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Defense Contract Management Agency (DCMA)

The Defense Contract Management Agency (DCMA), formerly the Defense Logistics Agency's Defense Contract Management Command (DCMC), is the Department of Defense (DoD) contract manager, ensuring acquisition programs are delivered on time, within cost, and meet performance requirements.

The Department of Defense announced the establishment of the Defense Contract Management Agency effective March 27, 2000. Establishing the DCMA assigned responsibility for Department of Defense contract management to the new agency. DCMA was formerly the Defense Contract Management Command [DCMC], a major subordinate command of the Defense Logistics Agency. Establishing DCMA was intended to allow DOD to be more responsive to both the military service and Defense agency customers. DCMA is under the direction and authority of the Under Secretary of Defense (Acquisition, Technology and Logistics). The agency consists of all the employees and resources of the former DCMA, including 12,539 full time positions for fiscal 2000 that were transferred from DLA.

DCMA supervises and administers contracts with the thousands of suppliers who deliver goods and services to the military each year. The new agency also is chartered to streamline and standardize the contracting process. DCMA is integral to the entire end-to-end acquisition process-from pre-award through contract closeout. Managing more than 352,000 prime contracts with remaining work of more than $90 billion, DCMA monitors more than 23,000 contractors.

DCMA is a key player on the DoD acquisition team. Prior to contract award, DCMA joins the pre-award team to help construct effective solicitations; identify potential performance risks; select capable contractors; and develop contracts that are easily administered with less risk of costly modifications. After the contract is awarded, DCMA oversees the contract to ensure product, cost and schedule compliance and, in cases of contractual delays and other unforeseen issues, DCMA helps the military services make alternative arrangements to ensure America's warfighters have the supplies and services they need.

Supporting America's warfighters is a mission DCMA performs around the clock, around the world and, into the 21st century. To help the Command anticipate customer requirements and leverage its resources effectively, DCMA established a Board of Directors (BOD). The BOD is chaired by the Under Secretary of Defense (Acquisition and Technology) and consists of the Service Acquisition Executives, key functional stakeholders from the Office of the Secretary of Defense staff, the Defense Logistics Agency (DLA) Director and the DCMA Commander.

The top-level support DCMA provides to its customers has ensured the Command a leadership role in a number of DoD acquisition reform initiatives that are guiding the Department into the next century. DCMA is leading two Management Reform Memorandums-reduction of source inspection and disposal of excess government property-and is a primary participant on a third: moving to a paper-free contracting process. DCMA is leading two Defense Reform Initiative Decisions: paperless contract closeout and development of an end-to-end procurement process. The Command is also leading several DoD initiatives, including the Single Process Initiative, which has saved nearly $500 million to date and is key to implementing the DoD civil-military integration movement.

The DCMA cadre of customer liaisons and program integrators work daily with DCMA customers, including Program Managers, to ensure the services DCMA provides precisely match the needs of our customers.

DCMA performs a variety of functions, including:

  • Providing contract management for diverse product lines, including aircraft, space launch vehicles and spacecraft, medical and subsistence items, electrical and electronic commodities, military vehicles, munitions, petroleum, and chemicals and lumber
  • Performing price/cost analyses, overhead and contractor system reviews, financial services, property and plant clearance, transportation and packaging, and termination settlements
  • Providing quality assurance by verifying contractor processes and performing final inspection and acceptance on critical items
  • Providing program and technical support by analyzing cost, schedule and technical performance of contractor programs and systems
  • Providing access to the services of the DLA Fraud Program. These services include training in the prevention and detection of fraud; assistance in the investigation of contract-related irregularities; and coordination of administrative remedies
  • Performing integrated industrial capability analyses to support the military services' and defense agencies' major weapon systems acquisition, logistics and readiness programs.

The DCMA mission is performed around the clock, around the world. In addition to routine contract management services performed within the United States and in foreign countries, DCMA professionals serve on the front lines alongside American warfighters in contingency operations worldwide. Since its formation in 1990, DCMA contracting professionals have served in a number of military operations and humanitarian missions, including operations in Kosovo, Bosnia, Haiti, Rwanda, and Somalia, and have provided humanitarian assistance for victims of Hurricanes Mitch and Hugo. For instance, in Operations Joint Forge/Joint Guard (Bosnia), DCMA professionals helped American warfighters establish base camps at Tuzla, Hungary, and other locations, maintain main supply routes, and provide everyday services such as the mail, laundry, food service, and showers.

DCMA's fully integrated network of customer liaisons and program integrators ensure the Command delivers great customer service. However, the second goal- efficient and effective business processes-also plays an integral role in ensuring great customer service. As a leader in the implementation of the Government Performance and Results Act, DCMA establishes performance metrics in coordination with its customers and continually measures and adjusts the Command's performance and resources to ensure optimum customer satisfaction. As a result, DCMA customer satisfaction ratings are consistently above average. In 1998, DCMA Long Island was awarded the prestigious Presidential Quality Award (the federal government's equivalent of the Malcolm Baldrige Award). DCMA is able to achieve its first two strategic goals because the Command places a premium importance on achieving its third goal of enabling its people to excel. An Executive Level Steering Group ensures DCMA resources are effectively allocated to allow DCMA professionals to get the training and professional development courses they need. In meeting this goal, DCMA can guarantee the right people are at the right place at the right time to support America's warfighters.

DCMA is headquartered in Ft. Belvoir, Va., and structured into three Districts (East, West, and International) which oversee 70 contract administration offices responsible for contract management performed at over 900 operating location worldwide.

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