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FY14/15 Initial Planning & Budget Workshop

Carl Strawbridge/Cindy CongerOctober 19, 2012

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Meeting Agenda

• Welcome and Overview Pier

• Meeting Logistics, Purpose/Outputs and Agenda Review

Carl

• Defining the Planning Framework for FY2014/FY2015

Carl

• OHEP and Fermilab Program and Budget Climate, Constraints and Planning Assumptions For FY14/15/16

Pier/ALDs/Cindy/Randy

• Q&A, Summary, Action Items, Next Meeting(s)

Carl

• Adjourn

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Meeting Outcomes for Today

• Shared understanding of strategic priorities and the FY14+ planning environment

• Agreement/update on FRA/FNAL Agenda Major Initiatives (today, still in draft)

• Agreement on proposed B&R FY14/15 targets (today)• Initial draft Sector PEPs by mid-November to support

DSC guidance (Thanksgiving)• Agreement on future workshop plan (today)• Action items (from the meeting)

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Why are we here?• Nailing down the FY14 budget for PBR/Feb Budget Brief• Capturing the FY15 budget assumptions with HEP• Initiating movement toward a Lab/OHEP strategy-driven

budget (vs. budget-driven strategy)• Introducing proposed planning framework, annual calendar

and new Lab and Sector-level plans that lay foundation for integration of longer-term strategies into 3-year budget planning cycle

• What is the FY14/FY15 Integrated Planning & Budgeting process: deliverables, outcomes, and planning milestones ?

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Annual Planning & Budgeting Process

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Annual Planning & Budget Process (cont.)

• Synchronizes/integrates 5 year+ SC/HEP/FNAL strategic plans and 1-3 year budget plans

• Moves toward forward-looking plans and earlier DOE sponsor/laboratory/community alignment

• Add integrating management workshops (to avoid stovepipe-by-spreadsheet) by to get Sector/Lab-wide self-consistency in program prioritiesmanpower, funds and facilities/infrastructure needs

• Supports downstream development of performance monitoring (PEMP) and reporting (ALP, Budget briefs, other financial)

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Defining the Planning Frameworkfor FY2014/2015

• FRA/FNAL Agenda – Distills/Captures 5-7 year Lab strategies with major supporting initiatives– Captures Lab top-level plans that are deployed thru annual actions in

Sector(D/S/C) Program Execution Plans– Update annually but should not change drastically– Communication tool with sponsors and staff (broad audience)

throughout the year

• Updated since August workshop, a number of changes

• Does the current draft FRA/FNAL Agenda capture the right Strategies, Critical Outcomes and appropriate Major Initiatives?– Which initiatives should be the focus for FY14 Sector PEPs?FY15 and FY16?– In line with stakeholder thinking?

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Draft FRA Agenda (Aug 2012)

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Draft FRA Agenda (Oct 2012)

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Sector Program Execution Plans

• Cover 3 years (align w/ budget planning of CY +2)• Developed/updated annually by Sectors during

Oct-Dec (thru gap analysis in projected resources and FRA-Agenda driven program)

• Implement Initiatives/actions/milestones for top-level Lab initiatives and other important sector initiatives

• Integrate funds, staff/skills and facilities & infrastructure requirements

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PEP Contents (Mission-Area)1. Sector strategies (CY+3, tie Sector to Lab-level (Agenda))2. For each of major (and other Sector) initiatives, identifies:

A. Vision/GoalsB. Objectives and OutcomesC. Actions to achieve objectives/outcomesD. Resources needed for actions:

1) Funds (labor $, M&S $)2) Staff (FTE, skills—OHEP primary level)3) Facilities & infrastructure (specific needs and readiness assessment)

3. Performance Monitoring PlanA. KPI/MetricsB. Assessment plan (risk-based)

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Facilities & Infrastructure

• What Sector (D/S/C) facilities and infrastructure needs require funding to meet FY2014 (and projected 2015 & 2016 program execution plans?)

• Include operating projects > $25K (maintenance, repair & minor construction) plus GPP-level improvement projects

• Include FESS-provided FIMS Facility Matrix spreadsheet • Where do new/upgraded networks get addressed?

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Sector PEP Facilities Assessment• Are there any facility deficiencies or capability gaps that currently exist

that prevent you from performing the mission?

• Are there new programs coming that will require new facilities?

• Could these new requirements be satisfied in existing facilities or will new facilities be required?

• Are there efficiency gains or cost savings to be realized if facility improvements or modifications are made?

• Are there major organizational changes that will affect the way in which existing facilities are used (changes in staffing or equipment)?

• What facility improvements if implemented would allow for facility demolition or consolidations such that existing footprints are reduced?

• Are there facilities that are no longer needed that could be repurposed to help meet another Sector’s facility requirements?

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Mission-area Planning Process Gaps?

• Coordination roles at Sector Offices with IPPM?• Is development of project labor budgets rigorous and

realistic and looking out 3 years?– Reaching agreement between resource providers and

projects efficiently• Is internal program management rigorous and looking

out 3 years?– Roles of Overall and Technical POCs are not defined– Are there leadership weaknesses in critical programs?– How are cross-Sector program B&R efforts to be integrated?

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PEP Contents (Mission Support)

• Addresses Excellence in Operations, plus…• Meet support needs of Mission-Areas, so must

iterate with them before next workshops• Integrates supporting plans from key resource

areas (ESH&Q, PSS, WFDR, IPPM, other staff)• Basis for contract-required Annual HR

Strategic Plan?

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Mission-Support Thoughts

• Does FRA/FNAL Agenda give sufficient focus to– Project management initiatives?– IT support priorities?

• Accounting for transition of OPPS/OCBP/OPMO into ESH&Q, IPPM and PSS

• Others?

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B&R Proposed Targets FY14 & FY15

• See spreadsheet for starting points on FY14-15• B&R-level agreement needed today, subject to

approved changes prior to guidance release• Next steps:– Request project labor estimates (big-P and little-p

projects)– Allow forward progress on organizational

allocations within B&Rs in next month (ADs, COO)– Guidance out to DSCs by Thanksgiving

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• What are the high-level drivers affecting our planning, including sponsor needs and expectations?

• What commitments (to HEP and others) are expected tobe carried forward, which may be of lower priority?

• What are the top Sector issues/concerns? (Sector Heads)

• What budget set-asides should be considered for strategic initiatives? (Jack/Vicky)

• What are the pressing facilities and infrastructure (including networks) needs? (Randy/Vicky)

OHEP and Fermilab Program and Budget Climate, Constraints and Planning Assumptions

for FY14 & FY15

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Annual Lab Plan Update Should Capture Agreed Strategies, Outcomes, Initiatives

• Call for ALP comes from DOE in January, plan due to DOE in May– Possible changes to Sec 4.1 from DOE optimizing Science Strategies for the

Future?

• FRA Agenda and Sector PEPs updated post-Feb can provide the inputs/basis for ALP

• ALP Breakdown (IPPM to coordinate):– Mission, overview, Lab-at-a Glance (YKK, CFO, WFDR)– Lab Core Capabilities (YKK and ALDs) – Work For Others (CFO, ALDs)– Science Strategies for future/major initiatives (YKK/ALDs)– Mission Readiness (FESS)– HR (WFDR)– Cost of Doing Business (CFO/COO)

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Future Management Workshops

• Plan for future Management Workshops– Dec:

• Schedule Mission Area Workshop (ALDs w/ YKK)

• Follow with Mission-Support Workshop (COO)

– Jan:

• Schedule top-management workshop to resolve issues with integrated plans leading toward Feb budget briefs (plus other topics)

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Summary, Q&A, Action Items, Next Meeting(s)

• Meeting outcomes:– Shared understanding of strategic priorities and the

FY14+ planning environment – Agreement/update on FRA/FNAL Agenda Major

Initiatives (today, still in draft)– Agreement on proposed B&R FY14/15 targets (today)– Initial draft Sector PEPs by mid-November to support

DSC guidance (Thanksgiving)– Agreement on future workshop plan (today)

• Action items (from the meeting)