DoD's $14.2M Portfolio Modernization Framework Contract Awarded to GZO, Inc

Contract Overview

Contract Amount: $14,198,456 ($14.2M)

Contractor: GZO, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-09-30

End Date: 2026-02-28

Contract Duration: 516 days

Daily Burn Rate: $27.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PORTFOLIO MODERNIZATION FRAMEWORK - OBTAINING AND IMPLEMENTING A RAPID AND REPEATABLE INNOVATION/PROBLEM SOLVING CAPABILITY

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78258

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $14.2 million to GZO, INC. for work described as: PORTFOLIO MODERNIZATION FRAMEWORK - OBTAINING AND IMPLEMENTING A RAPID AND REPEATABLE INNOVATION/PROBLEM SOLVING CAPABILITY Key points: 1. Contract aims to establish a rapid innovation capability for the Air Force. 2. Focus on problem-solving suggests potential for efficiency gains. 3. Limited information on specific performance metrics or competition details. 4. Sector context points to ongoing modernization efforts within defense IT.

Value Assessment

Rating: fair

The contract value of $14.2M for a 516-day duration appears reasonable for establishing a new framework. Benchmarking against similar innovation/problem-solving contracts is difficult without more specific scope details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific award mechanism (Delivery Order) and the nature of the service may limit the direct price discovery compared to a broader, multi-year contract.

Taxpayer Impact: Taxpayer funds are being used to enhance the Air Force's problem-solving capabilities, with the potential for long-term cost savings through improved efficiency and innovation.

Public Impact

Enhances Air Force's ability to address complex challenges. Aims to accelerate the adoption of new technologies and solutions. Potential for improved operational effectiveness and mission success.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of detailed performance metrics.
  • Unclear scope of 'repeatable innovation capability'.

Positive Signals

  • Focus on innovation and problem-solving.
  • Full and open competition utilized.

Sector Analysis

This contract falls within the IT and professional services sector, supporting defense modernization. Spending benchmarks for similar innovation frameworks are highly variable, but the value is moderate for a capability-building initiative.

Small Business Impact

The data indicates this contract was not set aside for small businesses, and no small business participation is explicitly mentioned. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

Oversight will be crucial to ensure the 'rapid and repeatable' nature of the innovation capability is achieved and that the funds are used effectively towards defined problem-solving outcomes.

Related Government Programs

  • Telephone Apparatus Manufacturing
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Potential for scope creep.
  • Difficulty in measuring intangible 'innovation'.
  • Dependence on contractor's expertise.
  • Integration challenges with existing systems.

Tags

telephone-apparatus-manufacturing, department-of-defense, tx, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.2 million to GZO, INC.. PORTFOLIO MODERNIZATION FRAMEWORK - OBTAINING AND IMPLEMENTING A RAPID AND REPEATABLE INNOVATION/PROBLEM SOLVING CAPABILITY

Who is the contractor on this award?

The obligated recipient is GZO, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $14.2 million.

What is the period of performance?

Start: 2024-09-30. End: 2026-02-28.

What specific metrics will be used to measure the success and repeatability of the innovation/problem-solving capability developed under this contract?

Success metrics are not detailed in the provided data. Key performance indicators should focus on the speed of problem identification, the effectiveness of implemented solutions, the number of repeatable processes established, and the overall impact on Air Force operations. Without clear metrics, assessing the true value and effectiveness of this framework will be challenging.

What are the primary risks associated with implementing a 'rapid and repeatable innovation/problem solving capability' within the Department of Defense?

Key risks include resistance to change within a large bureaucracy, difficulty in defining and measuring 'innovation', potential for solutions to be too narrowly focused or not scalable, and the challenge of maintaining momentum and adaptability over time. Ensuring clear communication, stakeholder buy-in, and agile adaptation will be critical to mitigate these risks.

How will the effectiveness of this framework be evaluated in terms of its contribution to the Air Force's overall mission readiness and technological advancement?

Effectiveness will be evaluated by tracking the successful resolution of critical Air Force problems, the quantifiable improvements in operational efficiency or cost savings resulting from implemented solutions, and the successful integration of new technologies. A post-implementation review assessing the framework's adaptability and long-term utility against evolving mission needs is also essential.

Industry Classification

NAICS: ManufacturingCommunications Equipment ManufacturingTelephone Apparatus Manufacturing

Product/Service Code: IT AND TELECOM - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 114 CHAMPIONS BND, SAN ANTONIO, TX, 78258

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $14,198,456

Exercised Options: $14,198,456

Current Obligation: $14,198,456

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA700024D0007

IDV Type: IDC

Timeline

Start Date: 2024-09-30

Current End Date: 2026-02-28

Potential End Date: 2026-02-28 00:00:00

Last Modified: 2025-09-22

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