DoD Awards $12.6M Consulting Contract to Deloitte for Air Force Support

Contract Overview

Contract Amount: $12,656,975 ($12.7M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of Defense

Start Date: 2024-03-27

End Date: 2026-03-26

Contract Duration: 729 days

Daily Burn Rate: $17.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: PKS-NARAK-BOOKER-AFSTS FA701424STS38

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20301

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $12.7 million to DELOITTE CONSULTING LLP for work described as: PKS-NARAK-BOOKER-AFSTS FA701424STS38 Key points: 1. Contract awarded to a large, established firm (Deloitte). 2. Full and open competition suggests a competitive bidding process. 3. Risk of overspending exists given the firm fixed price structure. 4. Consulting services sector is broad and can vary in value. 5. Focus on administrative and general management consulting.

Value Assessment

Rating: good

The $12.6 million contract for administrative management and general management consulting services appears reasonable for a multi-year engagement with a major provider like Deloitte. 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, indicating multiple bidders were likely considered. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for essential administrative and management consulting services, with competition aiming to ensure value for money.

Public Impact

Supports Department of the Air Force operations with management expertise. Potential for improved efficiency and effectiveness in administrative functions. Contract duration of approximately two years allows for sustained support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep in consulting services.
  • Reliance on a single large contractor for critical support.

Positive Signals

  • Awarded through full and open competition.
  • Firm fixed price contract provides cost certainty.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically management consulting. Spending in this area is common across government agencies for specialized expertise.

Small Business Impact

The contract was not awarded to a small business. There is no indication of subcontracting opportunities for small businesses within the provided data.

Oversight & Accountability

The contract is managed by the Department of the Air Force. Oversight will focus on the delivery of consulting services and 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

  • Large contract value.
  • Consulting services can be subjective to measure effectiveness.
  • No small business participation noted.
  • Potential for vendor lock-in.

Tags

administrative-management-and-general-ma, department-of-defense, dc, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.7 million to DELOITTE CONSULTING LLP. PKS-NARAK-BOOKER-AFSTS FA701424STS38

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

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 $12.7 million.

What is the period of performance?

Start: 2024-03-27. End: 2026-03-26.

What specific administrative and management challenges will Deloitte address for the Air Force?

The contract aims to provide administrative management and general management consulting services. This could encompass a wide range of support, such as process improvement, organizational restructuring, strategic planning, or operational efficiency enhancements within the Department of the Air Force. The exact scope would be detailed in the task order's statement of work.

What are the primary risks associated with this type of consulting contract?

Key risks include potential scope creep, where the project's objectives expand beyond the initial agreement, leading to increased costs or delays. There's also a risk of the delivered recommendations not being effectively implemented or not yielding the expected benefits. Over-reliance on external consultants without internal knowledge transfer can also be a concern.

How will the effectiveness of Deloitte's consulting services be measured?

Effectiveness will likely be measured against specific performance metrics and deliverables outlined in the contract's statement of work. This could include achieving defined efficiency gains, successful implementation of new processes, or positive feedback from Air Force personnel. Regular progress reviews and final acceptance of deliverables will be crucial.

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: 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: Deloitte Financial Advisory Services LLP

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,656,975

Exercised Options: $12,656,975

Current Obligation: $12,656,975

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $2,172,587

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA701420D0007

IDV Type: IDC

Timeline

Start Date: 2024-03-27

Current End Date: 2026-03-26

Potential End Date: 2027-03-26 00:00:00

Last Modified: 2025-11-21

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