OBJECTIVE 3:

PART II — SYSTEMS ASSESSMENT

(General Operations)

SCIENCE

System Indicators:

Objective 1: Laboratory Productivity Metrics.

The following measures will not be numerically or adjectivally rated during the initial performance period of 1/1/2000 to 12/31/2001. The data being collected and reported is for establishment of baseline information.

Measure 1.1: Research to Support Ratio.

This measure is intended to show the amount of labor directly associated with research work in the Laboratory versus the amount of support labor not directly associated with research. It includes contract labor FTEs and all projects, both operating and capital.

Expectation: Direct labor dollars + LDRD labor dollars + Imputed direct and LDRD service center labor dollars + imputed direct and LDRD program management labor dollars) divided by (All other labor dollars not included in the numerator)

NOTE: Labor in the denominator includes labor charged to organizational burden, overhead and imputed support service center labor.

Measure 1.2: Percent Technical Labor on Research

This measure is intended to highlight the amount of technical effort expended on research.

Research labor dollars charged by technical staff

Total research labor dollars

NOTE: If a Laboratory's system cannot track labor charged by staff, a surrogate approach may be used by including as technical all research labor charged by technical organizations with a statement appended that this approach was used. (Because of desirable non-research activities such as training and professional society work, it would not be expected that this percentage would reach 100%.)

Measure 1.3: Average Operating Cost per Research FTE

This measure is intended to reflect the cost of managing the Laboratory in terms of its operating cost relative to all research FTEs. The unit of this metric is thousands of dollars per research FTE.

[Total operating reimbursable cost (e.g., less capital costs) -

[All direct operating subcontract cost]

All operating research FTEs (including contract labor)

NOTE: Direct subcontracts are excluded from the numerator in order to prevent the overstatement of cost per research FTE, since the subcontractors FTEs are not included in the denominator.

Definitions

In order to enhance consistency in the use of these measures, the actual calculation of the metric should be provided. In addition, the following complementary data should also be provided:

1. The number of hours used for the calculation of an FTE.

2. List of functions and FTEs included in contract labor.

3. List of program management pools and FTEs included in research.

4. The amount and kind of capital cost excluded in Success Indicator 2.

5. Any footnotes or explanations that would clarify unique circumstances associated with a given metric.

Providing the details of the calculations and the disclosure information given above would militate against this information being used out of context.

The Definitions and terms appearing in italic are defined below as:

Capital - Cost charged to a project when the project is exclusively for construction or for the purchase, construction, or installation of equipment that is to be capitalized for accounting purposes.

Contract Labor - The cost of labor provided under a manpower contract where the contract staffs are managed essentially the same as staff on the Lab's payroll. All other manpower or service contracts are to be treated as subcontract cost.

Direct Cost - Cost charged to a project based on its direct benefit to the project. Direct cost consists of labor (including fringe on direct labor), travel, materials, procurement, subcontracts, service center and program management charges to a project.

Full Time Equivalent (FTE) - An FTE represents the expected average amount of chargeable time based on a full time person working normal hours. The chargeable hours used in calculating a FTE are usually 2080 available work hours less the laboratory average for paid absence (vacation, holidays, sick time, etc.).

Labor Cost - Salary and fringe benefit cost including cost of paid absences. For the purpose of these metrics, labor cost includes the equivalent cost of contract labor (including profit).

Operating - Funding provided to the Laboratory by DOE or Work for Other (WFO) sponsors for a given work scope excluding projects that are exclusively for capital construction and/or capital equipment.

Project - A scope of work funded (reimbursed) by a sponsor. A project would be considered as, or part of, a final cost objective in cost accounting standards terminology.

Program Management - Cost associated with managing a group of related projects that, due to the number of projects involved, must be pooled and allocated to those projects instead of direct charged. To be considered program management, the cost in the pool must be primarily (more than 50%) for technical program management and not for the development of new programs.

Research Labor - All direct labor charged to projects (both operating and capital), plus labor charged to LDRD, plus an imputed amount of direct labor charged to program management and service center pools. The cost of service center pools charged to research is to be calculated using the percentage of recovery charged to projects and LDRD.

Technical Staff - Staff that are classified as Scientists, Engineers, Technicians, or the equivalent in the Laboratory's human resources system irrespective of the organization to which staff are assigned (e.g., a secretary in a Research organization is not considered technical).

Service Center - A cost pool associated with providing a specific service or group of services where the costs are accumulated and then charged to the user on a standard rate representative of the services used or on the basis of the resources consumed.

Subcontracting - Purchase of an agreed to work scope from a third party. This includes work done by other DOE sites, but excludes normal procurement actions (e.g., purchase of goods) and contract labor.

Support Labor - Direct labor FTEs charged to cost pools other than the labor FTEs defined as Research. This includes Labor FTEs charged to laboratory overhead, organizational burden pools and imputed amount of service center and program management labor FTEs not classified as research.