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capabilities that will promote the identification of user requirements, and continually review internal procedures and respond to customer complaints regarding GPO's modus operandi.

Response:

The contractor apparently has a misconception of our procedures. Customer Service procedures do not need to be modified to provide assistance to its customers. Direct contact is permitted between customer agencies and Production or Procurement when there is a need. Using one organization as point of contact for the customer is the most practical organizational solution that can be applied to cover the broad range of customer services required. The virtually insurmountable task of generating and maintaining enough current detailed information at multiple points of contact, that would be necessary, would require a duplication of effort and resources.

Previous attempts to ascertain future user requirements have not been beneficial because the customers know dollar allotments, but have little information on specific requirements.

GPO has been, and will continue to be, responsive to customer complaints and suggestions applicable to our operations.

B. Superintendent of Documents

Pages iv and 119

Recommendation:

Each bookstore should be put on a self-sustaining basis by instituting mechanisms in which books are "sold" to each store, e.g., at a percentage of retail value. Thus, each bookstore would be provided with an operating margin from which all costs are paid.

Response:

This recommendation is unclear, but seems to indicate some sort of Individual revolving fund for each bookstore. In our opinion, this would result in accounting for the sake of accounting.

We already have the capability to match cost and revenue and determine the profitability of each bookstore. It has been our policy in the past, and will continue to be our policy, to close down unprofitable bookstores whenever expected revenues fail to materialize or costs, such as GSA rental, escalate to a point which precludes profitable operation.

Page v and 119

Recommendation:

SU/DOC should develop a system whereby operating costs associated with inventory are collected, updated, and available for management review. Additionally, it is recommended that inventory levels and back orders be examined in order to determine if either could be reduced to lower the inventory investment without impairing service delivery standards.

Response:

The contractor implies that information associated with inventory control is not collected and available for management review. This is not so. GPO now has a system whereby operating costs associated with inventory can be collected and made available for management review. Inventory levels and back orders are under constant surveillance.

c. Printing Procurement and Production

Pages v and 120

Recommendation:

The Printing Procurement Department should initiate a study of COPPD and CPSD in order to determine the feasibility of their consolidation.

Response:

GPO concurs that a study of the possible relocation of the Commercial
Printing Specification Division could produce beneficial results and
such a study will be made. This does not mean that the Commercial
Printing Specification Division will be absorbed by Central Office
Printing Procurement Division but it could well be consolidated with
Plant Planning operations.

Pages vi and 121

Recommendation:

GPO needs to examine the organizational location of PPD in order to determine if it should be placed in Operations. Furthermore, GPO and JCP staff should work together in developing a methodology to evaluate field printing operations so as to ascertain their efficiency and effectiveness in fulfilling customer agency requirements.

Response:

The only thing that the Field Printing Division and the Production Department have in common is that both are production oriented. Other than this there is no similarity. The employees of the FPD are under a classification and pay system that is different from the employees in the Production Department; and, their principal mission and type of work is also different.

The Report fails to recognize the advantages of the present placement of FPD Three of the six field offices have managers that also manage the procurement office at that location. This gives the managers the advantage of using either facility when making decisions as to how a job is to be

produced to meet schedules, i.e. printed in house or procured from a commercial printer. The other three field printing offices have single managers but enjoy the same advantages by keeping a close liaison with the procurement office located in the same city. To place the FPD under the Production Department would provide no advantage over the present placement under the Printing Procurement Department. We do not agree that FPD should be under the Production Department.

Pages vi and 121

Recommendation:

A comprehensive review should be undertaken in order to determine how Region 3 RPPO and DSO might best be utilized in serving customer agencies and complementing Central Office operations.

Response:

As the GPO indicated to the contractor during the review, the consolidation of Region 3 RPPO with COPPD is a matter under current consideration. However, the consolidation of DSO with Central Office operations is not feasible. DSO is not basically equipped nor manned to perform the type of work done by Central Office production. Nevertheless, DSO does serve as an outlet for many jobs received at the Central Office which cannot be economically produced on the more sophisticated equipment and facilities of the Central Office.

The contractor apparently has failed to perceive this unique function performed by Dso. For these and many of the reasons set forth in the response to the recommendation to place the Field Printing Division in the Production Department, the recommendation to relocate DSO is unacceptable.

Pages iv and 122

Recommendation:

A realignment of procedures and responsibilities needs to be instituted in order for the Production Division to have more control over the schedule for which it is responsible.

Response:

The contractor apparently has failed to perceive the high degree of coordination which currently exists between the Production divisions and the Customer Service departments.

The Production Department has scheduling representatives in the Plant Planning Division and the Congressional Information Section who coordinate job scheduling with the Production Manager and his staff to effect maximum utilization of manpower and equipment. The Night Production Manager has direct supervision over the congressional and other work

produced during night hours and coordinates the scheduling during that period. There should be no realignment of procedures and responsibilities at this time.

D. Personnel Policies and Practices

Pages viii and 122

Recommendation:

The Office of Personnel Service should be charged with the responsibility for providing GPO with identification and analysis of work force requirements. This effort should employ the solicitation of personnel needs for all line and staff units.

Response:

This recommendation apparently overlooks the fact that projection of manpower needs is an integral part of an integrated budget and planning process. GPO organizations are required to estimate their manpower requirements for both the immediate and long-term future in relation to their anticipated workloads. These estimates are subject to review and analysis before the organization's budget and plans are approved by management. Through these processes, the agency has a reliable forecast of its future manpower requirements.

Page 122

Recommendation:

Additional analysis of attrition and contributing factors is warranted if GPO expects to avoid a reduction-in-force.

Response:

The Production Department is the part of GPO most affected by technological developments and with the greatest possibility for a reduction-in-force. In fact, there appears to be little, if any, potential for a major RIF in any other GPO organization. The Office of the Production Manager is monitoring attrition within that Department very closely as part of its overall endeavor to avoid or at least minimize any RIF that might result from the Department's change from hot metal to electronic technology. At present, the likelihood of completely avoiding a reduction-in-force appears to be good.

Pages viii and 123

Recommendation:

GPO should seek to actively recruit individuals from the private sector to fill certain management and other professional positions. Additionally, a program should be developed aimed at providing managerial training as well as incentives to those motivated to pursue such training on their own time.

35-533 0 - 79 - 4 (Pt. 2)

Response:

Consideration of the career backgrounds of the agency's key executives does not substantiate this finding. The following current officials were originally hired from outside the GPO: Assistant Public Printer for Management and Administration, Assistant Public Printer (Superintendent of Documents), Assistant Public Printer (Planning), Deputy Assistant Public Printer (Superintendent of Documents), General Counsel, Director of Audits, Printing Procurement Manager, Customer Service Manager, Quality Control and Technical Manager, Director of Data Systems,

rector of Engineering, Director of General Services, Director of Security, Director of Labor-Management Relations, Director of Personnel, Director of Documents Support Service, Director of Library and Statutory Distribution Service, Director of Documents Sales Service. Of the 24 GPO executives at or above the level of Department/Service/

18 do not have a craft background. Included among the professional positions at GPO are several Medical Doctors (MD's), a number of CPA's and attorneys, certified data processing professionals (CDP's), numerous college graduates with advanced degrees, including PHD's, etc.

Additionally, the GPO has a formal Executive Manpower Resources Board
(EMRB) which reviews, encourages, and authorizes executive training
and development. The GPO has a high percentage of participation in
executive manpower courses offered by the Federal Executive Institute
(FEI), American Management Association, numerous professional associa-
tion training programs, etc.

Page 123

Recommendation:

Since there are currently no plans to study this situation, it is our recommendation that a project be initiated to determine if the prevailing perceptions are accurate and the reasons why.

Response:

With regard to the recruiting and retention of young professionals, no such study is necessary because, in general, the agency has had very little difficulty in this area. There have been some problems in hiring auditors, accountants, engineers, and computer programmers, but these are shortage categories throughout the Government and in the private sector. Personnel Service monitors our losses of young professional employees and compares our retention rate to those of other Federal agencies. Interagency movement is to be expected for these employees as a group. They are generally more mobile than senior employees.

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