PART IV

Continuous Process Improvement (CPI) Enterprise Program

WORK STATEMENT

IV-1. Problem Statement and Background

The Governor’s Office of Transformation, Innovation, Management & Efficiency (GO-TIME) focuses on collaboration, partnerships and continuous improvement to help make a government that works better for Pennsylvanians.

There are many government services online, such as filing taxes and registering a vehicle. However, inefficient processes still exist which are cumbersome to employees, result in valuable data being locked away in filing cabinets, and provide less than optimal services to citizens. While the Commonwealth is constantly striving to meet the demand for services and improve the quality of interactions with the public, it does so in an environment of limited resources. By adopting more modern processes, we can improve services to citizens, increase employee efficiency, and create a culture of Continuous Process Improvement (CPI).

Many states have incorporated CPI methodologies into their daily operations in order to identify, reduce and eliminate the non-value added tasksthat lead to inefficient processes. By implementing a commonwealth-wide CPI program, to build capacity within the agencies under the Governor’s jurisdiction tosuccessfully implement CPI initiatives, we will change the culture of state government and deliver increased efficiency and higher quality services.

IV-2.Objectives.

  1. General. The Office of Administration’s (OA) GO-TIME office is seeking proposals from qualified contractors to provide training and implementation support with documentationfor an enterprise CPIprogram.
  2. Specific. The selected Contractor shall:
  3. Develop a program framework to create a Center of Excellence.
  4. Develop and conduct employee training and certification programs
  5. Assist with the implementation of process improvements in partnership with GO-TIME and select agency Champions

1)utilize Lean Six Sigma (LSS) tools (Kaizen events)

2) provide best practices to ensure value is delivered by the Office.

IV-3.Nature and Scope of the Project.

The scope of thisengagementis outlined below. Additional information can be found in section IV-5. Tasks.

  1. Training

LSS methodologies are new to the Commonwealth. Few employees have CPI training, therefore requiring this project to be implemented slowly and carefully in order to build support. Initial training should be developed in a manner that introduces lean concepts to agency staff and leaders, underscores employee engagement and satisfaction as one of the key program objectives, and is relevant to public sector programs and services. Training shall include LSSBB Classroom Training & Certification, Agency Lean-only Classroom Training & Certification, and Facilitation of Process & Internal Control Map trainings.

  1. Training Materials:

The selected Contractor will develop training and exams for Commonwealth Lean training and certification at the bronze, silver, and gold levels.

  1. CPI Center of Excellence(a.k.a. “Hoshin Kanri”)

The selected Contractor shall develop a structured framework for the CPI program, including supporting metrics and documentation.

  1. Project Implementation Support

The selected Contractor shall lead the Commonwealth through three (3) Kaizen Events for processes identified by the Commonwealth and provide implementation support for three (3) projects identified by the Commonwealth.

IV-4.Requirements.

While the Commonwealth has defined minimum standards for assistance with documentationand implementation of the CPI Enterprise Program initiative, it is expected that selected Contractorwill use its industry knowledge, research capabilities, and expertise to propose and deliver documentation services which will allow Commonwealth stakeholders to make future decisions based on the information delivered. Contractorsshall describe how it will meet the requirements as described in this RFQ.

  1. ContractorQualifications
  2. Contractor(s)shall provide resumes for the resources proposed under this engagement.
  3. Contractor(s)shall describe any industry-recognized certifications or affiliationswhich are relevant to this engagement
  4. Contractor(s)shall describe its experience and expertise in all the key service areas:

1)Lean in Government

2)Lean /CPI program implementations with successes

3)Developing & facilitating Lean Six Sigmatraining & certifications

  1. Contractor(s)shall describe its experience and expertise in other areas relevant to this project such as business analysis, fit-gap analysis, process documentation and requirements documentation,
  2. As part of its proposal, Contractor(s)shall provide a sample work product developed for a similar project.
  1. Staffing Requirements
  2. The selected Contractormust provide the appropriate number of resources and expertise needed to successfully accomplish the tasks set out in this RFQ.
  1. Replacement of Personnel
  2. During the project period, personnel not previously identified in the Contractor’s proposal may only be substituted for another person or added to the project team when approved in writing by the Commonwealth.
  3. After key personnel are assigned and approved by the Commonwealth, the selected Contractormay not divert or replace personnel without written approval of the Commonwealth Contracting Officer and in accordance with the following procedures.

1)The selected Contractormust provide notice of proposed diversion or replacement to the Commonwealth Contracting Officer at least thirty (30) calendar days in advance and provide the name, qualifications and background check of the person who will replace the diverted or removed staff. The Commonwealth Contracting Officer will notify the selected Contractorwithin ten (10) calendar days of the diversion notice whether the proposed diversion is acceptable and if the replacement is approved.

2)The selected Contractormust provide a minimum of a fourteen (14) calendar day overlap at no additional charge to the Commonwealth for replacement of key personnel.

3)Advance notification and employee overlap is not required for changes in key personnel due to resignations, death and disability, dismissal for cause or dismissal as a result of termination of a subcontract or any other cause that is beyond the control of the selected Contractoror its subcontractor. However, the Commonwealth must approve the replacement staff and receive the same documentation. Replacement of key personnel whose availability changes for reasons beyond the control of the selected Contractormust occur 1) on a temporary basis within one week of the availability change and 2) on a permanent basis no longer than thirty (30) calendar days from the availability change.

  1. The Commonwealth Contracting Officer may request that the selected Contractorremove one or more of its staff persons from this project at any time, with thirty (30) calendar day’s written notice. In the event that a staff person is removed from the project, the selected Contractorwill have ten (10) days to fill the vacancy with a staff person acceptable in terms of experience and skills, subject to the Commonwealth Contracting Officer approval.
  1. Documentation
  2. All reports and documentation provided as part of this project shall be delivered in Microsoft Office or other format agreed to by the Commonwealth.
  3. Since it is the Commonwealth’s intent to use the documents provided under this project for future business decisions and procurement activities, the Commonwealth shall own all documents created for this project and have rights to edit, use, and distribute copies of the documentation.
  4. Any research or other documentation that is used in making recommendations or developing options for this project shall be referenced and properly cited.
  1. Project Coordination.

The location for project coordination will be:

311 Finance Building

Harrisburg, PA 17120

Note that no more than 3 cubes will be provided to the vendor. Desk phones and access to conference rooms will be provided.

  1. Project Management. The selected Contractorwill use best practices related to project management techniques, which include, but are not limited to, detailed project scheduling, risk management, issue management and change management.

The selected Contractor shall provide project management services throughout the life of the project. Contractor(s) shall submit its project management methodology which it proposes to use for this project. A draft project plan outlining the methodology and major milestones for each task should be prepared and submitted with the proposal.

The selected Contractor must submit final plan(s) within 30days of receiving the notice to proceed. All plans are subject to Commonwealth approval.

  1. Standards and Policies. The selected Contractor shall adhere to all Commonwealth and agency standards and policies. This shall include, but not be limited to confidentiality and procurement policies, standards, and codes.
  1. Training Guarantee. LSS Black Belt certifications are required for selected trainees. Continuous training to occur until this requirement is achieved and approved by the Commonwealth.

IV-5.Tasks

Contractor(s) shall describe theapproach to performing the tasks below in their proposal. Contractor(s) shall identify all activities which will be performed and deliverables which will be developed in the performance of the tasks listed below. Responses must include the proposed approach and tool(s) to be used to accomplish the tasks.

All deliverables are subject to Commonwealth approval and may require an iterative process of development and review in order to receive approval.

At a minimum, the selected Contractor must produce the following:

Task1 / Training
Tasks: / Note: All training mustbe based on the Lean and Lean Six Sigma
Body of Knowledge (BOK) and according to the American Standard for Quality (ASQ) for applicable levels.
  1. LSS Black Belt Classroom Training
The selected Contractor shall provide classroom training for GO-TIME staff and a limited number of agency staff to be trained and certified as Black Belts in Lean Six Sigma methodologies.
Training must include Minitab or all LSSBB tools.
Location:
Training may be held at a facility provided by the commonwealth or at a local training facility provided by the selected Contractor. The training location shall be at the sole discretion of the commonwealth.
Timetable:
  1. To be completed on or before August 5, 2016
Payment:
  1. Payment due after completion of the training, successful certification of staff, and acceptance by the Commonwealth
Deliverables:
  1. Training, Examination, and certification for four (4) staff for LSS Black Belt certification
  2. Training, Examination, and certification for up to (10) additional staff for LSS Black Belt certification (4 GT+10=14 in total).
  1. Agency Classroom Trainings
Agency Lean-only Classroom Training & Certification: Champions in the agencies to be trained and certified in Lean as outlined in the deliverables.
Location:
Training may be held at a facility provided by the commonwealth or at a local training facility provided by the selected Contractor. The training location shall be at the sole discretion of the commonwealth.
Timetable:
See Deliverables
Payment:
  1. Payment due after completion of each training session, successful certification of staff, and acceptance by the Commonwealth
Deliverables:
Training, Examination, and certification for the following certification levels:
  1. For Lean-only Bronze Certifications
  1. One (1) Lean Bronze Training for up to ten (10) employees
  2. One (1) additional Lean Bronze Training for up to ten (10) employees at a future time TBD
  3. First training to be completed on or before July 29, 2016
  1. For Lean-only Silver Certifications
  1. One (1) Lean Silver Training for up to ten (10) employees
  2. To be completed on or before September 30, 2016
  1. For Lean-only Gold Certifications
  1. One (1) Lean Gold Training for up to ten (10) employees
  2. To be completed on or before November 25, 2017
  1. Process Map Training with Internal Controls
Develop and facilitate process map trainings. The training shall focus on identifying & documenting the internal controls within each process and include both financial & non-financial processes.
Location:
Training may be held at a facility provided by the commonwealth or at a local training facility provided by the selected Contractor. The training location shall be at the sole discretion of the commonwealth.
Timetable:
  1. To be completed on or before October 1, 2017
Payment:
  1. Payment due after completion of the training and acceptance by the Commonwealth
Deliverables:
  1. Facilitate two (2) process map trainings with an additional focus on identifying & documenting the internal controls within each process
  2. Training to focus on both financial & non-financial processes

Task 2 / Training Materials
Tasks: / a)Training Materials for Lean-only Programs – The selected Contractor shall deliver training programs and exams that the Commonwealth can use for certification in an electronic format agreed to by the Commonwealth.
The training materials shall include, but not be limited to:
  1. Complete curriculum for each individual program that includes the use of Lean tools through the appropriate training level
  2. The training program must be delivered in PowerPoint (or other acceptable method to the Commonwealth)
  3. A Microsoft Excel file with a tab for each tool. Template formulas should be easily explained & traceable. Other methods of delivery will be considered, but subject to the commonwealth’s approval.
  4. A multiple choice test of >=30 questions for the Bronze program, >= 50 questions each for the Silver & Gold programs
  5. Answer key for tests with supporting details
Timetable:
  1. All programs due on or before December 30, 2016
Payment:
  1. Payment due after delivery and acceptance by the Commonwealth of each program
Deliverables:
  1. One (1) electronic Lean Bronze Training & Certification Program for Government
  2. One (1) electronic Lean Silver Training & Certification Program for Government
  3. One (1) electronic Lean Gold Training & Certification Program for Government

Task 3 / Establish a CPI Center of Excellence (a.k.a. “Hoshin Kanri”)
Tasks: / The selected Contractor shall develop a structured framework for the CPI program, including supporting metrics and documentation. Documentation Required: Flowcharts/process maps & written documentation with supporting details for each item.
Timetable:
  1. Due by: December 30, 2016
Payment:
  1. Payment due after delivery & acceptance by the Commonwealth.
Deliverables:
  1. Framework - Develop a structured framework for the CPI program (e.g., dimensions such as internal management process, services, performance measurement, customer support, shared learning, and marketing).
  2. Key Performance Indicators - Develop characteristics to support each dimension of the framework (customer surveys, training sessions).
  3. Criteria - Develop to support the key performance characteristics that are the standard against which the Center of Excellence will be judged as achieving the level of excellence required in each dimension of the framework. Criteria are to be supported by documented evidence that is measurable & observable.

Task4 / Project Implementation Support
Tasks: /
  1. Three (3) Kaizen events
The selected Contractor shall lead GO-TIME and agency Champions through three (3) separate Kaizen events. Processes to be determined by Commonwealth.
  1. Each event to take place over the course of five (5) days or less
Location:
Kaizen Events may be held at a facility provided by the commonwealth or at a local training facility provided by the selected Contractor. The location shall be at the sole discretion of the commonwealth.
Timetable:
  1. All three (3) events to be completed on or before September 30, 2016
Payment:
  1. Payment due after delivery and acceptance of each event by the Commonwealth
Deliverables:
1. Final Report - final report that recaps the as-is with existing internal controls, future state with internal controls, value-stream map & other metrics to showcase the improvements for each of the three (3) Kaizen events
  1. Implementation Support:
The selected Contractor shall assist GO-TIME & agency Champions/Project Leads through the implementation of at least three (3) projects as identified by the Commonwealth.To include mentoring, weekly calls, and necessary project management support.
Goal is to share successes using various metrics to build confidence and act as a recruitment tool for new agency participation.
Location:
  1. Commonwealth provided meeting place, web conferences and/or teleconferences
Hours:
  1. Estimate 6hrs per week between GT & agency meetings over 5mos for a total of 120hrs. The selected contractor shall balance and allocate Contractor resources based on project need and monthly allotment of hours.
Timetable:
  1. Projects to begin September 8, 2016
Payment:
  1. Payment due after each project completion and acceptance by the Commonwealth.
Deliverables:
  1. Implemented projects (Total of three (3) projects)
  2. Final Report - recaps the as-is, future state, value-stream map & other metrics to showcase the improvements for each of the three (3) projects.

IV-6.Reports and Project Control.

  1. Status Report. The selected Contractor must provide weekly written status reports depicting progress in terms of milestones and accomplishments, issues/potential issues related to the progress of the project and other pertinent information related to the overall effort. Executive level status reports will also be required during this engagement.
  1. Final Report. The selected Contractor must also provide a final report summarizing all activities completed during the procurement efforts including lessons learned for each major milestone. This final report must include, at a minimum, the following items:
  1. An abstract or summary of the project effort, in terminology that will be meaningful to management and others who are only generally familiar with the subject areas.
  2. A description of the techniques and methodologies used during the project efforts to accomplish the tasks.
  3. A summary of the findings, conclusions and recommendations developed in each task.

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