COPIER MANAGEMENT CONSOLIDATION

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85-00809R000300090001-3
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 25
• Document Creation Date: December 20, 2016
• Sequence Number: 1
• Content Type: MEMO

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(PLACE REQUEST HERE)
OFFICIAL
RECORD
COPY
The attached document(s) must be safeguarded. It is the Agency's
Official Historical Record and must be preserved in accordance
with Title 44 U.S.C.. For information or clarification contact your
Information Management Officer or the Information Management
Division.
RETURN IMMEDIATELY AFTER USE TO, THE
AGENCY ARCHIVES AND RECORDS CENTER
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ROUTING AND RECORD SHEET
dUBJECT: (Optional)
D
_
Copier Management Consolidation
'
`"?~"
FROM:
Harry E. Fitzwater
EXTENSION
NO.
Deputy Director for Administratio
n
DATE
7D24 Headquarters
TO: (Officer designation, room number, and
buildin
)
DATE
OFFICER'S
COMMENTS (Number each comment to show from whom
g
INITIALS
to whom. Draw a line across column after each comment.)
RECEIVED
FORWARDED
Comptroller
/61- f
9 JUN 1
8
4E42 Hdqrs
2.
DD/NFA
7E44 Hdqrs
3.
DDO
HIV
7E26 Hdqrs
4 DDS&T
18
UG 198
6E60 Hdqrs
5.
6.
21A
1981
7.
C 0L
B.
X,
9.
n~~ 1
10. n J~~-hoC~aL
5AUG1
81
D ,
12.
13.
14.
15.
FORM 61 O USE PREVIOUS
I-79 EDITIONS
STATI
STAT
STAT
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L
 Approved For Release 2007/12/29: CIA-RDP85-00809R000300090001-3 DD/A RegistrSTAT
DD/S&T
--- ------ -~- -? " `- G $ PT -- =Q - --- 1
is JUN '113131
N F A C
MEMORANDUM FOR: Deputy Director for National Foreign Assessment
Deputy Director for Operations
Deputy Director for Science and Technology
Comptroller
FROM: Harry E. Fitzwater
Deputy Director :for Administration
SUBJECT: Copier Management Consolidation
REFERENCE: Multi adse memo fm DD/A, dtd 9 Apr 81,
same subject (DD/A 81-0640/3)
1. The referent memorandum proposed a consolidated budget
and management system for Agency copiers, and you were requested
to respond to the proposal.
2. Since the responses covered,a wide'spectrum of concerns,
the Director of Logistics convened a meeting with'designated
representatives from your offices ,to discuss the matter and
arrive at a mutually acceptable solution. The primary issues
addressed were standardization of equipment, machine sharing and
copy centers, contract consolidation, budget justification, and
savings. At the request of the attendees, the Chief, Printing
and Photography Division, OL, has addressed these issues in
greater detail in the attached memorandum. It is hoped that this
explanation will allay the apprehensions expressed by some of the
representatives at the meeting. \
3. Your concurrence in the original proposal is hereby
requested.
STAT
Attachments:
A. Reference
B. Memo from C/P&PD/OL
cc: D/FIN
DIS
D/ODP
-r y E. 7wa?e
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SUBJECT: Copier Management Consolidation
2 3 JUN 198L
eput
rector for National Foreign Assessment
pu y Director t-or ape a ons
STAT
STAT
STAT
Deputy D}hector for 9ffi
STAT
Comptroller
ce and echnology
Distribution:
Orig - Pls. return to OL/P&PS (Official)
1 - Each Addressee
2 - DDA
*NFAC retains the final authority over whether individual machines are
replaced by copy centers within the Directorate.
#DO concurs, (a) provided there is no degradation in service to the DO,
(b) provided this action does not lead to the creation of copy centers
in the DO and (c), because of the fluid situation in the DO, provided
it is recognized that purchase of copiers may not be preferable to
renting. If this action does not produce the aimed-for results, we
reserve the right to withdraw from the centralized arrangement.
** The DDS&T has reservations about the total responsiveness
and effectiveness of the Copier Management Program. However,
the S&T will-concur in a one-year trial period with a review
of the program being made prior to the end of FY 1982.
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MEMORANDUM FOR: Deputy Director for Operations
Director, National Foreign Assessment Center
Deputy Director for Science and Technology
'Comptroller
9 J'' ~~ ~(I~ I D'J~ b
Max Hugel
Deputy Director for Administration
SUBJECT: Copier Management Consolidation
1. To effect cost savings and promote managerial efficiency, the
Office of Logistics (OL) has proposed that copier management for the
Agency be consolidated.
2. Attached for your information please find a study and an
executive summary entitled, "Copier Management Consolidation." They
detail the background, explain the present system, propose
alternatives, and present recommendations. I believe a considerable
cost savings and a more efficient operation would be realized through
budget consolidation and a consolidated copier management system. I
am of the opinion that this proposal merits your consideration and
implementation.
3. Also attached for your information are copies of current
Headquarters Regulations pertaining to copier management.
Implementation of this suggestion would enable the intent of these
regulations to be more effectively achieved.
4. In view of the potential benefits to be derived from copier
management consolidation, I would invite your attention to this matter
in the near future. Please forward your response to the Director of
Logistics. If you or your staff have any questions with respect to
this study, please contact Chief, Plans and
Programs Staff, OL, on extension Chief,
Printing and Photography Division, ,, on extension
Max Hugel
At t..achmen ts:
T. Copier Management Consolidation Executive Summary
B. Copier Management Consolidation Study
C. Requ1ation:_; a/ s
STAT
STAT
STAT
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Distribution:
1 - ;uc'h Addressee
2 - DDA
- WA S
l - ODP
L- OL/P&PS Official
Is/ James H. McDonald
`"';PR 1981
Director of Logistics Date
Distribution Withheld:
1 - OL Files
1 - D/L Chrono w/att
1 - OL/P&PS Chrono
OL/P&PS~
(3 April 81) STAT
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COPIER MANAGEMENT CONSOLIDATION
EXECUTIVE SUMMARY
Although the Printing and Photography Division (P$PD)
is charged by the Director of Logistics to approve all
acquisitions of Agency copying equipment, and to insure the
cost effectiveness and efficient utilization of such equipment,
the management of Agency copiers remains to a great extent a
decentralized activity. Under the current system equipment
is acquired on a piecemeal basis. Furthermore, PEPD is not
able to enforce its recommendations. As a result the full
savings potential available through life-cycle costing and
equipment purchase, equipment sharing and possible copy
center establishment, competitive procurement of equipment,
and more precise alignment of equipment to copying volume
requirements cannot be realized.
Alternatives to the current situation may be listed in
order by degree of centralization:
1. Total budget consolidation with the establish-
ment of a comprehensive copier management system.
2. P&PD given performance certification authority.
3. Improvement of existing management procedures.
The first alternative involves the consolidation of all
funds in FY-82) budgeted for Agency copying
machines (excluding supplies). This would allow the
immediate benefits of easing the administrative burden in
Procurement Division (PD) and Audit and Certification Division
(A$CD), and would permit savings resulting from needed
equipment changes. More importantly, competitive procurement,
a planned equipment purchase program, and machine sharing _
would result in a substantial reduction in overall copier
costs. The potential for even greater savings seems feasible
through the establishment of controlled copy centers. Competi-
tive contracting alone could reduce costs by as much as
This alternative does require at least an additional
one and one-half positions devoted to the system in order to
insure that the present level of services is maintained,
that procurement and financial activities are coordinated,
and that maintenance and supply problems are handled promptly.
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Also, this alternative requires that the Office of the
Comptroller be able to justify to Office of Management and
Budget examiners the copier program as a whole, for it will
be presented as one lump sum budget figure.
The second alternative is a measure that would help to
alleviate the administrative burden without changing the
present management structure. If PEPD were allowed to
certify for services received on behalf of all users, its
computerized report of monthly usage would be used to verify
costs for each machine. This would allow PD to consolidate
contracts by vendor, eliminating much of its paperwork.
A$CD would only need to work through PEPD to obtain performance
certification whereas certification is now required from
each user component. If it is desirable to manage copying
equipment at the lowest levels of the Agency organization,
this alternative allows it while streamlining administrative
functions.
The third alternative does not change the present
copier management system, but specifies management tasks to
be performed that would improve current procedures. Such
procedures include surveying the requirements of each equipment
request, more interaction between P&PD and Supply Division
to solve supply problems, and tracking of maintenance problems.
It is recommended that the first alternative of total
budget consolidation, and the establishment of a comprehensive
copier management program be adopted. The management functions
should remain within PePD where the technical expertise is
available to enhance decision making. The comprehensive
program should be established in consultation with the
Office of Security to satisfy security requirements. The
Agency Information Handling Architect should also be kept
informed of copier management developments.
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Copier Management Consolidation
Study
STAT
ystems Staff
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I. Introduction
This study has been conducted to present the benefits
that result from the centralized management of Agency copying
equipment. These benefits are evaluated from an economic
and administrative standpoint, taking account of the needs
of users within the Agency. It is apparent that a more
effective system of management is possible through carefully
planned changes.
In order to provide for a better understanding of
copier management in the Agency, a brief background section
is included. This is followed by a description and an
assessment of the present copier management system. Alter-
natives to the current system are presented and advantages
and disadvantages are explored. Recommendations are then
offered.
II. Background
The management of Agency copying equipment has evolved
from a completely decentralized arrangement to the current
system of centralized approval for rental requests, and
centralized accounting of existing usage. When copying
equipment became marketable during the early 1960's, Agency
components rented or purchased machines with little central
control other than technical advice given by Printing and
Photography Division (PEPD). In 1968 the Office of the
Comptroller*(O/COMPT) expressed concern over the rapid
growth of copiers, the growth in copying volume, and the
related costs. In response the Deputy Director for Adminis-
tration (DDA) recommended that the individual directorates
assume responsibility for determining the need for their
copiers, and for controlling their usage.
From 1968 to 1972 copying volume increased 140 percent,
an even faster rate than had been originally anticipated by
0/COMPT. Copy volume reached 34 million with costs exceeding
annually. This growth was attributed to a lack
of control at the directorate level, persistent sales techniques
of copier salesmen, and the lack of authority to enforce
P$PD equipment recommendations.
In November 1972 the DDA recommended that the CIA
Records Management Board develop a more efficient copier
management system. This led to the involvement of the
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Office of Information Services (OIS), and particularly the
Records Administration Branch (RAB) within OIS. RAB took
actions aimed at reducing copy volume. Copiers were included
in RAB's "Annual Inventory of Records Volumes and Equipment".
RAB surveyed usage through the collection of meter cards
prior to mailing the cards to the vendor. Cost analyses were
made of various models of copiers, alternatives to existing
equipment were discussed with vendors, and charts and literature
relating to equipment were disseminated to the Agency Records
Management Officers (RMO's). Efforts were made to involve
the RMO's in the management of copier utilization within
their areas of responsibility. Agency employees were advised
.to refer calls from copy machine vendors to RAB in an attempt
to combat vendor "oversell" techniques. In January 1974
arrangements were made for RAB and P&PD to jointly review
all requests for copiers. The responsibility for approval
and managing of copying equipment was formally assigned to
OIS in August 1974 with the major portion of management
responsibility charged to RAB.
Over the period of RAB involvement substantial progress
was made in applying controls to the decentralized system.
.For example, during FY-75 of the 35 requests for copiers
reviewed by RAB five were cancelled or modified for a cost
avoidance of During the same year RAB reviewed 56
existing copiers making recommendations to cancel or modify
48 machines. Twenty-three of these recommendations were
accepted for a cost avoidance of
In February 1976 responsibility for copier management
was transferred from OIS to the Office of Logistics (OL)
with the major management functions charged to P&PD. It was
felt that with the growing relationship between copier :
technology and other forms of reprography and large-scale
printing P&PD could better assess copier applications and
procurements. The transfer was made with the understanding
that the RMO's would do much of the analysis and justification
of requests during the initial stages, that the DDA would
lend support needed to control copier activities, and that
one GS-06 position be transferred from OIS to P&PD.
III. The Present System
The Agency currently rents or owns approximately 300
copying machines. Total related costs are estimated at
annually, with a copy volume which exceeds 138
million.
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The Director of Logistics is responsible for administering
an Agency-wide Copier Management Program through which the
acquisition of all copying equipment is reviewed and approved.
He is also responsible for the establishment of programs to
ensure the cost effective and efficient utilization of
copiers and related equipment P&PD is the focal
point of these responsibilities which include technical
approval for equipment requests, and the maintenance of a
computerized record of copier usage and costs. A discussion
of these functions along with related procurement and
financial procedures follows.
A. The Approval Process
The rental of a copier is requested viaa Request
for Procurement Services (Form 2420). Upon determination
of the need for copying equipment a component completes
a Form 2420, and obtains certification that funds are
available. The request is then reviewed by the component
RMO who makes an assessment of the validity of the
component's requirements, and the suitability of the
requested copier. The request is then sent to the
directorate RMO for signature. At this point P&PD
receives the request for review. The Agency Copier
Manager (Systems Staff/ PFPD) determines if the requested
machine will meet minimum requirements at the least
possible cost. If.this is not the case a negotiation
process will take place between the copier manager and
the requestor (usually through the RMO). If an agreement
cannot be obtained the copier manager will not sign the
request. The request will then be forwarded to the
Director of Logistics for a final decision. If the
request is approved in P&PD it is sent to Procurement
Division (PD) for the contract to be processed.
B. The Agency Copier Management System
Essential to the effectiveness of a copier manage-
ment system is an inventory of all Agency copiers, a
record of copy volume, and a record of all copier
related costs. P&PD maintains the Agency Copier.
Management System (ACMS) for the accomplishment of this
task. The system provides for the maintenance of a
database that reflects any charges for machine use, and
any accessories associated with each copier on inventory.
It provides P&PD with a monthly report detailing each
machine's rental, maintenance, supply, and miscellaneous
costs. The major input to this system is monthly meter
readings of each machine which are sent to P&PD by each
STAT
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component on meter cards. After input to ACMS the meter
cards are sent to the vendors for the processing of
their bills. A major benefit of ACMS is that it provides
a means for the continuing review of cost and utilization
whereby recommendations may be made to reduce costs, or
to substitute more effective and efficient equipment.
C. Procurement Procedures
Previously, primarily due to budget decentralization,
a separate contract was written for each copying machine.
During FY-77 and FY-78, while P$PD began to purchase
copiers., it became feasible to write a consolidated
maintenance contract for these machines. In FY-81 PD
was able to consolidate rental equipment of the same
model, and of the same contract plan onto a single
contract, reducing the number of copier contracts from
177 to 88. This method of consolidation, by model and
contract plan as opposed to by vendor or by model
alone, allows the Office of Finance (OF) to pay invoices
without verification of each machine on a single contract.
The purpose of this consolidation is to ease some of
the workload in PD.
D. Finance Procedures
Audit and Certification Division (A$CD)/OF receives
all invoices from copier . vendors, obtains certification
for receipt of services from the user components, and
will charge the accounts necessary to make payments. If
an invoice states only base rate monthly use charges
A&CD is able to verify without certification from the
user. If an invoice includes excess usage and charges
above the base rate, then meter readings on the invoice
must be verified and certified by the user component.
This necessitates contacting individual components
except in the case of Xerox invoices. Because Xerox
uses a two-ply card P&PD is able to send one set of
cards'to AMCD as well as one set to the vendor.
Much progress has been made in improving the
management of copiers since the initial involvement of
RAB. While P&PD has continued to refine the system, it
appears that further improvements are possible. The
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present system's strength is that it meets the needs of
the Agency in terms of convenience and flexibility;
allowing management at the lowest levels the prerogatives
necessary to accomplish its various tasks. The weakness
of the system is that the piecemeal approach to the
acquisition of equipment, along with the lack of P$PD
authority to enforce its recommendations is neither
economically optimal nor administratively efficient.
1. Equipment Purchase
The judicious purchase of copying machines on
the part of P$PD has resulted in substantial cost
savings. A vendor will generally agree to service
purchased equipment for five years. P1PD will
consider a purchase only if purchasing a copier
will be cheaper than renting it for a period of 30
months or less, and only if the cost savings
effected will be 40 percent or more. During FY-77
and FY-78 P$PD purchased 58 copying machines which
included several high volume units. The total
estimated savi s over the five years of guaranteed
maintenance is A proposal to purchase
smaller Savin convenience copiers that would save
up to is presently being considered.
In order to more completely capture the
potential savings available through equipment
purchase a comprehensive plan of purchase and
equipment replacement is needed. Such a plan
would require more flexibility in the movement of
copying equipment within the Agency. Under the
current system of decentralized budgets, there is
a reluctance to purchase, and a resistance to
change equipment on the part of user components.
In addition, purchases are made only from current
rental equipment after economic feasibility is
determined. Under a comprehensive purchase plan
it is possible to plan future purchases according
to user requirements, and solicit competitive bids
from several vendors.
2. User Acceptance of Recommendations
Through ACMS it is possible to review
suitability of current equipment to volume
ments. During FY-79 Agency-wide equipment
based on monthly volume, were recommended
cost avoidance of these changes totalled
the
require-
changes,
The
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Of these recommendations, changes totalling
in cost avoidance were accepted. Of the remaining
recommendations worth were ascertained to
be for valid requirements other than volume, e.g.,
collating. This left recommended changes worth
in cost avoidance that were not pursued
because of lack of personnel resources, and ?a lack
of leverage over the user components. It appears
that further savings are available given more
time, and greater authority to pursue them. Based
on FY-80 statistics there exists a savings potential
3. Equipment Sharing
With the budget authority for copiers centered
in the individual user components few components
share machines. This has resulted in the acquisition
of many small, convenience copiers where fewer,
more economical high-volume copiers could be
employed.
4. Administrative Problems
Both PD and AMCD are under a heavy administra-
tive burden due to the large number of copier
contracts and payment invoices. This burden has
caused delays in the renewal of contracts and in
payments to vendors. The recent implementation of
contract consolidation has reduced some of the
workload in PD, but has complicated bill paying
procedures in AMCD. For example, payment problems
in using the Contract Information System (CONIF)
due to the large number of offices listed on some
of the consolidated contracts. Also, it is antici-
pated that the amount of payments past due could
increase resulting from a situation of one office
on consolidated contract having insufficient funds
obligated. This delays payment on the entire
contract.
5. Other Management Issues
Certain improvements could be made in the
areas of repair and maintenance, supplies, and the
surveying of user requirements. Presently, no
system exists for tracking maintenance problems.
In the area of supplies, little communication
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exists between Supply Division (SD) and P&PD to
insure that the proper types, and sufficient
levels of supplies are maintained. In the area of
user requirements it would be advantageous for
P$PD to take a more active role in surveying
users' needs in order to best satisfy copier
requirements.
IV. Alternatives to Improving the Present System of
Copier Management
A. Total Budget Consolidation
This alternative would involve the consolidation
of all funds budgeted for rental, maintenance, and.
miscellaneous costs of all Agency copying machines.
This would amount to an estimated in FY-
82. Budgeted funds for copier supplies would remain in
Supply Division. This alternative calls for the
establishment of a comprehensive, centralized copier
management system, controlled by a component which
holds the budget responsibility for copiers. This
managing component would coordinate copier activities
throughout the Agency, working through the present RMO
structure and key operators assigned to individual
copying machines.
1. Advantages
- A consolidated budget facilitates competitive
procurement through the development of
standardized requirements. Once a package of
Agency requirements is developed bids maybe
solicited through a Request for Proposal
(RFP). The terms of a contract awarded under
an RFP may be written so that the contract
may be extended for up to four years. This
avoids the annual installation and removal of
a large number of machines resulting from a
possible change in vendors. Based on
experience with automated data processing
equipment an RFP could save as much as 25
percent in rental costs. With copier rentals
the Agency could save up to Total
consolidation facilitates a competitive
contract arrangement because the managing
component would have the authority needed to
require the use of a particular type of
copying machine.
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A comprehensive management program permits a
coordinated plan of machine purchase. Such
an arrangement allows the planned budgeting
for such purchases, solicitation of competitive
bidding, and the more flexible movement of
equipment. With requisitions of specific
types of equipment from separate components,
comprehensive planning under the present
system is not possible.
Under a comprehensive copier management
system machines may be shared by components.
it is doubtful that many copiers would be
immediately eliminated. Rather, over time,
as new requests are evaluated, such sharing
arrangements can be made. This would help to
gain control of machine proliferation, and
eventually allow the replacement of smaller
copiers with more economical high-volume
machines.
Related to machine sharing is the possibility
of establishing copy centers. Copy centers
would both effect cost savings and enhance
security. In a report by the "Kampiles Task
Force", prepared under the direction of the
Director of Security, the recommendation was
made that all copiers "be located in registries
or document control centers, to be operated
only by information control specialists...".
Copy centers, however, could be implemented
only after further study. Factors to be
carefully considered are staffing requirements,
space requirements and the responsiveness of
copy centers to the needs of users.
A consolidated budget lightens the burdens
upon PD. With the RFP arrangement the number
of copier contracts is reduced to only a few.
Furthermore, the RFP precludes the need to
evaluate individual requests to ascertain the
lowest cost equipment available under GSA
schedule. Even without competitive contracting,
if all funds are in one account, PD could
write one contract for each vendor. As a
result renewals could be processed in a more
timely fashion.
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A consolidated budget also lightens the load
for A&CD. Only the managing component needs
to be contacted for certification of services
received. Also, ACMS will help to certify
services for each machine 'in an efficient
manner.
2. Disadvantages
- Budget consolidation would require the
justification on the part of O/COMPT of one
lump-sum figure for all Agency copiers in the
budget of the managing component. Copying
equipment may be more easily justified when
it is shown supporting individual projects or
components. Consequently, a lump-sum budget
figure may be more susceptible to OMB cuts.
In order to effectively manage a centralized
copier system more manhours than are presently
devoted to copier management would be required.
At a minimum one and one-half additional
positions would be needed. To assure that
the present level of services is maintained
requirements must be surveyed first-hand.
.Interaction is necessary between Supply.
Division and the managing component. Service
problems must be tracked and investigated by
the managing component. Furthermore, the
managing component must have a working
knowledge of procurement and financial
procedures.
Budget consolidation may cause resentment
among user components resulting from a
perceived loss of control. over copying
equipment.
B. PTPD Performance Certification
This alternative gives PEPD the authority to
certify for services received on behalf of all users.
The information which AMCD needs, and is solicited from
various user components to certify invoices, is meter
readings. Presently, P&PD receives meter cards for all
machines. This would allow P&PD to conveniently become
the focal point for certification.
2. Advantages
This arrangement would allow PD to write one
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contract for each vendor. In order to con-
solidate contracts by vendor it is necessary
to verify the costs of each machine on an
invoice. This is'possible by querying the
ACMS for the necessary data.
This alternative allows A&CD to work through
one component, P$PD, to obtain performance
certification.
P$PD certification would help alleviate
administrative burdens without changing the
present management structure.
2. Disadvantages
- There are no significant disadvantages to
this alternative,'other than it avoids the
possible cost saving opportunities of the
first alternative.
C. Improvement of Existing Management Procedures
This alternative would not change the present
copier management system, but specifies management
tasks to be performed that would improve current.
procedures. These tasks include the following manage-
ment functions which are included in the total budget
consolidation alternative; surveying component require-
ments for all requests, monitoring supply and service
needs, and coordinating procurement and financial
procedures.
1. Advantage
- While not changing the current, decentralized
system, the implementation of such procedures
would effect a more responsive and efficient
copier management system. Cost savings as a
result of better decisions and prompt treatment
of supply and service problems would be
realized.
2. Disadvantage
- Currently, P$PD devotes approximately 40
percent of a GS-13 position and 60 percent of
a GS-07 position to copier management. To
effectively perform the described management
tasks it is likely that twice these resources
would be necessary.
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V. Recommendations
It is recommended that the alternative of total budget
consolidation, and the establishment of a comprehensive
copier management program be adopted. The cost savings from
competitive contracting alone should outweigh the disadvantages
of this alternative. Over time, cost reductions in the
total program should be substantial. Turning to the dis-.
advantages, O/COMPT would be required to justify the program
as a whole, but the efforts to economize by the Agency
should be a positive factor. Secondly, the cost savings
realized would justify additional manhours or positions
which would need to be devoted to copier management.
Finally, if the copier management system is responsive to
the user, control over the equipment should become secondary.
It is also recommended that the authority for this
program remain with the Director of Logistics, with the
management functions delegated to P&PD. Care should be
taken in coordinating copier activities with a number of
Agency personnel. The Office of Security should be included
in any decisions to physically consolidate copier services.
The Agency Information Handling Architect should also be
kept informed of copier management developments. A care=
fully designed, comprehensive copier management program that
is coordinated with key-Agency personnel should effectively
meet the needs of Agency users at a substantially reduced
cost.
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D/S1 Tf 30 q
2 9 MAY 1 ,qr
MEMORANDUM FOR: Chief, Plans and Programs Staff, OL
FROM:
SUBJECT:
REFERENCE:
Chief, Printing and Photography Division, OL
Proposed Consolidation of Agency Copier
Management System
Copier Management Consolidation Study,
dated March 1981
1. The referent study proposes improving the effective-
ness.and efficiency of the Agency's Copier Management System
by establishing a consolidated, comprehensive Copier Management
Program within the Office of Logistics (OL). The study further
recommends that this program be administered and funded by the
Printing and Photography Division, OL (P&PD/OL). In support
of that recommendation, this memorandum addresses, for the
purpose of further clarification, the key elements of the
recommendation.
a. Standardization of Equipment
Standardization of equipment does not imply
that a single make and model copier would be used
to meet all Agency requirements.. Individual re-
quirements would continue to be the major concern
when making equipment selections. Standardization
of equipment would be possible only when the require-
ments of more than one user were the same.
b. Machine Sharing and Copy Centers
Increased machine sharing and the establishment
of copy centers are both viewed as long-term possi-
bilities for cost reductions under a consolidated
system. They are not primary objectives of consoli-
dation, and are only possible where they would improve
service and reduce costs without compromising security
and/or compartmentation requirements. With all the
above criteria met, the major obstacle to machine
sharing would be eliminated by consolidated budgeting
for copiers; i.e., funding for a machine used by
several different components.
STAT
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SUBJECT: Proposed Consolidation of Agency Copier Management
System
Reducing the total number of copier contracts is
one of the most significant benefits of the proposed
consolidation. In FY-81, the consolidation of copier
contracts reduced the total number of contracts from
180 to 77. Further consolidation was not possible
because of decentralized budgeting. Centralized
budgeting would permit the further reduction of
contracts to fewer than 20 in FY-82.
d. Budget Justification
The protection from OMB budget cuts of a single,
large-dollar figure for copier rental and maintenance
was initially perceived as the greatest drawback to
consolidated budgeting for copiers. Based on infor-
mation provided by the Office of the Comptroller, it
now appears that this should not be a major concern.
The total projected cost for Agency copier rental
and maintenance for FY-82 is less than
ten (10) percent of the Agency's equipment rental and
maintenance budget, and is not subjected to OMB review
as a separate line item.
e. Savings
Aside from a tangible savings of as much as
per year to be realized through centralized planning,
controlled equipment acquisitions, and recovery of
prompt payment discounts, consolidated copier manage-
ment would provide a saving in manhours in the Office
of Finance (OF), Procurement Division (PD), and else-
where throughout the Agency that would completely off-
set the additional manhours required. to administer a
consolidated Copier Management System.
2. It is now more apparent than ever that the cost savings
and administrative benefits of a consolidated. Copier Management
System in the Agency far outweigh the disadvantages of such a
program.
STAT
STAT
STAT
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