Corrective Action Plan(CAP)
A formal plan to address deficiencies or audit findings, documenting root cause, corrective actions, responsible parties, and completion timelines.
Overview
A Corrective Action Plan (CAP) is a structured document that outlines how an organization will address identified deficiencies, non-conformances, or audit findings. CAPs are used throughout government contracting in contexts ranging from quality system failures and security vulnerabilities to contract performance deficiencies and financial audit findings. An effective CAP identifies root causes, defines specific corrective actions, assigns accountability, and sets measurable completion milestones.
Why It Matters in GovCon
Contractors who respond to deficiency findings with well-structured CAPs demonstrate professionalism and commitment to continuous improvement. Agencies, auditors, and oversight bodies (DCAA, DCMA, OIG) expect timely and thorough CAPs when issues are identified. Failure to produce adequate corrective action can escalate to cure notices, show cause notices, or contract termination.
Key Details
- Root Cause Analysis: Effective CAPs go beyond symptoms to identify underlying causes of deficiencies.
- SMART Actions: Corrective actions should be Specific, Measurable, Achievable, Relevant, and Time-bound.
- Tracking: CAPs typically include milestones, responsible parties, and status tracking mechanisms.
- Audit Context: DCAA and Inspector General audits frequently result in CAP requirements for financial, accounting, or compliance findings.
- Performance: Contracting officers may require CAPs in response to Contractor Performance Assessment Reports (CPAR) with unsatisfactory ratings.
Related Terms
- Cure Notice
- Show Cause Notice
- Contractor Performance Assessment Reporting System (CPARS)
- Defense Contract Audit Agency (DCAA)
More Acquisition Terms
A payment method where the government transfers funds electronically to contractor bank accounts.
A 1994 law that simplified federal procurement by raising thresholds, reducing paperwork, and promoting commercial item acquisition.
The predecessor to SAM.gov; the legacy system where federal solicitations were posted (replaced by beta.SAM.gov).
A formal review gate in the acquisition process where senior leadership decides whether a program may proceed to the next phase, requires changes, or should be terminated.
Written narrative responses that describe a candidate or contractor capability in specific areas, historically used in federal hiring and some proposal evaluations.
Goods and services used to maintain, repair, and operate facilities and equipment — a major category of government procurement.
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