2010-MGT09

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Transforming Estimating and Pricing Organizations to Attract and Leverage the Strengths of the New Workforce

Management Track

Downloadable Files:

MGT09-Smith

MGT09A-Smith

Abstract:

The incoming workforce to replace the Baby Boom/Reagan Cold War defense buildup professionals is going to require a new organizational model to attract the professional talent to maintain effective Estimating and Pricing organizations. Northrop Grumman Electronic Systems Estimating and Pricing Organization, located near Baltimore Maryland, has piloted and implemented a new organizational and management technique model and will be sharing the concept, implementation, and results in this paper.

Subjects to be addressed by the paper are an analysis of the demographic changes both experienced and anticipated in the next few years. The analysis examines the motivations, expectations, and career aspirations of the new workforce and an organizational model and management style to capitalize on the strengths and maximize effectiveness that attracts individuals into the Estimating and Pricing organization. Specific topics covered are: mentoring, expectation setting, group integration and physical location priorities, workforce engagement techniques and practices, training, team building, and tangible/measurable results.

The paper shares the model, implementation, and lessons learned of the organizational and management changes that transformed the NGES Estimating and Pricing organization to meet the new workforce demographic challenge that is either immediately or soon will be facing Estimating and Pricing organizations throughout out the defense industry and Government.

Author(s):

Stanton Smith
Director, Proposals, Estimating and Pricing,
Northrop Grumman Corporation, Electronic Systems Sector
As Director, of Proposals, Estimating and Pricing, Stan is responsible for oversight sole source proposals, subcontract cost analysis, providing advice and guidance on sector must win competitive proposals, and development of sector pricing and estimating policy and procedures. Stan also is the sector focal point for the DCAA and DCMA proposal audits and estimating system audits, and the training and development of Estimating and Pricing personnel.
Stan joined Northrop Corporation in 1980. Since then, he has progressed through numerous Business Management positions in the areas of contracts, pricing and estimating supporting aero structures products and more recently electronic systems and components. His background at Northrop Grumman includes experience on multiple military and commercial programs such as former Northrop Commercial Aircraft Division’s, A7, F8, C17, B1, and Boeings DC10, KC10, 747, 757 and 767 programs. Stan was also an IPT leader on the WPAFB Wright Labs, Manufacturing 2005 program. Stan joined the Electronic Systems Sector in 1999 where he has principally focused on Estimating and Pricing management and strategic proposals.
Stan’s academic background includes a MBA degree at the University of Texas at Arlington, Masters Certificate in Government Contracting from George Washington University and an undergraduate degree in Economics from Hillsdale College. Director, Proposals, Estimating and Pricing,
Northrop Grumman Corporation, Electronic Systems Sector
As Director, of Proposals, Estimating and Pricing, Stan is responsible for oversight sole source proposals, subcontract cost analysis, providing advice and guidance on sector must win competitive proposals, and development of sector pricing and estimating policy and procedures. Stan also is the sector focal point for the DCAA and DCMA proposal audits and estimating system audits, and the training and development of Estimating and Pricing personnel.
Stan joined Northrop Corporation in 1980. Since then, he has progressed through numerous Business Management positions in the areas of contracts, pricing and estimating supporting aero structures products and more recently electronic systems and components. His background at Northrop Grumman includes experience on multiple military and commercial programs such as former Northrop Commercial Aircraft Division’s, A7, F8, C17, B1, and Boeings DC10, KC10, 747, 757 and 767 programs. Stan was also an IPT leader on the WPAFB Wright Labs, Manufacturing 2005 program. Stan joined the Electronic Systems Sector in 1999 where he has principally focused on Estimating and Pricing management and strategic proposals.
Stan’s academic background includes a MBA degree at the University of Texas at Arlington, Masters Certificate in Government Contracting from George Washington University and an undergraduate degree in Economics from Hillsdale College.

Ian Callanan
Business Strategy and Cost Volume Manager
Northrop Grumman Corporation- Electronic Systems
As one of Electronic System’s (ES) Business Strategy and Cost Volume Manager’s Ian is responsible for all of the pricing and cost volume activities associated with ES’ Advanced Concepts & Technology Division (ACTD). This division generates 300+ proposals annually in addition to internal costing exercises. Ian’s other responsibilities include interfacing with local DCMA/DCAA on audit requests and leading Independent Cost Evaluations (ICE) when required.
Ian joined Northrop Grumman’s ES Sector in 2003 and, in that short time, has held numerous positions within Business Management each with increasing responsibilities. Prior to joining Estimating and Pricing (E&P), Ian completed professional rotations in Government Rates and Budgets, Program Finance, and Sector Financial Planning. Ian was promoted to management in the Spring of 2009 following a professional assignment within the department.
Ian holds a bachelor’s degree in Finance from the University of Maryland and is currently working on an M.B.A from the same institution.

Eva Young
Advanced Concepts and Technology Division Pricing Lead, Estimating and Pricing
Department, Northrop Grumman Corporation
As AC&TD Pricing Lead, Eva is responsible for training, developing, mentoring, and coordinating the PDPs through their E&P rotation as AC&TD pricing analysts. She keeps track of all open AC&TD proposals, assigning pricing work to Professional Development Program participants in the department, and making sure all proposals are completed following all FAR guidelines and company procedures.
Eva joined Northrop Corporation in 2006, as part of the Electronic Systems Professional Development Program. Since then, she has had a number of positions in Business Management with increasing responsibility. These positions were in the areas of finance, payroll, accounting, system support, and now pricing.
Eva’s academic background includes a bachelor’s degree at Salisbury University in Maryland, with a major in Accounting.