HIGHLIGHTS LOGISTICS CONFERENCE 2 AND 3 MAY 1983

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85B01152R001101440008-1
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 40
• Document Creation Date: December 21, 2016
• Document Release Date: April 30, 2008
• Sequence Number: 8
• Publication Date: May 2, 1983
• Content Type: REPORT

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ROUTING AND RECORD SHEET
SUBJECT: (Optional)
DD/A Registry
Logistics Conference Highlights
F
EXTENSION
NO.
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Printing Photography Division
DATE
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158 PTP Bldg.
28 S
September 1983
TO: (Officer designation, room number, and
building)
DATE
OFFICER'S
COMMENTS (Number each comment to show from whom
RECEIVED
FORWARDED
INITIALS
to whom. Draw a line across column after each comment.)
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FORM 61 O USE PREVIOUS
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HIGHLIGHTS
Logistics Conference
2 and 3 May 1983
SECRET
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The summaries contained herein were
obtained from notes prepared during the
Log: tics Conference and accurately re-
flect, insofar as possible, presentations by
each speaker. Readers should be advised,
however, that abbreviated summaries may
not fully describe the material presented,
or, by omitting certain facts, may portray
the subject matter in a somewhat different
light than that intended by the speaker.
Any such misrepresentations are uninten-
tional and we apologize for any inaccura-
cies present in these highlights.
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INTRODUCTION
Our annual conference again provided
the opportunity for our Logistics Careerists
to meet, exchange ideas, discuss problems
and to socialize in a relaxed and cordial
atmosphere. The variety of topics and the
expertise of all the speakers gave the at-
tendees a rewarding and enjoyable
experience.
These notes are an opportunity to thank
you for attending and making this confer-
ence so successful. For those of you who
were not able to be included this year, it is
hoped that you will get some insight into
the events that took place and be able to
join us in the future.
We regret that-some of.our friends and
coworkers have passed away this year, and
it is to their memory that we have dedi-
cated these conference notes.
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~tliFit I
Daniel C. King
Director of Logistics
By any measure, the "state of the office"
is better than it was at this time last year.
Work and moral are up; additional posi-
tions have been established both here and
abroad with approximately 50 new posi-
tions anticipated over the next two years;
our budget has increased at a rate greater
than the inflation rate; monies are being
provided for recapitalization; and, most im-
portant of all, we are being given good
"marks" for performance by all segments
of senior Agency management.
However, if we are to continue to suc-
ceed, we must continue to emphasize
those critical characteristics that the logis-
tician brings to his or her job.
1. RESPONSIVENESS-both in terms
of "customer service" and to those new
ideas such as LIMS which will make the
system more efficient.
2. INTEGRITY-not just of the con-
tracting officers but for all of us in both
our acts and in the appearance of those
acts.
3. EQUALITY-so that through affirm-
ative action our office at all levels be-
comes representative of the society we
serve.
4. COMPASSION-listening and help-
ing in times of personal and professional
problems is the least we owe our officers
who willingly take disruptive and some-
times even dangerous or unpleasant
assignments.
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5. PROFESSIONALISM-participa-
tion in professional societies as a source
of new ideas, but even more importantly,
the sharing of those ideas and the' help-
ing of new officers as they enter the
logistics profession.
6. A SENSE OF HUMOR-for our-
selves and the seemingly endless variety
of problems we are called upon to solve.
We have a profession to be proud of and
you can take particular pride in your
contributions to the success of this
Agency's operations.
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gave a presentation on the
ing inventory assistance to external com-
ponents both domestically and overseas.
Additional automated capabilities are be-
ing implemented daily. The recruitment of
Chief, Supply Division, OL
past an current status of Supply Division
and where he sees Supply Division going in
the next several years.
Speaking on where we were as a Division
overall stated that we were
understaffed in certain areas; had lost
most of our ordnance expertise; were using
an outdated Inventory Control System; and
were not prepared, across the board, to
support the current return to covert action.
Presently, the Division is actively in-
volved in increasing'
and rebuilding lost skills
new personnel under the SOT Program
are also present tasks in the Supply
Division. Future plans consist of using
more sophisticated automated systems, in-
creasing the recruiting and training of SD
personnel to meet contingency and quick
response requirements, continuing with
ICS upgrades, and expanding Supply Divi-
sion's capabilities to support covert action.
a concentrated
effort will be involved with the construction
of additional storage space to house bulk
paper, CRAFT equipment, and hazardous
materiel. A modular storage facility, provid-
ing the funds become available, will also be
constructed. Repaving the entire exterior
and upgrading the black and
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secure telephone systems are other plans 25X1
that will involve the
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Pending projects for
include renovating the Administration
Building, conducting a readiness test of the
base, improving secure communications
capabilities, upgrading staff housing, ac-
quiring a staff enginer, as well as establish-
ing LIMS on-line capacity.
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Chief, Logistics Services Division, OL
The mission of Logistics Services Divi-
sion (LSD) is to provide that near perfect
working environment in the Metropolitan
Washington Area so that each of our em-
ployees can perform their task efficiently
and professionally. In order to accomplish
this mission, LSD has been expending a
great deal of effort in many areas.
Since May of 1982, Office of Logistics
representatives have been meeting with
General Services Administration (GSA).
Special emphasis has been placed on the
leasing of space, the operation and mainte-
nance of the 2430 "E" Street complex, the
Powerhouse at Headquarters and other
areas of concern regardless of where they
may occur. Several problems have been
eliminated by these meetings. In addition,
monthly Walk-abouts have been made with
Mr. Fitzwater, DDA; Chief, LSD; and the
GSA Building Manager to identify those
items which require corrective action.
These have produced some good results
and have especially demonstrated to GSA
the Agency's concern for our work place. In
addition, there have been many other
meetings to discuss the feasibility of the
Agency taking over the total responsibility
for the operation and maintenance of the
Headquarters Building. Needless to say,
this action is loaded with mine fields, not
the least of which is the SLUG reimburse-
ment. However, serious consideration is
being given to this possible action.
Space requirements in the metropolitan
area continue to grow in excess of our
ability to accommodate them. Although we
have leased many additional office areas
we still have re- 25X1
quirements on hand for over square25X1
feet in Headquarters Building. At this time
we see little relief but are continuing to
work on the problem hoping that redesign,
more efficient utilization of existing space
and even approval to lease additional
space will partially alleviate the problem
somewhat.
Through the years, the quality of food in
the cafeterias in Headquarters Building has
been of great concern. Also the manner
and timeliness of its service has left much
to be desired. In concert with the Agency
Cafeteria Committee, LSD has been meet-
ing regularly with GSA and Guest Services
Incorporated (GSI) in an attempt to bring
about improvements. As a result of these
efforts, some modest changes have taken
place. Serving lines have been rearranged,
additional check-out registers set up and
management personnel from GSI are evi-
dent in front, readily available to identify
problems and solve them quickly. In the
near future, new check-out stands will be
built in both cafeteria areas and upon com-
pletion of the moves 25X1
and within Headquarters. a balcony area
in South Cafeteria will be recaptured and
set up for quick service items. Liaison will
continue with all interested parties to see if
even more can be done to provide better
food and service.
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LSD Questionnaires-At the suggestion
of the Director of Logistics, LSD developed
a Questionnaire which was sent out to all
Directorates asking for information on the
performance of LSD. A format was used
which was easy to follow and would give
the kind of information that would enable
LSD to improve. The results were quite
interesting.
Seventy-five percent of offices polled felt
that the building supply stores were ade-
quately stocked. All felt that the people
were helpful and the service was rated as
good overall. Of the offices relocated dur-
ing the year, 86 percent were satisfied with
the moves. The mail system was consid-
ered reliable and efficient by a great major-
ity. Three quarters of the offices rated the
shuttle service as adequate, although the
overall performance was felt to be good to
excellent. Many felt that the service of the
Architectural Design Staff was not per-
formed in a timely fashion; however, they
still rated the quality of work as good to
excellent. Space Maintenance and Facili-
ties Branch performed efficiently and the
majority of those polled were generally
satisfied with the condition of their office
environment. Generally, there was satisfac-
tion with parking on the Headquarters
compound and the overall administration
of the parking program was rated as good
to excellent. The cleanliness of the offices,
corridors, public areas, the efficiency of the
custodial force, and the condition of the
compound grounds were all considered
good to excellent, as was the overall opera-
tions and maintenance of Headquarters
Building. The greatest complaint of the poll
resulted in fifty-four percent of the raters
feeling that their offices were too warm in
summer and too cold in winter.
All in all, LSD was gratified to receive this
positive feedback of its users and to be
able to determine the strengths and weak-
nesses of its mission to better serve the
community.
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Chief, Real state and
Construction Division, OL
In his introductory statement
reviewed the transition of the Agency out-
look in the '80s:
"Do More with Less"
"Do More and More with the Same
Resources"
The continuing and accelerated growth
of the Agency, the critical sense of urgency
of its needs, as well as reliability of the
support environment and the growing ap-
plication of an advanced technology in the
new "paperless society" environment have
increased the requirements for flexibility
and creativity in responsiveness by the
Office of Logistics.
These trends and factors have provided
the Real Estate and Construction Division
(RECD) with many challenges. Much energy
is consumed in dealing with the General
Services Administration (GSA) on various
leasing problems, with the attempt to get
better support for the Agency in mainte-
nance and operation areas as well as facili-
ties modifications. A new role is now effec-
tive with many of the buildings under direct
Agency lease rather than under GSA lease
authority. These leasing agreements result
in more contract administration details,
custodial, maintenance and operation
problems, zoning and citizen association
appeals and contacts. NPIC, Headquarters
Power House and others
show the continuing trend of increased
RECD responsibilities.
In the direct design and construction
contracting areas
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the secure voice telephone systems, major
modifications to the existing NPIC Building,
upgrading of HVAC bal- 25X1
ancing of the new Wang terminals and
other computerized systems and support
dpgonn truction a 25X1
2bAl
Utilities Reliability with the enhancement
of the UPS system and the Capital Im-
provement Program are also concerns. The
Headquarters Building project engineering
support will handle Phase II of Project
SAFE, the power vault and the additional
thermostats resulting from the explosion of
terminals and processors utilized by the
Agency. RECD continues its challenges in
its response to all the new facilities engi-
neering expansion initiatives, the domestic
field facilities upgrading and Office of Com-
munications Recapitalization Program.
Support is continually given to 25X1
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spoke on his perception that
Deputy Director of Logistics
the Office of Logistics (OL) is a professional
family of Agency employees responsive to
the Agency's needs for logistical support.
OL management is fully appreciative of the
value of our careerists and strives to main-
tain and develop meaningful leadership so
as to foster for these OL careerists a satis-
fying career which will develop a personal
sense of value and worth to the Agency as
well as provide a challenging work environ-
ment and assignment.
It is management's goal that employees
enjoy their job, feel a part of OL, and feel
they are making a worth-while contribution
while they have a satisfying future within
the career service.
A practical and realistic view of the re-
quirements of promotions and recognition
was shown to vary within grade categories.
Typical considerations for Wage Grades
(WG) and GS grades 01 through 11 require
a minimum time in grade and headroom
slot; though the WG must meet the particu-
lar job specifications, the GS-01 through
06 must be recommended and the GS-07
through 11 are ranked competitively. Fur-
ther promotions for GS-10s and 11s are
normally determined by the pursuit of a
college degree. Beyond this grade and
without the college degree education,
many careerists will find a plateau with
slower movement, and only long and faith-
ful work will move the best of the 12s and
13s into the higher GS grades.
OL must have Supply Officer Trainees
and Logistics Officer Trainees (SOTs/
LOTs) to produce the needed leaders foL25X15X1
the future and we try to share promotions
with the non-SOT/LOT as well. Although
separate promotion tracts have been con-
sidered, these are not presently in effect.
The requirements for a successful SOT/
LOT should be to earn a "6" level or better
PAR, to accept regular and fairly frequent
(each 6 months, except PCS O/S) reassign-
ments and to earn promotions "on sched-
ule." Inability to follow those goals result in
a transfer to the regular TRACK career.
"Pack your own Parachute" continues to
be the guidance for career advancement.
The careerist is responsible for making
known his desires for training and assign-
ments and to seek positive counseling, as
opposed to self-initiated counseling which
becomes a rap or informal chat. This peri-
odic counsel will keep communications
"on-line" and keep supervisors and man-
agement properly informed. A five-year
plan is not necessary but certainly some
plan is for anyone to have a rewarding
career.
There are a great variety of OL jobs here
in the metropolitan area, elsewhere in the
United States and especially overseas. This
includes PCS and TDY to such places as
Beirut, the Middle East, and Central Ameri-
ca. We have been asked to provide OL
careerists for over 35 new jobs in the past
eighteen months. The Agency is expanding
both in personnel, jobs and tasking which
makes the challenges for LOGISTICS
exciting.
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Chief, Personnel and Training Staff,
OL
Initial remarks centered
on personnel evaluations and promotions.
Under this heading, he reviewed recent
actions affecting Performance Appraisal
Reports-specifically, the attempt to make
these evaluations more realistic; an-
nounced a planned review of the personnel
evaluation criteria currently in use within
the Office of Logistics (OL); discussed the
shared responsibilities of the OL evaluation
panels and the Director of Logistics in the
promotion process; reviewed OL policy of
rapid promotion between grades GS-07
and GS-09 for new professional hirees in
the descriptive Category I; and advised the
conferees of the bright outlook for ade-
quate headroom during the rest of the
fiscal year. In the course of discussing
promotions, figures were presented that
showed, contrary to predictions made at
last year's conference, the promotion rate
for Logistics careerists during calendar
year 1982 was only slightly less than for
1981.
The audience was informed that the
Position Management and Classification
Division (PMCD) of the Office of Personnel
was conducting an office-wide survey within
OL. The survey has been underway since
November 1982, and the audit phase will
be concluded by late June 1983 with the
final written report on the entire survey
scheduled to be submitted to the Director
of Logistics in September 1983. Related to
the survey activity is a simultaneous effort
by PMCD to develop position standards for
certain occupations within the office. After
an 18-month effort, standards for contract
officers have been prepared which will
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principally be used to determine grades for 25X1
positions on the contract teams serving
various Agency components. Position
standards are also being prepared for lo-
gistics officers and assistants and supply
officers and assistants, and it is hoped that
the standards will be completed and ap-
proved by this fall.
concluded his presentatio25X1
by spenaing w moments discussing
how the Office of Logistics communicates
with its careerists. Aside from scheduled
meetings, such as the annual OL Confer-
ence and the D/L quarterlies, a variety of
publications which have been distributed
or are planned for distribution were men-
tioned. Among these are the OL Personnel
Handbook, which has been greatly en-
larged over previous editions; the OL Panel
Members Handbook, which evaluation
panel members use as a guide to the
performance of their responsibilities; and a
personnel management newsletter which
Personnel and Training Staff will be pub-
lishing on a quarterly basis beginning this
fall. Special events which have been suc-
cessful in improving communications with
our careerists included the Job Fair, held in
March 1983. Attended by more than 250
visitors, the Fair offered an opportunity to
talk with division and staff chiefs about
career opportunities within the occupation-
al areas of OL. In April 1983 a Secretarial
Conference was held which was 25X1
attended by OL senior secretaries and rep-
resentatives of OL management. The con-
ference was designed to allow the partici-
pants to discuss their profession, its
problems, and to hear a variety of speakers
on topics of mutual interest.
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JCVIIC 1
Edward P. Levine
Senate Select Committee on
Intelligence
As a representative of the Staff of the position and, according to Mr. Levine, is
Senate Select Committee on Intelligence the answer to success or failure in satisfy-
(SSCI), Mr. Levine began by describing ing our particular needs.
what the committee does in general with
the information provided to them, how the
system operates and its security concerns
for handling and protecting sensitive
information.
Created out of the Foreign Relations,
Judiciary, and Armed Services committees,
the SSCI is the authorization source for
budgetary spending and justifications in
the intelligence arena. The budget is there-
by utilized as a tool to question all readi-
ness resources, seek input from the scien-
tific community and to receive follow up on
sensitive, covert, and counterintelligence
information. The committee occasionally
does reports for public dissemination and
institutionalized briefings for various offi-
cials as well as gets involved in passing
legislative bills concerning specific intelli-
gence community issues.
The fifteen members of the committee
represent the spread within each political
party but make a great effort to achieve a
concensus on their decisions even though
a political payoff is not evident. The staff
members are varied and essentially "gen-
eralist" in their skills and background but
all are aware of the special problems and
differences of the Intelligence Community
versus the rest of the Government. Experi-
enced and capable leadership gives
strength to the Intelligence Community's
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A review of the relationship between the
Offices of Finance and Logistics, stated Mr.
shows where the two offices oc-
casionally met and supported each other in
the past but are now experiencing a chang-
ing and binding relationship. This slowly
began in the early 1970s with the lowered
cost of data processing and has rapidly
proceeded to the present due to that and
many other factors.
Audit and finance moved into the OL
arena with the implementation of the
prompt payment system. The resultant new
system recommended by OL has saved the
Agency a great deal of money from avoid-
ing late payment penalties on invoices.
LIMS represents another link in the move-
ment to break down any barriers between
the two offices with its computer data base
involved in every action from the cutting of
the purchase request through the payment
of the final invoice.
Director of Finance
indicated that he foresees
the gradual combining of both OL and OF
with the Office of Finance eventually phas-
ing 50% of its people into other offices for
audit, certification and payroll functions.
Agency accounting will become completely
automated. The present accountants will
become data base managers of the new
systems. All Agency accounting will even-
tually be automated and the dispersal of
funds will be done by machine tellers.
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Harry E. Fitzwater
Deputy Director for Administration
In reviewing the history of the Agency,
Mr. Fitzwater compared the different Agen-
cy directors' relationships with the various
political administrations and their individ-
ual interest in intelligence capabilities. This
arrangement always has a great impact on
the Agency budget, which in turn impacts
on the future plans for the offices in the
Directorate of Administration (DA). There is
people. Polygraphs in the Office of Security
have increased almost 100% this year to
handle over 200,000 applications and
19,000 interviews. More security people
are needed overseas as well as locally to
do the required increased background
investigations.
The future nature of the Agency will
depend on the FY 1985 and FY 1986 bud-
get process, which the DDA foresees as
getting more difficult. The many DA offices
and lack of homogeneous skills in the DA
do not allow easy movement of our people
and we must be prepared to use our re-
sources as best we can for the immediate
future.
a concern that the bad cress we are cur-
rently receiving
may result in an
which would hamper our ability to effec-
tively do our job and reduce our budget
overall. This also means that the amount of
money budgeted for our new building re-
mains in question.
Presently, each of the DA offices are
concerned with varied problems. OL must
ensure that sufficient space is leased and
available until th ing has been
completed. ve is being used
for readying Building. The Of-
fice of Finance has systems that are in
severe condition and require updating, but
neither money nor support have been
available. A new memorandum of under-
standing is in effect between the Office of
Communications and the Department of
Defense concerning the diplomatic com-
munication system that will eliminate dupli-?
cation of effort between the Department of
State and the Central Intelligence Agency;
however, the shortage of qualified commu-
nications personnel continues to hinder
progress. The Office of Data Processing is
involved in the costly SAFE Program and is
acquiring many new terminals as well as
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Chief, Special Activities Staff
Office of Personnel
Conte ost people try to avoid
problem nevertheless, is kept
busy with that minority whose problems
reflect their performance and conduct. The
.Agency probably has about=people in
trouble at any one time with alcohol being
the cause of most of these problems. There
is the normal effort to keep this hidden
until no choice is available.
It is the responsibility of supervisors to
report their concerns, both for the benefit
of the employee as well as the organization,
so that every effort for counselling and
assistance to the employee can be utilized.
Indicators of personal problems take many
forms. Job performance is affected by at-
tendance, and when an employee is fre-
quently absent or takes overly long lunch
periods, there is usually cause for concern.
Psychological changes in personality may
be the result of a medical condition or
alcohol dependency and security violations
often occur as a result of drug use.
Changes in personal conduct and pres-
sures from family problems require that the
supervisors know and understand their
people. Sex with a foreign national or en-
gaging in a homosexual relationship are
also very important issues of concern, as is
the growing issue of indebtedness and its
strain on the person.
Firing an individual is a difficult task, but
one that must be done. All these termina-
tions of employment cases must be pre-
sented to the Personnel Evaluation Board
who acts as a fact finding group and at-
tempts to solve the problems presented
before them. Even then, their decision is 25X1
not necessarily final. A right of appeal is granted to all employees and final authority
rests with the Director.
Everyone must do more to help. Coun- 25X1
selling, if done soon enough, can frequently
alleviate the long term action since employ-
ment termination is never the preferred
solution.
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Office of Secu-
Office of Security
rity, presented a lecture which detailed the
events of Christopher Boyce and William
Bell, both convicted spies who had sold
secrets to the Soviets, while they were
employed by Defense Contractors. Also
included were the details of how a Soviet
Illegal creates his Life's Legend in the
United States, how he operates once inside
a Defense Contractor Company, and how
carelessness on the part of cleared con-
tractor employees contributes to a critical
loss of classified material to the Soviets.
Included in the program was a large
display of technical equipment such as
audio devices, miniature cameras, and var-
ious types of locks. A hands-on demon-
stration of the use and misuse of these
devices emphasized the security hazards
involved in our day-to-day operations.
The basic security procedures for indus-
trial contractors is a program which briefs
contractor employees assigned to Agency
classified programs. While tailored for the
specific facility, according to size, contract
sensitivity, degree of management support
and previously identified security deficien-
cies, it presents basic security procedures
for those who have had little or no counter-
intelligence indoctrination.
20 SECRET
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2;25X1
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Chief, Printing and Photography
Division, OL
were expended. Therefore to cope with
these changing and expanded require-
In the overview presented b
it was shown that the Printing and Photog-
raphy Division (P&PD) projected a 15 to 20
percent increase in workload in FY 1983
compared to FY 1982.
The goals for this division are to provide
quality products to customers on time, to
increase productivity, to increase capabili-
ties in printing and photographic technol-
ogies, and to insure the maintenance of a
professional trained workforce.
A central issue is to satisfy the new or
changing requirements without degrading
current production. For example, DDI/OCR
and DDI/OCPAS both levied new require-
ments for typeset finished intelligence pub-
lications that were formerly printed directly
from word processor prepared script. The
conversion to typeset format cost the Divi-
sion approximately 20 man-months in a
five-month period. To accommodate these
requirements, large amounts of overtime
ments, P&PD is developing new capabili-
ties by maximizing the potential of the
workforce (working smarter) and by en-
hancing the technical base.
Initiatives supporting the solution en-
compass both the human and technical
base. A quality of work-life survey was
conducted in November 1982 and the sur-
vey evidenced a desire by the workforce to
make a greater contribution to improving
the quality of the Division's product. The
survey also indicated that the work envi-
ronment was conducive to the establish-
ment of quality circles. This pilot program 25X1
was initiated in January 1983 with the for-
mation of seven teams. The training phase
will be completed in May and is already
seeing positive results in terms of recom-
mendations for improvements in the way
P&PD produces its products and the gen-
eral health and well being of the plant.
The Apprentice Program now has eight
apprentices in the printing trades; and five
new apprentices will enter the program in
the next two months. This represents ap-
proximately seven percent of the work-
force. An apprenticeship program for the
photographic area will commence shortly.
Graphic Arts Technical Foundation con-
ducted a technical audit of the printing
plant in October 1982 which was very fa-
vorable. Several of the recommendations
are being acted upon. Equipment recapi-
talization expenditures for the period FY
1982 - FY 1985 will be in excess o_25X1
each year. The digital prepress sys25X1
tem r investment of approX'-
matel ill increase the pro-25X1
ductivity an estimated five times. It will also
permit Agency customers to utilize power-
ful publication tools via remote ODP/VM
facilities and will dramatically accelerate
printing throughput times. Other equip-
ment that will improve P&PD's capabilities
include a 50-inch press, COM recorders,
video replication equipment, and a color
TV camera.
The production of computergraphics
products has increased dramatically in the
past years since the first Dicomed terminal
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was acquired. It is forecast that there will
be an additional 33 percent increase in
production this fiscal year. The potential of
this medium is so great, P&PD produced a
short film to demonstrate present and
near-term capabilities of our computer-
graphics facilities and its relationship to
customers through the ODP/VM system.
The support received from our sister
divisions (Procurement Division, Real Es-
tate and Construction Division, and Supply
Division) has been outstanding in terms of
responsiveness, professionalism, and
quality.
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elated his responsibilities
Chief, Procurement Management
Staff, OL
functions are an integral part o
of the Office of Logistics. Procurement
for the overview and management of the
entire procurement system for the Central
Intelligence Agency (CIA) with the attri-
butes stated by the Director of Logistics
that are considered critical to the success
LIMS, NIESO, the new building, the
NPIC update, and the Office of Communi-
cations' recapitalization program.
Where professionalism is concerned,
the CIA procurement team is one to be
proud of. A recent profile of our work force
shows the average educational level to be
between a bachelor and master degree. It
has been long stressed that membership in
professional associations, such as the Na-
tional Contract Management Association,
is considered important and at least eight
of our officers are Certified Professional
Contract Managers. There are also a num-
ber of MBAs and attorneys. To further
enhance our professionalism, a series of
Procurement Workshops have been re-
cently initiated. These voluntary sessions,
which cover a variety of subjects, are given
at lunchtime.
Responsiveness was another attribute
the D/L mentioned, and no procurement
organization in the Federal Government
can boast of the responsiveness of CIA. In
a period when requirements have in-
creased in gargantuan leaps, we have re-
sponded by putting more decentralized
teams into operating components. Teams
have recently been assigned to the DDO, to
25X1
25X1
NIESO, and to NPIC. A new team has been
placed in OD&E, and FBIS is currently
talking to us about a team there. We have
also moved toward increased automation
for this greater responsiveness.
Diogenes would not need his lamp to find
one honest procurement man in CIA. Cer- 25X1
tainly we have the highest integrity of any pox"i
procurement team in the Federal Govern-
ment. Notwithstanding this, we include in
every one of our runnings of the course on
Acquisition for Technical Managers, a full
evening on "Ethics and Morals" as well as
a Procurement Workshop on "Standards
of Conduct." Integrity could easily be at
the top of any list.
The attribute of equality especially for
women and minorities can be seen in our
tiny procurement career service, in which
there are 18 professional women and sev-
en minority members. Nine of the women
hold bachelor level degrees and two have
master's degrees-three others are work-
ing toward higher degrees. Of some 14
applicants in process, at least half are
women and minorities and PMS is proud of
this record in the area of women and
minority employment.
The last quality, notwithstanding the im-
portance of compassion and a sense of
humor, could have been "camaraderie."
So many people have been brought aboard
during our period of rapid growth, that
many do not know each other. A Procure-
ment Policy Panel Meeting was scheduled
for 19 May, with a wine and cheese party
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following. This was the first of several
planned moves to bring the PMS family
closer together. The workshop series also
did much in this area, enabling Supply,
Procurement and others to talk to each
other.
Our CIA procurement work force is the
envy of other federal agencies. "Eat your
heart out GSA, Navy and the rest." We at
CIA have a proud record of service. Much
yet remains to be done-and we will do it!
26 SECRET
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Chief, Procurement Division, OL
dered and to be ordered. The following
statistics were provided for Wang equip-
ment ordered as of 31 March 1983. The
value of the equipment ordered is $8.5m.
discussion centered
around four basic topics:
1. Wang-Agency-wide equipment or-
Model Alliance
System
Model 7525
System
Model 7520
System
Work Stations
Printers
ing quantities are expected t
purchased:
Model Alliance System.
Model 7525 System .....
Model 7520 system .......
Work Stations ...............
Printers .........................
For fiscal years 1983 to 1985, the follow-
2. Procurement Division (PD) Work-
load -The dollar increase in PD workload
since 1979 was shown by the amounts
obligated each year as follows:
In terms of line items and procurement
actions, a similar increase is reflected.
Steps to cope with this increase in work-
load being taken internally by PD have
included the implementation of Wang sys-
tems division-wide, increased consolida-
tion of requirements, and working with cus-
tomers to determine outyear requirements
so that more requirement type contracts or
contracts with options can be written.
There is an ongoing study for a future of
procurement with less paper. This concept
is supported by Supply Division and the
Central Depot who have both expressed
their willingness to make whatever contri-
bution they can to accomplish this goal.
3. Imprest Funds. The participants were
reminded that it is the policy of both the
Directors of Logistics and Finance to use
the Imprest Fund to the maximum practical
extent. PD, as the principal recipient of a
great increase in the number of require-
ments being generated, would like to be
advised of areas in which there are prob-
lems with lack of access to an Imprest
Fund. An Office of Federal Procurement
Policy study indicated that it costs between
$40 to $100 dollars to process a procure-
ment action through agencies of the Feder-
al Government so this should be kept in
mind when a decision is made to satisfy a
requirement through our current requisi- 25X1
tioning system.
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4. Requisitions. With regard to this top-
i expressed the observation
that some quality assurance program in-
volving the preparation of requisitions is
very much needed. Key problems continue
to include:
a. Defining the requirement
b. Source justification
c. Required delivery date
Procurement Division and Supply Man-
agement Branch of Supply Division will
work jointly to improve the quality of
requisitions.
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Society of Logistics Engineers
_Jpresented the thesis that lo-
gistics has become an applied science.
Support elements prudently developed and
managed need not be a cost burden, but
they can be a profit generator. Any suc-
cessful commercial or military strategy has
a critical and essential need for logistics
support and this has finally begun to be
recognized.
The emergence of logistics into the com-
mercial and military arena was a result of
(1) the world's entrance into an era of
shortages, (2) the development and use of
many complex systems, and (3) the avail-
ability of management information with its
emphasis on life cycle systems and the
alternatives to providing this life cycle sys-
tem support. Logistics management has
matured and expanded to become a major
factor of corporate strategy. In materiel
management and in providing customer
satisfaction, logistics now often spells the
difference between success and failure.
Management is recognizing that $2 out of
$3 are being spent in the logistics cycle.
Strategic decisions involve design reliabil-
ity, maintainability and standardization.
Management must decide on the levels of
service required, the life cycle position, and
the utilization of end result feedback.
The logistician, it is recognized, must be
brought back into the initial planning pro-
cess as a force in the organization. Flexibil-
ity and the desire to change are essential.
To achieve the best return on investment,
the "winners" have modified their strate-
gies to include logistics management, to
2;25X1
institute formal management programs
that have integrated logistics systems and
to use simulation and modeling to aid in
their overall strategic planning.
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%3wnr- I
Dr. Mary Frances Berry
Formerly with the U.S. Civil Rights
Commission
Minorities in America
Dr. Berry spoke about women and mi-
norities obtaining higher education and
their efforts to achieve equal employment.
The Affirmative Action Plan designed by
Supreme Court Justice Berger recognized
that a long history of discrimination had
taken place against women and minorities.
Action was required to equalize these hu-
man rights. Contrary to popular belief, said
Dr. Berry, the affirmative action law does
not require companies to hire or promote
unqualified people. Qualifications for em-
ployment should be determined and prov-
en, and only then would this law require
that there be certain quotas for hiring (or
promoting) minorities. If there is a finding,
by the court, of discrimination against race,
sex, or religion, then affirmative action
steps can be taken against the company.
However, if no discrimination is found, the
case will be thrown out. Ideally, affirmative
action is designed to institute merit stan-
dards where no merit standards existed
before so that everyone receives the op-
portunity to compete for those jobs for
which they are qualified.
Though the Supreme Court is trying to
change affirmative action applicability from
group to individual discrimination cases, if
someone is turned down for a job or pro-
motion because of their race, sex, or reli-
gion, they cannot be reclassified for an
individual discrimination case.
Affirmative action was started because
there was an acknowledgement by the
people and Congress that something
wrong had happened and relief was essen-
tial. Unfortunately, according to Dr. Berry,
the past two decades of civil rights and
significant progress are being challenged
by a determined assault moving to under-
cut the ideal of equal opportunity. It is
essential for each organization to success-
fully implement its own affirmative action
plan so that employment discrimination
cannot recede to a prior time. This can be
accomplished by:
1. Commitment of top leadership to
create and carry out the affirmative ac-
tion plan;
2. Extensive and accurate analysis of
the organization's discriminatory
problems;
3. Participation by all groups affected
by the plan in identifying discriminatory
problems and their remedies;
4. Comprehensive and well-integrated
techniques and procedures for promot-
ing equal employment opportunity
throughout the organization;
5. Commitment of organizational lead-
ership to overcome unforeseen difficul-
ties and organizational resistance; and
6. Means for defining and continually
evaluating the effectiveness of the plan.
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Plans and Programs Staff, OL
The Plans and Pro rams Staff (P&PS)
briefing b)(- addressed two basic
subjects: the Logistics Integrated Manage-
ment System (LIMS) project-its past, pre-
sent and future status and the concept of
the proposed Data Administration (DA)
function. The following points were pre-
sented to the attendees.
A brief definition of LIMS was given with
its seven basic objectives. Also discussed
was the content (modules) of LIMS and the
associated interaction with the Office of
Finance. This covered who is who in the
project's development in terms of custom-
ers and developers and a personnel
count-past, present and future-of full
time entity involvement. Highlights of sig-
nificant events in the project's develop-
ment, the contractor's proposed schedule
for phasing in the LIMS system, and five
unique tools used in project development
were also reviewed for the audience.
On the subject of the DA project, P&PS
is occupied with the proliferation of ADP
applications throughout the Office of Lo-
gistics and the need to centralize their
administration and the DA concept with its
primary objectives. Consideration of all or-
ganizational configurations must include
the component structure, its functions and
responsibilities, and the proposed grade
structure. The current status of the project
and its future develoment were also filled in
for the audience.
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 Deputy Director of Personnel
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poke on a topic that is
near and dear to the hearts of all Govern-
ment employees-Social Security and
Medical Benefits. His opening remarks ex-
pressed concern for the general feelings of
panic and dismay that swept throughout
the Agency as news of retirement policy
changes spread. Though changes are inev-
itable in the retirement law, according to
thusfar OMB and OPM have
not sent any official documents regarding
these proposed changes in benefits. The
present administration has focused on the
monetary impact of the existing retirement
policies and, motivated only by the cost of
the system, the Executive Branch has uni-
laterally proposed a sweeping policy that
they perceive will correct the financial diffi-
culties of the present system.
These proposed changes are to:
(1) Raise the retirement age for full
retirement benefits from 55 years
to 65. For everyone under 65, an-
nuity will be reduced by 5%. A
grandfather clause is anticipated to
cover those who are 55 years of
age when this policy becomes law.
(2) Change the high-salaried 3 years
requirement to 5 years. OMB will
make an equivalent change in
CIARDS, i.e., retirement at age 50
will be raised to age 60. Everyone
will have to pay more for less at-
tractive annuities.
requirement may have a devastating long-
impact on us. It will be more difficult
term
to recruit the kinds of people for the high
pressure and foreign area assignments
that we have been hiring and need to
continue to hire. Early retirement is consid-
ered an integral part of personnel manage-
ment. Essential headroom must exist so
that young, enthusiastic, competent em-
ployees will have an adequate opportunity 25X1
for advancement. As retirement is the key
to this policy, it will be the object of our
negotiation strategy with the Executive and
Legislative Branches to present the con-
cept of a unique Agency retirement called
CIARDS. CIARDS will have two levels. One
would be similar to the existing CIARDS
with retirement at age 50, and the second
level would be similar to existing Civil Ser-
vice, with retirement at age 55. The em-
ployee contributions to each of these pro-
posed systems and the formula used to
calculate retirement benefits would track
those changes that are ultimately incorpo-
rated into the Civil Service retirement sys-
tem. However, the ability to retire without
penalty would remain at 55.
Because this Agency has always encour-
aged early retirement, changing the age
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