Naval Sea Logistics Center Detachment Portsmouth
Red/Yellow/Green (RYG) |
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To gain access to RYG you will be required to
submit a User
Access Request Form.
Red/Yellow/Green
(RYG) is a Navy/Air Force
automated tool designed to help reduce the risk of receiving
nonconforming products and late shipments. RYG classifies
the risk degree by assigning a color to a contractor's
historical quality and delivery performance in individual
Federal Stock Classifications (FSCs). Red is high risk,
Yellow is moderate risk, and Green is low risk. A Neutral
label is applied to either the quality/delivery classification
under the following conditions: The contractor
is a first time offeror for the FSC; there is no quality/delivery
history available for the FSC, or available quality/delivery
history for the FSC is outside the RYG evaluation time
frame.
RYG provides procedures to assist the
Contracting Officer in source selection. It does not
eliminate the requirement to determine responsibility
by the standards in FAR 9.104, and is not sufficient
by itself in determining responsibility. RYG solicitations
state that the procurement is part of the Navy/Air Force
RYG Program and that the award decision includes an
evaluation of the offeror's past quality and delivery
performance.
RYG Methodologies: This
easy-to-use tool employs two methodologies in source
selection to help determine the "best value"
for the government:
Technical Evaluation Adjustment
(TEA) A TEA is the Government's cost of additional
quality assurance and procurement action(s) needed
to reduce the risk of receiving nonconforming products
and late deliveries. When added to a Red or Yellow
offeror's price, a TEA may displace low offerors in
favor of an offeror with a better product quality
and delivery history.
Greatest Value/Best Buy (GV/BB)
The RYG GV/BB plan includes price and RYG classification
as part of the evaluation factors. GV/BB is especially
useful in high dollar value/large purchase procurements,
where the differences in offerors' prices are large
enough to render TEAs ineffective.
RYG Classification. Once
a month, quality and delivery history records are evaluated
and predefined criteria is used to develop Red, Yellow,
Green, or Neutral classifications for each contractors'
FSC on which there is information in the Product Data
Reporting and Evaluation Program (PDREP) database. Contractors
are provided electronic access and written notification
on their classifications when changing to Red or Yellow.
Notifications provide summaries of the data used to
develop classification(s) when there is a Red or Yellow
classification present, and a status sheet only for
Green classifications. Contractors have three weeks
to challenge the data before a Red or Yellow classification
is released to participating contracting officers for
use in source selection. If a contractor's challenge
is credent and not resolved in the three week hold period,
the challenged data will not be used and the classification
is not released to contracting offices until resolution
is reached.
RYG
System. The RYG system is a WEB application
that offers speed and ease. Typing the FSC, CAGE code,
and price of each offer produces an adjusted price by
adding the appropriate TEA for Red or Yellow classifications.
RYG Program Control. The
Office of Assistant Secretary of the Navy is the program
sponsor. The Contracting Management Office of the Naval
Supply Systems Command is the program manager. The Naval
Sea Logistics Center Detachment Portsmouth is the program
administrator, and will address initial contractor concerns.
They can be reached at (603) 431-9460 ext. 465 or DSN
684-1690/1712. RYG program questions should be directed
to the RYG Program Manager at NAVSUP in Mechanicsburg,
PA at (717) 605-7498 or DSN 430-7498.
RED Classification
- Open Bulletin classified "RED"
- Open critical GIDEP report
- 3 or more open major GIDEP reports
within 3 years
- > 2 defective lots with an
ADR of > 9%
- >9 points total
for PQDRs in the time frame
- Latest Pre-Award Survey with a recommendation
of "NO AWARD" with no corrective actions
provided
- Latest open Survey that was conducted
has "UNACCEPTABLE" ratable factors
- Last 2 Test Reports are unsatisfactory
- Assessed Delivery Rate less than
65%
YELLOW Classification
- Open Bulletin classified "YELLOW"
- 1-2 open major GIDEP reports
- > 3 open minor GIDEP reports
within 3 years
- > 2 defective lots with
ADR of > 3.6 % and < 9%; or 1
defective lot and an ADR > 3.6%; or >
2 defective lots with an ADR of > 9% and
last 3 consecutive lots acceptable
- 5-9 points total for PQDRs in the
time frame
- Latest Pre-Award Survey where Quality
and the overall recommendation are in conflict
- Latest Open Survey that was conducted
in last 3years that has "Accept With Corrections"
ratable factors
- Last Test Report in 3 years is unsatisfactory
- 65-89% on-time delivery
- Assessed Delivery Rate <65% and
only 1 late delivery
- Assessed Delivery Rate <65% and
last 3 deliveries on time
GREEN
Classification
- An ADR of < 3.6%
- > 2 defective lots with
an ADR > 3.6% and < 9% and last 3 consecutive
lots acceptable
- Only 1 defective lot and an ADR >
3.6% and last 3 consecutive lots acceptable
- Latest Pre-Award Survey recommended
"AWARD"
- A "No Award" Pre-Award
Survey with acceptable corrective actions
- Latest Survey has all "Acceptable"
factors
- Last Test Report is satisfactory
- > 90% on-time delivery
- Assessed Delivery Rate between 65%
and 89% and last 3 deliveries on time
- Contract performance data with no
quality classification
Assessed Defect Rate
(ADR). Assessed Defect Rate (ADR) is based on Material
Inspection Records. ADR factors the criticality of the
defect into the overall reject rate. Critical = 1.0,
Major = 0.5, Minor = 0.14.
Primary and Secondary
documents. Quality history documents are either
primary or secondary in terms of usage. A weighting
formula is used when both primary and secondary documents
are involved in the classification. Primary documents
are Material Inspection Records (MIRs), Product Quality
Deficiency Reports (PQDRs), Product Oriented Surveys,
Quality Systems Review, and Special Surveys. Secondary
documents are Bulletins, GIDEP Alerts, Pre-Award Surveys,
and Test Reports.
Product Quality Deficiency Reports
(PQDRs). PQDRs are assigned point values based on
Category and type. Category I = 5 points, Category II
Action = 2 points, and Category II Information = 1 point.
(Category II PQDRs with an associated defect MIR are
not used for classification.)
Delivery Classifications. Delivery
performance classifications are separate from quality
performance classifications and are assigned Red, Yellow,
Green, or Neutral classifications by individual FSCs.
There is a five-day grace period factored into the delivery.
RYG Recognition Awards.
The RYG Award Program is approved by the RYG Continuous
Improvement Council. Nominations for an
award may be made by anyone within the RYG community.
Naval Sea Logistics Center Detachment Portsmouth, together
with the NAVSUP Program Manager, will make final selections
for recognition. After selections have been made
the Director, NAVSEALOGCENDET Portsmouth, or a top Navy
or Air Force official, will present a copy of the award
to the recipient at the annual Quality and Procurement
Conference. The original certificate and letter
of commendation will be sent to the individual via the
senior official at his/her activity. Recognition
will also be published in the NAVSEALOGCENDET newsletter.
A Recognition Award may be given to any person who is
a significant contributor or consistent supporter of
the program. Click
here for nomination form
Send questions/comments
to:
Customer Support Desk
Voice Phone: (603) 431-9460 ext. 486
DSN 684-1690 ext. 486
Naval Sea Logistics Center
Detachment Portsmouth
80 Daniel St., Suite 400
Portsmouth, NH 03801
Contact
the Webmaster
Last Updated:
September 28, 2004
http://www.nslcptsmh.navsea.navy.mil
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