Sec. 337. HIGH-PERFORMING ORGANIZATION BUSINESS PROCESS REENGINEERING PILOT PROGRAM
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## SEC. 337 HIGH-PERFORMING ORGANIZATION BUSINESS PROCESS REENGINEERING PILOT PROGRAM **[**[10 U.S.C. 113 note](/us/usc/t10/s113)**]** ###
(a)Pilot Program The Secretary of Defense shall establish a pilot program under which the Secretary concerned shall create, or continue the implementation of, high-performing organizations through the conduct of a Business Process Reengineering initiative at selected military installations and facilities under the jurisdiction of the Secretary concerned. ###
(b)Effect of Participation in Pilot Program ####
(1)During the period of an organization's participation in the pilot program, including the periods referred to in paragraphs
(2)and
(3)of subsection (f), the Secretary concerned may not require the organization to undergo any Office of Management and Budget Circular A–76 competition or other public-private competition involving any function of the organization covered by the Business Process Reengineering initiative. The organization may elect to undergo such a competition as part of the initiative. ####
(2)Civilian employee or military personnel positions of the participating organization that are part of the Business Process Reengineering initiative shall be counted toward any numerical goals, target, or quota that the Secretary concerned is required or requested to meet during the term of the pilot program regarding the number of positions to be covered by public-private competitions. ###
(c)Eligible Organizations Subject to subsection (d), the Secretary concerned may select two types of organizations to participate in the pilot program: ####
(1)Organizations that underwent a Business Process Reengineering initiative within the preceding five years, achieved major performance enhancements under the initiative, and will be able to sustain previous or achieve new performance goals through the continuation of its existing or completed Business Process Reengineering plan. ####
(2)Organizations that have not undergone or have not successfully completed a Business Process Reengineering initiative, but which propose to achieve, and reasonably could reach, enhanced performance goals through implementation of a Business Process Reengineering initiative. ###
(d)Additional Eligibility Requirements ####
(1)To be eligible for selection to participate in the pilot program under subsection (c)(1), an organization described in such subsection shall demonstrate, to the satisfaction of the Secretary concerned, the completion of a total organizational assessment that resulted in enhanced performance measures at least comparable to those performance measures that might be achieved through competitive sourcing. ####
(2)To be eligible for selection to participate in the pilot program under subsection (c)(2), an organization described in such subsection shall identify, to the satisfaction of the Secretary concerned— #####
(A)functions, processes, and measures to be studied under the Business Process Reengineering initiative; #####
(B)adequate resources to carry out the Business Process Reengineering initiative; and #####
(C)labor-management agreements in place to ensure effective implementation of the Business Process Reengineering initiative. ###
(e)Limitation on Number of Participants Total participants in the pilot program is limited to eight military installations and facilities, with some participants to be drawn from organizations described in subsection (c)(1) and some participants to be drawn from organizations described in subsection (c)(2). ###
(f)Implementation and Duration ####
(1)The implementation and management of a Business Process Reengineering initiative under the pilot program shall be the responsibility of the commander of the military installation or facility at which the Business Process Reengineering initiative is carried out. ####
(2)An organization selected to participate in the pilot program shall be given a reasonable initial period, to be determined by the Secretary concerned, in which the organization must implement the Business Process Reengineering initiative. At the end of this period, the Secretary concerned shall determine whether the organization has achieved initial progress toward designation as a high-performing organization. In the absence of such progress, the Secretary concerned shall terminate the organization's participation in the pilot program. ####
(3)If an organization successfully completes implementation of the Business Process Reengineering initiative under paragraph (2), the Secretary concerned shall designate the organization as a high-performing organization and grant the organization an additional five-year period in which to achieve projected or planned efficiencies and savings under the pilot program. ###
(g)Reviews and Reports The Secretary concerned shall conduct annual performance reviews of the participating organizations or functions under the jurisdiction of the Secretary concerned. Reviews and reports shall evaluate organizational performance measures or functional performance measures and determine whether organizations are performing satisfactorily for purposes of continuing participation in the pilot program. ###
(h)Performance Measures Performance measures utilized in the pilot program should include the following, which shall be measured against organizational baselines determined before participation in the pilot program: ####
(1)Costs, savings, and overall financial performance of the organization. ####
(2)Organic knowledge, skills or expertise. ####
(3)Efficiency and effectiveness of key functions or processes. ####
(4)Efficiency and effectiveness of the overall organization. ####
(5)General customer satisfaction. ###
(i)Definitions In this section ####
(1)The term “**Business Process Reengineering**” refers to an organization's complete and thorough analysis and reengineering of mission and support functions and processes to achieve improvements in performance, including a fundamental reshaping of the way work is done to better support an organization's mission and reduce costs. ####
(2)The term “**high-performing organization**” means an organization whose performance exceeds that of comparable providers, whether public or private. ####
(3)The term “**Secretary concerned**” means the Secretary of a military department and the Secretary of Defense, with respect to matters concerning the Defense Agencies.
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Sec. 337
HIGH-PERFORMING ORGANIZATION BUSINESS PROCESS REENGINEERING PILOT PROGRAM
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