DoD Awards Accenture $8M for Management Consulting, Highlighting Firm Fixed Price Contract
Contract Overview
Contract Amount: $8,045,407 ($8.0M)
Contractor: Accenture Federal Services LLC
Awarding Agency: Department of Defense
Start Date: 2023-09-11
End Date: 2026-03-10
Contract Duration: 911 days
Daily Burn Rate: $8.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PKS-HILL BOOKER-AFSTS FA701423STS39
Place of Performance
Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $8.0 million to ACCENTURE FEDERAL SERVICES LLC for work described as: PKS-HILL BOOKER-AFSTS FA701423STS39 Key points: 1. Contract awarded to Accenture Federal Services LLC for administrative and management consulting. 2. The contract utilizes a firm fixed price structure, indicating defined costs. 3. Full and open competition was employed, suggesting a competitive bidding process. 4. The contract duration is over two years, with a significant value of $8M.
Value Assessment
Rating: good
The $8M award for administrative management and general management consulting services appears reasonable given the contract duration and the nature of consulting services. Benchmarking against similar large-scale consulting contracts would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The use of a delivery order under a larger contract structure suggests a streamlined procurement process.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely led to a more efficient price discovery and a fair market price for the services rendered.
Public Impact
Taxpayers benefit from competitive bidding for essential government consulting services. The Department of the Air Force is leveraging external expertise for management functions. Long-term contract (over 2 years) indicates ongoing need for these services. The firm fixed price contract provides cost certainty for the government.
Waste & Efficiency Indicators
Waste Risk Score: 80 / 10
Positive Signals
- Full and open competition
- Firm fixed price contract
- Clear contract duration and value
Sector Analysis
This contract falls within the professional, scientific, and technical services sector, specifically administrative management and general management consulting. Spending in this sector is substantial across government agencies, often driven by the need for specialized expertise and strategic planning.
Small Business Impact
The data indicates this contract was awarded to Accenture Federal Services LLC, a large business. There is no explicit indication of small business participation or subcontracting in the provided data.
Oversight & Accountability
The contract is a delivery order, suggesting it might be part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. Oversight would typically involve monitoring performance against the Statement of Work and ensuring adherence to the firm fixed price terms.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Lack of detail on specific deliverables
- Potential for scope creep in consulting services
- No explicit small business participation noted
Tags
administrative-management-and-general-ma, department-of-defense, md, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $8.0 million to ACCENTURE FEDERAL SERVICES LLC. PKS-HILL BOOKER-AFSTS FA701423STS39
Who is the contractor on this award?
The obligated recipient is ACCENTURE FEDERAL SERVICES LLC.
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 $8.0 million.
What is the period of performance?
Start: 2023-09-11. End: 2026-03-10.
What specific management consulting services are being provided under this contract?
The contract specifies 'Administrative Management and General Management Consulting Services' (NAICS code 541611). This broad category typically includes services such as organizational planning, process improvement, strategic management, and operational efficiency analysis. Specific deliverables and tasks would be detailed in the contract's Statement of Work.
What is the potential risk associated with a firm fixed price contract for consulting services?
While firm fixed price offers cost certainty, a key risk for consulting services is scope creep or the contractor's incentive to minimize effort if the price is too low. Conversely, if the scope is underestimated, the contractor may cut corners. Effective oversight and clear SOW are crucial to mitigate these risks.
How does this contract contribute to the Department of the Air Force's overall mission effectiveness?
By procuring administrative and general management consulting services, the Department of the Air Force aims to improve its operational efficiency, strategic planning, and organizational effectiveness. These improvements can indirectly support mission readiness and execution by optimizing resource allocation and management practices.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Novetta Solutions, LLC
Address: 800 N GLEBE RD STE 300, ARLINGTON, VA, 22203
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $8,045,407
Exercised Options: $8,045,407
Current Obligation: $8,045,407
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $338,130
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA701420D0006
IDV Type: IDC
Timeline
Start Date: 2023-09-11
Current End Date: 2026-03-10
Potential End Date: 2026-09-10 00:00:00
Last Modified: 2025-12-10
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