The Cultural Revolution

Report Number: NPS-AM-07-028

Series: Acquisition Management

Category: Federal Acquisition Regulations (FAR)

Report Series: Proceedings Paper

Authors: Dean T. Kashiwagi, Nathan Chong

Title: The Cultural Revolution

Published: 2007-04-01

Sponsored By: Acquisition Research Program

Status: Published--Unlimited Distribution

Research Type: Other Research Faculty

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Keywords: Federal Acquisition Regulations (FAR), US Army Medical Command (MEDCOM), Information Environment, Cultural Inefficiencies


The culture within the Federal Government Acquisitions is based on the Federal Acquisition Regulations (FAR) and its interpretation, often placing organizations/agencies in the cultural environment of the price-based environment. In the healthcare system, clients depend on the qualifications and expertise of the design and construction team to meet their specific needs and requirements. The hiring criteria of these experts have been primarily based on low bid or relationships, and have continuously resulted in poor performance. The US Army Medical Command (MEDCOM) (contracting approximately $100M in medical renovation awards per year) partnered with the Performance Based Studies Research Group (PBSRG) at Arizona State University to create and test an information environment to assist in alleviating some of its cultural inefficiencies. The developed information environment minimized the flow of information, forced the contractors to concentrate on value and the assumption of risk, and stimulated an atmosphere of accountability. Through the system, the client