1. Business Capability Lifecycle (BCL) and Title 40/Clinger-Cohen Act (CCA) Requirements

2. Why is BCL Needed?
BCL addresses long-standing challenges that have impacted the delivery of business capabilities
The DepSecDef directed increasing the speed of business capability delivery
Three separate governance bodies result in fragmented oversight
JCIDS and DoD 5000 primarily designed for Major Weapon Systems acquisition (> 5 years on average)
Decision-makers need access to better, more thorough information
Transition from problem to program too quickly
Program Managers spending time justifying the program, not managing it
Focus on Systems vice DOTMLPF spectrum
Milestone Decisions are not tied to Implementation Plans
Fielding IT applications within the Department’s business mission area in a timely manner has been challenging in the past. DoD has tried for years to improve its acquisition processes:
Packard Commission – 1985 – evaluated DAS, organization and decision-making as well as Congressional Oversight
Defense Reorganization Act – 1986 – Established the Service Acquisition Executive and consolidated acquisition decision-making in the hands of the civilian leadership; codified many Packard Commission recommendations
Section 800 Report – 1993 – Focused on streamlining and simplifying acquisition laws
National Performance Report – 1993 – emphasized commercial standards
Federal Acquisition Streamlining Act – consolidated and simplified hundreds of laws into unified procurement code
Rumsfeld’s Challenge – 2001 – highlighted that : bureaucratic inertia was stopping crucial initiatives; DoD’s planning, programming, budgeting process is outdated; technology moving faster than DoD causing DoD to deploy outdated technology
Defense Acquisition Performance Assessment (DAPA) Report – highlighted that: Complex acquisition processes do not promote program success – they increase costs, add to schedule and obfuscate accountability
IT technology for business systems advances rapidly, replacing older versions of systems every 2 years or less. To keep pace, the Department is adopting BCL to establish a decision process that fits the right solution to the problem, and then puts that solution into the hands of the user quickly.
Better informed investment decisions and faster delivery of business capability needed!

3. USD(AT&L) Memo Dated May 18, 2007
Key implementation activities:
Migration from JCIDS to BCL process
Candidates for problem statement and business case processes
6 ERAMs executed CY07
Alignment of major DoD processes
New IRB/DBSMC roles defined
Formal BCL policy guidance
Revised/updated IRB/DBSMC charters
New milestone decision authority process approved by AT&L within 60 days
BCL Concept Refinement Completed by October 2007

4. Business Capability Lifecycle Consolidated Governance Framework
DBSMC
“BIG A”
DepSec
“little a”
Defense Acquisition Executive
PSA / Certification Authorities
USD(C) USD(P&R) USD(AT&L) ASD/NII
Investment Review Boards
Financial Management (FM)
Human Resources Management (HRM)
Weapon Systems Lifecycle Management/Material Supply & Services Management (WSLM/MSSM)
Real Property & Installations Lifecycle Management (RPILM)
Enterprise Information Environment Mission Area (EIEMA)
INPUTS
DoD and Component CIOs
Component PCAs
Portfolio Managers
Component Acquisition Executives
Program Managers
ERAM
The IRB evaluates the information provided as justification for an investment, which includes evidence that the proper due diligence has been performed, and makes a recommendation to the DBSMC Chair (Deputy Secretary of Defense) and Vice Chair (Under Secretary of Defense of Acquisition, Technology and Logistics), who is also the Defense Acquisition Executive (DAE) and Milestone Decision Authority (MDA). If it is determined that all criteria have been met and approval is granted throughout the governance structure, investment in a business system can proceed.
Enterprise or Component
Functional Sponsor
Statutory Requirements under Title 10, U.S. Code
BCL Leverages Tiered Accountability

5. BCL Principles Better Investment Decisions, Faster Capability Delivery
Consolidated Governance Framework Throughout the Lifecycle
Uses a “Business Case” as the Basis
Single Document for Capability, Investment, and Execution decisions
Establish lifecycle performance expectations “up-front”
Enterprise Risk Assessment Methodology (ERAM) (when USD(AT&L) is MDA)
Measures internal & external risk throughout the lifecycle
Expertise to mitigate program & enterprise risk
Leverage “Lessons Learned” from other ERAMs
Integrated Management Information Environment (IMIE)
Integrates Policy, Process, and Enterprise Architecture Requirements
Automated approach for satisfying enterprise information needs
Common information network
Enterprise Assistance
Support & facilitation of enterprise transformation efforts
Leverage “Lessons Learned” from other efforts
Timeline Facilitates Technology Insertion & Innovation
Given that most business solutions are variations on proven commercial off-the-shelf (COTS) software, BCL will shift the focus in business acquisition from technology development to technology application. The military service or defense agency that will be the primary user will be responsible for first analyzing the root cause of its business problem, then weighing all solution options, including non-materiel options, such as policy changes or business-process re-engineering. The BCL process will increase the likelihood that Department decision-makers receive the “right” information they need to decide whether the IT solution will bring the right kinds of capabilities to the defense business mission area before granting funding for the investment. Once funding is approved, the BCL approach provides for periodic Enterprise Risk Assessment Methodology (ERAM) examinations to ensure the investment remains on track toward delivering the expected capability. Under BCL rules, all business investments should reach initial operating capability and begin delivering capability into the hands of the users within months of contract award and no more than 24 months or face termination.
12-18 months from Contract Award to Delivery, no more than 24

6. 12-18 months from Contract Award to Delivery
The Business Capability Lifecycle
Better Informed Investment Decisions, Faster Business Capability Delivery
The Business Capability Lifecycle (BCL) is an efficient business capability acquisition approach that emphasizes rigorous analysis of requirements and consideration of all feasible solutions prior to funding a business information technology (IT) system. This approach enables well-informed investment decisions and faster delivery of capability to the user at acceptable cost and risk.
12-18 months from Contract Award to Delivery

7. BCL / Clinger-Cohen Act Integration
IRB/DBSMC Review & Approve Problem Statement
Conduct Analysis
(Process, Metrics Views)
Develop & Validate Outcomes
Guidance, Assumptions Priority
Gap, Problem,
Strategic Question
Definition
Analysis of Alternatives
Economic Analysis
Program Performance Measures
GIG Architecture & Standards
Information Assurance Strategy
Modular Contracting
System Registration
Business Case Validation,
Assess Risk & Monitor Metrics
IRB/DBSMC
Annual review,
Acquisition Decisions
Execute
Program
Continue to Execute Program or END
Lessons
Learned
Execution
Measures of Effectiveness
(Post-Implementation Review)
Core Function Determination/Strategic Link
Outcome-based Performance Measures (or measures of effectiveness)
Business Process Reengineering
Post Implementation Review (PIR) Plan
Conduct Solution Analysis*
Recommend Solution Package**
Program Definition
IRB/DBSMC Business Case Approval, MS A Decision
Investment

8. Integrating CCA Elements into Fundamental Phases of BTA’s Business Capability Lifecycle Process
Permission to Complete Business Case
CAPABILITY DEFINITION
Has root cause of problem been identified?
Authority to Obligate Funds
Authority to Execute
Continue Execution
EXECUTION
Did the IT project deliver what was expected?
INVESTMENT MANAGEMENT
How is project being managed to achieve desired results?
Permission to Execute Business Case
CAPABILITY DEFINITION
CCA Elements: Core Function, Strategic Link, Outsourcing, Business Process Reengineering/Improvement, Measures of Effectiveness (Post-Implementation Review Plan)
INVESTMENT MANAGEMENT
CCA Elements: Alternatives Analysis, Economic Analysis, Program Performance Measures, Global Information Grid Architecture & Standards, Information Assurance Strategy, Modular Contracting, System Registration
EXECUTION
CCA Element: Measures of Effectiveness (Post-Implementation Review)

9. CCA Certification for Business MAIS
PM and sponsoring DoD Component identify areas of documentation that comply with Title 40/CCA requirements and document this compliance in a CCA report template.
DoD Component CIO reviews CCA report and confirms compliance to Component Acquisition Excusive (CAE) and the DoD CIO.
DoD CIO certifies Title 40/CCA compliance to the Milestone Decision Authority (MDA) and the Congress as required.

10. BCL Helpdesk CCA Information
Questions?
Ask BTA at:
Click on Contact Us
Click on BTA Questions
Select BCL from the drop down list
Questions on Clinger-Cohen?
Information resources at:
Follow the CCA links