FY2007 Administrative Peer Review

1. FY2007 Administrative Peer Review Closeout Slides The Administrative Peer Review Committee August 31, 2007 .

2. FY2007 Administrative Peer Review • Committee Members • Anne Street – Chair • Judd Haverfield • Ernest Pierz • Diane Schultz • Jerry Swanks • Robin Wendt .

3. FY2007 Administrative Peer Review • Our report includes the following for each program area • Noteworthy Practice: Where the Committee believed FNAL has attained a best practice in its operations or administrative programs. • Observation: Where the Committee believed there is an opportunity for FNAL to improve its operations and administrative practices. • Recommendation: Based on findings, observations or other issues, the Committee will make recommendations for improvement. A better or best practice from another institution may be offered. .

4. FY2007 Administrative Peer Review • Global Questions • How has the laboratory reorganization affected your ability to deliver services? • How has the change from URA to FRA affected your ability to deliver services? • What new initiatives to improve services have you developed with ANL as a result of the establishment of FRA? • What change management practices, principles, and procedures have you used and how successful were they? .

5. FY2007 Administrative Peer Review ES&H Section Fermilab August 31, 2007 .

6. FY2007 Administrative Peer Review • Environment Safety & Health • Noteworthy Practices • Attainment of ISO 14001 certification for the Environmental Management System • Commitment to/pursuit of the OHSAS 18001 certification for Health and Safety Program • Benchmarking compensation through three different salary surveys to ensure ES&H professionals are paid to market • Staff competence, especially in the radiation safety program • ES&H Contractor Assurance System has been developed. • Audits of divisions/sections to assess hazard analysis .

7. FY2007 Administrative Peer Review • ES&H • Observations • Recent reorganization, new management structure of FRA, and ES&H commitments made under the new DOE-FRA contract have been accommodated with little impact to ES&H services and counsel • That ES&H participates in the weekly director’s meeting has been a plus. • Effective exchanges with ANL. Best example is the RPP triennial review. Such exchanges will continue • ES&H has managed change well • Customer satisfaction is high .

8. FY2007 Administrative Peer Review • ES&H • Observations (cont’d) • Accident rates have increased above those in recent years. ES&H continues an excellent program to address accidents and the increase is not yet a reason to create a new approach. Like other SC labs, FNAL is struggling with very aggressive goals. • The fire department now reports to the Head of the Business Services Section but the ES&H Section retains responsibility for the Emergency Management Program. This has proven to be manageable. • The Lab has experienced substantial losses in the leadership of its Electrical Safety Program .

9. FY2007 Administrative Peer Review • ES&H • Recommendations • Closely monitor accident rates and continue root cause analysis of each accident • Seek formal FSO approval of the the ES&H CAS (responsibility shared with the Assurance Council) • Continue with plans to audit AD work practices to assess how well the hazard analysis policy (FESHM 2060) is implemented • Review the NEPA chapter (FESHM 8060) with NOvA management to determine if revision is necessary .

10. FY2007 Administrative Peer Review • ES&H • Recommendations (cont.) • Review integration of accident investigation, workers’ comp. case management, and return to work management. • Ensure a seamless succession to the next team of electrical safety professionals that will provide historic levels of support and electrical safety training .

11. FY2007 Administrative Peer Review Business Services Section Fermilab August 31, 2007 .

12. FY2007 Administrative Peer Review • Business Services Section • Noteworthy Practices • Procurement • Balanced Scorecard results • Improvements in file documentation • Service Subcontract administration • ILC & NOvA acquisition Planning • Property Management • Travel • Domestic conference management system .

13. FY2007 Administrative Peer Review • Business Services Section • Observations • Procurement • Anticipated ramp-up in ILC acquisition • Focus on industrial involvement • QA Program Development with engineering records emphasis • Existing relationships with Argonne, Univ. of Chicago, other DOE labs • Improved efficiency of Travel Office .

14. FY2007 Administrative Peer Review • Business Services Section • Observations (cont.) • Transition of Security subcontract to new DOE contractor • Recertification of Property & Procurement Systems • Continuing level of irritation with Foreign Travel System • Telecommunications needs integrated approach .

15. FY2007 Administrative Peer Review • Business Services Section • Recommendations • Establish and communicate process for interacting with new security contractor • Get early start on Records Management issues related to OQBP & QA program implementation • Improve travel website including travel policy • Develop a streamlined procurement process for emergency repair work • Utilize existing DOE lab best practices for CRADA development .

16. FY2007 Administrative Peer Review FESS Section Fermilab August 31, 2007 .

17. FY2007 Administrative Peer Review • FESS Section • Noteworthy Practices • Strong communication with divisions/sections as well as within the FESS line organization • Knowledgeable and competent staff resources • Consistent and appropriate use of trained and qualified task managers to oversee work activities • Good use of external funds to reduce deferred maintenance, e.g. Pi Power poles • Customer focused and responsive with high satisfaction ratings .

18. FY2007 Administrative Peer Review • FESS Section • Observations • DP-18, while clearly beneficial to the Lab, is cumbersome and not well accepted by researchers • Metasys capabilities and alarm procedures not fully understood by building managers and researchers • There is an opportunity to share best practices and lessons learned with Argonne lab counterparts • Urgent repairs can be delayed/hampered due to existing procurement strategies • Significant amount of infrastructure is nearing the end of its useful life .

19. FY2007 Administrative Peer Review • FESS Section • Recommendations • Develop a management of change process to “market” DP-18 as well as identify opportunities/methods to streamline the process • Document a clear protocol for adding new Metasys alarm points as well as emergency call out procedures, evaluate the need to drill call out procedures. • Continue to evaluate staffing levels against the strategic plan and current needs • Continue to evaluate funding mechanisms and priorities for infrastructure and deferred maintenance projects .

20. Committee Finance Fermilab August 31, 2007 .

21. FY2007 Administrative Peer Review • Finance • Noteworthy Practices • Successful implementation of contract transition activities .

22. FY2007 Administrative Peer Review • Finance • Observations • Budget submissions and transfers executed on time • Met performance requirement for timely payment of vendors • Good communication with field financial analysts • Implementation of Oracle financials proceeding on schedule • Phased implementation of Time and Labor system • Increased and complex requirements challenge organizational resources • FY2008 budget may be inadequate to support current laboratory commitments .

23. FY2007 Administrative Peer Review • Finance • Recommendations • Sustain implementation of current Financial System upgrade plan • Ensure adequate resources and funding for the upgrade plan • Implement an automated travel expense system • Aggressively monitor laboratory commitments in light of the FY2008 budget .

24. FY2007 Administrative Peer Review Office of Quality and Best Practices Fermilab August 31, 2007 .

25. FY2007 Administrative Peer Review • OQBP • Noteworthy Actions • Creation of the OQBP to spearhead quality assurance and contractor assurance activities driven by two key DOE directives in the DOE-FRA contract • DOE Order 414.1C, Quality Assurance • DOE Order 226.1, Implementation of DOE Oversight Policy and Contractor Assurance Systems • Oversight of the root cause analysis of the triplet failure • Commitments and Initiatives tracking and reporting .

26. FY2007 Administrative Peer Review • OQBP • Observations • DOE Order 226.1A has been promulgated but not incorporated into the DOE-FRA contract. If incorporated in the DOE-FRA contract, it will require a CAS for • physical security, emergency management, cyber security • DOE is expecting OQBP to bring a 414.1c based Quality Program to the Laboratory • DOE desires a large quality impact across the Lab per the proposal description of the purpose of the OQBP • Both DOE & the Committee have serious doubts about the ability of OQBP to deliver on promises with one professional and a $1M budget .

27. FY2007 Administrative Peer Review • OQBP • Recommendations • Establishment of Laboratory Quality Program should be top priority • The Quality program must include an independent oversight function • Benchmark other SC laboratories • Establish the Quality Council and assure its early involvement in the development of the Quality Program • Funding level for this activity needs higher prioritization • Develop prioritization process for dealing with requests for assistance from within the laboratory .

28. FY2007 Administrative Peer Review WD&R Section Fermilab August 31, 2007 .

29. FY2007 Administrative Peer Review • WD&R Section • Observations • Discussion of FLSA changes and FY08 comp. planning dominated many division interviews • References to positives experiences with other (non-comp) HR related services (e.g. employee relations) • FLSA changes implemented (well after deadline) in accordance with law and standard practices by employment law and HR professions • Disagreement still expressed by dept heads, especially over degree/non-degree issue .

30. FY2007 Administrative Peer Review • WD&R Section • Observations (cont.) • FY08 Salary Review process • DOE anticipates likely certification of new comp. plan system on schedule • 2nd cycle of new plan recently completed • Project plan, including communication planning and incorporating change management principles, was developed and used • Some dept heads continue to challenge comp. strategy which Directorate chose early 2006 .

31. FY2007 Administrative Peer Review • WD&R Section • Observations (cont.) • Some critique of delays in hiring process • Review of hiring process indicated documented process (with flexibility) and performance metrics • Scientific hiring still being driven by divisions • OHAP being driven by Directorate • Lagging in schedule, purpose/scope not fully developed yet? • No evidence of near-term succession/replacement planning .

32. FY2007 Administrative Peer Review • WD&R Section • Observations (cont.) • Some suggestion of increased attrition due to lowered morale driven by compensation issues • Review of actual attrition rates shows low percentage consistent with past years and typical retirement ages • During significant cultural change, the Committee observed and found evidence of inappropriate and disruptive leadership behaviors among the senior leadership with no evidence of associated negative consequences for this behavior .

33. FY2007 Administrative Peer Review • WD&R Section • Recommendations • Within WD&RS, continue development of project management model, including communication planning and incorporating change mgt principles • In particular, project plan for scientific hiring process changes, evaluation of retiree medical • Fully leverage development opportunities of Strategic Laboratory Leadership Program • Link key messages to core competency leadership skills training • Continue to utilize change management principles and communications planning in all major Lab initiatives .

34. FY2007 Administrative Peer Review • WD&R Section • Recommendations (cont.) • Continue to learn from and leverage expertise of Public Affairs in planning internal communications and messaging • Consider ongoing metrics reporting for hiring processes • Education Office – provide permanent space for these truly “showcase” programs • Address expected leadership behaviors in cultural change efforts. Enforce expectations with consequences. .

35. FY2007 Administrative Peer Review Summary .

36. FY2007 Administrative Peer Review • Global Questions • How has the laboratory reorganization affected your ability to deliver services? • How has the change from URA to FRA affected your ability to deliver services? • What new initiatives to improve services have you developed with ANL as a result of the establishment of FRA? • What change management practices, principles, and procedures have you used and how successful were they? .

37. FY2007 Administrative Peer Review • Highest priority recommendations • Aggressively monitor laboratory commitments in light of the FY2008 budget • Establish a Laboratory Quality Program • Closely monitor accident rates and continue root cause analysis of each accident • Continue to evaluate funding mechanisms and priorities for infrastructure and deferred maintenance projects .

38. FY2007 Administrative Peer Review • Crosscutting Issues • The uncertainty of the laboratory’s future drives fear and morale issues • Regardless of the nature of the change, a common and integrated approach to change management (including communications) is necessary • Cohesive leadership is required in the face of substantial change .