Thanks employees for hard work during period of change
Laboratory employees should feel good about the many accomplishments the Lab has made so far during this period of change to a new management and operations contractor. But there is always room for improvement.
That’s the message Director Mike Anastasio gave workers at an all-employee meeting Wednesday in the National Security Sciences Building Auditorium and to those watching on LABNET.
In the 90-minute session, which included some candid questions from employees about personnel and budget matters, Anastasio said the Lab has met several mission milestones, garnered several science awards, made improvements in safety and security, and developed a new procurement approach that is helping streamline how the Lab buys its products and services.
Anastasio also detailed what he described as tough budget issues for the 2007 fiscal year and beyond.
Anastasio promised to meet with employees and communicate candidly on work force issues. “I do plan to meet with you regularly in the future. This will be the first in a continuous series of meetings,” he said.
Safety and Security
Anastasio began his talk Wednesday reminding employees to be vigilant about safety. He said that since Los Alamos National Security, LLC began managing the Lab June 1, there have been a number of safety issues and at least three near-miss electrical safety incidents. He also mentioned the hoisting and rigging incident in July that injured two employees.
Anastasio said Lab managers understand the seriousness of these incidents and are applying rigorous processes to ensure safety in the workplace. He also applauded the ability of the Lab to call on experts, from the parent organizations of LANS to help the Lab correct safety deficiencies. “Go get help where we need, when we need it, and if we need it,” he said, noting that the Lab reached back to its parent companies for help addressing the hoisting and rigging accident.
He added that NNSA is showing confidence in the Lab, noting that when the hoisting and rigging incident occurred, he was in Washington, D.C., and knew about it within an hour.NNSA’s Los Alamos site office also entrusted Los Alamos to conduct its own vigorous investigation (rather than initiate a DOE Type B investigation).
Since June 1, there also has been an overall improvement in the Laboratory’s safety and security statistics. “And so at this point, I have a big thank you for each of you, because in these last months we’ve seen real improvements in safety and security,” said Anastasio. He used a statistical chart to show that since October 2004 to this month there has been “a “dramatic change” in the number of safety incidents. “They’re really starting to come down. The trend is good, and you should be very proud,” he said.
Anastasio said the Lab also is doing well in security matters but can do better. “We can’t lose our focus. We need to get better. It’s something each of us can do,” he said.
Anastasio pointed out that change can be difficult but the challenges that are a result of change also create opportunities. “These are changes that have caused [us] to be different in how we manage the Laboratory [today] than how it was 60 years ago.”
“The challenge that we have to deal with is not about when is it going to go back to the way it used to be but rather, how do we meet the challenges for the future.”
Accomplishments
Anastasio cited a number of mission accomplishments, including the first production unit in the B61 life extension project and the Reliable Replacement Warhead project. “There’s a lot of energy at this Lab about the RRW,” he said.
Anastasio also noted the successful Unicorn experiment at the Nevada Test Site and the Cibola Flight Experiment satellite, which is in final stages of preparation for launch; the Roadrunner supercomputer; and the recent dedication of the Center for Integrated Nanotechnologies.
In the business and operations area, Anastasio said the Lab’s Enterprise Project is on track to be completed by end of the year and that the Operational Efficiency Project has been completed. He also lauded the work of the Lab’s Fix-It Team and the Barrier Removal Program to help remove impediments to getting work done.
Earlier this month, the LANS Board of Governors met at Los Alamos. Anastasio said, “They were excited and impressed about what they heard. They’re very pleased about the progress we’re making, and that’s good news.”
The director also said Los Alamos – in conjunction with its sister laboratories – has begun the first steps toward moving to a truly national stockpile. Anastasio said he conducted a daylong review with the Lawrence Livermore National Laboratory director to ask questions and learn about stockpile issues and concerns. “I thought it was a very exciting day. We were able to get answers to questions about systems we’re responsible for. It was very productive,” said Anastasio.
And the director also noted that the Lab through LANS recently received two grants totaling more than $1 million from the Mellon Foundation for research.
Budget
Anastasio minced no words about the budget, saying it is a significant issue for Los Alamos. “It is one of the most difficult issues I have to face as a Laboratory director…. Not only is it a financial issue, but it also deals with people,” he said.
Anastasio noted that the Lab’s overall budget is expected to be relatively flat with the onset of the 2007 fiscal year on October 1. Congress hasn’t passed the 2007 fiscal year budget for the Department of Energy, so a Continuing Resolution will likely continue in place, which will cause additional uncertainty with respect to the Lab’s budget.
But he said Laboratory managers are committed to managing the budget process and minimizing impacts wherever possible. He said a team headed by Deputy Laboratory Director John Mitchell reviewed the proposed 2007 fiscal year indirect budget requests for the entire Laboratory to ensure consistency with Anastasio’s budget principles. Those principles were to keep the costs to customers stable and to ensure no reduction in current LANS staffing. Except for the Laboratory Directed Research and Development (LDRD) program, all Laboratory organizations were asked this summer to identify 10 percent indirect budget reductions in formulating their FY’07 budget requests.
With inflation and other expected cost increases, gross receipts taxes LANS is obligated to pay the state, and the increased management fee, Anastasio said the Lab is looking at about $175 million in costs it needs to reduce.
“I believe we can absorb these extra costs, maintain LANS staffing, and maintain LDRD funding,” he said. “There will not be a RIF [reduction in force]. There will not be plans for a RIF.”
Anastasio said there will be impacts to contract employees, noting that as many as 350 contract employees positions that funded through the overhead budget, and a perhaps two hundred more that are direct funded, could be eliminated. But he said the Lab would monitor the situation “… to ensure that it will be a fair process.”
“While it puts a strain on the Laboratory and [its] people, I think that’s a reality no matter what decision is made. The reality is this is a real challenge. But by doing this, I know it puts the Laboratory on a path to significantly increase the efficiency of the Laboratory,” he said.
The path forward
Anastasio said the Laboratory has an ambitious agenda in the near future, including integration of the nuclear weapons process, RRW, strengthening specific partnerships in the Lab’s threat reduction program and seeing the Roadrunner supercomputer program through to fruition. He also wants to address the Lab’s grand challenges to help better organize and focus Los Alamos’ science and technology expertise and work.
Business and Operations initiatives include continuing safety and security improvements and further improving the Lab’s procurement system, ensuring a pay-for-performance salary management process, and planning and beginning the reduction of the Lab’s “footprint” to reduce the cost of operating and maintaining Laboratory facilities.
In concluding, Anastasio said Lab managers understand that they still have to build credibility and earn the trust of Lab workers, and he acknowledged employee skepticism.
“This is something that’s going to take time and our actions,” he said, noting that continued communications with employees will be important.
Anastasio’s talk will be rebroadcast at 8:30 a.m., noon and 2 p.m. today and Friday on LABNET Channel 10 beginning today. Check the LABNET Channel 10 schedule for other rebroadcast times.
