Job Order Contract Program Audit

job order contracting program audit

Four BT, LLC is uniquely qualified to conduct a Job Order Contracting Program Audit / JOC Audit.  Our staff fully understands all aspects of JOC implementation, spanning strategy and tactics.   Our experience includes hundreds of public sector real property owners, contractors, subcontractors and business cooperatives.
Best practice implementation of Job Order Contracting can provide multiple benefits:
  • More responsive services, available “on-demand”
  • Higher quality work product
  • Shorter procurement timelines
  • Shorter overall project delivery timelines
  • Lower total project costs
  • Higher overall levels of satisfaction (from all program participants)
  • Greater financial visibility
  • Higher overall transparency
  • Shared and acceptable levels of risk/reward
  • A collaborative working relationship between program participants
  • Long / longer term relationships
  • Improved resource utilization / reduced waste
To achieved these important benefits, however,  ongoing performance management of your Job Order Contract (JOC) is a requirement.
Job Order Contracting is a LEAN best-management practice based upon collaboration, transparency, common data, education, monitoring, and continuous improvement.   An effective measurement system for a job order contract requires a full understanding of program OBJECTIVES, GOALS, and REGULATORY REQUIREMENTS in consideration of both global oversight and local capabilities of all JOC program participants.

job order contracting best management practices

 

A typical JOC workflow associated with JOC projects/task order is shown in the above figure.   Each of the ten (10) primary phases commonly associated with a JOC task order require review for appropriateness with respect to the Owner’s JOC program.   Qualitative and quantitative analysis can provide visibility into existing conditions and  recommendations and/or corrections to enable future program improvement.
JOC task orders associated with the audited JOC should be evaluated with respect to established JOC KPI’s.   Metrics should be provided in standard units of measure and/or other common classification systems.
Key performance indicators help to monitor the overall administration of a JOC program, individual projects / task orders, workflows, deliverables, and outcomes.
Timely, accurate, repeatable, and verifiable information based upon standardized terms, definitions, and data architectures  enables the establishment of baselines from which continuous improvement of processes, practices, and outcomes can be compared.

Job Order Contracting Key Performance Indicators

JOC Key Performance Indicator Unit of Measure / Other Classification Method
Projects Completed On-Time % / Number
Project Completed On-Budget % / Number
Training Frequency / Type Annual (Introductory, Advanced, Owner, Contractor)
Quotations Issued (Contractor) # / Year
Quotations Issued On-Time % / Year
Number of RFQs Issues (Owner) # / Year
Average Quotation Time (Contractor) Days
Number of Estimates (Owner) # / Year
Average Estimate Creations Time (Owner) Days
Estimate Variance (Owner/Contractor) %
Average Number of Negotiation Cycles / Task Order #
Percentage of Projects Requiring Change Orders %
Average Project Delivery Time Days
Level of Quality 1-5 Ranking
Contractor Responsiveness 1-5 Ranking

Additional Consideration Areas:

What problems or issues with the JOC program need to be addressed?
How does the JOC Program compare to alternative construction delivery methods used?
How are Job Order Contract activities dispersed throughout the year?
What type of projects are typically assigned to the JOC program?
Should the JOC Program be expanded?
Where possible, audit results should be  be compared to available JOC research (example:  2015 JOC Performance Study – Arizona State University).
The total time frame for a JOC audit averages approximately ten (10) months from notice to proceed and mobilization.  Audit methodology generally involves detailed primary research and data collection concerning practices involved at each stage of the JOC Program workflow and subsequent calculation of JOC Key Performance Indicators (KPIs).