State Dept. Awards $22.5M for Change Management Consulting, Competed Under SAP

Contract Overview

Contract Amount: $22,519,389 ($22.5M)

Contractor: Guidehouse LLP

Awarding Agency: Department of State

Start Date: 2021-02-17

End Date: 2025-08-16

Contract Duration: 1,641 days

Daily Burn Rate: $13.7K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: LABOR HOURS

Sector: Other

Official Description: PROFESSIONAL ORGANIZATIONAL CHANGE MANAGEMENT SUPPORT SERVICES

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of State obligated $22.5 million to GUIDEHOUSE LLP for work described as: PROFESSIONAL ORGANIZATIONAL CHANGE MANAGEMENT SUPPORT SERVICES Key points: 1. The contract is for professional organizational change management support services. 2. Guidehouse LLP is the contractor, with the Department of State as the agency. 3. The contract was competed under Simplified Acquisition Procedures (SAP). 4. The period of performance runs from February 2021 to August 2025. 5. The contract type is labor hours, with a total value of $22,519,389.09.

Value Assessment

Rating: good

The contract value of $22.5M over approximately 4.5 years appears reasonable for specialized change management consulting services. Benchmarking against similar large-scale organizational transformation projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under SAP, indicating a competitive process within the simplified acquisition threshold. This method generally promotes price discovery and fair market value.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair value for the services rendered, though the specific cost savings or efficiency gains from the change management are not detailed.

Public Impact

Supports the Department of State's operational efficiency and effectiveness through organizational change. The services provided could impact employee morale and productivity during transitions. Ensures continuity of government operations by facilitating necessary organizational adjustments. The consulting services may lead to improved internal processes and service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep in change management projects.
  • Measuring the direct ROI of consulting services can be challenging.

Positive Signals

  • Competitive award process.
  • Long-term contract duration allows for sustained support.
  • Clear definition of services (change management).

Sector Analysis

This contract falls under administrative management and general management consulting services, a sector that supports various government functions. Spending in this area is often tied to modernization efforts and efficiency drives within agencies.

Small Business Impact

The contract was awarded to Guidehouse LLP and does not indicate any specific set-asides for small businesses. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The Department of State is responsible for overseeing this contract. Standard government oversight mechanisms for contract performance and financial management would apply.

Related Government Programs

  • Administrative Management and General Management Consulting Services
  • Department of State Contracting
  • Department of State Programs

Risk Flags

  • Potential for cost overruns if scope is not tightly managed.
  • Difficulty in quantifying the direct return on investment for consulting services.
  • Dependence on contractor expertise for successful organizational change.
  • Risk of resistance to change impacting project success.

Tags

administrative-management-and-general-ma, department-of-state, va, bpa-call, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $22.5 million to GUIDEHOUSE LLP. PROFESSIONAL ORGANIZATIONAL CHANGE MANAGEMENT SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is GUIDEHOUSE LLP.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $22.5 million.

What is the period of performance?

Start: 2021-02-17. End: 2025-08-16.

What specific organizational changes are being supported by this contract, and what are the expected outcomes?

The contract focuses on professional organizational change management support services. While specific outcomes are not detailed in the provided data, such services typically aim to improve efficiency, streamline processes, enhance employee adoption of new systems or structures, and ensure smoother transitions during periods of organizational evolution. The Department of State would have defined objectives for this engagement.

How will the effectiveness of the change management support be measured and evaluated?

Effectiveness is typically measured through key performance indicators (KPIs) defined in the contract's statement of work. These could include metrics related to project timelines, budget adherence, stakeholder satisfaction, adoption rates of new processes or technologies, and quantifiable improvements in operational efficiency or cost savings. Regular performance reviews between the agency and the contractor would assess progress against these KPIs.

What is the potential impact on the Department of State's budget if the project exceeds its allocated funding?

The contract is awarded on a labor hours basis with a ceiling value of $22.5M. If the project requires more hours than anticipated to achieve its objectives, the total cost could approach this ceiling. Exceeding the ceiling would necessitate a contract modification or additional funding, subject to agency approval and availability. The agency's budget management and oversight are crucial to controlling costs.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 19AQMM21Q0004

Offers Received: 3

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Peraton Technology Services Inc.

Address: 1676 INTERNATIONAL DR STE 800, MCLEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,399,494

Exercised Options: $23,399,494

Current Obligation: $22,519,389

Actual Outlays: $11,967,268

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM19A0281

IDV Type: BPA

Timeline

Start Date: 2021-02-17

Current End Date: 2025-08-16

Potential End Date: 2025-08-16 00:00:00

Last Modified: 2025-07-11

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