EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503


APRIL 14, 1997


MEMORANDUM FOR SELECTED SENIOR AGENCY PROCUREMENT EXECUTIVES AND THE ACTING DEPUTY UNDER SECRETARY OF DEFENSE (ACQUISITION REFORM)

(original signed by)
FROM: Steve Kelman
Administrator

SUBJECT: Follow-up on Memo to the President's Management Council (PMC) on Our Award Programs for Procurement Performance


Some time ago, I sent you a copy of a memo distributed by Mort Downey, Deputy Secretary of Transportation and Chair of the Procurement Working Group of the PMC, and me on the idea of taking aside a pool from your available bonus money to establish one or more agency awards to reward teams for outstanding performance in delivering results, in terms of the value obtained from an individual procurement and/or from measures to improve the overall procurement process.

As you remember, back a few years ago, we jump-started some new ideas for procurement reform through the use of voluntary agency pledges. I am inclined to think that this area might be appropriate for another pledge. This would allow us to give real visibility to the idea that we are changing the basis of accountability for the procurement system from an accountability for bureaucratic processes into an accountability for results delivered to taxpayers.

I am writing to ask that you discuss within your agency the idea of participating in such a pledge. Could you possibly get back to me with initial reactions, either by phone, e-mail, or note, by Friday, May 9. We could perhaps then discuss this at the meeting of the Federal Procurement Council on May 28. Thanks for giving this your serious consideration.


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