COST- EFFECTIVE MODERNIZATION OF(SANITIZED)(SANITIZED)(SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP87-01146R000200030022-4
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 22
• Document Creation Date: December 19, 2016
• Document Release Date: July 11, 2005
• Sequence Number: 22
• Publication Date: June 15, 1981
• Content Type: MF

Approved For Release 2006/10/17: CIA-RDP87-01146R000200030022-4
MEMORANDUM FOR: Chief, Supply Division, OL
FROM:
Chief, SD/OL
SUBJECT: Cost-Effective Modernization of
1. Over the past few years, has been engaged
in an intensive program to reduce its operating costs through moderni-
zation of its equipment and methods and to increase its overall effective-
ness as the major logistical facility for the provision of supplies and
services to the Agency. Although those goals have been advanced signi-
ficantly, there is still much to he accomplished!
In succeeding paragraphs the more important of these accomplish-
ments are listed and their significance briefly described. This is,
in turn, followed by a brief outline of projects not yet completed, or
still in a developmental stage.
2. Depot Improvement Programs/Completed
a. Materiel Facilities Branch (MFG)
(1) Preservation and Packaging Section )
-Improved overall efficiency of section by re_,
configuration of work area.
-Installed second automatic ripsaw for peak 'load
backup.
--Installed powered turntable in conveyor to
eliminate package hang-up and speed distribution of finished
cargo.
-Installed large-throat handsaw with sawwelding
device to improve pack fabrication process.
-Installed automatic r.ailiic machine and fabricated
ball-bearing loaded metal machine tables - (LhreF) to speed box
and pallet construction.
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SUBJECT: Cost-Effective Modernization o. Activities
-Upgraded the Instapak System, increasing its.
reservoir capacity to reduce chemical costs and speed operation.
-Installed complement of handnailing guns to give
a safer and speedier performance.
-Improved the safety and efficiency of the heavy-
packing unit by complete overhaul of its gantry hoists.
-Installed electronic floor-scale and electronic
conveyor-line scale, both with automatic readout in pounds and
kilograms, to ensure improved speed and accuracy in the weighing
process.
-Installed one and ordered two more electronic direct-
readout type scales that mount integrally on forks of lift truck.
This speeds-up packaging operation by permitting scale to be
taken to the job instead of vice versa, and virtually eliminates
scale queue-up.
-Installed heavy-duty rack that permits speedier
choice of fiberboard sheeting by box machine operators.
-Completely overhauled and retrofitted the large
fiberboard box machine, ensuring continued reliable service of
that unit For nidnv additional years.
-Increased the number of hydraulic packaging tables
from seven to fifteen.
-Installed new automatic tape dispensers on the hydraulic
-Installed new 18 inch radial-saw to speed lumber sizing.
-Installed automatic polypropylene strapping machine
to replace time-consuming hand operation previously used.
-Initiated study of commercial developments in packaging
materials, resulting in adoption of many cost-reducing methods and
procedures without lowering the quality of the "package". This
involved employment of cheaper grades of lumber and plywood, tri-
wall containers, adhesives, fiberglass, molded products, etc.
-Installed batteries of heavy-duty circulating fans
at open loading doors to promote effective removal of heat trapped
in depot at closing time.
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SUBJECT: Cost-Effective Modernization of ctivities
-Initiated measures, in conjunction with other0
components, to reduce through-put time at depot to five days or
less and reduce backlog to 500 line items or less. These targets
have been reached and are now steadily maintained or improved upon.
(2) Design and Specification Unit
-Completely reconstituted the packaging laboratory,
which had been virtually inactive since 1974, and initated a
systematic updating of all Agency packaging specifications,the
expansion of packaging developmental services, and a re-establish-
ment of the vendor packaging program.
-Completely reconditioned the environmental chamber
for package testing.
-Acquired new polytite machine for bubblepacking.
-Acquired new magnetometer for the preparation of
hazardous cargo.
-Acquired vibration meter/accelerometer used in the
testing of experimental packs.
(3) Consolidation, Repair and Disposal Section (CR&DS)
-Establi lhud new General Services Administration (GSA)
Inspection Center (Pickett Street Warehouse) for the inspection of
Agency material declared excess through GSA.
-Maintains environmental chamber at Pickett Street
Warehouse for storage of special paper products and other items
requiring heat/humidity considerations.
-Developed and maintains viable disposal mechanism
through Fort Belvoir Disposal Office that has greatly accellerated
speed at which depot can move excess materials from its account.
-Systematically disposed of all Agency excess equipment
that had been moved to thp Navy d for temporary storage when
the Agency's was condemned and had to be
evacuated.
(4) Depot Support Section
-Acquired new 15,000 pound capacity forktruck (yardlift)
to handle outsize cargo especially in outside storage.
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SUBJECT: Cost-Effective Modernization of
1 -1
-Placed on order quantity of $35,000 worth of
cargo racks as part of ongoing storage rack reconfiguration program..
-Acquired automatic floor striping machine for lane
and aisle layout.
(5) Storekeepers - Unit I and Unit II
-Installed two each Console-Type Electronic Automatic
Retrieval Systems. These units feature controlled stockage, rapid
retrieval of stock, more precise inventorying, parts cleanliness,
etc., while reducing by 2/3 the amount of space needed formerly
to maintain the stock.
-Acquired one large and one small portable stretch-
wrap machine for enclosing stock in plastic wrap to ensure cleanli-
ness of stock and promote stability of cargo. Another large
portable stretch-wrap machine is also on order.
(6) Safety, Security, and Maintenance Section
-Installed steel safety gates at all cargo doors to
prevent unauthorized entry through those openings.
-Established a cost-effective maintenance, repair
and replacement program for forktrucks which has rcduced number
of trucks from a total of 38 to 30, expanded the number of hours
worked/per day by each unit, increased battery efficiency, and
deferred replacement of forktrucks during 1981 and 1982.
-Acquired a selection of fork extensions and longer
forks to promote better cargo handling and positioning in the racks.
-Established acceptable safety-shoe program under
control of the BSO Officer.
-Promoted safety and security through courses
administered by the Safety Officer and the Medical Technician.
b. Freight Traffic Branch (FTB)
-In October 1980, with the assistance of Data Control Unit
personnel, initiated a computer program which tracks monthly the obligations
made against the Single Transportation Allotment (STA). This program also
produces a monthly listing of transportation expenditures by major component,
The program, which replaced a manual system formerly in use, has resulted
in a marked saving in man-hours.
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-In February 1980, establishment of the
provided a secure, scheduled mean:, of transporting Agency materials to
African Stations. Since its inception, over a quarter million pounds
of cargo has been carried to the field at a pronounced saving over
rates that would have applied if commercial air routes had been used.
-In coordination with MFB/P&PS,arranges for the movement of
large shipments to certain areas through
the use of sea-containers. These to 40 toot a umi-ium containers which
convert readily to over-the-road trailers, provide excellent protection
from weather and rough handling and enable shipment of cargo with but
minimum packing. Through this technique a substantial saving in both
manpower and material is realized.
-Maintains an ongoing program for the careful scheduling of
pickups and deliveries, both in and outside of the local area, to ensure
ful lest util i zati on of vehicles and to promote the consolidation of
cargoes wherever practicable. This program is very cost effective in
terms of manpower and fuel conservation.
Lm_j fleet of over-the-road vehicles is designed to meet
the many varied requirements of the Agency, In order to promote effective
maintenance, minimum stoc!kage of repair parts, improved driver training,
etc., vehicle engines, transmissions, differentials, brake systems, controls,
wheels, tires, lighting systems, etc., have been purposely standardized
throughout wherever practicable. This stand-~rriz~;tion pr^^r'am, has been.
significantly cost-effective and through it cur diesel vans and tractors,
for example, can haul cargo at an average of 97 cents per mile and have a
life expectancy up to 400 thousand miles.
-Installation of an electronic direct-readout yard scale now
enables the weighing of truckloads on the depot premises and also accommodates
outsize cargo that is beyond the capacity of the depot interior scales.
c. Receiving Branch RB)
-Assumed responsibility for
0
File Room in October 1979.
-Established records reduction program which has significantly
streamlined file room procedures in anticipation of absorption of all
subsidiary files maintained
-Implemented "write up of recei"ings or. the dock" procedures
to streamline traffic flow.
points.
-Regulated receiving procedures for external direct-delivery
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SUBJECT: Cost-Effective Modernization of
Activities 1F
-Arranged for regular input to ICS of current, pertinent
Testing and Inspection (T&I) information.
-In conjunction with Office of Communications, regulated
T&I scheduling of receivings and, in that way, reduced T&I of receivings
by 32 percent.
-In conjunction with Procurement Division and Office of Finance,
developed "expedited payment" procedures for selected procurement actions.
d. General
--Depot Core Office Complex has been constructed and occupied.
In addition, extensive area over offices affords ample space for much of P&PS
packing materials, BSO materials, and a selected quantity of depot stock.
-Automatic treadle-operated doors have been installed at
front entrance and the hallways redecorated.
-The Safety and Security Officer has been permanently assigned
to an office located near the main entrance for close monitoring of activities
there and the Security Guard Control Room has been cleared of unnecessary
equipment, the phones replaced, and painting and decorating of that room is
expected shortly.
been replaced.
-The automatic file system in the depot central file room has
-The Guide-A-Matic Train System has been completely retrofitted
and changed to a two-unit system with sidings established at various locations
in the depot. The track layout has been completely re-configured and provided
with optional paths.
-Reduced overtime by 10 percent over same period last year.
-Additional DACs have been provided to DCU and DAC positions
have also been established at CR&DS and RB. Direct access to the computer
by these functions should be very cost-effective through the elimination
of paperwork and information time-lag.
-Installation of vestibule entrance to Small Purchase Branch
(SPB) receiving dock has contributed to employee comfort and energy saving
in the cold weather.
-SPB program to combine "buying trips" has resulted in
significant reduction of vehicle usage with resulting energy saving.
3.. Depot Improvement Programs/Projected
-Enclose both shipping and receiving docks, provide suitable dock
equipment, and install inflate-a-seal padding at truck openings to prevent
heat loss.
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SUBJECT: Cost-Effective Modernization of
-Insulate depot roof with suitable reflective aluminum paint to
lower summer eave-temperature and promote employee comfort.
-Relocate RB dock activities from front of depot to side of depot
next to shipping dock and add second cargo door at that position. This
will promote cross-dock activity and bring all RB operations to one area.
depot.
-Relocate the refuse compactor to a more suitable spot at the
-Re-surface the depot exterior grounds.
-Provide a long-lasting seal to depot concrete floors.
-Replace the obsolete depot heating units with modern, dependable,
energy-saving units.
-Refurbish the exterior Butler Buildings and construct a temperature
controlled chamber at the rear end of for storage of hazardous STAT
materials in accordance with approved OSHA standards.
-Install energy-saving aircurtains at the three dock doors leading
the shipping/receiving docks.
-Re-configure storage racks throughout the depot to provide optimum
storage capacity and improve the flow of materials in conjunction with the
re-activation of the Guide-A-Matic Train System.
-Reconsititute metal furniture storage, repair, and issue methods
used in Butler Buildings0 to ensure adequate support to Logistics
Services Division.
-Develop an emergency power capability that will ensure depot
operation during power outages.
-Refurbish old MFB offices and convert them into all-purpose
conference room/classroom.
-Re-configure and refurbish storage rooms on westside of depot
building to improve controlled storage activities.
-Expand and update restroom facilities at depot in conjunction
with re-configured office and laboratory areas.
-Eliminate work-file duplication by combining all files in the
depot central file room.
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SUBJECT: Cost-Effective Moderizatior of
-Relocate main gate guard-shack to median strip.
-Erect a 20,000 square foot temperature controlled, air supported
structure in vacant lot in southeast corner of depot grounds. With its
capacity to accommodate twenty foot high racks configured for the Raymond
Extended-Reach Fork Trucks, such a structure would provide a storage
capacity greater than half the present main building at the depot.
Orig - Addressee
1 - C/CD
1 - DC/MFB (official)
OL/CD/SD/MFB (15 Jun 81)
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15 JUN 1981
? Capital investment in a new building on
the Langley compound for consolidation
of the Headquarters organizations can
achieve annual savings in excess of
$4 million by 1985. Savings will result
from reductions in communications,
security, and logistics support and from
recovery of man-years currently lost to
commuting.
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1. The specials for the
construction were proposed
at $1,400,000. As a result of detailed study and negotiations, the
cost of the specials was lowered to $1,100,000 - or a cost savings
of $300,000.
2. Since the Agency received the Delegation of Authority
from GSA for leasing office space of less than 5,000 square feet,
considerable cost savings have been realized through effective
negotiation techniques. Some examples are:
There arel eing administered by the Real Estate
Branch, RECD. This new responsibility was absorbed by the Branch
with no increase in personnel.
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1. The Safehouse Section is in the process of accepting the
responsibility for
STAT I It was decided that the adminis-
tration of the sites should be centralized in the Safehouse Section
~l
of the Real Estate Branch, which sd result in increased
efficiency for supporting the activity.
2. REB personnel are currently working with GSA to obtain
a Delegation of Authority to contract directly with the owner
STAT of the
to meet Agency objectives regarding special
renovations for a new occupant. It is believed that Agency personnel
will be able to negotiate a more favorable contract from a viewpoint
of time and cost.
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1. Package boiler/ allows use of smaller more efficient boiler
during low steam demand in summer months.
2. Installation of package air handlers allows cooling of small
special-use areas without operation of main air handlers. Savings
of overtime utilities and is more energy efficient during normal
working hours.
3. A&E study of HVAC systems/energy conservation. Studies
completed to determine potential energy savings resulting from
various building modifications. The study identifies a list of
modifications and projects cost savings for each proposal. The
engineers are working with GSA to incorporate the proposed changes.
4. UPS installations - Reduces the number of power-related
computer problems.
5. Chilled Water System for Key Building - FEB/RECD has initiated
the''desigA for a chilled water system which will reduce the
maintenance and repair costs to maintain the various types of
air-conditioning systems that presently exist. The proposed
chilled water system will also allow for A/C add-on, and in most
instances it will eliminate the need for turning on the entire
house A/C for overtime or weekend work.
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1. Chilled water loops - Allows installation of more package
air handlers which will permit cooling of special use areas
without operation of main air handlers and result in savings
of overtime utilities.
2. Upgrading to automatic HVAC controls - Allows more efficient
operation of building.
3. Computer-controlled building systems - Increases energy
efficiency, reduces monitoring and operating man-hours.
4. Computerize engineering drawings - Increases record keeping
efficiency and reduces drafting time.
5. In lieu of Saturday work, offices, where appropriate, should
be encouraged to extend the hours during the normal Monday through
Friday schedule. This could result in considerable savings in
the cost of air conditioning.
Items 1 F 2 - Enhanced budget items
Items 3 $ 4 - Ideas for consideration
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18FEB1981
REAL ESTATE AND CONSTRUCTION DIVISION
"How can we streamline and save money?"
The above tasking has been examined within the context
of a significantly understaffed Division with an ever increas-
ing workload in all engineering and real property management
functions.
The Division's budgeted monetary resources include
predominantly centralized funding items such as SLUC for GSA
standard services and leasing costs; reimbursable overtime
heating, ventilating, and air conditioning costs, including
energy and extra manpower/labor costs; minimum levels of daily
engineering support costs, preventive maintenance costs, and
special data distribution support costs. At the present time,
no facilities engineering projects exist in the RECD budget.*
All new facilities engineering projects are essentially funded
by the appropriate requesting Agency component.
Division slots must be fully staffed in order to be totally
responsive to this increasing workload, and such human resources
will continue to accomplish work directly or through others for
our Agency clients essentially using centralized or client
funding.
Accordingly, reduction in costs might be achieved in
the following ways:
(a) Conduct a survey of total Agency component
functional requirements to operate on an overtime
*Except SAFE backfill
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"Areas of problems and needs"
RECD is severely understaffed and in need of professional
engineering resources to fill its vacancies and those engineer-
ing positions available in various Agency operational components
in order to be totally responsive to the operational needs of
the Agency.
Although Agency recruitment efforts have been extensive,
results have been dismal. Competition with the private sector
for engineers, extensive and unrealistic time taken for process-
ing, security turndowns, medical turndowns, candidate loss of
interest, and candidate acceptance of employment elsewhere have
resulted in loss of good talent and a continuing existence of
vacant Division engineering positions.
Hiring quotas, hiring moratoriums, and hiring freezes have
continued to exacerbate the Agency's rising recruitment short-
fall. They not only add to the inherent losses of potential
candidates ready for processing but do so after the expenditure
of time and money to arrive at a decision to accept and hire
such employees.
The dwindling number of opportunities for overseas assign-
ments and travel for Division engineers and technicians has
frequently resulted in their leaving the Division to accept
such opportunities with other Agency components or with the
private sector. The vacancy notice system has also perpetuated
such transiency of Division engineers and technicians to other
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Agency components as a painful example of internal Agency pros-
elytisation of human resources in a tight recruitment market.
The result has been a further deteriorization of the Division's
understaffed engineering posture and its ability to respond in
the manner it deems necessary.
A positive accommodation with GSA is necessary reasonably
soon to ascertain our relative roles in order to ensure the
most efficient use of our mutual resources and maximization of
joint efforts in order to provide an adequate human and opera-
tional environment for our Agency employees and functions. The
time, effort, and money required to get things done through
others is sometimes more costly and difficult than the cost of
implementing the project internally. An exceptions approach
agreeable to all will allow the Agency and GSA to supplement
each other's efforts in a viable manner which will allow work
to be accomplished in a realistic way consistent with available
resources, specific skills, funding availability, operational
needs, timing, relative authorities, and applicable federal.
regulations.
Specifically, the Division should provide additional
engineers to such functions as OC,I INPIC,
n providing engineering support
as projected. Only one OC slot is presently available, but
this Division believes the remaining slots should be formalized
to meet the growing engineering support needs of these organiza-
tions.
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basis beyond standard work hours. Since the Agency
pays additional costs for such overtime use and con-
sumptiotn of utilities and tradesman labor, any
reduction of significant hours of overtime use of
space by shifts, weekend operations, etc., would
save mottoy for the Agency in energy and associated
labor ceww;ts and also conserve energy.
(b) For those Agency components who must continue
to operate on an extended overtime bases, provide
project titnding and implement installation of local-
ized eft'icient utilities support systems serving these
function; only and, accordingly, eliminate excessive
overtime costs of operating large scale systems sup-
porting large zones of space a small portion of
which are occupied by these special overtime functions.
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1. Policies or other initiate `'l and/car implemented O+rc '" -t kic-
'e past two to three years which have resulted in cost savings
and/or increased efficiencies.
a. Increased [Efficiency:
ADP acquisition familiarization courses were given
to create user understanding of and education in
ADPE acquisition.
An Automatic Data Processing Equipment and Services
checklist was developed consolidating for the first
time the myriad of documentation requirements,
coordinations and certifications prerequisite to
acquisition of ADPE.
ADP&EB internal administration was reorganized within
the Branch by Directorate versus the previous contract/
vendor breakdown, thus emphasizing responsiveness to
customer rather than contractor needs.
ADP&EB established itself as the coordinator and focal
point fo presentation of.Xproduct lines and services.
Centralization of this service assured exposure of market
items to the Agency ADP community as a whole in
prey~'Q~ to limited special-interest groups as
was previously the case.
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ADP&EB establihed monthly user working group meetings
to provide a form for advanced planning methodology,
identification of potential acquisition problems, and
information and status on requisitions.
Automated RFP processing was introduced by ADP&EB.
Automated system life evaluation procedures were
introduced by ADP&EB.
PD is concluding developmet of a management information
system that provides visibility into critical areas of
r -rnh'rC
work in process, and-pe its the development of a
predictive decision process.
PD is currently developing acquisition procedures that
will permit a consistent and coherent treatment of each
procurement.
b. Cost Savings:
ADP&EB-directed NPIC revalidation study resulted in
system life savings of approximately $4 million.
2. Future points or ideas that can be undertaken which may
result in cost savings and/or increased efficiency are:
Extend automation within the procurement process as
rapidly as possible.
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Establish a senior Agency capital projects review
board to review and approve proposed new starts or
substantial additions to ongoing programs with estimated
values of $300,000 and require that a cost benefits
study, based on total life cycle costs, be prepared
in each such case.
Consolidate multi-office equipment/services requirements
on a programmatic basis to achieve maximum economy of
scale and standardization.
Establish a coordinated planning and forecasting
mechanism that will premit early identification of
procurement requirements thereby enabling the develop-
ment of more coherent acquisition strategies.
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CORE Support to the DD/L
1. We, OL/B$FB, have initiated no actions outside of
our own Office.
2. A. STA - based on a discussion with
Audit Staff; establishment of a computer system to enable
OL/CD/FTB to obligate, liquidate and monitor cargo ship-
ments paid under the STA account on an individual Bill of
Lading basis. Currently there is no system to monitor
any one particular Bill of Lading to see if it has been
invoiced and paid.
B. Insure that within LIMS there is a provision to
permit the commitments and obligation of the MPA allotment.
This Office currently manually commits (utilizing a
Burroughs Bookkeeping Machine) and obligates the MPA
allotment. Use of either the LIMS system or a small VM
stand-alone system would be time saving and a much more
efficient operation than the manual system currently
in use.
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