/Request for Proposal (RFP), solicits and procures all technical equipment Negotiates and manages high dollar/high risk contracts for technical procurements Commodities Solicits and procures all Commercially-off-the-Shelf (COTS)/commodities Manages low dollar/low risk technical procurements Materials and Logistics Manages the receiving and acceptance of technical procurements Manages the storage and inventory in support of timely delivery for installation Procurement Staff Effectively Delivering Procurements T. Nowak, May 2014 SPAFOA Meeting, Slide 10 Susan House Technical Buyer II Tom Nowak Procurement Manager (Tech Buyer III) Jim Zeqollari Technical Buyer III TECHNICAL Ben Shuart Technical Buyer III Lara Druelle Technical Buyer I Barb Pollack Technical Buyer I COMMODITIES MATERIALS AND LOGISTICS April Bryan Procurement Coordinator Jenifer Gilbert Materials & Logistics Team Leader Nathan Pease Research Trades Assistant II

11. Staffing model has been well planned to ensure delivery of FRIB high complexity procurements Most high complexity procurements are supported by Zeqollari, Shuart, and House »Druelle supports some high complexity procurements and assumes more as we increase procurement activity Recruiting for a level 1 commodities buyer and a level III technical buyer to support upcoming peak in procurements Current staffing plan supports the requirements through 2015 The procurement process has been streamlined allowing the buyers to focus on the core responsibilities Procurement project coordinator maintains interfaces with customers and enables buyers to focus on technical procurements Ensures conformance of regulatory requirements Procurement Manual (S10202-MA-000079)S10202-MA-000079 Staffing Model T. Nowak, May 2014 SPAFOA Meeting, Slide 11 Susan House Technical Buyer II Tom Nowak Dept. Manager (Tech Buyer III) Jim Zeqollari Technical Buyer III Ben Shuart Technical Buyer III Lara Druelle Technical Buyer I April Bryan Procurement Coordinator