1. National Aeronautics and Space Administration
SAME CREW… NEW RIDE
PM Challenge
Commercial Crew Program
Managing a Commercial Program
Jon Cowart
Cheryl McPhillips
Carol Scott
February 22, 2012

2. Agenda
 Commercial Program Definition
 Programmatic
 Acquisition
 Insight and Execution
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3. What is our Commercial Program?
 Commercial Program approach is different then a traditional cost
development effort
• NASA takes the role of Government investor
• Commercial Providers are expected to invest their funds in the
development
Government + Industry Investments
 Competition through pre-negotiated, milestone-based agreements
that support the development, testing, and demonstration of
multiple systems
 Transition to a FAR Type Contract for requirement execution and
Services
Space Act Agreements first… Contracts later
Funded and Unfunded Partners
 Develop CTS certification requirements and strategies ensuring
safe transportation for NASA crew
Right Size Insight…. Right time Oversight
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4. Partnering Goals
CCP is utilizing Government/Industry partnerships showcasing a
different way of doing business with the Industry.
 Ensure end-to-end Crew Transportation Systems (CTS) certification
requirements
 Maximize cost effectiveness
 Enable cost share with fixed government investment
 Facilitate partner performance management
 Support partner retention of intellectual property rights
 Allocate liability between government & partner / indemnify
 Enable International Space Station services
 Encourage marketing of products to other customers
 Minimize administrative overhead
 Maximize efficiency in cost / financial reporting requirements
 Allow government-furnished equipment & services
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5. Programmatic
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6. Content We Are Managing
 Continuous acquisition team
 Technical team delivers products to acquisition team
 Phase execution with feedback to the technical team
Technical
Acquisition
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Execution
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7. Program Management
 Schedule
 Cost
 Technical
 Political
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8. Schedule
 Top-level Programmatic
 No multi-tier schedules
 Partner is managing their schedule
 In the Partner‟s best interest to stay on their schedule to
receive the next investment installment
 Keep services contract in front of Partners
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9. Cost
 Program cost includes investing in multiple Partners
• Programmatic costs are minimal: <15%
 SAA with Partners includes a pre-negotiated “installment”
payment plan
 „Meet or Don‟t Meet‟ milestone success criteria
 NASA can elect to discontinue SAA at anytime
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10. Technical
 Requirements cannot be levied
under an SAA
 Partners have to “opt in”
 Program requirements are
“level 2” only
 Station has a set of
requirements that Partners can
"opt" in as well
 Certification phase will invoke
the requirement set
 Requirements management
effects cost management
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11. Risk Management
 Top level risks are larger
programmatic risks, not
necessarily Partners‟
 Crucial to have awareness of
Partners‟ risk
 Program has separate
evaluation of risk associated
with the Partners
 Insight priorities are built
around identified risk
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12. Stakeholders
 Strategic Plan for Communication
 Keep your Program Sold
• Internal/external stakeholders
 Communicate, Communicate, Co
mmunicate
• Communicate often with the
commercial Industry
• Utilize webcasts to limit travel
• Open communication with Industry
as a whole, not just Partners
• Demonstrate your listening
• Communicate ASAP
 Embrace Social Media
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13. Acquisition
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14. Competition is Key
 Ensures cost-effectiveness
• Incentive for the companies to perform
• Government not dependent on sole provider early in the DDT&E effort
• Produces lower prices and mitigates the risk of failure of single Provider
 Provides an incentive for the companies to share in the cost of
development
 Providers own financial investment into the development,
• Supplements government funds
• Provides strong incentive for the companies to “stay in the game” when
encountering difficulties.
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15. SAA Advantages
 Funded SAAs are more cost effective in the current budget
environment than the FAR-based fixed-price contracts.
• Allows more flexibility to fund Providers during the performance
period, as funding levels become known
• Provides NASA with limited liability in case we need to terminate
or renegotiate the SAA due to funding constraints
• Provider is responsible for determining the best approach to the
design and development of its commercial system
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16. Execution
7 Partners
1 NASA
…Right Size Insight
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17. Insight
Most of us are used to the
traditional insight model
Traditional
Contracts
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18. Insight
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19. Insight
Insight – under an SAA – is very
different than what we have
traditionally done
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20. Insight
 So how‟s that working?
 How does the Government get any value?
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21. Insight
 Eventually, once we get to the
services contract, there will be
requirements which must be met
 The SAA is intended to be used to
nurture a specific technology or
technologies
 „Use Agreements‟ for use of NASA
facilities or equipment are strictly
the responsibility of the partners
 Safety
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22. Pit Evolution through CCDev2
This is how it started… This is how it is now…
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23. Communications Lessons Learned
 Things started out confusing as Program and teams were
storming and forming
• Roles and responsibilities were not clear
• No forums to pass information and communicate issues
• Changes were made often leading to confusion and friction
 Consistency was found through team meetings, Milestones,
Stand-up, and Program meetings
• Every PIT has a standing team meeting
• Stand-ups on Monday and Thursday with PI Staff meeting on
Tuesday
• TRBs and PCBs
• Milestones and Quarterly Reviews
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24. Insight Lessons Learned
 We have had some growing pains and like it or not we are a multi-center,
multi-organization Program
• “Not being co-located with other members of the core team hinders
communication and slowed the building of trust and team relationships.”
 Specify some insight presence in the AFP. At one kick-off meeting there
was much happiness and camaraderie, however the next day they were
shown the door and told don‟t come back until we call you. That improved
greatly over time due to charm and wit (and begging), but the fact remains
that the SAA permitted it.
 For milestones, there is a need to specify “business days” vs. “calendar
days” in terms of review time when the review period is very short.
 Include words to allow for more insight (i.e., the SAA stated at least one
NASA rep, why not be realistic about it the number. Add stipulations for
insight visits and offices at partner facilities).
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25. Summary
Can’t wait to get there…
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