Analysis of bank credit card contracting at Navy field contracting activities.

114 Pages·1.7 MB·en_US

by  Brumfield, David W.;Zirschky, Stephen.

NAVAL POSTGRADUATE SCHOOL
Monterey, California
THESIS
ANALYSIS OF BANK CREDIT CARD CONTRACTING
AT NAVY FIELD CONTRACTING ACTIVITIES
by
David W. Brumfield
December, 1991
Thesis Advisor: Stephen Zirschky
Approved for public release; distribution is unlimited
T257735

UNCLASSIFIED
SECURITYCLASSIFICATIONOFTHIS PAGE
REPORT DOCUMENTATION PAGE
1a REPORTSECURITYCLASSIFICATION 1b RESTRICTIVE MARKINGS
UNCLASSIFIED
2a SECURITYCLASSIFICATIONAUTHORITY 3 DISTRIBUTION/AVAILABILITYOF REPORT
Approvedtor publicrelease;distributionisunlimited
2b DECLASSIFICATION/DOWNGRADINGSCHEDULE
4 PERFORMINGORGANIZATIONREPORTNUMBER(S) 5 MONITORINGORGANIZATION REPORT NUMBER(S)
6a NAMEOFPERFORMINGORGANIZATION 6b OFFICESYMBOL 7a NAMEOFMONITORINGORGANIZATION
NavalPostgraduateSchool (Ifapplicable) NavalPostgraduateSchool
54
6c ADDRESS{City,State,andZIPCode) 7b ADDRESS(C/ty,State,andZIPCode)
Monterey,CA 93943-5000 Monterey,CA 93943 5000
8a NAMEOFFUNDING/SPONSORING 8b OFFICE SYMBOL 9 PROCUREMENTINSTRUMENTIDENTIFICATIONNUMBER
ORGANIZATION (Ifapplicable)
8c ADDRESS(City,State,andZIPCode) 10 SOURCEOFFUNDING NUMBERS
ProgramtlemenlNo ProjectNo TdihNo WorkUnitAcceiiion
Number
11 TITLE (IncludeSecurityClarification)
ANALYSISOFBANKCREDITCAKI)CONTRACTINGATNAVY FIELDCONTRACTINGACTIVITIES(UNCLASSIFIED)
12 PERSONALAUTHOR(S)
13a TYPEOFREPORT 13b TIMECOVERED 114 DATEOF REPORT(year,month,day) 15 PAGE COUNT
Master'sThesis From To December1991 104
16 SUPPLEMENTARYNOTATION
TheviewsexpressedinthisthesisarethoseoftheauthoranddonotreflecttheofficialpolicyorpositionoftheDepartmentofDefenseortheU.S.
Government.
17 COSATICODES 18 SUBJECTTERMS(continueonreverseifnecessaryandidentifybyblocknumber)
FIELD GROUP SUBGROUP SmallPurchase,CreditCard,BankCard,VISACard
19 ABSTRACT(continueonreverseifnecessaryandidentifybyblocknumber)
ThisresearchreviewstheuseofbankcreditcardsasasmallpurchasemethodintheNavyfieldcontractingsystem. Thepaperreviewstheuseof
thebankcreditcardatNavalWeaponsCenter,ChinaLake.CA,NavalOrdnanceStation,IndianPlead,MD,Naval PostgraduateSchool,
Monterey,CA,and MarineCorpsBase,CampLejeune,NC. Thefocusoftheevaluationisanassessmentofhowsuccessfultheexistingbankcredit
cardprogramsareatthefoursites,andtheadvisabilityofexpandingtheprogramtootherfieldcontractingactivities. TheStudyalsoidentifies
possiblebarriersanddifficultiesthatwouldbeencounteredifthecreditcardprogramweretobeexpandedtootherfieldcontractingactivities.
Thepaperexaminestheexistingmanagementcontrolsinplacefortheprogram,andmakesrecommendationstotheNavalSupplySystems
commandregardingexpansion(furtherimplementation)ofthecreditcard programtootherfieldcontractingactivities.
20 DISTRIBUTION/AVAILABILITYOFABSTRACT 21 ABSTRACTSECURITYCLASSIFICATION
Q
UNCIASSIHEDUNIIMITtD [J SAM! ASKtHOKI ] DTICUStRS UNCLASSIFIED
22a NAMEOFRESPONSIBLE INDIVIDUAL 22b TELEPHONE (IncludeAreacode) 22c OFFICE SYMBOL
StephenZirschky [phone] AS/ZI
DD FORM 1473,84 MAR 83APReditionmaybeuseduntilexhausted SECURITYCLASSIFICATIONOFTHIS PAGE
Allothereditionsareobsolete UNCLASSIFIED
1
Approved for public release: distribution is unlimited
Analysis of Bank Credit Card Contracting
at Navy Field Contracting Activities
by
David W. Brumfield
Lieutenant/r U S. Navy
.
B.S., Virginia Polytechnic Institute &
State University (1980)
Submitted in partial fulfillment
of the requirements for the degree of
MASTER OF SCIENCE IN MANAGEMENT
from the
NAVAL POSTGRADUATE SCHOOL
December 1991
David R. Whipple~^Chairman
Department of Administrative Sciences
1
ABSTRACT
This research reviews the use of bank credit cards as a
small purchase method in the Navy field contracting system.
The paper reviews the use of the bank credit card at Naval
Weapons Center China Lake, CA, Naval Ordnance Station,
Indian Head, MD Naval Postgraduate School, Monterey, CA,
,
and Marine Corps Base Camp Lejeune, NC The focus of the
.
evaluation is an assessment of how successful the existing
bank credit card programs are at the four sites, and the
advisability of expanding the program to other field
contracting activities. The study also identifies barriers
and possible difficulties that would be encountered if the
credit card proram were to be expanded to other field
contracting activities. The paper examines the existing
management controls in place for the program, and makes
recommendations to the Naval Supply Systems Command
regarding expansion (further implementation) of the credit
card program to other field contracting activities.
111
.
(,.1
TABLE OF CONTENTS
INTRODUCTION
I 1
A. RESEARCH QUESTIONS 2
1. Primary Research Question: 2
2. Subsidiary Research Questions: 2
B. DISCUSSION 3
C. SCOPE OF THE THESIS 3
D. METHODOLOGY 4
E. ORGANIZATION OF THE THESIS 4
II. BACKGROUND 6
A. HISTORY 6
B. MECHANICS OF THE BANKCARD PROGRAM 8
...
C. AUTHORIZATION PROCESS AND SPENDING LIMITS 10
D. BENEFITS/DRAWBACKS 12
E. MANAGEMENT CONTROLS 17
F. FUTURE OF THE BANKCARD PROGRAM IN THE NAVY 18
. .
III. PRESENTATION OF DATA COLLECTED 20
....
A. BANKCARD PROCUREMENT AT NWC CHINA LAKE 20
....
B. BANKCARD PROCUREMENT AT NOS INDIAN HEAD 33
IV