Federal Bureau of Investigations (FBI)
Response to the Department of Justice (DOJ)
Office of the Inspector General (OIG) Draft Audit Report
SENTINEL Audit III: Status of the Federal Bureau of Investigation's
Case Management System
Responses to Recommendations:
The FBI concurs with the recommendations of the DOJ OIG's Audit Report and has
already taken positive measures to incorporate the recommendations in Program
Management Office (PMO) operations. The following comments are provided:
Finding 1: Phase 1, Schedule, Cost, and Performance:
Recommendation #1: Reconsider the four-phase approach to developing SENTINEL to
limit the scope of future phases to allow them to be completed in 9 months or less.
FBI Response: Completed. During a meeting with the DOJ OIG, the FBI OCIO, the SENTINEL Program Manager (PM), SENTINEL Deputy PM, and SENTINEL System
Development Unit Chief on April 23, 2007, the philosophy of waterfall and incremental
methodologies was discussed based on Phase 1 lessons learned. At that time, the FBI
informed the DOJ OIG that it planned to modify its methodology to provide users with
capabilities at a more rapid pace rather than delivering all capabilities at the end of a phase.
In that regard, Lockheed Martin (LM), with PMO participation, has been developing
the strategic plan which will implement an incremental development and delivery schedule.
This plan is scheduled to be finalized and delivered to the FBI on August 31, 2007.
Recommendation #2: Negotiate decreases in the cost of future phases if requirements are
deferred in that phase.
FBI Response: Agree. The SENTINEL PMO is currently awaiting an Engineering
Change Proposal, due on August 31, 2007. At that time, the costs for Phases 2-4 will be
presented, discussed and, if necessary, negotiated with LM.
Finding 2: Phase 2 Planning and Management Issues:
Recommendation #3: Collect and report EVM data for both the performance
measurement baseline approved at the integrated baseline review as well as the revised
performance measurement baseline.
FBI Response: Completed. On March 29, 2007, the FBI and LM agreed to report
Earned Value Management (EVM) performance against both the original Integrated
Baseline Review (IBR) and subsequent baseline revisions, if any. This agreement will be
implemented as part of the new strategic plan for Phases 2-4.
Recommendation #4: Reconcile the discrepancy between the costs Lockheed Martin
reported for Phase 1 with Lockheed Martin's EVM data, and develop and implement
policies and procedures to prevent any future discrepancies.
FBI Response: Agree. On June 14, 2007, the PMO "stood down" EVM reporting and has not accepted any LM invoices pending LM's disclosure of the reasons for cost discrepancies and an acceptable action plan to prevent further occurrence. On August 7, 2007, LM disclosed the reasons causing the discrepancies and proposed an action plan. The PMO is currently
evaluating those reasons and the action plan.
Recommendation #5: Develop and implement effectiveness measures for all risk mitigation
plans.
FBI Response: Agree. SENTINEL is considering methods on how the effectiveness of
the mitigation strategy would be measured.
Recommendation #6: Ensure that personnel assigned to manage SENTINEL risks devote
sufficient time to the risk and have the experience and authority to adequately manage the
risk.
FBI Response: Agree. Each SENTINEL risk is assigned to a Risk Working Group in
which experienced personnel with diverse qualifications have sufficient time and authority to
adequately manage the risk. The dedicated Risk Coordinator maintains risks and action item
status in the Risk Register.
Recommendation #7: Document and track project issues, risks that have occurred, as well as the plan to resolve those issues and their ultimate resolution.
FBI Response: Agree. The PMO agrees to track and report on issues (including realized risks) that have a material impact on the program. Material impact will be defined as any issue that has a "Medium" or higher impact (cost, schedule, technical, or business impact) as specified in the FBI Risk Management guidance documents and the SENTINEL Risk Management Plan.
Recommendation #8: Implement policies and procedures to ensure that any changes to the
Bill of Materials receive proper authorization and that the changes can be reconciled to the
Bill of Materials submitted in Lockheed Martin's proposal.
FBI Response: Agree. The PMO has developed an updated Bill of Materials Deviation Policy and Procedure to ensure any changes are fully vetted by appropriate LM and PMO review boards prior to approval. As proposed, changes to the Bill of Materials will pass through appropriate decision boards including the Configuration and Change Management Board (CCMB) of LM Financial, the PMO CCMB, the PMO's Business Management Unit (BMU) and internal Finance Division boards. That document is currently in the review and approval process.
Recommendation #9: Implement policies and procedures to ensure that materials
contained in Lockheed Martin invoices can be reconciled to the bill of materials or an FBI
approval for a change to the bill of materials.
FBI Response: Agree. As of June 2007, the PMO's BMU now requires LM Financial to map their invoices to the Bill of Materials. LM was required to implement this new procedure prior to the acceptance of any invoices by the PMO.
