Booz Allen Hamilton awarded $17.7M for analytic wargaming services by the Department of Defense

Contract Overview

Contract Amount: $17,755,668 ($17.8M)

Contractor: Booz Allen Hamilton Inc

Awarding Agency: Department of Defense

Start Date: 2017-07-28

End Date: 2023-04-01

Contract Duration: 2,073 days

Daily Burn Rate: $8.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::CT::IGF, ANALYTIC WARGAMING SERVICES

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 $17.8 million to BOOZ ALLEN HAMILTON INC for work described as: IGF::CT::IGF, ANALYTIC WARGAMING SERVICES Key points: 1. Contract awarded to a single, large incumbent contractor suggests potential for limited competition. 2. The contract's duration of over 2000 days indicates a long-term need for these services. 3. A Time and Materials contract type can pose cost control risks if not closely managed. 4. The services provided fall under administrative and general management consulting, a broad category. 5. The contract was awarded through full and open competition, theoretically allowing for broad participation. 6. The geographic location is Washington D.C., a hub for federal contracting.

Value Assessment

Rating: fair

The contract value of $17.7 million over approximately 5.7 years averages to about $3.1 million annually. Benchmarking this against similar analytic wargaming or management consulting contracts is challenging without more specific service details. However, for specialized consulting services, this annual spend is within a typical range for large federal contracts. The Time and Materials (T&M) pricing structure, while common, requires diligent oversight to ensure value for money, as it can lead to cost overruns if not managed effectively. Without specific performance metrics or comparison data, a definitive value assessment is difficult, but the duration and T&M nature warrant careful monitoring.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition,' indicating that all responsible sources were permitted to submit offers. However, the data does not specify the number of bids received. A full and open competition is generally favorable for price discovery, as it allows multiple vendors to compete. The fact that Booz Allen Hamilton was awarded the contract suggests they were the most competitive offeror based on the evaluation criteria. Further details on the bidding process would be needed to fully assess the level of competition achieved.

Taxpayer Impact: A full and open competition process is intended to ensure taxpayers receive the best value by encouraging a wide range of potential contractors to bid, driving down prices through market forces.

Public Impact

The Department of Defense benefits from advanced analytic wargaming services to support strategic planning and decision-making. These services likely contribute to enhanced military readiness and operational effectiveness. The contract supports specialized consulting expertise within the Washington D.C. metropolitan area. The workforce implications include employment for consultants and analysts with expertise in wargaming and strategic analysis.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not managed diligently.
Lack of specific performance metrics makes it difficult to assess the true value for money.
The incumbent contractor's long-standing presence may indicate a lack of robust competition in subsequent procurements.
The broad nature of 'Administrative Management and General Management Consulting Services' could obscure the specific value and cost drivers of the wargaming component.

Positive Signals

Awarded through 'Full and Open Competition,' suggesting an effort to maximize market participation.
The contract duration indicates a sustained need and potential for long-term strategic support.
Booz Allen Hamilton is a well-established contractor with significant experience in federal services.
The services provided are critical for strategic planning and decision-making within the DoD.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically management and technical consulting. The federal government is a major consumer of these services, particularly within defense and national security agencies. The market for analytic wargaming and simulation services is specialized, often involving complex modeling and strategic analysis. Spending in this sub-sector is driven by the need for advanced decision support tools and foresight capabilities. Comparable spending benchmarks would typically be found within large, multi-year contracts awarded to major defense contractors and consulting firms for similar strategic advisory and analytical support.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Booz Allen Hamilton is a large business. There is no explicit information regarding subcontracting plans for small businesses within this specific contract award. Therefore, the direct impact on the small business ecosystem from this particular award is likely minimal, unless Booz Allen Hamilton voluntarily engages small businesses as subcontractors for specialized support.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting agency, the Department of Defense, specifically Washington Headquarters Services. The contract type (Time and Materials) necessitates close monitoring of labor hours and costs to ensure adherence to the ceiling price and prevent overruns. Transparency is generally facilitated through contract award databases like FPDS. Accountability measures would be tied to performance requirements and deliverables outlined in the contract. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Defense Wargaming and Simulation Contracts
Management and Consulting Services for DoD
Strategic Planning Support Services
Analytic Services Contracts
Time and Materials Consulting Contracts

Risk Flags

Potential for cost overruns due to T&M contract type.
Limited visibility into the number of bidders for 'Full and Open Competition'.
Lack of specific performance metrics for value assessment.
Broad service category may obscure specific cost drivers.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.8 million to BOOZ ALLEN HAMILTON INC. IGF::CT::IGF, ANALYTIC WARGAMING SERVICES

Who is the contractor on this award?

The obligated recipient is BOOZ ALLEN HAMILTON INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Washington Headquarters Services).

What is the total obligated amount?

The obligated amount is $17.8 million.

What is the period of performance?

Start: 2017-07-28. End: 2023-04-01.

What is the specific nature of the 'analytic wargaming services' provided under this contract, and how do they contribute to DoD's mission?

The contract data describes the service as 'ANALYTIC WARGAMING SERVICES' under NAICS code 541611 (Administrative Management and General Management Consulting Services). While specific details are not provided in the summary data, analytic wargaming typically involves simulating potential future conflicts, scenarios, or operational environments to test strategies, identify vulnerabilities, and inform decision-making. These services likely support the Department of Defense (DoD) in areas such as strategic planning, force development, policy analysis, and training by providing insights into the potential outcomes of various courses of action. The value lies in offering a controlled environment to explore complex issues without real-world risk, thereby enhancing preparedness and optimizing resource allocation.

How does the Time and Materials (T&M) contract type compare to other contract types for similar services, and what are the associated risks?

Time and Materials (T&M) contracts are often used when the scope of work is not clearly defined or is expected to change, allowing flexibility. For analytic wargaming and consulting services, T&M can be suitable for research, development, or evolving analytical tasks. However, it carries inherent risks for the government, primarily cost uncertainty. Unlike fixed-price contracts, T&M does not have a ceiling on the total cost, making budget predictability challenging. The government pays for the actual labor hours and material costs incurred by the contractor, plus a fixed fee or fixed hourly rates. This necessitates robust government oversight to monitor hours, ensure efficiency, and prevent scope creep or unnecessary work. Other contract types like Firm-Fixed-Price (FFP) offer more cost certainty but require a well-defined scope upfront, which might not be feasible for exploratory wargaming.

What is Booz Allen Hamilton's track record with the Department of Defense for similar analytic and wargaming services?

Booz Allen Hamilton is a major incumbent contractor for the Department of Defense, with extensive experience across a wide array of services, including management consulting, systems engineering, and advanced analytics. They have a long history of supporting DoD's strategic planning, intelligence analysis, and operational simulation needs. While this specific contract highlights a $17.7 million award for analytic wargaming, Booz Allen has secured numerous other contracts, often in the hundreds of millions or billions of dollars, for related services over many years. Their established presence and deep institutional knowledge within DoD suggest a strong track record, though performance specifics would require deeper contract-level analysis beyond summary data.

Given the 'Full and Open Competition' award, how many bids were likely received, and what does this imply about the competitive landscape for analytic wargaming services?

The data states the contract was awarded under 'Full and Open Competition' but does not specify the number of bids received. While this designation theoretically allows any qualified vendor to compete, the actual number of bidders can vary significantly. For specialized services like analytic wargaming, the pool of highly qualified and experienced contractors may be limited. If only a few bids were received, it could suggest a concentrated market or high barriers to entry. Conversely, if many bids were submitted, it indicates a healthy competitive environment. Without the number of bids, it's difficult to definitively assess the competitive landscape solely from this award, but the 'Full and Open' nature is a positive indicator for potential competition.

How does the $17.7 million contract value compare to historical spending patterns for analytic wargaming services within the DoD?

The $17.7 million contract value represents a significant investment over its duration of approximately 5.7 years. To compare this to historical spending patterns, one would need to analyze aggregate DoD spending on analytic wargaming and simulation services over several fiscal years. This would involve searching contract databases for similar services (e.g., using relevant NAICS codes like 541611 or PSC codes related to simulation and modeling) awarded to various contractors. Such an analysis could reveal whether this contract is typical, above average, or below average in value for this type of specialized support within the DoD's overall budget. Without access to broader historical spending data, a precise comparison is not feasible based solely on this single contract.

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

Solicitation ID: HQ003417R0105

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Holding Corporation

Address: 8283 GREENSBORO DR, 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: $17,755,668

Exercised Options: $17,755,668

Current Obligation: $17,755,668

Actual Outlays: $781,956

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00F008DA

IDV Type: FSS

Timeline