C05106746 Approved for Release 2017 12 04 C05106746 Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 17 July 1998 U I am proud to present the 1998 National Reconnaissance Office NRO Strategic Plan This plan has been prepared to communicate our strategic direction to all our stakeholders including customers workforce and mission partners It demonstrates our commitment to continue into the 21st Century as Freedom's Sentinel in Space The plan articulates our vision mission values goals and strategies to achieve these goals as well as the perfonnance measures that will monitor our progress U The Strategic Plan captures the results of our evolving process for perfonnance-based strategic planning and management of the NRO - a process capable of reacting to a changing environment Each member of the DNRO's senior management team is a participant in this process this document was written by them with very few changes to reflect their substantial commitment to the future ofthe NRO The plan will be reissued periodically to publish updates to performance measures targets and strategies undertaken to accomplish the goals Through this process we have identified what we operating as One Team need to do to continue to build upon our core competencies while responding to the complex realities of today's national security environment U Our strategy is anchored by our goal to provide our customers with the products and services they need when they need them We will accomplish this goal through our commitment to excellence in acquisition and operations and our pursuit ofrevolutionary innovation in our research and development efforts Our workforce is key to executing our strategy we must provide our people with an environment that fosters the highest level of productivity and personal growth Finally we will improve our financial systems and processes to ensure that we realize our vision given existing funding constraints U The NRO is committed to providing accountability to the public our stakeholders and our mission partners In our pursuit of public accountability we have ensured that the 1998 O Strategic Plan is compliant with all required elements of strategic planning as cited by the Government Perfonnance and Results Act of 1993 Our plan is aggressive but I am confident that we will achieve our goals as One Team Keith R Hall Director National Reconnaissance Office CLASSIFIED BY 330193 CL REASON 1 S c DECL X-1 DRV FROM NRO SCG 4 0 14 OCT 95 Hibble vli B I MM ' fA N' f li E¥il0LE Claam1ets Jointly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 Sl iCll E r TABLE OF CONTENTS U 1 0 U Introduction 1 1 Background Information 1 2 NRO History of Strategic Planning 1 3 The NRO Performance-Based Strategic Management Process 1 4 Organization of the NRO Strategic Plan 2 0 U NRO Vision Mission Values and Corporate Goals 3 0 U Customer Satisfaction Perspective 3 1 Introduction 3 2 Strategic Initiatives 3 3 Key External Factors 3 4 Detailed Goal Discussions 4 0 U Process Improvements Perspective 4 1 Introduction 4 2 Strategic Initiatives 4 3 Key External Factors 4 4 Detailed Goal Discussions 5 0 U Employee Satisfaction Perspective 5 l Introduction 5 2 Strategic Initiatives 5 3 Key External Factors 5 4 Detailed Goal Discussions 6 0 U Financial Management Perspective 6 1 Introduction 6 2 Strategic Initiatives 6 3 Key External Factors 6 4 Detailed Goal Discussions 7 0 U Program Evaluation 8 0 U Appendices 8 1 NRO Statutory Provisions 8 2 Congressional and Stakeholder Consultations 8 3 Major Management Problems 8 4 NRO Roles and Cross-Cutting Functions 8 5 List of Acronyms Handle ia B¥13P MN S£CR£1 I ALl T-1Cl 7tltffl t Cltannels fohatl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 1 0 INTRODUCTION U U The vision of the National Reconnaissance Office is to be Freedom's sentinel in space -- one team revolutionizing global reconnaissance To assure that the NRO realizes this vision senior management has defined a strategic management process that will focus the organization on fulfilling its present and future commitments The strategic management approach in effect at the NRO identifies the organization's vision for the fun1re characterizes its mission and delineates ten strategic goals Accompanying these goals is a comprehensive list of strategies required to achieve each goal and measures to monitor progress toward their accomplishment This strategic management process has given NRO senior leaders new insight into the impact that program dollars arc having today and has helped to suggest constructive directions for future intelligence coJiection initiatives U Collectively the goals actions and measures make up the 1999 to 2004 NRO Strategic Plan This document has been prepared to explain the plan both in terms of the strategic direction that has been set and the process that is in place to ensure that we reach our vision 1 1 Background Information U U The NRO was established in 1961 as a covert agency responsible for the development and management of the United States satellite reconnaissance effort For more than thirty years the NRO has provided U S policy makers and military planners with intelligence pertaining to worldwide events that threaten or might threaten U S national security interests NRO reconnaissance satellite systems have tracked weapons and missile developments military operations order of battle information nuclear weapons and weapons of mass destruction environmental industrial and agricultural production and activities with national policy implications 'fS1- he NRO has proven to be a unique source of inte11igence to U S policy makers military planners and others concerned with our national security NRO satellite reconnaissance systems have allowed the U S to collect an increasing volume of detailed intelligence not previously available In addition NRO technological requirements have driven innovative scientific and technological developments in space U The NRO occupies a unique position at the intersection of military and national policy intelligence-gathering operations The DNRO reports jointly to the Secretary of Defense SECDEF and the Director of Central Intelligence DCI each of whom relics on NRO product' and each of whom makes major contributions of people fonds infrastructure and other resources to the NRO 1 2 NRO History of Strategic Planning U U Corporate strategic planning has been an important function in the NRO since the late 1980s The first strategic review was documented in a report written by retired Rear Admiral Robert Geiger and Mr Barry Kelly in 1989 The report identified three challenges facing the NRO 1 maintaining its leadership role in the development of creative system responses to requirements 2 improving its understanding of and responsiveness to national and military operational requirements and 3 assuming a more proactive role in the Intelligence Community IC and Department of Defense DoD communities The report recommended that the NRO reorganize and collocate to ensure greater cohesion As part of this reorganization a new Plans and Analysis Office was created One of the principal tasks for the Plans and Analysis Office was to provide a capability to develop and maintain a strategic plan U By April 1992 the first NRO Strategic Plan had been developed written and published At the same time another significant report had a major impact on the NRO and its culture The Director of Central intelligence DC Task Force on the NRO chaired by Robert Fuhrman made recommendations for further organizational restructuring collocation of all major elements in the Washington D C area and the declassification of the existence of the NRO U These recommendations had far-reaching impacts on the strategic direction of the NRO Once the existence of the NRO was made public a series of actions were taken to satisfy the desire for greater openness about NRO activities and to integrate these activities with those of other organizations This transition increased the complexity ofNRO system development launch and operations The NRO budget came under greater scrutiny in both the Legislative and Executive branches Finally the industrial base supporting the NRO began downsizing and currently is still in a period of consolidation and transition Page 1 - l llaodle la lft'Et l Mi T r Ll iNT 1Gs¥110LE Chaanels J9intt Approved for Release 2017 12 04 C05106746 - - - - - - ·---···-····-·-····--·-· C05106746 Approved for Release 2017 12 04 C05106746 St3CRE1 U Two in-depth reviews resulted in a growing emphasis on and examination of relationships among the members of the United States IC The Commission on the Roles and Capabilities of the U S Intelligence Community chaired by former Defense Secretary Harold Brown and later by former Senator and Defense Secretary Les Asp in described the processes needed to work with mission partners and customers An IC 2000 document issued in March 1996 by Congressman Larry Combest then Chairman of the House Permanent Select Committee on Intelligence HPSCij reemphasized the need for the NRO and its strategic mission partners to work together NRO relationships w ith its customers and mission partners continue to represent some of our most fundamental opportunities and challenges U Following his appointment as the new NRO Acting Director in March 1996 Mr Keith Hall established a panel of experts beaded by retired Admiral David Jeremiah to provide the next Director of the NRO DNRO with recommendations that would defme the NRO in the coming years The Jeremiah Panel was asked to address a series of major issues Their response became an important component of the current strategic foundation of the NRO The panel was formed during a time when the NRO was facing many challenges such as increased requirements for spending accountability consolidation of satellite missions and external oversight The panel recommended that the mission of the NRO in the 21st Century should be to revolutionize space reconnaissance to enable U S global information superiority In addition based on the needs of both the SECDEF and the DCI the panel asserted the imperdtive for the NRO to provide affordable near-continuous global coverage The panel's findings were reflected in the strategic planning process that followed under the Director's leadership and guidance 1 3 The NRO Performance-Based Strategic Management Process U U The NRO has created a strategic management process that can be sustained over time From the onset the NRO approach has recognized the importance of products including a strategic plan and other forms of communication but the predominant focus bas been on building a framework to support strategic management U Figure l introduces the NRO strategic management process from initial planning through an ongoing cycle of maintenance implementation and improvement The key attributes ofthis process are that it is iterdtive and evolutionary Successful strategic management requires planning execution and monitoring of results and relies on appropriate feedback loops to ensure that the strategic focus is updated to reflect the organization's needs as they change over time • Ill I Ill - - II rt III - DB - - Iii - - l m ' - II II I Um f r sifie cl Figure 1 U The NRO Strategic Management Process U The following characteristics have been important factors in the development deployment and maturation of a successful strategic management process at the NRO Senior management commitment and participation Page 1-2 Haudlc la 11¥1 H I t 'fA t Efff•KiY 'IIOL£ Channels Joiutt Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 • Senior leader ownership of process and products • Clear well-crafted and broadly communicated vision mission and goals • Wide participation in formulating and implementing the details Effective measurement and outcome feedback Specific individual and organizational acc-0untability for all activities and outcomes U To develop a strategic management system with these characteristics the NRO has made a significant investment of time and effort starting with the Director and the senior management team A series of off-sites provided the initial forum for assessing the environment discussing alternate strategies and developing consensus The Jeremiah Panel Report was a key input to these early efforts This document included an environmental analysis as well as a proposed mission statt -ment that was later adopted as the NRO corporate mission statement During these retreats the senior leadership team established a corporate-wide vision statement and identified core values necessary to fulfill the charter of the NRO They also agreed to fundamental strategic initiatives to cope with changing mission requirements emerging technologies and new customer needs This strategic planning process was conceived and implemented prior to the Office of Management and Budget 0MB decision that the IC and its members would be required to comply with the Government Performance and Results Act of 1993 U The NRO elected to use the Balanced Scorecard as a template for goal setting and performance measurement development The NRO senior leaders identified four perspectives for the Balanced Scorecard customer satisfaction process improvement employee satisfaction and financial management Once goals were defined within each perspective the DNRO assigned goal managers -- senior leadership team members accountable for achievement of each goal Each goal manager was empowered by the Director to serve in a corporate capacity across the organization to move the organization toward goal achievement Since the corporate goals transcend any sub-organization and have NRO-wide impact most goal managers have created -Toss-functional cross-unit teams to develop goal descriptions goal outcomes and candidate measures and to execute action plans U The NRO is currently working to develop performance measures that can be used to monitor progress toward achieving corporate goals Like the goals these measures are being identified in the four Balanced Scorecard perspectives Efforts a re under way to link goal perfonnance measures to outcomes and to identify performance targets based on anticipated result- from action plan execution In addition the NRO is beginning to assess how current programs will affect performance in the future The first full year of performance data will be collected in FY99 1 3 1 U Directorate and Office Performance Planning An important aspect of the NRO strategic planning process is its application at all levels of the organization The Directorates and Offices D Os of the NRO are currently working to establish organizational strategies that will support accomplishment of the corporate goals Their effort is the bridge from the corporate-level strategic direction to program management and budget allocation While each Director is in the process of creating goals action plans and measures to implement the NRO corporate-wide plan each D O has begun a similar strategic management process that should link all levels of the organization strategically to the accomplishment of the corporate plan The basic steps in the process at the D O level mirror the process already described for the NRO corporate-level 1 3 2 U Strategic Planning Process Management In addition to normal implementation initiatives such as performance measurement and reporting senior-level engagement is ensured through several ongoing mechanisms First each quarter the senior management team engages in broad multi-day comprehensive strategic management sessions to assess the strategic performance of the NRO and progress against the current plan Second the weekly senior staff meeting agenda includes on-going performance review discussions to track outcomes from strategic initiatives Additional mechanisms include quarterly corporate Performance Reviews and Quarterly Program Reviews addressed at greater length in Section 7 0 Program Evaluation U These mechanisms ensure continued senior participation in both the detailed work of strategic management and the overall assessment of the process Because strategic planning is a living process the NRO fully anticipates that goals and measures will change over time -- these mechanisms will provide the opportunity for evaluation and recalibration of the NR O strategic direction when necessary U To assist the senior Leadership team with the management of this process a strategic planning staff element which reports directly to the DNRO was created The role of this staff element is to support and facilitate the corporate process and to provide Page 1-3 llliidle la B fiH l A-Nf T 1 lll T Ki' '¥AQl i f llaaael1 Joinll9r Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 005106746 - SECitE - U Cont analytical expertise to action implementation teams Similar support is provided to D O strategic planning efforts on an as-needed basis 1 3 3 U Communication of the Strategic Direction to the Workforce Communication with the NRO workforce is an important factor in internalizing the NRO strategic direction Mechanisms have been put into place to report on the corporate progress towards goal accomplishment Products are displayed and updated on a strategic planning Website and through the use of brochures posters and articles in the NRO's Reconnaissance 'RECON' Magazine Quarterly Town Hall Meetings run by the Director regularly address issues of strategic direction In addition goal and measurement reviews are conducted through the Program Managers' Quarterly Forum The first NRO Organizational Climate Survey relied on several methods for communicating survey results including a presentation at an NRO Town Hall Meeting and individual feedback packages for each D O program office and worldwide location Detailed survey results sent to individual offices allowed supervisors and staff to review staff perceptions on a question-by-question basis 1 4 Organization of the NRO Strategic Plan U U The following pages contain the details of the NRO Strategic Plan for 1999 to 2004 The shared corporate vision mission values and goals are included in Section 2 0 In Sections 3 0- 6 0 the detailed strategies for each of the four Balanced Scorecard perspectives are presented The core content of these sections is provided through two standard matrices The first matrix displays the linkage between the NRO corporate goals associated outcomes performance measures and their associated baselines and targets and data sources The second matrix identifies outcome action plans accountable offices for each measure timelines related resources not currently programmed in the budget cycle and the relationship between strategic goals and outcome goals In addition the Customer Satisfaction Internal Process Employee Satisfaction and Financial Management perspective sections discuss external factors impeding goal accomplishment strategies to achieve goals and data capacity Section 7 0 introduces the NRO's program evaluation process NRO statutory provisions congressional and stakeholder consultations major management problems and cross-cutting functions are presented in Section 8 0 All elements required by the Government Performance and Results Act of 1993 are addressed in this document Page 1-4 S CM T Ha11tllc • ia Brtl l'tl m' T71 Ll NT lfflYfl6LE ebauuels fubtll Approved for Release 2017 12 04 C05106746 ·······-······ ·•··- - - - - ·-·-· _ C05106746 ··- - ·•····· Approved for Release 2017 12 04 C05106746 2 0 U NRO VISION MISSION VALUES AND CORPORATE GOALS U Senior management began charting the strategic direction for the NRO by developing the vision mission and value statements These statements serve to identify future priorities help focus organiz ational activities on a common pmpose and provide a foundation upon which programmatic goals and actions can later be built Figure 2 U The NRO Vision U In the Fall of 1996 Mr Hall and his leadership team conducted an off-site session to identify a vision for the organization They sought a vision that could provide the momentum for change and communicate a clear direction to the workforce During this off-site the senior leaders concluded that global reconnaissance would continue to be the core mission ofthe NRO with two central points of emphasis First the NRO must revolutionize global reconnaissance to ensure U S information superiority Second the NRO must act as one team effective working relationships both internal and external are essential as the NRO proceeds into the 21st century This vision illustrated in Figure 2 has been widely disseminated throughout the NRO and the Intelligence Community IC U When developing its mission statement the NRO focused on describing its purpose and core functions while explaining why it must exist as a unique entity Senior management had carefully reviewed the Jeremiah Panel report and opted to retain the Panel's characterization ofthe NRO mission illustrated in Figure 3 The adopted statement which had been previously approved by both the Secretary ofDefense SECDEF and the Director ofCentral Intelligence DCI succinctly captured the NRO mission Page 2-1 IIH1He ia B YEP tANf Tl115151 lT Im¥119 _ lli Ch•aaels Jeiatlf Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 Figure 3 U NRO Mission Statement U Once the NRO vision and mission were articulated the senior management team examined the key beliefs and principles that would guide the NRO as it executes its mission The capstone of these values is satisfying our customers Customer satisfaction depends on our commitment to our mission the relationships developed between government and industrial partners teamwork and diversity and team members who are innovative and creative The foundation of all NRO values lies in the principle of integrity -- in relationships with each other our community and NRO stakeholders NRO values are shown in Figure 4 Enable U S Global Information Superiority During Peace Thro ugh War The NRO is Responsible for the Unique and Innovative Technology Large Scale S stems Engineering Development and Acquisition and Operation of Space Re connai ssa nce Systems and Related I nte Iligence Activities Needed to Support Global Information Superiority Unclassified Figure 4 U NRO Shared Values U Once vision mission and values statements had been developed senior management turned to NRO corporate goals Strategic goal development began during a senior leadership off-site conducted in January 1997 Over 50 senior leaders from the Directorates and Offices D O's and staff offices provided input which resulted in a list of over 80 candidate goals Over the next month the corporate Board of Directors which consists of the Director the Deputy Director the Deputy Director of Resource Oversight Management the Chief of Staff and the Deputy Directors of Military and National Support modified merged and developed the first corporate goal statements To ensure that aU levels of the organization were represented in the goal development process the Director invited groups of employees from the D Os to further recommend changes and modifications Representatives were asked to respond to critical questions l what does the goal me1W Wb - -_ _ _ __ _ __ _ _ _ --- 1 you 2 is this goal important to the NRO and 3 will this goal move the organization forward Through a series of focus groups employee inputs were collected and the were integrated into the final goal statements In March 1997 the corporate goals were announced to the organizati1 community members These corporate goals arrayed in the Balanced Scorecard template are presented in Figure 5 Page 2-2 H iidlc tia B'i'E 'fMNf Thlsl illff KE¥11QLI llanael1 Jei111 19r Approved for Release 2017 12 04 C05106746 - --·-- ·-· ·-·----- C051067 46 ·-· ··········· ·-· -· - - ·-··-··· ········-· --· ·········---·- ·-····----·· Approved for Release 2017 12 04 C05106746 S15CMT Figure 5 U NRO Corporate Goals by Goal Perspective Page 2 -3 Handle ia B¥15 1 Jll'l 'fA bEfliT IS P HIOLI Chanael8 Jei11tl · Approved for Release 2017 1 2 04 C05106746 C05106746 • • ·····-··· ·-···-··· · ·····--· ---- ----··---··-···-· ----· Approved for Release 2017 12 04 C05106746 1 Provide Assur1d Tlm1ly Global Coverage 2 Provid1 Tailored Information On-Demand 1D Customers World-Wide 3 Team with Dur Mission Partn1rs to Establish and Maln1aln Strong Relationships will Our Customers Figure 6 U NRO Customer Satisfaction Perspective Page 3-1 SECREl namne 1a U'f l'tl -N I AL f fff-n t 1161 E CbamaelscJoiutl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECRET 3 0 CUSTOMER SATISFACTION PERSPECTIVE U 3 1 Introduction U U The NRO' s mission to Enable U S global information superiority requires that the NRO fully understand and respond to the needs of a widespread and diverse customer base The customer base includes two key groups -- mission partners and users Mission partners include a number of agencies within the Intelligence Community IC that depend on us and we on them to perform our mission If either partner fails the user suffers Users include the National Command Authority the Central Intclligcncc Agency CIA the Joint Chicfa of Staff and the unified commands the Military Services the Department of State and Justice to name a few Many users with extensive background in our capabilities make substantial use of our collective products and services to accomplish their mission The NRO is also attempting to reach out to non-traditional customers who have previously been unable to use our products because of the lack ofknowledge of them or lack of the enabling infrastructure in support of their missions U These customers are the primary driver of our strategic planning process our future depends on our ability to identify their needs and provide products and services that meet those needs Three strategic goals have been identified to address the important relationship between the NRO and the customer The focus of these goals underscore our commitment to providing our customers with the best possible service while also laying the groundwork to advance the organization closer to achieving its vision of Revolutionizing Global Reconnaissance Goal 1 Provide Assured Timely Global Coverage U U Our customers must feel confident that they can ask for and receive information responsive to their needs Access should be provided to any region of the globe with the ability to provide near-continuous coverage when required Rapid availability and access to data in a form that will support customer's mission success must be provided Goal 2 Provide Tailored Information On-Demand to Customers Worldwide U U This goal addresses NRO tailoring of data provided by space-based collectors in response to customer mission based requirements It addresses processing storage and NRO capabilities to provide customer access to data by whatever means to meet customer needs Accomplishment of the goal will result in improved processing storage and dissemination Goal 3 Team with Our Mission Partners to Establish and Maintain Strong Relationships with Our Customers U U Strong customer relationships are necessary to engender trust and confidence between NRO and the customers ofits products and services Customers must know how to reach the NRO when necessary and have an adequate opportunity to influence NRO decisions programs and operations Likewise NRO needs to understand the Customers' mission and operational and programmatic environments to have a full appreciation of Customer needs However strong NRO-customer relationships alone are insufficient to ensure customer satisfaction NRO depends heavily on its mission partners NSA NIMA CMO USSP ACECOM CIA and DIA to participate in defining customer requirements tasking NRO systems and processing exploiting and disseminating NRO data and products where and when they are needed NRO relationships with customers must therefore include teamwork with its mission partners to ensure customers are satisfied with the timeliness availability and usability of NRO products and services 3 2 Strategic Initiatives U U The following are examples offuture systems and management initiatives that the NRO is pursuing These efforts are focused on making our customers more successful in accomplishing their missions while improving their satisfaction with the products and services provided by the NRO 3 2 1 U Future System Initiatives The NRO has two major future systems initiatives that are focused on improving customer satisfaction These programs are the Future Imagery Architecture FIA and the Integrated Overhead SIGINT Architecture IOSA b 1 b 3 Page3-2 Handle ta WfE fA-N 'f LEN'f E 118LE Chanuelduiutl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECRE r i BOBti Commanders in Chief CINCs and the Joint Chiefs of Staff JCS to refine functional and performance requirements for future imagery capability The FIA acquisition strategy is to provide statements of requirements capabilities and objectives to industry to encourage a wider range of potential solutions from the contractors b 1 b 3 3 2 2 U Management Initiatives The NRO has also launched a number of management improvement initiatives that focus on improving customer support and developing a System of Systems Architecture SOSA to integrate collection processing and dissemination of data U Consistent with the findings of the Jeremiah Panel the NRO is developing a more centrnlized management strategy for customer support Efforts to improve NRO customer support include the development of an organization wide directive as well as a detailed NRO-wide Customer Support Implementation Plan CSIP Additionally a Customer Support Board CSB has been created to improve internal communication and help articulate NRO policy and priorities for all customer support activities U The SOSA office was established to develop an integrated space reconnaissance architecture which will improve our customers' ability to accomplish their missions while simultaneously allowing them to reduce costs SOSA will improve customer effectiveness by integrating and synchronizing NRO space reconnaissance operations with customer operations This will be accomplished with consistent standards a common data and operating environment and integration of collection processing and dissemination into a system of systems architecture The increased synthesis of satellite airborne and ground based sensors will ensure that multiple data sources are available to provide information that is delivered faster to all global customers 3 3 Key External Factors Impeding Goal Accomplishment U 3 3 1 U Limited Direct Accountability to End-Users A key challenge for the NRO and its mission partners is to effectively coordinate Intelligence Community efforts to provide timely relevant and accurate intelligence products While the NRO acquires and operates space-based reconnaissance systems it relies heavily on its mission partners to lead in the requirements tasking processing exploitation and dissemination of intelligence products 3 3 2 U Changing Customer Requirements Our customers operate in a dynamic environment of constant change that requires the NRO to be flexible and responsive in the products and services we provide and the systems we build 3 3 3 U Budget The extent to which the NRO can provide assured timely global coverage and tailored infonnation ondemand to custom1 TS worldwide is heavily dependent on budget stability Major fluctuations in the NRO budget could affect the extent to which the NRO can be responsive to its customers needs 3 3 4 £ir New and Developing Non-Traditional Customers NRO outreach has traditionally been focused on support to miJitary and strategic intelligence customers As the world is changing so too must the NRO we have begun to seek out nontraditional customers to include civil and environmental customers and federal law enforcement agencies These new customers are key players in the developing threats to world order and support to critical US national interest and security issues NRO systems' utility against the substantive information needs of transnational law law enforcement and environmental customers are governed by law and executive order Interpretations of these laws and applicable intelligence community policies make it difficult to provide the needed level of support In addition the policies and procedures in place to support these customers have not matured sufficiently to support any but their most rudimentary needs llaalll11 ¥ia IIY i Pil t NI Page3-3 T AtLEN't'•lffl·i'tl6Lfl €banuets fointl Approved for Release 2017 12 04 C05106746 - ·-·······----- CO5106746 Approved for Release 2017 12 04 C05106746 iilCRET 3 4 Goal 1 Provide Assured Timely Global Coverage U U Goal#1 is at the core ofthe NRO 's mission to enable U S global information superiority during peace through war Meeting the needs for assured timely coverage wherever it is needed in our rapidly changing world will require the revolution in global reconnaissance that is our vision At the same time we understand the path to the future must be seamless evolution where each step enhances our customers ' ability to perform their missions Therefore our task is to understand the challenges facing our mission partners and customers and their plans to meet them and work with them and our government and industry team to forge solutions that meet these challenges in the 21st Century Maj Geo RobertS Dlckman USAF Director Office ofPlans and Analysi sand ofSystems Architect 3 4 1 Desired Outromes and Candidate Perlonnance Measures U b 1 b 3 1 1 frhieve a better understanding ofcustomer satisfaction shortcomings with the NRO goal to provide assured dmely global coverage U Table la Page3-4 ltaudle ia B7 El'IMN T '1 l N'fa Hl1'110LE Chau els Jointl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 b 1 b 3 2 l11creased customer confidence in the NRO's ability to provide Assured Timely Global Coverage I 3 Identify opportunitk f for near-term enhancements and long-term ilflprovelflents to the assured timely global coverage supplied by existing and developmental overhead architectures U Table la Cont llaatllc •ia B7 El'tb NI Page 3- 5 SflCRfl J' 'f LENT KrllfflLE ClliUUels Jutudy Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 3 4 2 U Strategies to Achieve Goal In conjunction with mission partner develop a ut ofme11ningful metrics for IISSUred timely global coverage a Define As ured Timely and Global Coverage from the customer's perspective b Conduct document review to identify and synthesize a set of customer-dc11ircd re uircmcnts I 1 b 1 b 3 Integrate Goal #1 metrics with Goals #2 and #3 to obtain an aggregated assessment of btformOlion utility and customer satisfaction from an end-to-end perlpective eve op a ramew r or improvements n 11ssured timely global coverage tltat advances the mission success of customers U Table I b U The NRO is working with its mission partners to develop quantifiable performance and customer satisfaction measures at key points in the overhead intelligence cycle in order to assess progress toward its goal of providing customers assured timely global coverage Once these measures are established the NRO will assess performance gaps and set targets for improvement These targets will then becotne the drivers for internal process changes and for developing future collection processing and dissemination architectures llaudle via B7fEP INP I Page3-6 Sl lCMllf lfifmFiNT IQWIIOLE Qaan1l1 Jeiali ' Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 Sl3CR i T 3 4 3 U Relationship Between General Goals and Annual Performance Goals Each desired outcome for Goal l is supported by one or more candidate performance measures as listed in Table la This table also identifies known baselines and targets for the measures as well as the source of data The candidate performance measures have also been defined in detail in the data capacity section Table la serves as a preliminary glimpse of the performance measures and data sources to be used in the upcoming Annual Performance Plan 3 4 4 U Data Capacity The following measures are currently being tracked and will be used to assess progress toward the achievement of Goal 1 U Imagery Intelligence IMINT Collection Satisfaction Worldwide Trends This measure tracks the percentage of collection accomplishments against the operational requirements of our customers Imaging collection accomplishments will be trended for each Presidential Decision Directive POD 35 priority Analysis of this measure will not only contribute to the understanding of present day shortfalls but also allow us to better target our resources in future systems trades U Careful examination of this measure will illustrate which requirements are currently unmet by our present capabilities and which areas require further emphasis as we model future needs and develop new technologies to meet those shortfalls Currently this measure considers only the percentage of collection accomplishments based on the currently stated customer requirements Future requirements not capable of being met by our present systems are not included U This measure provides an indicator of the level of tasking contention our customers face In an environment where customer demands are increasing both in tem1S of quantity and timeliness improvement in our ability-to mediate tasking contention is paramount J i f' Signal Intelligence SIGINT Collection Utllization Worldwide Trends This measure tracks on a percentage basis the amount of time NRO SIGINT assets are devoted to the different priority requirements of our customers SIG INT Collection Utilization can be viewed by customer priority mission area and geographic region Analysis of this measure will not only contribute to the understanding of present day shortfalls but also allow us to better target our resources in future systems trades U Careful examination of this measure of customer satisfaction will illustrate which requirements are currently unmet by our present capabilities and which areas require further emphasis as we model future needs and develop new technologies to meet those shortfalls U This measure provides an indicator of the level of tasking contention our customers face In an environment where customer demands are increasing both in terms of quantity and timeliness improvement in our ability to mediate tasking contention is paramount U Customer Satisfaction Survey This is a periodic survey designed to assess customer perceptions of NRO products services image and relationships The survey supports all three of the customer perspective goals by providing a baseline of customer perceptions regarding • The quality ofNRO products and services e g reliability accuracy timeliness consistency and completeness • The quality of our relationship with our mission partners and customers U The survey is part of a larger customer feedback initiative designed to systematically gather information using various means observations interviews surveys focus groups The results of the survey will provide statistically reliable measures ofNRO customers' perceptions over time This information will give us insight into areas requiring improvement and allow the NRO to focus changes on products services or relationships that may lead to greater customer satisfaction Page3- 7 St CM T Han Uc ia B'J'li Pil A N11 Tm Ztff-tm t'lfflLt ebaunels Juiutty Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 3 5 Goal 2 Provide Tailored Information On-Demand to Customers Worldwide U U Collecting and measuring essential data and information so that it reaches the user when and where needed and in a form that is easily integrated with other information is the essence of the NRO mission By successfully carrying out this mission we enable information superiority for the United States our allies and coalition partners well into the next century When coupled with our goals of assured timely globpl coverage and an architecture that integrates multiple data sources the NRO will become an even more indispensable arm ofwarfighting and national policy making Our focus will become our customers' needs to which we will apply systems engineering and management expertise in order to maximize effectiveness and performance If our efforts result in enabling our customers to attain their goals then we have successfully met our own Brig Gen HowardJ Mitchell USAF Director Communications Systems Acquisition and Operations 3 5 1 Desired Outcomes and Performance Measures U Improved information management 2 1 b 1 b 3 a by identification and mitigation ofdata flow bottlenecks 2 2 Greater integration ofNRO data Olld information U Table 2a U NOTE Measures in BOLD indicate measures currently being worked other measures tobe investigated Page 3- 8 nann1e via B i f 1 1JilcNi 'fALENl' ltE i'HOLE Chauuels oiutly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 Approved for Release 2017 12 04 C05106746 b 1 b 3 C05106746 Approved for Release 2017 12 04 C05106746 SECRET 3 5 2 U Strategies to Achieve Goal 1 Review current information processing dissemination and management capabilities De11elop initial measures April 1998 2 Review futllre Information processing May 1998 b 3 SIG Compiling measures data consistently will require additional resources TBD b 3 SIGlN IMIN dissemination and management capabilities Develop and evolve measures cou IMI 3 Review assess mission partner and customer information needs through the Customer Measures Working Group CMWG June 1998 4 Tn nslate 11nd comp11re future mission partner July 1998 DrR DDMS TBD and customer information needs to NRO future capabilities 5 ldentih gaps that must be filled to reach COMO Compiling measures data consistently will require additional resources TBD August 1998 b 3 required capabilities 6 Make recommendations for developing options to 11cltleve required capabilities November 1998 b 3 U Table 2b U To achieve the NRO' s goal to provide tailored information on-demand to customers worldwide the NRO is conducting a detailed review of our present and planned processing production distribution and dissemination efforts At the completion of this review the NRO will translate future mission partner and user needs to our future capabilities This process will identify gaps in the ability of present and planned systems to meet our customer's information processing and dissemination needs The measurement process in this goal is tightly coupled with the other customer goals to ensure a complete understanding ofNRO performance in improving customer satisfaction 3 5 3 U Relationship Between General Goals aod Annual Performance Goals Each desired outcome ofGoal 2 is supported by one or more candidate performance measures listed in Table 2a This table also identifies known baselines and targets for the measures as well as the source of data The candidate performance measures have also been defined in detail in the data capacity section Table 2a serves as a preliminary glimpse of the performance measures and data sources to be used in the upcoming Annual Performance Plan 3 S 4 U Data Capacity The following measures are currently being tracked and will be utilized to measure progress toward the achievement of Goal 2 Page 3- 10 llandle Yla B 1 t N1 'FAbEPff KE¥IIOLE Channelslointly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECMT b 1 b 3 U Timelines are tracked only for specific events or operations Consistent data reporting and analysis will require additional resources The exact nature and cost of required resources is now being explored with NIMA Handle da B¥1sl '1t N 1 Page 3-11 SECREI Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SEiCR£T 3 6 Goal 3 Team With Our Mission Partners to Establish And Maintain Strong Relationships With Our Customers U V The NRO is a key member ofa space intelligence and defense community team that is tasked to ensure U S global information superiority As we lead the effort to revolutionize global reconnaissance the NRO must understand our customers ' operating environments to ensure that they can employ NRO systems fully across a broad range of information needs and operational scenarios Breakthroughs in reconnaissance technologies must be accompanied by breakthroughs in operating concepts employed by our customers and mission partners Thus the NRO team must remain focused on ensuring a productive dialogue Positive customer feedback is tangible evidence of NRO mission success Mr Michael F Munson Special Assistant for National Support SANS Rear Admiral R J Nibe USN Deputy Director for Military Support DDMS 3 6 1 U Desired Outcomes and Candidate Performance Measures 3 1 111proved ilrtuac twn between c111to111ers and the NRO o NRO perception a Caliber ofCustomt'r a TBD a 10% lncmise in% of Customers Green• b TBD b 10% Increase in% of b OSO Feedback Customers Green• UNCLASSIFIED Interaction Self-Assessment a DDMS SANS 1 b Customer perception b Customer Satisfaction Survey V Table 3a • U Customers green refers to a rating system of red yellow and green in which green indicates that the relationship between the NRO and the customer is good and an effective process is in place Percent of customers green equals the· number of customers classified as green divided by the total number of NRO customers Page3- 12 ili CRiuT Approved for Release 2017 12 04 C05106746 - ------ ·-·· C05106746 -- --····-·····-·· ···-· ·· - - - ·-·--·•·-·-·- Approved for Release 2017 12 04 C05106746 3 6 2 U Strategies to Achieve Goal I E tablish II corporvu customer upport cli1'fate with decentrali d execution a DNRO signs oew Customer Suppon Dircclive Directive 10 a May 97 • DDMS provide guidance direction and priorities for customer suppon activities b Develop Customer Support hnplementatioa Plan b July 98 Z Establi ih and manage 1111 internal forum to impro11e coordination cl communication a nong NRO D O I a Establish NRO Cus1omer Support Board b Develop charter and CONOPS • serve as internal coordination mechanism to raise customer support issues to senior management c Identify members DDMS SANS 0 05 a July 97 b Fcb97 DIR DDMS DIR NSS DIR DDMS DTH NSS c Feb97 J Establish strong relationships behwen the VRO Deputy Director for DIR DDMS Military S pport and the Special Assistant for National S pport with their re pective co nterptllff al other lntdligence Community Orgfllliutions uc 1 a s NIMA NSA DIA CMO and CIA a Establish quarterly exchanges between NRO NIMA NSA CIA and CMO 4 Establish procas for contln11l11g infor nation exchange about custo n r environments and NRO R D programs operations a Establish forums for iaformatioo exchange with mission partners users - NRO Quarterlies with mission partners • Annual USSPACECOM NRO Space Support to the Warfighter Conference - Annual DIA NRO National Systems Conference b Establish pro-active customer outreach program • forward presence at kev customer locations with reachback into NRO 5 Sponsor a ftm1m to coordinate 1111d inform national custo1'1ers on NRO new a Dcc98 a June 98 DIR DDMS DIR NSS DIR 0S0 bJ Sept 99 DIR NSS rogram t ctn idn a Continue the Overhead National User Exchange Group chaired the Assistant DCI for Collection • Include civil cnvironmeotal policy and other national users communities • Provide information on operational and planned capabilities a July 97 U Table 3b U To achieve the NRO's goal to team with our mission partners to establish and maintain strong relationships with our customers each NRO customer support organization will understand and participate in a centrally organized and coordinated process This goal requires development ofa corporate customer support process that promotes decentralized execution Details for this approach are described in NRO Directive IO and the draft Customer Support Implementation Plan CSIP The NRO is strengthening the relationships we have with our mission partners in order to maximize support to our customers 3 6 3 U Relationship Between General Goals and Annual Performance Goals Each desired outcome of Goal 3 is supported by one or more candidate performance measures as listed in Table 3a This table also identifies known baselines and targets for the measures as well as the source of data The candidate performance measures have also been defined in·detail in the data capacity section Table 3a serves as a preliminary glimpse of the performance measures and data sources to be used in the upcoming Annual Performance Plan 3 6 4 U Data Capacity The following measures are currently being tracked and will be used to measure progress toward the achievement of Goal 3 U Caliber of Customer Interaction Self-Assessment This measure is a composite measure of our interactions with the NRO customer base The Deputy Director for Military Support DDMS and Special Assistant for National Support SANS will Page3-13 llaalllt ia B11'El'tfAN 'f U Ef'ff' IE E¥110Lll Chan11el11 Jeillt1 Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 iiiCRE r provide a ranking of our interactions with our major customers based on the caliber or quality of the relationships established U Cont This ranking wilt be across all aspects of the NRO from research and development to operations It will provide a mechanism for NRO senior managers as well as personnel involved in customer suppon to understand and set appropriate priorities for our outreach efforts U Customer Satisfaction Survey This is a periodic survey designed to assess customer perceptions of NRO products services image and relationships The survey supports all three of the customer perspective goals by providing a baseline of customer perceptions regarding • The quality ofNRO products and services e g reliability accuracy timeliness consistency and completeness • The quality of our relationship with our mission partners and customers U The survey is pan of a larger customer feedback initiative designed to systematically gather information using various means observations interviews surveys focus groups The results of the survey will provide statistically reliable measures ofNRO customers' perceptions over time This information will give us insight into areas requiring improvement and allow the NRO to focus changes on products services or relationships that may lead to greater customer satisfaction To achieve the NRO' s goal to team with our mission partners to establish and maintain strong relationships with our customers each NRO customer support organization will understand and participate in a centrally organized and coordinated process This goal requires development of a corporate customer support process that promotes decentralized execution Details for this approach are described in NRO Directive IO and the draft Customer Support Implementation Plan CSIP The NRO is strengthening the relationships we have with our mission partners in order to maximize support to our custom'-''TS Page 3-14 Herdla uia B¥EM Ni' T 1 P N'f•tffll l'll8L£ Cl1n11elsleint1 Approved for Release 2017 12 04 C05106746 ·- COSl06746 Approved for Release 201 7 12 04 C05106746 SECM't' 4 Be the Governmenf s Best System Acquisition md Operations Organization 5 Conduct an Aggressive Cus1Dmer Focused Research and Development Progrmn that Fosters Innovation Creativity Figure 7 U NRO Process Improvement Perspective Page4-l SECM 't' Handle ia 11¥1 H Oil TJlcLl Tff-K 1 nr u c n1on@1s nnnr1y Approved for Release 201 7 1 2 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 4 0 PROCESS IMPROVEMENT PERSPECTIVE U 4 1 Introduction U U For several decades the NRO has provided the United States with an unparalleled space reconnaissance capability Today in order to sustain this capability we strive to remain at the forefront of technology and to apply these innovative technologies to the satellites acquired and operated by the NRO Additionally the NRO has attempted to raise the standard for both satellite acquisition and operations through numerous process improvement initiatives This commitment to internal process improvement has enabled us to better serve customers which ultimately serves to strengthen U S national security Goal 4 Be the Government's Best System Acquisition and Operations Organization U U Our systems acquisition and operations are and should be the standard for the rest of the government We need to be the undisputed leader in our efficiencies and in the effectiveness of our processes Goal 5 Conduct an Aggressive Customer Focused Research and Development Program that Fosters Innovation and Creativity U U This goal addresses our development and application of advanced concepts and technologies to space reconnaissance and services and related systems Advanced concept demonstrations investments in mission-unique areas exploitation of commercial technologies and leveraging via government and industrial partnerships are examples of activities that we will pursue 4 2 Strategic Initiatives U U The following are examples of strategic initiatives that focus on the NRO's three primary processes research and development acquisition and operations These initiatives have been instrumental in moving the NRO toward accomplishing the process improvement goals 4 2 l U Emphasis on Revolutionary Technology The NRO vision statement reiterates a commitment to revolutionizing global reconnaissance To accomplish this revolution the NRO is championing the development of technological solutions to solve the industry's most challenging information problems Examples of some initiatives that focus on fostering these enabling technologies include a change in the management of research and development and an investment in new revolutionary technologies I n 1997 the NRO combined numerous internal research and development activities into a single Advanced Systems and Technology Directorate AS TD Additionally the NRO has increased its traditional research and development investment level from six percent of the budget to ten percent to ensure our efforts are afforded the greatest opportunity for success b 1 b 3 4 2 2 U Acquisition Improvement Because the NRO recognizes that its future depends on how well it acquires systems today the NRO has initiated a number of programs that focus on improving the acquisition process within the NRO Examples of these types of initiatives include the Acquisition Steering Group ASG the Acquisition Center of Excellence ACE and the FASTMAX contract vehicle U The ASG was formed to ensure that acquisition reform initiatives are shared throughout the NRO This monthly forum is chaired by the Deputy Director of the NRO DDNRO and is represented by each Directorate and Office D O In addition to the ASG the NRO established the ACE for the purpose of identifying best acquisition practices The ACE frequently interacts with external agencies to discover and implement these practices It provides program directors from the NRO and its mission partners with the critical support tools and the expertise necessary to conduct efficient streamlined acquisition of national priority Page4-2 SECRET JIHflle ia RWH N TALENT DUIQLE ChH1tel1 Jeiat · Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 U Cont goods and services Finally FASTMAX was instituted in order to provide standardized project management This vehicle also provides a significant cross-flow of information between the various directorates offices and staff elements 4 2 3 ft 8'f Operations Improvements In addition to the many programs that have been undertaken to improve acquisition the NRO has initiated several improvements to the operation of the satellite ground stations The NRO is 4 3 Key External Factors Impeding Goal Accomplishment U 4 3 1 U Shifting Customer Requirements NRO programs are affected by rapidly changing customer requirements and priorities These shifting customer requirements could make it difficult to accomplish our acquisition and operations goal because the satellites acquired and operated by the NRO may not be able to change priorities as rapidly as customers requirements can shift Additionally accomplishment of our research and development goal could conflict with changing customer requirements by its very nature research and development is a time-consuming process that may result in some dead ends and redirection as customer needs change In order to mitigate the effects of shifting customer requirements a variety of user exchange forums and requirements data calls are frequently used to review all NRO programs against current user needs These forums help to ensure that the NRO understands and adjusts appropriately to changes in customer requirements 4 3 2 U Changes in the Space Industry Over the last few years the U S space industry has undergone significant changes such as commercialization the ability to mass produce small highly capable satellites and on-going technological improvements in sensors materials and data processing and storage technologies Failure to adjust to these innovations could potentially have an impact on the NRO goal of being the best system acquisition and operations organization in the government as well as our goal to foster a customer-focused research and development effort U The NRO approach to revolutionizing global reconnaissance is highly dependent on collaboration with other government organizations and private corporations in the aerospace industry A downturn or slowdown in this industry would not only force a change in the NRO approach but it could also potentially limit our ability to leverage common industry products and services e NRO approach to improving our acquisition and operations processes is to move from cost-incentive contracting to more firm-fixed price procurements allowing us to buy-on-orbit Without a robust space industry that provides common services to many customers the NRO will be required to invest more heavily in common services as opposed to the technologies unique to our mission However upward trends in the space industry are expected to continue and the NRO is capitalizing on these trends through internal process actions and initiatives such as the establishment of AS TD and the ACE and the further consolidation of operational ground processing sites These efforts are focused on reducing current operations and acquisitions costs and maximizing future NRO investment potential 4 3 3 U Budget Limitations As overhead intelligence needs change and innovations in technology offer improved collection and dissemination options the NRO is investing a higher percentage of funding into revolutionary research and development efforts Major fluctuations in the budget can have a serious impact on the accomplishment ofNRO research and development acquisition and operations goals It is critical as the NRO implements a more commercial approach to acquisition that it maintains a consistent program baseline As the NRO moves away from cost-driven contracts for major systems developments to a fixed-price procurement approach a stable set of customer requirements and a consistent funding profile become increasingly important Haallle ia B¥1 ltt lrt« f C Page 4-3 Sl lCH'I' Tl Li DYIIQLI c 11aaaels Jeiad9r Approved for Release 2017 12 04 C05106746 b 1 b 3 C05106746 Approved for Release 2017 12 04 C05106746 SEJCRl T 4 4 Goal 4 Be The Government's Best System Acquisition And Operations Organization U U The purpose ofthis goal is to drive down the costs ofcurrent procurements and operations to allow us to invest in the systems or the future To be Freedom's Sentinel in Space we have to adapt to changes in best business practices and operations concepts to provide new capabilities and to continue the overall mission ofInformation Superiority from now and into thefirst quaner ofthe 21st Century Mr Dennis D Fitzgerald Director SIG NT Systems Acquisition and Operations 4 4 1 Desired Outcomes and Performance Measures U U Table 4a a by acquiring NRO sy tems on-time and within budget c f y increased industry responsibility for end-to-end performance d by documenting NRO 's best in class acquisition process e by inc reasing the consistency within NRO acquisitions a I Acquisition Schedule Integrity ASI • Milestone Achievement • Milestone Volatility a2 Earned Value EV • Schedule Performance Index • Cost Performance Index b TBD a I NRO Master Schedule a2 Program EVM Oata b TBD c TBD c TBD c TBD c TBD d Compare NRO's ASI and EV to DOD NASA and FAA e Number of audit reviews in compliance with the NAM and d TBD d TBD e TBD e TBD d Benchmark Study e Compliance audit reviews a TBD a TBO FAR 4 2 Improved satellite u11d ground a Directorates and Ground Stations b TBD b TBD b Directorates and Ground Stations c TBD c TBD c Directorates and Ground Stations llalldle ia B7rEPtl rPJ t fale11t 11 eyhele €h•••els Jei• ' Page4-4 Approved for Release 2017 12 04 C05106746 b 1 b 3 C05106746 Approved for Release 2017 12 04 C05106746 Sl CRE'F 4 3 Improved external perception of tl e NRO's acq11isition and operations rocesses a Improved arernal perception within industry a % of companies surveyed that list NRO as one of the 3 premiere acquisitions and operations organizations a TBD a TBD b Improved external perception within government b % of organizations surveyed that b TBD b TBD c by providing increased understanding and education on NRO Acquisition I Operations to external organizations c TBD c TBD c TBD TBD b TBD list NRO as one of the 3 premiere acquisitions and operations organizations a NRO Annual Commercial Acquisition and Operations Best Practices Survey b NRO Annual Govemmeni Acquisition and Operations Best Practices Survey c Customer Survey 4 4 R educed cost of doing business a by allocating more dollars for spacecraft I operations and less for b Directorates and Ground Stations 6Et9RE1'J '8 J'El f1f1V U Table 4a Cont hiddl@ Vii B t EMAI'U I nent Ifey bole Channels cfointly Page4-S Approved for Release 2017 12 04 C05106746 b 1 b 3 C05106746 Approved for Release 2017 12 04 C05106746 4 4 2 Strategies To Achieve Goal £S IB I Modify the NRO D 'quisition policy a Adopt commercial-like acquisition practices to streamline the process 1 Monitor legislative changes to acqlli sition policy a Update the NRO Acquisition Manual NAM to reflect changes b Develop training courses to educate the acquisition workforce 2 Solicit ideas for improvement from the work-force a OC All-Hands conference 3 Coordinate with NRO's industry partners and monitor acquisition reform initiatives of other government agencies 4 Implement FAR 12 IS changes a Update the NAM b Develop and deliver training courses for the workforce 5 hnplement lMPAC credit card initiatives b Maximize use of automation tools to allow the acquisition workforce to work smarter not harder I Deliver acquisition policy to the workforce' s desktops a Utilize OC webpage to disseminate policy changes I Updates to the NAM 2 NRO acquisition circulars 3 OC administrative notices 2 Develop tools to collect required reporting data a Past pcrfonnance database b CAAS database 3 Introduce CONTRAX tool to facilitate the process of creating a contract RFP c I Establish Alternative Disputes Resolution ADR techniques and processes for bid protests I Create a program to identify and implement ADR processes 2 Train a team in ADR techniques d Improve the identification arul accounting process for Government Furnished Property GFP 1 Deliver the Property Management Automated System PMAS 2 Develop a process to screen excess equipment within the NRO and make it available for utilization 3 Implement phase II • Enhanced capability to collect and service GFP data in PMAS OG POUCY al Ongoing a Ongoing b Ongoing a2 0ngoing a S 98 a3 0ngoing a4 S 98 a 5 98 b S 98 a5 7 98 bl Oogoiog a Ongoing Ongoing 2 Ongoing 3 Ongoing b2 Ongoing a 10 98 b 9 97 b3 9198 cl 9 98 c2 9 98 di 10 98 d2 7 99 d3 10 99 ------ BJEJkJAiO U Table 4b Page4-6 SECREI Approved for Release 2017 12 04 C05106746 Hanelle la B1 'E I IMiffalcnl Itcyliole Chaeneb Jein C051067 4 6 Approved for Release 2017 12 04 C05106746 Sl ' CRE't' 1 Establish a process to continuiilly updatl anti capltllll e on opn-ations best ra 'tice ¥ a Define NRO operations I Develop definition 2 Identify scope components and attributes b Define what -J cst means 1 Identify attributes that will make NRO the best a brainstorm with team b develop and distribute an internal survey to gather employees input c analyze responses from survey c Gather existing metrics studies on ground stations d Develop measures for best attributes I Brairuitorm initial measures 2 Refme list based on best attributes and metrics studies 3 Conduct feasibility check of measures c Identify operations improvements I Baseline NRO perfonnance 2 Identify areas for improvement based on results from internal survey 3 Establish an NRO baseline for systems availability overall 4 Breakdown major contributors to unavailability 5 Project trends in future as new systems come on-line 6 Identify performance gaps areas for improvement 7 Identify relationship of vehicle spacecraft cost vs system complexity 8 Prioritize list of improvement arcas 9 Recommend focus area for improvement t Investigate and analyze other government and commercial operations I Isolate best practices g Adapt identified best practices to envisioned NRO process h Implement changes train workforce i Continuously measure performance · Apply acquisition reform lesson in an hitecture decision process I Do not make blind architecture decisions k Investigate • ACE type initiatives for operations innovation and improvements SIGINT GSPO a 2 98 h 3 98 c 4 98 d 5 98 C 7 98 f TBD g TBD b TBD i TBD ' 1TBD k TBD U Table 4b Cont lla ulle ia B1tEMMii faleut Ke hole €haa11el9 J11iatly Page 4 -7 Approved for Release 201 7 1 2 04 C05106746 _ _ __ _ C05106746 ····-·····-· ·-··· ''' ·······--·· ··---·-·-· _ ____ • • ______ Approved for Release 2017 12 04 C05106746 SE€RE'f JJ Establish a procns to continually 11 NUU olfd cr puolhe on u 911 sidon 0 'ACE be 1·t p cticn a Improve the skills of the NRO acquisition professionals I Deliver Acquisition Management Team Training Course 2 Deliver CAAS training course 3 Deliver Commercial Acquisition Training Course 4 Develop full suite of JIT acquisition training modules S Ensure that all COTRs are certified and all COs are warranted 6 Deliver Conl nlctor's Perspective Course b Eliminate delays that results from working in a paper environment 1 Conduct electronic source selection evaluations 2 Create a centralized on-line electronic repository of acquisition documents Contractor Bidders Library 3 Create a paperless environment of real-time communications with industry within security paramctml intranet 4 Transition from intranct to internet communication within security constraints c Identify and implement best acquisition practices in government and commercial organizations I Identify government and commercial acquisition best practices a Conduct benchmarking studies b Participate in interorganizational working groups c Participate in informal discussions briefings industrial government tourism 2 Establish a best practices review and implementation process a Develop a best practices review panel b Review best practices to identify practices to should be incorporated at theNRO c lmplemcnt chosen practices incorporate into training source selection and program management d Conununicate acquisition best practices as implemented I Publish an end-to-end how to Source Selection Manual incOtpOTI1ting known best practices and FAR guideline revisions 2 Develop a Lessons Learned collection process and database repository c Determine ifNRO systems are acquired within schedule cost and performance objectives I Integrate Earned Value Management on the desktops of technical financial and program managers al 9 98 a2 9 98 a1 4 98 a4 8 98 a5 9 00 a6 9 98 b l 6 97 b2 6 97 b I ______ funded b3 10 98 b4 9 00 cl ongoing c2 9 98- ongoing d i 6 98 d2 9 98 e l S 99 U Table 4b Cont U The objective of this goal is to drive down the costs of current procurements and operations to allow the NRO to invest in the systems of the future In order to become Freedom's Sentinel in Space the NRO must adapt to changes in best business practices and operations concepts This will allow us to provide new capabilities and to continue the overall mission ofinfonnation superiority now and into the 21st Century In support of this goal two working groups have been developed one focusing on acquisition and the other on operations U On the acquisition side some initial tasks have been identified to enable NRO acquisition professionals to conduct their business more effectively and efficiently This begins with improving the common skills of all NRO acquisition professionals and developing greater consistency across NRO acquisition activities n addition to training the workforce other initiatives have been identified to improve the acquisition process One of the most promising is to establish a paperless environment of real-time communications with industry Another significant action is to identify acquisition standards in the government and private industry so that the NRO can conduct frequent infonnation exchanges This dialogue will concentrate on common contracting and programmatic issues in order to increase our awareness of the latest innovations and improvements Likewise the NRO will learn from these opportunities what internal areas are in need of improyement U As best practices are identified they will be reviewed by a panel to determine how to implement them within the NRO It will be essential to communicate these practices so that they can be used throughout the entire acquisition process A key element of this action plan is to integrate Earned Value Management onto the desktops of technical financial and program ffHildle Via B 'fflMM•ffaleut KeJbele Cbenoels TqJndf Page4-8 Approved for Release 2017 1 2 04 C05106746 b 1 b 3 C05106746 Approved for Release 2017 12 04 C05106746 managers This will allow these man agers to determine ifNRO systems are being acquired within schedule cost and lla11dle ta B ll lMANf'l'Dttmt Keylmle hiuufls J'U1nl1y Page4-9 Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C051067 46 SECR l ll U Cont performance objectives U On the operations side some initial work has been done to identify areas of improvement for NRO operations In support of this effort a working group consisting of members from major operational sites and directorates has been established U The working group initiated the effort by defining the scope of operations and identifying the attributes that would make NRO operations the best The attributes of availability effectiveness and efficiency were identified and top level measures across NRO operations in these three categories arc being developed These measures will be used to obtain a baseJine of current NRO performance U Once the group has established a baseline it will begin to identify areas for improvement and make recommendations The focus will be placed on maximizing operational availability efficiency and effectiveness within the bounds of available resources Another possible way to improve operations is to reduce complexity in mission and payload these improvements in turn have the potential to reduce operational complexity and cost 4 4 3 U Relationship Between General Goals and Annual Performance Goals Each desired outcome of Goal 4 is supported by one or more candidate performance measures as listed in Table 4a This table also identifies known baselines and targets for the measures as well as the source of data The candidate performance measures have also been defined in detail in the data capacity section Table 4a serves as a preliminary glimpse of the performance measures and data sources to be used in the upcoming Annual Performance Plan 4 4 4 U Data Capacity The following measures are currently being tracked and will be used to measure progress toward the achievement of Goal 4 Acquisition Schedule Integrity Tracks program milestone changes against those originally planned and tracks program milestone achievement against the milestones established This measure shows overall schedule dynamics and is a leading indicator of schedule changes Analysis of this measure allows targets to be set for new programs as well as the monitoring of programs with high schedule risk U Earned Value The earned value measure is a key leading indicator of acquisition program performance This measure quantifies the amount of resources and time expended on acquisitions It integrates program scope schedule and cost objectives into a baseline plan against which accomplishments can be measured The measure also combines significant cost and schedule drivers and can be aggregated into a single NRO earned value composite view Additionally it can be used to compare NRO and similar DoD and NASA acquisition efforts U Operations Availability Measure This measure tracks the overall availability ofNRO operational assets Availability is a system performance parameter that is a ratio of the total accomplished executed mission time or imaging operations versus the total planned operational mission time or imaging operations Trend availability in terms of system complexity measures will also track system scheduled versus unscheduled outage time U Operations Effectiveness Operational effectiveness measures critical characteristics of the NRO operations output that meet customer requirements Although NRO data can be described by multiple characteristics that define effective operations a top level measure for NRO Operational effectiveness is data production volume and the corresponding loss rate U For imagery intelligence IMINT operations effectiveness is a measure of the volume ofNRO imagery products tracked over time as well as the loss or failure rate as a percentage of total volume b 1 b 3 U Operations Efficiency This efficiency measure for NRO operations addresses the efficiency with which our processes Handle • ia B'i'EM 'c 'iR'alent Ke hele '3haBBel11 Jei11 1 Page 4 • 10 Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 U Cont are functioning The output of products in terms of the operational cost resources required to produce deliverable products The actual measure is TBD U Number of Unique Systems Delivered to the Ground Stations This measurement will track the number of unique systems versus the number of standard systems delivered to the ground stations By identifying a baseline for the number of unique systems delivered to the ground stations we will be able to determine the level of standardization that has occurred The level of standardization is important because increased system complexity eads to increased system cost U NRO Commercial Acquisition Best Practices Survey The acquisition and operations best practices survey is an annual survey designed to gather information on commercial space system procurement and commercial space system operations practices The survey supports the acquisition and operations goal in the internal process perspective by gather information on • Customer supplier interactions • Acquisition procurement processes and planning • Spacecraft operations • Acquisition and operations best practices U The results of the survey will identify areas where the NRO can focus on improving acquisition and operations practices and will provide commercial perceptions of the best acquisition and operations organizations both government and commercial Page 4 · ll SECREI Approved for Release 2017 12 04 C05106746 lteyllDlt ebaauels Mutty C05106746 Approved for Release 2017 12 04 C05106746 SECRe't' 4 S Goal S Conduct an Aggressive Customer Focused Research and Development Program That Fosters Innovation and Creativity U U Achieving this goal will dramatically enhance the value ofNRO products and services and enable revolutionary advancements in space reconnaissance critical to satisfyingfuture customer information needs NRO research and development will aggressively pursue advanced sensor technologies and collection systems that provide new and unique sources of information Another major focus will be next generation information system technologies and architectures thatfacilitate efficient exploitation of NRO data products allow seamless interoperability with our mission partners and virtually eliminate communications constraints across space and terrestrial systems Additionally our technology program will target new and innovative ways ofreducing system acquisition and life-cycle costs to ensure information superiority at an affordable price Mr Robert Pattishall U Working closely with our customers mission partners and technology allies we willfoster Director Advanced collaborations that will permit us to leverage each other's technology investments This will Systems and Technology result in an efficient and effective technology program that maximizes investment opportunityfor AS T NRO mission-unique technologies and provides significant synergistic benefits across the U S government technology enterprise 4 S l Desired Outcomes and Performance Measures U U Table 5a 5 1 Rnolutionary reconnaissance capabllity tlrat meets customer needs for global coverage and infor nation on demand a Projects with identified transition date Percentage of NRO R D budget representing projects with transition dates to customer b 1 b 3 bL_j b Revolutionary Projects in Current Fiscal Year Percentage of the NRO R D budget deemed to represent revolutionary projects in the current fiscal year a Collaboratively funded efforts 5 2 Efficient 1111d effective advanced technology progrom built on co loboration with mission partners ond technology allies a TBD b AS T a Greater a AS T leverage on R D efforts Handle via Bl 'El tMvfl'altnt IG131hel1 Cllaaael1 IoiaSl9r Page4-12 Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SE€RIB'f 4 5 2 Strategies To Achieve Goal U 1 Identify the needs ofour customers a Establish customer interaction needs identification plan b Execute plan and update as necessary 2 Develop technologies and syste•s responsive to our customer's needs a Establish plan to incorporate customer needs into technology development strategy b Execute plan and update as necessary a 12 97 AS _ b 3 b Continuous AS l b 3 AS i b 3 a 12 97 b Continuous 3 Discover and leverage competencies outside the NRO a Build knowledge base of other R D programs b Forge interactive relationships with R D allies andpartnm c Seek collaborations that have value for mission partners and allies 4 Staff research and development teams with the right mix oftop people a Develop a plan with HRMG to support R D staffing 5 Create an environment that encourages Innovation and risk taking a Consolidate the R D organization with a revolutionary focus b Increase investment share for innovative initiatives c Pursue an aggressive flight demo program d Provide a proving ground for new acquisition practices e Provide unconventional organizational approach to problem solutions 6 Provide consistent fMnding and support to R D programs a Define objectives for investment and stick to them b Int egrate roadmaps with clear decision gates and transition strategies c Emphasize multi-year planning d Form a technology customer board of directors e Increase AS TD resource allocation authority a 10 97 b Continuous c Continuous AS T DIR a 11 97 AS T DTR a Complete b Complete c Continuous d Continuous e Complete AS Tj b 3 a Continuous b Continuous c Continuous d 1 98 e 10 97 U Table 5b U AS T's Strategy for Technology is focused on the NRO's Customer Satisfaction Goals-- lo provide assured timely global coverage and tailored infonnation on-demand to customers world-wide To achieve those goals AS T conducts an aggressive collaborative customer focused research and development program fostering innovation and creativity To make the program robust the funding profile for research and development is being increased The program continues essential investments in evolutionary technologies critical to maintain the viability of the current generation of systems and focuses new investments in revolutionary new capabilities required to address the nation's infonnation imperative of the 21st Century The technology investment strategy represents a cohesive research and development program that identifies and develops new customer focused concepts and technologies matures those that show great promise and flys those thal require large scale demonstration prior to Naalll11 'ill 11¥i H 6 Nct11l1111t Page4-13 SEiCMl'f Approved for Release 2017 12 04 C05106746 Ke 1 hele €haallel11 Jeill - C05106746 Approved for Release 2017 12 04 C05106746 transition To multiply resource effectiveness AS T has substantively expanded research and development collaboration with U Cont customers mission partners and technology allies to leverage their investments learn about developments relevant to our mission and identify new partnering opportunities Finally to ensure we have the right mix of talent leading our research and development activities AS T works directly with the NRO human resources group to recruit-highly skilled staff and provide the requisite career development opportunities 4 5 J U Relationship Between General Goals and Annual Performance Goals Each desired outcomes of Goal 5 is supported by one or more candidate performance measures as listed in Table Sa This table also identifies known baselines and targets for the measures as well as the source of data The candidate performance measures have also been defined in detail in the data capacity section Table Sa serves as a preliminary glimpse of the performance measures and data sources to be utilized in the upcoming Annual Performance Plan 4 5 4 U Data Capacity The following measures are currently being tracked and will be used to measure progress toward the achievement of Goal 5 U Projects with Identified Transition Dates This measure represents the first pillar of the NRO strategic elements customers This is the number of projects expressed as a percentage of the research and development budget that have a date identified for when they will be transitioned to customers This date will be jointly established by the customer and NRO The measure supports the R D goals of identifying and developing solutions to meet the needs of customers U Research and development programs throughout the government are often perceived as a collection of pet projects To avoid that perception the NRO research and development program clearly demonstrates a direct tie and commitment to customers and their toughest intelligence problems Research and development programs require strong support to provide consistent funding over the life cycle of a developing technology A strong supportive customer base is essential not only to maintain support but to provide frequent feedback on technology application and performance goals U CoUaboratively Funded Efforts Collaboration is the second fundamental principle underlying our strategic planning Collaborative projects are those that are partially funded by one of our technology allies or mission partners The level of funding from the outside organization must be significant defined as representing budget line items BLI level funding in their respective budgets - an amount that would be separately tracked and justified as a program This measure supports our goal of leveraging technologies outside the NRO U The NRO can not pursue solutions to the future reconnaissance challenges on its own Hard targets and intractable problems increasingly demand multisource intelligence collection Collaboration with partners and allies on joint projects will be essential The DNRO has the ability to influenccboth the unclassified and the classified space programs that will increasingly rely on similar advanced technology to provide information superiority U Our stakeholders and the American taxpayers are demanding a more efficient and effective space program that not only leverages technology investment but shares technologies and transfers them to the commercial sector for wider application U The fraction of the NRO research and development budget that is spent on collaborative projects is an indication of how aggressively we are pursuing collaborations U Revolutionary Projects in the Current Fiscal Year This measure addresses the third pillar of the AS T core strategic elements revolution Specifically this measure tracks projects expressed as a percentage of the research and development budget that can be defined as revolutionary in a given fiscal year The definition ofrevolutionary can be found in the AS T Strategic Plan One element for defining these projects is the five strategic thrusts • Solving hard targets • Orders of magnitude increase in efficiency and effectiveness • Solutions to intractable problems • Frontiers of exploitation and processing • Enabling space services This measure will provide the DNRO with insight into the rate at which the newly centralized research and development Page4-14 SECREI Approved for Release 2017 12 04 C05106746 llandle ta B 't'ertl7 Nl'fllleut Ke' ¥hele f haaael1 loia lf C05106746 Approved for Release 2017 12 04 C05106746 813€Ml'f program is shifting focus from evolutionary to revolutionary programs This measure forces research and development leaders S Cont to continually challenge conventional thinking and to adhere to the strategic plan and the overall capabilities goal set bytheDNRO Page4-1S SECktT Approved for Release 2017 12 04 C05106746 Handle via Bf EMJffl Tldeiil 1'eyllel1 ll•aaole loiedf - C05 1 06746 Approved for Release 2017 12 04 C05106746 Sf CHFF Crea11 and Maln1aln a World-Class NR OWarkforce Who Wi II Reva lutioniD Global Raconnaisance 7 Provide a Quality Work Environment that Enables Our Worktarm ta Excel 8 0 valap a Streamlined Op•n Carporatlt Management Clinatlt Figure 8 U Employee Satisfa ction Perspective Page 5-1 Handle via B t l blENI 'f7' Ll N'f•lffi7fil8LI ChauLds lointly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 S O EMPLOYEE SATISFACTION PERSPECTIVE U S 1 Introduction U U The NRO vision which calls for One Team Revolutionizing Global Reconnaissance recognizes the important role that employees u timately have in the success ofthe NRO The One Team concept emphasizes that both government and contractor employees are the foundation ofNRO' s support to the Department of Defense DoD and the Intelligence Community IC The NRO has identified three goals in this perspective that focus on increasing employee satisfaction and improving our capability to excel in operating current systems acquiring future systems and conducting the revolutionary research mission partners and users demand Goal 6 Create and Maintain a World-Class NRO Workforce Who Will Revolutionize Global Reconnaissance U U People are the NRO's greatest asset The NRO team must be informed and empowered to meet the challenges of revolutionizing global reconnaissance Opportunities abound to contribute to and share in the NRO's success the objective is to maximize the NRO's potential by giving everyone the opportunity to engage in challenging work where efficient and effe -1ive performance is rewarded equitably In turn we depend on each of our NRO team members to maintain the highest standards of integrity conduct and accountability Goal 7 Provide a Quality Work Environment that Enables Our Workforce to Excel U U Our workforce must feel that they receive the infrastructure necessary and appropriate to accomplish the mission ofthe NRO In this regard by providing appropriate facilities tools information handling and an improved quality oflife through available services the NRO can create an environment that will foster increases in employee productivity and satisfaction and ensure the retention of our world class workforce the latter being an important step in assuring continued support to the NRO' s stakeholder and customer needs To this end a quality environment one in which each and every employee knows the supporting infrastructure is there when needed will allow our workforce to continue to be Freedom's Sentinel in Space Goal 8 Develop a Streamlined Open Corporate Management Climate U U All employees arc critical to driving the continual evolution of the NRO's strategic direction Our corporate climate should foster the ability to perform the NRO's mission supported by an effective decision-making process and clear lines of communication We need to focus on eliminating non value-added processes emphasizing one team employees are the enabler ofour success S l Strategic Initiatives U U The following are examples of strategic initiatives that have been instrumental in moving the NRO toward accomplishment of the employee satisfaction goals S l l U Employee Development Since the inception of strategic planning at the NRO several human resource initiatives to improve the development of employees have been introduced Examples include the implementation of an employee performance recognition program and an evaluation of current training programs U The purpose of the employee performance recognition program is to create a unified One Team approach that establishes equity among employees The program was initiated to respond to the results of the first annual NRO Organizational Climate Survey that identified performance recognition as an area for improvement This-recognition program will provide greater opportunities for employees to be recognized for their contribution In addition this manager-driven program will delegate award approval authority and will give employees and managers greater access to award information U There are also initiatives underway to evaluate and improve NRO training programs Currently the Human Resources Management Group HRMG is assessing training needs and benchmarking training best practices throughout industry In addition the NRO is designing corporate education training and development programs with a core curriculum aligned to our strategic needs The Human Resources Management Group HRMG will provide competency-based training and development to promote a culture of continuous learning and professional growth Page S-2 lla11dle • i11 B VGHl IW 'fi'ILEN'f JiEYIIOl ll '3haanels Joi l f Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 005106746 5 2 2 U Organizational Development Improvement In addition to the employee development initiatives there are a number of organizational development improvement programs that have been helpful in identifying needed improvements throughout the organization Examples of these types of efforts include an Organizational Climate Survey and a workforce analysis U The Organizational Climate Survey provides NRO managers with a full understanding of the strengths and weaknesses of the NRO as a place of employment The survey collects reliable data regarding employee perceptions of the NRO These perceptions are used by NRO managers at all levels throughout the organization to gain insight into aspects of the organizational climate that arc favorable to employees while also identifying aspects that require improvement The results of the first annual survey have been analyzed and have provided a baseline level of performance against which subsequent survey results can be compared U HRMG is conducting an analysis to ensure that the NRO workforce possesses the right set of skills to attain its vision of revolutionizing global reconnaissance The purpose of the analysis is to identify review and compare the NRO's current and future workforce needs Results of the analysis will help to determine the skills knowledge and abilities that will be needed to support our future roles and missions This analysis will also assist HRMG in identifying opportunities to enhance organizational effectiveness 5 3 Key External Facton Impeding Goal Accomplishment U 5 3 1 U Information Security Information security requirements could be an obstacle to implementing several of the strategies identified to achieve the goals in this perspective Information security concerns could delay the introduction of virtual offices and telecommuting concepts However the CIO will establish information technology policies to complement information exchange and business practices for all NRO Strategic Goals including Goal 7 Information technologies and policies should enable innovative business practices afier risks have been assessed to ensure that operational procedures and information technologies adequately protect our valuable information resources Page 5-3 'fW LEPft' lff3YH8LE Ehannd11 Jeiatly Approved for Release 2017 12 04 C05106746 C0510 6746 Approved for Release 2017 12 04 C05106746 S 4 Goal 6 Create and Maintain a World-Class NRO Workforce Who Will Revolutionize Global Reconnaissance U U People are the most important part of the NRO Our p eople are striving to be worldclass--the most dedicated innovative talented and mission-oriented professionals in the Intelligence Community--committed to technical excellence andproud ofthe service we provide As partners in this critical goal NRO people are helping create a strategic human resource plan thatfosters a challenging and productive work environment and encourages and supp orts individual career development The NRO will offer continuous learning and growth opportunities for all employees leading to improved productivity greater retention and organizational excellence Accomplishing this goal is a critical step in our pursuit of revolutionizing global reconnaissance - _ · ' I · ·· I r -- I Brig Gen Robert E Larned USAF Director MINT Systems Acquisition and Operations S 4 1 Desired Outcomes and Candidate Performance Measures U U Table 6a 6 1 llfCIV IIJIU employee satu 11ction 6 1 Extent to which employees are satisfied with their jobs 6 1 88% Agree 6 1 90% Agree a by increasing performance a Extent to which employees think the NRO does a good job recognizing them b Extent to which employees influence their daily work activities c Extent to which employees' work site environment contribute to job satisfaction a 71% Agree a 75% Agree b 83%Agree b 85%Agree c 84%Agree c 85%Agrec c Climate Survey Quality of Life factor a Training hours per employee a 48 Hours a 40 Hours a HRMG b Extent to which employees agree that they have the necessary training IO do their jobs b 88% Agree b 90% Agree b Climate Survey Training Factor a Average number of months that each current NRO employee has worked at the NRO b Extent to which e mployees perceive they have a good job a 86 months for civ 30 months for mil b 93%Agree a TBD a IIRMG b 95%Agree b Climate Survey My Job Factor recognition b by increasingjob involvement c by reducing stress 6 2 Increased workforce preparedne11s a by maintaining the industry standard ofannual training hours per employee b by improving employee perception that they have the training required to de their jobs 6 J Increased employee retendon t proved experience levell· a by reducing voluntary turnover ofgovernment employees b by increasing positive job attributes 6 1 C limate Survey Job Satisfaction factor a Climate Survey Performance Recognition Factor b Climate Survey Involvement factor Unclassified Page 5- 4 SSCM 'f handle via B 'EMANJ 'f A' LEN't'•Hll't'tl6L ebannels Julndy Approved for Release 2017 12 04 C05106746 C051067 46 Approved for Release 2017 12 04 C05106746 CJ Table 6a Cont 6 lncretl led employu pnform1111ce 1111d a by encouraging employee professional development competence 6 5 A more flexible organizmion by increasing employee awareness ofstrategic direction a bj by providing stronger directional leadership c by increasing positive supervision a 85% Agree a Extent to which employees perceive a clearly communicated vision b Extent to which employees perceive strong directional leadership c Extent to which employees perceive positi ·e supervision a Climate Survey - Awareness in Sttategic Direction Factor b 83% Agree b 85% Agree c 82% Agree c 85% Agree b Climate Survey Leadership Factor c J Climate Survey Supervision Factor fi6 66AAi m o r e p rod u cti 'v e- w o- k p li a ce --j · · · · a by improving emp loyee perceptions of the work environment al the NRO Unclrusified Page 5 -5 SlliCRE r llaBlile ia B¥Bl'tb Nf 't'A LEl 'ff Itll7i'fl0Lf biuoelS JUlntly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 S 4 2 Strategies To Achieve Goal U U Table 6b Strengthen the link between human resourt e planning and NRO strotegic direction a Facilitate support and strengthen strategic linkages between HRMG other goal areas b Identify companies who are best-in-class c Baseline the workforce d Translate NRO's strategic goals into HRMG operational praclices 2 Refine the staffing process to recr11it select and ossign NRO emplqyees with the tolent ond experience required to accomplish our mission a Recroiting external to the NRO - Baseline NRO recruiting processes - Benchmark recruiting best practices - Analyze processes identify improvements - refine processes to refine improvements - seek assistance from parent organizations to improve performance - Implement changes to current processes - Measure average cycle time at each pan of the process to assess perfonnance and provide feedback b Selection assignments internaVreassignrnent - Baseline NRO selection and assignments processes - Benchmark selection and assignments standards with parent organizations - Analyze current processes and identify areas for improvement - refine processes to initiate improvements - seek assistance from parent organizations to improve performance c Succession planning - Baseline NRO Succession planning activities - Benchmark succession planning best practices from industry and other government agencies - Identify a succession planning model for the NRO - Conduct a succession planning exercise at the NRO - Measure perfonnance provide feedback and refine processes MS O HRMG a Completed b Completed c On-going d 10 98 MS O HRMG a On-going b On-going c 10 98 Unclassified Page 5-6 llaadlc ti BI f 1'1Ai''il TA' Lf N'f•IH t'll6L €haunels Jointly Approved for Release 2017 12 04 C05106746 ·-·····-···---· C05106746 ___ ___ _ ·--·· Approved for Release 2017 12 04 C05106746 SECREI U Table 6b Cont 3 Dnelop and maintain a world-class corporate education training and developtnent program a Requirements and assessment - identify training implications of business goals - develop training to meet NRO core mission and roadmap and address NRO problems - assess the existing NRO education system - benchmark training best practices - conduct training needs assessment - develop occupational competency models - link competencies to training b Training management and administration - implement training management system - develop on-line catalog of available training - use intranet to circulate training information - acquire authoring instructional materials software - develop and implement training guidance - project training resource requirements through 2000 - establish and fund NRO training goals - establish NRO University concept c Curriculum design and implementation - design and implement curriculwn for NRO - newcomers' orientation COTR training information systems security training - instructor training Microsoft Nff and Office 97 training Harassment-Free Workplace training financial management training d Alternative methods oflearning - explore future directions for training and development - implement desktop training distance learning - establish partnerships with academic and corporate universities - establish NRO University concept establish learning centers - develop new rotational programs - measure training results - training outside the box a l0 98 MS O HRMG - $ impact on Comm architecture - Unfunded requirement for Corporate Training b 2 99 c l 99 d 1 99 Unclassified Page S-7 ftandle via B t JJr uu Thl ilSNT H¥HQLI llaaatle Ieinti ' Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 Sl Cftt T U Table 6b Cont 4 FotJter employee professional development for continued career growth and competidve standing a Mentoring - develop research and action plan - baseline NRO mentoring programs - benchmark mentoring programs formal and infonnal in government and private sector - analyze data identify best practices and determine NRO mentoring needs - develop and implement mentoring programs to enhance employee development - measure results b Career planning - develop re11earch and action plan - baseline NRO career planning practices - benchmark career planning in government and private sector • analyze data identify best practices and determine NRO career planning needs - develop and implement career planning programs to achieve results - measure results 5 Dneiop a perforllfance recognltwn progra that encourages an organizational climate for action per ormance appraisals and recognition award rogram a Performance Appraisals - baseline NRO performance recognition programs - baseline performance recognition best practices - identify performance recognition deficiencies - identify recognition fixes - implement recognition fixes - measure recognition results - provide recognition feedback - performance recognition outside the box b Recognition Award Program c Promotion - develop research and action plan - baseline NRO promotion rates - benchmark the promotion rates of parent organizations - analyze promotion rates and develop metrics - track promotion rates and make data available to employees to achieve results - measure promotion rates and employee perceptions of promotion rates a 8 98 MS O HRMG b 8 98 a TBD MS O HRMG b 10 98 c TBD Unclassified U At the inception of this goal a cross-functional team was established to develop action plans to implement changes that will enable the NRO to create and maintain a world class workforce Because of the breadth of issues that impact the workforce this goal was further divided into five sub-goal areas • Human Resource NRO Strategic Direction Linkage • Staffing recruiting selecting assigning Handle viG B l'EP li lllil Page 5-8 't' ALl Pff•lttn·m u Chibb@II JUlbtly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECREI •Education Training and Development • Professional Development • Performance Recognition U Each sub-goal area has an individual action plan and has an assigned manager to ensure that progress is made toward goal accomplishment Performance in each sub-goal area has been assessed through the implementation of performance measures and sub-goal teams have been established to identify problem areas research best prnctices and implement meaningful changes Examples of progress to date include the launch of a new employee recognition program a pilot 360 degree feedback program and the development of a Human Resources Strategic Plan 5 4 3 U Relationship Between General Goals and Annual Performance Goals Each desired outcome of Goal 6 is supported by one or more candidate performance measures as listed in Table 6a This table also identifies known baselines and targets for the candidate measures as well as the source of data The specific candidate performance measures have also been defmed in detail in the data capacity section Table 6a serves as a preliminary glimpse of the measures and data to be used in the upcoming Annual Performance Plan 5 4 4 U Data Capacity The following candidate performance measures are currently being tracked and will be used to measure progress toward the achievement of Goal 6 U Organizational Climate Survey The organizational climate survey is an annual survey designed to assess employee perceptions of key organizational factors The survey supports all three workforce development goals by gathering employee perceptions regarding •Tools Information infrastructure e g hardware software and networks • Facilities e g office parking and supplies -Quality of Life e g work hours and on site services •Employee Development • Overall Climate • Job Satisfaction •Employee awareness of and involvement in the NRO strategic direction •Training U The results of the survey provide statistically reliable measures ofNRO employees' perceptions over time This infonnation provides insight into areas requiring improvement allowing the NRO to focus on policy or management changes that may lead to greater worker satisfaction involvement and productivity U Training Hours per Employee Training hours per employee looks at the number of hours of formal training that NRO government employees attend The number of training hours per employee provides an indicator to the Director of the NRO DNRO of the investment that is being made in the NRO workforce The actual amount of training and development that is occuning impact the degree to which the NRO workforce's skill set is remaining current and therefore impacts the level of productivity of the workforce This information can then be used to compare training at the NRO to training against industry best practices U Organizational Experience Base Organizational experience base measures the average number of months that the current government workforce has been employed at the NRO The average organizational experience base provides insight to the DNRO regarding trends in institutional experience It also provides a potential indicator of interest with regard to member processing costs recruitment requirements orientation and training needs and NRO cultural stability Page5-9 iil CRliiT llaatllt •Aa B¥ l l t Nt T Li m VFYUOJ F Cllaarels Jeiatlf Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 S S Goal 7 Provide a Quality Work Environment that Enables Our Workforce To Excel U U Our goal is to create a quality work environment that supports our employees and makes them proud to work for the NRO We will accomplish this by providing employees with the appropriate tools and environment necessary to accomplish theirjobs Most importantly we will supply them with a comprehensive set ofservices that will aid in enhancing employee productivity and increase job satisfaction We are also dedicated to looking into the future to give our employees the infrastructure necessaryfor one team revolutionizing global reconnaissance All these things are possible as long as we provide continued support to the NRO 's vtakeholders and meet the customer · need v Mr Roger C Marsh Director Management Services and Operations MS O S S l Desired Outcomes and Candidate Performance Measures U U Table 7a 7 1 Increased employee productivity a by increasing employee perception that they have the correct tools and information infrastro cture to do their job 7 2 Increased employee saw action a by increasing employee perception that the condition and the basic services oftheir site enable them to do their jobs effectively b by increasing employee satisfaction with the amenities available at their site 7 3 Retentfon ofa world-class workforce a by increasing the average number of months that each current NRO employee has worked at the NRO partially attributed to providing a quality work environment a % of employees that agree that they have the correct tools and information infrastructure to do their jobs a 82 77% a % of employees that agree that the condition and basic services of their site enable them to do their jobs effectively a 91 46% b % of employees that are satisfied with the amenities provided at their site b 89 3% Agree b 93 77% a Organizational Experience Base a 86 Months a TBD Agree Agree a 86 91% Agree a Organizational Climate Survey - Tools Information Infrastructure Survey Factor a 91 46% a Organizational Climate Survey - Facilities Survey Factor Agree Agree b Organizational Climate Survey - Amenities Survey uestion a HRMG Unclassified Jlaudlc ia B'IBl l1lt'U Page S-10 i r CUT Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 S S 2 Strategies To Achieve Goal U U Table 7b I Ba seline the work environment at all NRO sites In terms of a faciUties b tools c information infrastructure d quality of life a Design and administer datacall to NRO sites b Collect infonnation from the datacalls that shows what currently exists at each NRO site c Reconcile information from datacall with NRO headquarters information N A DIR SP N IA MS O NIA MS O COMM NIA MS O FTE hours expense currently unfunded to be determined by extent of improvements required at each site MS O COMM Expenditure for rental space may be a factor a 8 97 b 11 97 c 12 97 2 Baseline employee perception of the work environment a Design and administer survey of all NRO employees b Communicate survey results to workforce MS O a 12 97 b 3 98 3 Identify required improvements a Conduct site visits in order to identify areas for improvement on a site by site basis - Establish focus groups to determine specific issues if necessary b Conduct benchmarking to identify best business practices c Develop improvement recommendations 4 Develop a conceptual workplace of the future a Research state of the art work environments b Identify best practices that can be adopted -Telecommuting video phones virtual work environments c Identify areas where NRO can accelerate declassification to facilitate the workplace of the future d Develop a vision of the end state work environment 5 Implement changes a Develop plans for infrastructure upgrades at each site b Prioritize plans for implementation at each site c Execute infrastructure upgrades at each site based on necessity cost a 3 98 b 3rd Qtr 1998 c 3rd Qtr 1998 a 2 98 b 4 98 c Summer 1998 d 4th Qtr 1998 a 3rd Qtr 1998 b 3rd Qtr 1998 c FY 98 99 6 a Update the conceptual workplace ofthe ture and b continuously improve NRO sites in general a Re-survey employees periodically - Ensure that the environment and quality of life are being maintained b Identify required improvements c Continue to perform required upgrades a Annually b Annually c Annually Unclassified Page 5-11 H11a1l h ·ia 11¥1 H ti Ni' Tl LENT IGJ1fll0LE ehaaaels Jeiatl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SE€ T U The Goal 7 team has undertaken several initiatives in order to achieve their goal of providing a quality work environment that will enable the NRO workforce to excel They initiated this effort by distributing a datacall to NRO sites with more than ten government employees This datacall was developed in order to obtain an inventory of the facilities technologies and amenities that currently exist at each site The information from the datacall in conjunction with the results from the NRO Climate Survey will be used to identify potential areas of improvement Once the potential areas of improvement are identified the NRO will conduct a feasibility analysis in order to prioritize improvement areas U In addition the Goal 7 team has also begun to research the workplace of the future The feasibility and practicality of cutting edge human resource initiatives will be investigated for possible implementation at the NRO This will allow fornot only a maintained quality oflife at the NRO but a continuously improved one as well S S 3 U Relationship Between General Goals and Annual Performance Goals Each desired outcome of Goal 7 is supported by one or more candidate performance measures as listed in Table 7a This table also identifies known baselines and targets for the candidate measures as well as the source of data The specific candidate performance measures have also been defined in detail in the data capacity section Table 7a serves as a preliminary glimpse of the measures and data to be used in the upcoming Annual Performance Plan S S 4 U Data Capacity The following candidate performance measures are currently being tracked and will be used to measure progress toward the achievement of Goal 7 U Organizational Climate Survey The organizational climate survey is an annual survey designed to assess employee perceptions of key organizational factors The survey supports all three workforce development goals by gathering employee perceptions regarding • Tools Information infrastructure e g hardware software and networks Facilities e g office parking and supplies Quality of Life e g work hours and on site services Employee Development Overall Climate Job Satisfaction Employee awarl-'lless of and involvement in NRO strategic direction Training U The results of the survey provide statistically reliable measures ofNRO employees' perceptions over time This information provides insight into areas requiring improvement allowing the NRO to focus on policy or management changes that may lead to greater worker satisfaction involvement and productivity U Organizational Experience Base Organizational experience base measures the avl- fage number of months that the current Government workforce has been employed at the NRO The average organizational experience base provides insight to the DNRO regarding trends in institutional experience It also provides a potential indicator of interest with regard to member processing costs recruitment requirements orientation and training needs and NRO cultural stability Page S-12 Haallle • 1i11 R¥1iHl J ' Tl lsliNT KliYHQl f Ch11RDel1 Join I ' Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SE CREH' 5 6 Goal 8 Develop a Streamlined Open Corporate Management Climate U U Developing a streamlined open corporate management climate is essential to creating an atmosphere that promotes the employee's ability to perform their mission Supported by an effective decision-making process and clear lines ofcommunication this goal ensures that the workforce is informed involved and that the Director's strategic direction is understood at all levels This goal also underscores the One Team concept where there is a corporate NRO-wide awareness participation contribution and ownership ofcorporate decisions made in support of the NRO strategy Nurturing thi v climate will enhance the doctrine that all employees are critical to success in the continual evolution ofthe NRO 's strategic direction Ultimately developing a streamlined open corporate management climate helps employees understand the connection between their performance and our corporate strategy by communicating NRO goals and connecting directorate and office responsibilities to corporate achievement ' ' 1' Mr Garnett R Stowe Jr ChiefofStaff 5 6 1 Desired Outcomes and Candidate Performance Measures U U Table8a 8 1 Decreased number of required senior manager decLvion-making forums a Number of Decision Making Forums a 4 Forums a 3 Forums a Front Office 8 2 Increased employee awareness ofthe strategic fanning process a Extent to which employees are aware of and participate in defining the strategic direction oftheNRO a 78 12% Agree a 85 93% Agree 8 3 Reduced number ofstaff organizations required to support the NRO a Number of Headquarters Staff a 462 Headquarters Staff a 416 Headquarters Staff a Organizational Climate Survey - Awareness Involvement in Strategic Direction Factor a Staffing Analysis Unclassified Page 5-13 SfiCMl'f lfaudle ia B1i'BP tA N 1 Thbl s IT Ki ¥NQ i c 11aa111l11 Jeia J9r Approved for Release 2017 12 04 C05106746 - - -·····-·--- · - - - - C05106746 Approved for Release 2017 12 04 C05106746 SECRET U Table 8a Cont 8 4 Decreased time required to coordinate corporate communication 8 5 Increased employee satisfaction by lraving an informed and involved workfon·e a Action Completion Timeliness Percent of actions closed on-time quarterly a 8% of actions closed on-time a 25% of actions closed on-time a Front Office Database - tracked quarterly b Action Completion Timeliness Average cycle time for all actions quarterly al Extent to which information flows throughout the organi7 ation and employees are well informed about important issues b 81 Days b 60 Days a 87 27% Agree a b Front Office Database - tracked quarterly a Organizational Climate Survey - Communication Factor b Extent to which employees can contribute to organizational improvement b 83 4% Agree b 87 57% Agree - 91 63% Agree - ---- b Organimtional Climate Survey - Participation Involvement Factor Unclassified 5 6 1 1 U Qualitative Outcomes • Decreased time required to make decision Page 5-14 Jlaadle •ia BYEMA N 'fA LENl' IQlYH01sE Chaaaul11 l iatl · Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECRE'f S 6 2 Strategies To Achieve Goal U U Table 8b I Develop an effective decision-making and information flow process a Baseline current corporate decision making processes - document and research guidelines for current decision making processes that have been identified as problem areas - Senior Staff -MCM • identify at which level decisions should be made b Baseline current corporate level information flow processes - determine information flow needs process owners c Baseline staff organizations - identify areas where the levels of bureaucracy can be eliminated d Implement changes to improve decision making and information flow needs - make adjustments to improve the decision making process - revise and reissue guidelines for the Senior Staff and MCM - establish a Board of Directors to make sensitive corporate decisions - recommend ground rules operating procedures for each of the meetings to provide structure - make adjustments to improve the infonnation flow process - document a MCP for the front office - develop a Correspondence Handbook for external and internal communication - establish the Executive Secretariat - make recommendations as to which staff organizations can be eliminated - communicate standards and expectations ongoing - provide feedback and readjust as needed ongoing DIR COS a 8 97 b 8 97 c 3 98 d 5 98 Unclassified Page S-15 ltaodlt ia B74'8'-l PJ 'fl' LENI' IQ1YHQ i llaaae's Ioirtlf Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECHT U Table 8b Cont 1 Foster an informed and well involved workforce a Enhance employee's role in the continual evolution of the NRO's strategic direction - link employee perfonnance at all levels to corporate strategy - communicate NRO corporate level goals to employees - provide corporate level strategic planning information on the web - brief intent status and results of corporate level goals to employees - deploy the strategic planning process to the Directorate and Office level - link D O responsibilities to corporate goal achievement b Establish mechanisms to solicit employee input - implement periodic climate strategic feedback surveys - assess workforce awareness of and participation in the NRO strategy - assess the extent to which employees are well informed about important issues - assess the extent to which employees can DIR SP a 12 00 b 12 97 contribute to organizational improvement Unclassified U There arc several initiatives underway within'the NRO that will improve the corporate climate These initiatives arc focused on improving the corporate decision-making process eliminating unnecessary bureaucracy and improving communications while increasing involvement among all levels ofthe organization U This effort began by analyzing the senior corporate decision-making processes documenting the guidelines and identifying areas where improvements could be made Concurrent with this effort the corporate level information flow processes were analyzed Adjustments to both of these processes were identified and some have already been implemented U An additional effort to reduce unnecessary bureaucracy within the organization was initiated This effort focused on baselining the NRO staff The study results revealed that the NRO staff had increased this resulted in a recommendation to reduce the size of the NRO staff clements by 10 percent by December 1998 U In order to improve the communication flow and involvement within the organization the Strategic Planning Office has begun several initiatives An organizational climate survey was developed and distributed to all NRO government employees to solicit feedback on employee perceptions of the work environment Additionally the Strategic Planning Office has begun to assist the organization as it deploys the strategic planning process throughout the organization in an effort to link employee perfonnance at all levels to corporate strategy 5 6 3 U Relationship Between General Goals and Annual Performance Goals Each desired outcome of Goal 8 is supported by one or more candidate perfonnance measures as listed in Table 8a This table also identifies the baselines and targets for the candidate measures as well as the source of data The specific candidate perfonnance measures have also been defined in detail in the data capacity section Table 8a serves as a preliminary glimpse of the measures and data to be used in the upcoming Annual Perfonnance Plan 5 6 4 U Data Capacity Page 5-16 The following candidate perfonnance measures are currently being tracked and will be used to If and le ia B¥Er M N i t Lii IG ¥1191 E 6haaael9 Jeiat1 Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 U Cont measure decision-making progress toward the achievement of Goal 8 U Number of Decision-Making Forums The number of mandatory decision-making forums was studied to determine their utility The study revealed that senior managers were required to attend the following four meetings Program Managers Quarterly Forum PMQF Senior StaffMeeting SSM Management Committee Meeting MCM as well as a monthly Strategic Planning Meeting It was decided to reduce the number of mandatory decision-making forums from four to three The monthly strategic planning meetings were simply incorporated into the senior staff meetings with bi-weekly updates U Organizational Climate Survey The organizational climate survey is an annual survey designed to assess employee perceptions of key organizational factors The survey supports all three workforce development goals by gathering employee perceptions regarding • Tools Information infrastructure e g hardware software and networks Facilities e g office parking and supplies Quality of Life e g work hours and on site services Employee Participation Involvement Overall Climate Communication Employee awareness of and involvement in NRO strategic direction Training U The results of the survey provide statistically reliable measures ofNRO employees' perceptions over time This information identifies areas requiring improvement and allows us to focus on policy or management changes that could potentially lead to greater worker satisfaction involvement and productivity U Number of Headquarters Staff In an effort to reduce the number of staff organizations required to support the NRO a bureaucracy study was conducted This study focused on baselining the staff organizations within the NRO and identifying areas where the levels of bureaucracy could be eliminated U The results of this study revealed that the NRO staff had increased In response to these findings a recommendation was made to reduce the size of the NRO staff clements by IO percent by December 1998 resulting in the identification of 46 billets from staff functions which can either be reassigned to NRO line elements or eliminated U Action Completion Timeliness Action completion timeliness is measured on a quarterly basis and is based on whether the action completion date is before or after the initial suspense date The first quarter measurement combined internal and external actions however in the future internally and externally generated actions will be measured separately In addition the average cycle time based on the time between the action start date and the action completion date was calculated for actions completed on-time actions completed lale and all actions total cycle lime Page 5-17 Sl lCRE'f Handle ia B¥6HI NI Tltl ENT KEYll01 E Channels Jeintl Approved for Release 2017 12 04 C05106746 __ C05106746 _____ --- Approved for Release 2017 12 04 C05106746 t ECRtl'f 9 Dlnlap and Sustain a Fil•cial Management Process that Dptin ias lie Lise of Dur Resources 1D Ensure Government and Conl'actDr Flnaiclal Systems Provide Reliable Tlrnely and Accurall Information Figure 9 U Financial Management Perspective Page 6-1 Haalll11 sia Jl¥El l ti U 'fift LEN'f' ICE'' l 1101 £ ChaBDels lointl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECH'f 6 0 FINANCIAL MANAGEMENT PERSPECTIVE U 6 1 Introduction U U To achieve the NRO vision of revolutionizing global reconnaissance we must make optimal use of our fiscal resources Although fiscal constraints can seem burdensome thoughtful management of resources and appropriate use of program funding will ultimately act as a catalyst to the delivery of products that satisfy our customers' requirements This perspective focuses on improving NRO financial management systems and processes so that senior leaders can better manage NRO resources Goal 9 Develop and Sustain a Financial Management Process that Optimizes the Use of Our Resources U U This goal addresses our need for and commitment to building a financial management process that supports NRO managers at all levels This process must be efficient and provide the insight necessary for managers to effectively make complex and difficult resource decisions Goal 10 Ensure Government and Contractor Financial Systems Provide Reliable Timely and Accurate Information U U This goal brings together our vigilance over the expenditure of funds on both sides of the government contractor ledger The systems must provide reliable and accurate financial status to our managers and our stakeholders 6 2 Strategic Initiatives U U The following are examples of strategic initiatives that focus on improving our financial systems and processes These initiatives have been instrumental in moving the NRO toward accomplishing the corporate-level financial management goals 6 2 1 U Financial Management Process Reengineering As a result of the Joint Audit Report on NRO Financial Management Practices by the Central Intelligence Agency Department ofDefense Inspector General CIA DoDIG 30 April 1996 audit Congress required a complete revision of the NRO financial processes Officials from the Director of Central Intelligence's Del's Community Management Staff CMS and the DoD Comptroller's office required that the NRO conduct budget execution reviews and submit status reports of its financial health in order to provide proof of compliance These reviews created an environment for positive change New policies procedures and processes were developed to ensure that the budget for the NRO would be closely monitored in execution In addition a Management Control Program Directive was published to provide structure and direction for programmatic and budgetary compliance U Budgetary process mapping has allowed the NRO to efficiently and accurately align resources with requirements Although a complete budgetary process map has already been developed it is anticipated that processes will continually evolve and improve 6 2 2 U Financial Management System A new Integrated Financial Management System IFMS is currently being implemented and is expected to be at Full Operating Capacity FOC as of l October 1999 The first module was implemented on I October I 997 The system will be used to account for monitor and track budgetary resources for the NRO as well as providing information for the evaluation of management controls 6 3 Key External Factors Impeding Goal Accomplishment U 6 3 1 U Changes in External Oversight Requirements Changes in how and when information is due to external oversight organizations will influence the degree to which the NRO can develop and sustain financial management processes that optimize the use of resources The NRO financial management process responds to requirements from the DoD CMS and six congressional committees As the requirements from these organizations change in any given year the NRO must modify its internal processes to permit responsive and timely actions Page 6-2 llaalllt 1i11 R¥1 iH t H Tit LEN'f lff 7l'tt8LE Channels Julndy Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 6 4 Goal 9 Develop and Sustain a Financial Management Process that Optimizes the Use ofOur Resources U U ffective budgeting and planning is crucial in today's environment ofshrinking resources This goal focuses on improving our budget build process to make it more open and corporate and conducting better budget execution reviews to provide insight into NRO programs and to gather feedback on progress being made These processes in conjunction with the development ofa resource allocation procedure manual and a resource allocation milestone calendar willprovide valuable NRO resource information to all managers Besides improving our internal financial control better execution in these areas will improve stakeholder confidence which is essential to continuing our success in revolutionizing global reconnaissance Ms Mary Corrado Deputy Director Resource Oversight andManagement ROM 6 4 1 Desirl'd Outcomes and Candidate Performance Meawres clear guidance and direction U a Days late or early meeting key financial deadlines repelll steps minimized 9 1 Resource aUocadon decision aligned to customer riorities a Number and value of reprogrammings a FY 98 a TBD a ROM 9 3 Optimal use oflimited budget resources a Number and alue of reprograrnmmgs a FY 98 a Zero a ROM l Unclassified CJ Table 9a Page 6-3 Handle Vii BI EMAFQ Tit l ENT KEYHQl ii haH11l11 Joiad r Approved for Release 2017 12 04 C05106746 C05106746 ···························------------ __ - --·--· ·-····- Approved for Release 2017 12 04 C05106746 6 4 2 Strategies to Achieve Goal U I Document tlte resource management process a Establish new process for the FYOO IPOM and brief to NRO Directorates and Offices b Incorporate Lessons Learned from the IPOM and write-up full documentation of the process before the FYOO BES a Complete ROM RM b 7 98 1 AUgn resources to NRO requirements a In budget build process - ensure requirements and execution status to determine budget guidance - develop tools to more effectively trade requirements and cost in conjunction with a 10 98 ROM RM P A b In current year reallocations - establish policy to ensure current year funds realignments are consistent with NRO vs D O priorities b 3 98 - - -- -----'------ ----'------ -- - U Table 9b U Over the past eighteen months significant efforts have been expended to develop and sustain a strong financial management process at the NRO To date a new process has been developed for the FYOO Intelligence Program Objective Memorandum IPOM and the NRO Resource Oversight and Management ROM office is working with each Directorate and Office D O to ensure that processes are understood and properly executed U Development of processes that will allow the NRO to properly align resources with requirements will require good communication with each D O ROM acknowledges the importance of this communication and has incorporated a lessons learned evaluation step in its action plan to encourage continuous process improvement and open and honest feedback from the D Os 6 4 3 U Relationship Between General Goals and Annual Performance Goals Each desired outcomes for Goal 9 is supported by one or more candidate performance measures as listed in Table 9a This table also identifies known baselines and targets for the candidate measures as well as the source of data The specific candidate performance measures have also been defined in detail in the data capacity section Table 9a serves as a preliminary glimpse of the measures and data to be used in the upcoming Annual Performance Plan 6 4 4 U Data Capacity The following candidate performance measures are currently being tracked and will be used to measure progress toward the achievement of Goal 9 U Days Late or Early Meeting Key Financial Deadlines This measure looks at the timeliness of financial information provided by the NRO to the Director of Central Intelligence DCI and the Deputy Secretary of Defense Office of Management and Budget 0MB and Congress By tracking whether or not the NRO met or exceeded the due dates of the IPOM the Budget Estimate Submission BES the Congressional Budget Justification Book CBJB and annual financial statements it can be determined if the NRO is providing timely financial information The timeliness of financial information provides an indicator to the Director of the NRO DNRO on the ability to comply with official deadlines and provides an indicator as to the level of reliability that our oversight entities have in NRO financial data U Number and Value ofReprogrammings This metric will measure how well the budget was initially planned and aligned by tracking the number of times and the amount of both external and internal reprogramrnings This metric will inherently Page6-4 SECRE r Handle ia B7 'ElP f -lrN11 T J'5i 0¥11QLI t llaaael1 Joiad r Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 -BECKEi identify program savings realignment resources The goal is to have properly allocated budget resources against NRO Page 6-5 Raudle via BI ' M7tNl T7tLl ' NT-lffl7t'H6LE ebanuels Jointly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECRET U Cont program priorities by the time the CBJB is submitted to the Congress thereby minimizing reprogramming requirements Page 6-6 SECMJ'f Randle ia U'' rEFtfA Nf 'fl LEN'F KEYHOLE Channels Jciutl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 6 5 Goal 10 Ensure Government and Contractor Financial Systems Provide Reliable Timely and Accurate Information U U The NRO is in the process of acquiring and implementing a new accounting system and developing a budgetformulation tool These two efforts will results in improved quality availability and timeliness ofour financial information The NRO will realize a number ofbenefits as a result of this development effort First we will have insight into our financial standing in ways that we have not had in the past Additionally by gaining more control over our budget andfinancial information we will be able to more accurately respond to requests and provide information to our stakeholders These efforts move us toward rebuilding trust in our financial policies and systems and will increase our credibility with Congress the Secretary ofDefense and the Director ofCentral Intelligence In the long run these efforts will make future programs easier to justify and will facilitate our ability to comply with the CFO Act and other statutory requirements Ms Mary Corrado Deputy Director Resource Oversight and Management ROM 6 5 1 Desired Outcomes And Candidate Performance Measures U I 0 1 Improved quality and timeliness of NRO financial information a by providing accurate and timely budget execution data for all NRO funds b 3 b 3 b Number and value of reprogrammings requirements forecasts c Timely resolution of c by increasing the ability to comply defined discrepancies with the CFO Act and other statutory requirements 10 2 Improved stakeholder perception oftheNRO a by rebuilding trost in the NRO a Execution performance financial policies and systems b by improving accuracy of contract b FY 98 c CFO Act- 3 99 b ROM c Zero at c ROM FYOO a Quarterly forFY98 a obligations a ROM target ---- b 3 expenditures b by increasing the credibility of the b Number ofQFRs NRO with Congress and the DCI which will make programs easier to justify 10 3 Increased availability of inancial contract and technical information to everyone who needs it target c b ROM h Q3 FY 98 h TBD 119 QFRs a Days late or early meeting key a FY 98 financial deadlines a On-time a ROM current year SECW E'f' U Table 1Oa Page6-7 Sl lCRE'f Handle via n t El l Nf 'fift LEN'f Iff l'H8LE Channels Jointly Approved for Release 2017 12 04 C05106746 b 3 C05106746 Approved for Release 2017 12 04 C05106746 SFCM'f- 6 5 2 Strategies to Achieve Goal U I Acquire and implement a new accounting system a Meet requirements of the Treasury FASAB standards and the CFO Act b Continuous trnining 2 Develop and implement a contractor performance measurement capability a Integrate the elements of cost schedule and technical performance into an interactive database Winsigbt tool EVM IOC b Training c Contractor performance measures and financial accuracy d Development of new CFSR formats briefed contractors 3 Integrate contract and NRO financial management systems a Integrate contracts preparation issuance and administration system with the NFMS 4 Delle op and implement a budget formulation tool a Ensure tool supports all phases of the budget process b Provide timely and reliable responses to external information requests c Compare and track cWTent and planned contractual requirements against approved budgets d Provide funds control and distribution capability e Integrate Winsight with budget system t Continuous training RO b 3 ROM b 3 ROM b 3 a 10 98 b FY 00 a 11 97 b 10 99 c 11 98 d 3 97 a 10 98 ROtv1 ___ __ a 4 99 b 4 99 c 4 99 d 10 99 e 12 99 f FY00 U Table Ob U Through the implementation of the Goal IO action plan the NRO is diligently working to field a financial management system that will provide reliable timely and accurate information To date the first module of this system has been deployed and follow-on capabilities are scheduled for initial operation at the beginning of fiscal years 1998 and 1999 When fully operational NRO systems will meet the requirements of the Treasury Federal Accounting Standards Advisory Board FASAB standards and the Chief Financial Officers CFO Act U Over the past year significant progress has also been made toward developing a contractor performance measurement capability Contractor Fund Status Reporting CFSR formats have been developed and implemented and cost schedule and performance data has been integrated using Earned Value Management EVM concepts Page 6-8 Handle ia w rcl lMl Ni 'fit LEl'ff 1Gl''lll01 E Chaaaels Jeiatl Approved for Release 2017 12 04 C05106746 b 3 C05106746 Approved for Release 2017 12 04 C05106746 6 5 3 U Relationship Between General Goals and Annual Performance Goals Each of Goal I O's desired outcomes is supported by one or more candidate performance measures as listed in Table IOa This table also identifies known baselines U Cont and targets for the candidate measures as well as the source of data The specific candidate performance measures have also been defined in detail in the data capacity section Table I 0a serves as a preliminary glimpse of the measures and data to be used in the upcoming Annual Performance Plan 6 5 4 U Data Capacity The following candidate performance measures are currently being tracked and will be used to measure progress toward the achievement of Goal IO U Execution Performance This measure reflects our management ofresources based on our requirements Obligations and expenditures will be tracked over time and analyzed against standard Department of Defense DoD metrics This measure will track our current performance against targeted performance levels and indicate whether our program is phased properly with financing U This measure provides the DNRO with a reliable gauge of our corporate ability to manage our programs within a given level of resources This measure provides our stakeholders with insight into the financial health of our programs U Number and Value ofReprogrammings This metric wiII measure how well the budget was initially planned and aligned by tracking the number of times and the amount of both external and internal reprogramrnings This metric will inherently identify program savings realignment resources The goal is to have properly allocated budget resources against NRO program priorities by the time the CBJB is submitted to the Congress thereby minimizing reprogramming requirements U Timely Resolution of Defined Discrepancies A significant measure of successful implementation and operation of a corporate financial management system is the number of discrepancies identified by either the Federal Managers' Financial Integrity Act FMFIA management control self-assessment process or by external reviews conducted by the Inspectors General oflhe NRO the DoD and or the Central InteUigence Agency CIA The ultimate objective is to achieve unqualified affirmation of financial management system operations and identify no discrepancies Recognizing the complexity and scope of the challenges a practical approach is to close any identified discrepancies within 24 months of identification and to close approximately one-third of the identified discrepancies in the first 12 months U All discrepancies identified will be tracked as part of the FMFIA management control program and those items that have been closed will be documented with a memorandum approved by the Deputy Director of the NRO DDNRO and the ROM This will provide for action tracking within the context of an existing mechanism and ensure periodic status and timely resolution is documented U Number of Official Questions for the Record QFRs This measure depicts the total number of official Questions for the Record QFRs Some volume ofQFRs are necessary expected and invited The objective is to limit the number ofQFRs to a level that does not unduly burden program offices U Days Late or Early Meeting Key Financial Deadlines This measure looks at the timeliness of financial information provided by the NRO to the DCI and the Deputy Secretary of Defense 0MB and Congress By tracking whether or not the NRO met or exceeded the due dates of the IPOM the BES the CBJB and annual financial statements it can be determined if the NRO is providing timely financial information The timeliness of financial information provides an indicator to the DNRO on the ability to comply with official deadlines and provides an indicator as to the level of reliability that our oversight entities have in NRO financial data Page 6-9 Handle • is B¥1 l l t N' 7 ' LEN'f' Iff YH0LE Channels Jeintl Approved for Release 2017 12 04 C05106746 C05106746 7 0 Approved for Release 2017 12 04 C05106746 PROGRAM EVALUATION ATTHENRO U U The NRO has implemented a comprehensive program evaluation approach to achieve two primary objectives First the program evaluation approach must ensure that current programs are on course to enable the NRO to achieve its corporate goals The second objective is to ensure that each expended program dollar results in the maximwn possible benefit for our customers The processes in place to achieve each of these objectives are presented below Strategic-Level Program Evaluation U U At the corporate level the NRO has identified ten strategic goals and has committed resources in a variety of programs to achieve these goals in the coming years Organizational performance monitored through our corporate-level measures will enable senior management to assess whether funded programs are delivering desired results U As discussed previously in this document NRO measures include leading indicators of performance in our core business areas such as research and development acquisition and operations These measures are balanced with lagging indicators including survey results that enable management to evaluate whether our processes are resulting in benefits to our customer base This corporate-level view ofNRO programs allows senior management to consider the effect of all programs in the aggregate since many programs have an impact on performance against each corporate measure U The NRO has already implemented a quarterly performance review to assess organizational performance and discuss the status of current programs The measures presented in this forum will be incorporated into the new strategic planning process and wilI be included in annual NRO performance plans and annual performance reports as they are developed U The NRO also actively uses several cross-community panels to evaluate the strategic impacts of its major programs The Director ofthe NRO DNRO has established the NRO Advisory Panel the NRO Gold Team and various program review panels to ensure that customers and stakeholders are informed and actively participate in major decisions In addition the DNRO invites industry partners semi-annually to meet with NRO personnel and share ideas These forums though strategic in nature often focus on technical program assessment and issues involving the technical details of information superiority Individual Program Evaluation U U The NRO is responsible for its systems from cradle to grave A program office is established at the inception of a program and sees it through concept definition system development testing production launch and on-orbit operations Each phase of this life cycle is carefully managed and mechanisms are in place to ensure that each program delivers its expected value The source documents for managing this process are the NRO Acquisition Manual NAM and NRO Directive NROD 82-2 U Below two of the key forums for evaluating programs are introduced -- the NRO Acquisition Board NAB outlined in NROD 82-2 and the Quarterly Program Review QPR U NROD 82-2 the NAB The overarching policy for managing the acquisition process is NROD 82-2 Under NROD 822 programs are structured in four phases that translate broadly stated mission needs into well-defined system-specific requirements These phases are separated by key decision points KDPs The interrelationship between program phases and related KDPs are listed below Page 7-1 llandle tia W t'tfA-Nf T tLJ N'f•lftr1 'H6LI Channels fuiud Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 U At each KDP a full review of Continuing cost schedule and performance is Requirements presented to and evaluated by the ldentlflcatlon Validation NAB Members of the NAB Work with include NRO Senior Management DoOand members representatives from Intelligence Community NRO mission partners including NSA NIMA CMO CIA DIA and USSPACECOM and additional customers and KDP stakeholders This broad Ii of participants ensures that ey members of the Intelligence Community IC are informed about NRO programs and that crosscutting functions are Callfor appropriately managed to Study minimize duplication of e ort oncepts PhaaeA Phaae B PhBHC I- I I I Concept Definition Sludiee PreAcquisition i Acqul•ltlon and Operation• Phaae D Operation• and Upgrade Program Reports Need for Upgrede Unclautfled U At KDP-A the P r o g r - - - - - - - - - - - - - - - - - - - - - - - - - - _ Manager's proposed study approach is assessed as a justification for fundiii'tgure Billed U Key Decision Points and Phase on the information presented and ensuing discussion of the meeting participants acquisition decisions are made and are later documented in an Acquisition Decision Memorandum signed by the Deputy Director of the NRO DDNRO U Two documents are used to facilitate the NAB and DNRO decision making process for KDP-B KDP-C and KDP-D Integrated Program Summary IPS is prepared by the Program Manager and an Independent Program Assessment Il prepared by the NRO Office of Plans and Analysis The purpose of the IPA is to provide checks and balances for the P Manager's self-evaluation Both documents address 14 topics including execution status of the program discuss· alternatives cost drivers and major tradeoffs and recommendations U Like KDP-A the NAB proceedings for the other KDPs result in decisions to either redirect the program or aut continued effort again decisions are captured in an ADM During KDP-C the contents of a Baseline Agreement betw Program Manager and the DNRO are presented This document is updated annually or as necessary as changes are rr cost schedule and performance Quarterly Program Reviews QPRs U U As discussed above NABs focus on decision making at four KDPs across what is typically a multi-year program lif To keep the DNRO and DDNRO informed between KDPs the NRO has instituted a quarterly forum to review program pn The QPR provides Program Managers with the opportunity to update program progress inform management of tactica program decisions and seek assistance where necessary Programs that are proceeding successfully rely on the QPR primary forum to provide status Programs that require additional oversight or assistance are reviewed more frequently forums Program Evaluation Under the Government Performance and Results Act of 1993 GPRA U U As the NRO continues to comply with the requirements of the GPRA formats for its annual performance plans and performance reports are being developed The NRO envisions that these reports will serve as the cornerstone docume evaluating program performance and for communicating organizational results In Sections 3 through 6 of this doc outcomes and candidate performance measures are provided for each strategic goal Though still in development this information provides insight into the NRO approach for assessing performance Handle • ia B7M'El b cN ' Page 7-2 SECRFllf 'FAl ENf lil l'HOl E Channels fointly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 APPENDIX U 8 1 U STATUTORY PROVISIONS U As a joint interagency organization within the Executive Branch the NRO is placed within the Department of Defense DoD for Executive Agent supervision and support Para2 1961 Agreement on Management of National Reconnaissance Program but serves as a separate operating agency of the DoD Para I 1964 DoD Directive TS 5101 23 and Para B 1965 Agreement on the Reorganization of the NRO It is an intelligence community member pursuant to 50 U S C 401A94 F and E O 12333 Pursuant to the National Security Act Sec 105 of 1995 the NRO is responsible for the continued operation of an effective unified organization for the research and development acquisition and operation of overhead reconnaissance systems necessary to satisfy the requirements of the intelligence community U The Intelligence Authorization Act for Fiscal Year 1993 October 1 1992 states that The Director of the NRO reports to the Secretary ofDefense and the Secretary has ultimate responsibility which is exercised in concert with the Director of Central Intelligence for the management and operation of the NRO The Director of the NRO executes the NRO's responsibilities through the Department of Defense and the Central Intelligence Agency Haatlle · sia R¥El MPU Page 8 1-1 TJ bii IT DV11QLli5 Chaanel1 fointt Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECMl'f 8 2 CONGRESSIONAL AND STAKEHOLDER CONSULTATIONS U U During 1998 the NRO participated in several Congressional consultations with key staff members to discuss the NRO strategic planning process including Vision mission goals and implementation methodologies The briefings provided detailed information about the NRO performance-based strategic planning process and reviewed its strategic foundation Senior management confirmed its commitment and participation and described the continued implementation of the corporate process down to the Directorate and Office level Participation at all levels of the NRO was described as an important bridge from corporate goals to program management and budget allocation U The following individuals with their designated Congressional committee were consulted Com ressional Staff Committee Date Mr Ms Mr Mr Mr Ms Art Grant SSCJ 8 January 1998 Mary Engebreth HPSCI 30 January 1998 Jim Barnett SSCI 3 February 1998 Gary Reese SAO 20 February 1998 Taylor Lawrence SSCI NRO Off-site meeting 14 April 1998 Diane Roark and Ms Beth Larson HPSCI 20 May 1998 Page 8 2-1 1 Senate Select Committee on Intelligence 2 House Permanent Select Committee on Intelligence 3 Senate Appropriations Committee Handle ta Blla'lll tA Nf 'fi'tLl lN'f lffl 7l'H8LE Channels Jointly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 iiCIWT 8 3 MAJOR MANAGEMENT PROBLEMS U U Based on the Jeremiah Panel Report of 26 August 1996 as well as the Joint Central Intelligence Agency CIA Department of Defense Inspector General DoDIG reports the NRO has identified two major management problems The NRO and its stakeholders including the Director of Central Intelligence DCI and the Secretary of Defense SECDEF have taken steps to investigate these problems and develop a course of action to improve in each identified area Below each problem is briefly introduced along with improvement initiatives currently underway Customer Relationships U U The Jeremiah Panel indicated that nontraditional customers' understanding ofNRO system capabilities was elementary and often confused by security and technology Specific examples include inconsistency in use of reconnaissance information a belief that there is no financial impact associated with NRO products and dissatisfaction among end users The resulting confusion has eroded customer relationships Based on these observations the NRO has begun to design a customer support process that is inclusive balanced consistent and accountable in partnership with stakeholders The process will be flexible allowing for centralized management planning and oversight and decentralized execution NRO leaders will be appointed to support customers of current tasking and dissemination and to derive future customer needs for new system designs requirements and architectures Lead responsibilities for supporting national and military customers will be identified and carried out in coordination with discipline managers This new approach to customer relations will provide for requirements and capability analysis and a strong emphasis on innovative and cost effective technical solutions U The NRO is actively addressing this issue One of the four perspectives framing the corporate strategic plan customer satisfaction is the focus of the first three corporate strategic goals Additionally a Customer Support Implementation Plan is currently being developed In an effort to maintain open communication with key mission partners the Director of the NRO DNRO conducts quarterly exchanges with counterparts in the National Security Agency NSA and the National Imagery and Mapping Agency NIMA Spending Accountability U U As a result of the Joint CIA DoDIG audits excessive funding and the need for accountability of expenditures have been identified as leading management problems at the NRO Non-compliance with the audit findings provided the impetus for the NRO senior leadership to modify the financial management process and more closely monitor the allocation of funds New policies procedures and processes were developed to ensure that the budget for the NRO would be closely monitored in execution Officials in the DCI Community Management Staff CMS and the Department of Defense Comptroller's office required that the NRO conduct budget execution reviews and submit status reports of its financial health in order to provide proof of compliance U Additionally the NRO is actively seeking compliance with the Chief Financial Officer's CFO's Act The NRO has begun implementation of a new transaction-driven accounting system that will produce auditable NRO financial statements for fiscal year 1998 These financial statements will be audited by the DoD and CIA Office of the Inspector General OIG In preparation of the fiscal year 1998 financial statements and their subsequent audit the NRO is initiating an effort to identify and correct any deficiencies which could hamper compliance Page 8 3-1 SIWRE'f llantlle is B¥BP Ml 'U 'f2'LElN'f l ElYH0LE Channels fointt Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 Sl 1CRE'f 8 4 NRO ROLES AND CROSS-CUTTING FUNCTIONS U U The NRO mission states that it is responsible for unique and innovative technology large scale systems engineering development and acquisition and operation of space reconnaissance systems By executing this mission the NRO is the U S government's primary provider of space-based intelligence and operational support Although its mission is unique many NRO core competencies are similar to those found at other agencies and the NRO proactively collaborates with these agencies to ensure that redundancies are minimized U Figure 11 below illustrates the NRO role in the intelligence cycle This cycle begins with the definition of customer needs through collection management which is conducted by NRO mission partners' Requirements are given a priority and provided to the NRO and the NRO collects and processes intelligence products Once processed the information is exploited and disseminated by mission partners who also archive products for future use Unclassified Figure I I U The Intelligence Cycle U NRO programs are selected and managed with the objective of providing optimal support to the collection and processing U NRO mission partners include the National Security Agency NSA the National Imagery and Mapping Agency NIMA the Central Measurement and Signature Intelligence Office CMO the Central Intelligence Agency CIA the Defense Intelligence Agency DIA and the United States Space Comm SPACECOM 4 Page 8 4- 1 Sl CRE'F Haalll1 r •ia 11¥1 JH t P t ' Tl LEi-fT KEVHQLI Gllaanel1 Joia l91 Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECRfl'f steps of the intelligence product delivery cycle As described in the mission statement the NRO has three key program phases Page 8 4- 2 SE CRE'F Handle tia B EM 1tN1' T1' l EN'f KF Yil01 E Channels Juiutly Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SE€1tE'f U Cont that are central to developing and deploying these collection and processing systems Each phase is presented below with an explanation of where it cross-cuts other organizations and what the NRO is doing to minimize redundancies Research and Development U U The NRO research and development efforts ultimately provide many of the technological advances that have established U S preeminence in space-based reconnaissance To ensure that this position is maintained in the future the NRO proactively works as a partner with external agencies that conduct similar types of research and development efforts This collaborative emphasis conserves NRO research dollars and reduces duplication of efforts in the Federal Government The annual NRO Technology Forum is an example of ongoing efforts to bring industry and government together to share requirements and capabilities and to explore opportunities for collaboration Acquisition U U Like many organizations in the Government the NRO expends significant effort to ensure that products and services are acquired as efficiently and effectively as possible The NRO has established an Acquisition Center of Excellence ACE which frequently interacts with external agencies to identify and implement best acquisition practices The Acquisition Steering Group ASG shares these ideas internally U Several federal organizations acquire satellites and the NRO recognizes the synergy of working with and learning from these organizations The recent establishment of the Air Force NRO Integration Planning Group IPG is representative of efforts to form partnerships with external acquisition organizations Operations U b 1 b 3 Other Cross-Cutting Functions U U In addition to the NRO core areas discussed above there are two other functions inherent to the NRO that cross-cut with other organizations in the Intelligence Community IC and DoD U Customer Interaction Though the intelligence cycle illustrated in Figure 7 shows that mission partners are primarily responsible for direct customer interaction the NRO also interacts with its users Within the NRO the Operational Support Office OSO and several of the directorates have ongoing direct relationships with customers U The NRO recognizes the importance of coordinated customer support and has developed a Customer Support Board CSB and a Customer Support Implementation Plan CSIP to improve these interactions The NRO strategic direction also calls for improvement in our relationships with mission partners strategic Goal 3 quarterly exchanges with NIMA NSA DIA and CIA and CMO are conducted to coordinate on issues of common concern U Financial Within the IC and DoD financial management redundancies result from systems and processes that are not integrated For example the DoD Planning Programming and Budgeting system is similar to the IC Capabilities Programming and Budgeting System but they are executed separately These financial management problems are beyond the scope of the NRO but they create cross-cutting redundancies that adversely impact the NRO in terms of budget development execution and reporting requirements Handle • ia B¥1iiH • Page 8 4- 3 Tl l EN'F Iffl7l'H8LE ebannels Julndy Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECRET 8 S LIST OF ACRONYMS U ACE ACG ADM ADR AG APT ASD C3I ASI AS T AS TD BES BLI CAAS CBJB CFO CFSR CIA CINC CITO CMO CMS CMWG co COMM COMPT CONOPS cos COTR CSB CSIP D Os DARO DCI DDMS DDNRO DONS DIA DIR DNRO DoD DUSO SP ACE EIS EO EV EVM FAA FAR FASAB FIA FMIPO FMFIA FOC Page 8 S-1 Acquisition Center of Excellence Advanced Concept Group Acquisition Decision Memorandum Alternative Disputes Resolution Action Group Architecture Planning and Integration Group Assistant Secretary of Defense Command Control Communication and Intelligence Acquisition Schedule Integrity Advanced Systems and Technology Advanced Systems and Technology Directorate Budget Estimate Submission Budget Line Item Contractor Advisory and Assistance Service Congressional Budget Justification Book Chief Financial Officer Contractor Fund Status Reporting Central Intelligence Agency Commander-in-Chief Central Imagery Tasking Office Central MASINT Office Community Management Staff Customer Measures Working Group Contracting Officer NRO Communications Directorate Comptroller's Oflice Concept of Operations Chief of Staff Contracting Officer Technical Representative Customer Support Board Customer Support Implementation Plan Directorates Offices Defense Airborne Reconnaissance Office Director of Central Intelligence Deputy Director for Military Support Deputy Director National Reconnaissance Office Deputy Director National Support changed to SANS Defense Intelligence Agency Directors Office Director National Reconnaissance Office Department of Defense Deputy Under Secretary of Defense for Space Enhanced Imaging System Electro-Optical Earned Value Earned Value Management Federal Aviation Administration Federal Acquisition Regulation Federal Accounting Standards Advisory Board Future Imagery Architecture Financial Management Improvement Project Office Federal Managers' Financial Integrity Act Full Operational Capability nandle ta B r 'IJP 11 P t TAlsEJN'F lr£¥1IOLE Cltatmels JohHly Approved for Release 2017 12 04 C05106746 C05106746 FTE FY GFP GPRA GSPO HPSCI HRMG IAS IC IFMS IG IMINT IOC IOSA IPOM IPRG IPS IPT JCS JSEAD KDP MASINT MCM MCP MS O NIA NAB NAM NASA NFIP NICB NIMA NMC NRL NRO NROD NRP NSA NSS NSSA oc OCMC 0MB OPELINT OPLANS OPNAV OPS OSF oso P A PDD PMAS PMQF QFRs Page 8 S- 2 Approved for Release 2017 12 04 C05106746 Full Time Equivalent Fiscal Year Government Furnished Property Government Performance and Results Act Ground System Program Office House Permanent Select Committee on Intelligence Human Resources Management Group Imagery Architecture Study Intelligence Community Integrated Financial Management System Inspector General Imagery Intelligence Initial Operating Capability Integrated Overhead SIGINT Architecture Intelligence Program Objective Memorandum Intelligence Program R Group Integrated Program Summary Integrated Product T earn Joint Chiefs of Staff Joint Suppression of Enemy Air Defenses Key Decision Point Measurement and Signals Intelligence Management Committee Meeting Management Control Plan Management Services Operations Not Applicable NRO Acquisition Board NRO Acquisition Manual National Aeronautics and Space Administration National Foreign Intelligence Program National Intelligence Collection Board National Imagery and Mapping Agency Network Management Center Naval Research Laboratory National Reconnaissance Office National Reconnaissance Office Directive National Reconnaissance Program National Security Agency National Support Staff formerly DONS National Security Space Architecture Office of Contracts Overhead Collection Management Center Office of Management and Budget Operational Electronic Intelligence Office of Plans Office of Naval Operations Operations Operations Support Facility Operational Support Office NRO Plans Analysis Directorate Presidential Decision Directive Property Management Automated System Program Manager Quarterly Forum Questions for the Record SE MT Handle ia B iEl'ttl' Nf TALENT KE¥1IOLE Channels Jeintl Approved for Release 2017 12 04 C05106746 C05106746 Approved for Release 2017 12 04 C05106746 SECR E'f QPR R D RFP RMS ROM SANS SECDEF SEO SIGINT SOSA SP SPO SQNM TBD TOO TOE TOI TOR TOT USSPACECOM USG Page 5-3 Quarterly Program Review Research Development Request For Proposal Requirements Management System Resource Oversight and Management Special Assistant for National Support Secretary of Defense Systems Engineering Office NRO Signals Intelligence Directorate System of Systems Architecture Strategic Planning Special Program Office Square Nautical Miles To be Detennined Technology Development Group Time of Entry Time of Intercept Time of Receipt Time of Transmission United States Space Command United States Government SE CUT TALENT HOLE 6lutn11el1 loi - Approved for Release 2017 12 04 C05106746