DHS awards $17.8M for management consulting, with 3 bids received

Contract Overview

Contract Amount: $17,864,671 ($17.9M)

Contractor: Systems Planning and Analysis, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2008-04-29

End Date: 2013-10-29

Contract Duration: 2,009 days

Daily Burn Rate: $8.9K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: NBIC PROGRAM MANAGEMENT AND ANALYTICAL SUPPORT.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20528

State: District of Columbia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $17.9 million to SYSTEMS PLANNING AND ANALYSIS, INC. for work described as: NBIC PROGRAM MANAGEMENT AND ANALYTICAL SUPPORT. Key points: 1. Contract awarded to Systems Planning and Analysis, Inc. for management consulting services. 2. The contract duration spans from April 2008 to October 2013. 3. This award falls under Administrative Management and General Management Consulting Services. 4. The contract was a competitive delivery order, indicating multiple bids were considered. 5. The total award amount is approximately $17.8 million. 6. The primary place of performance is Washington D.C.

Value Assessment

Rating: fair

The contract value of $17.8 million for management consulting over five years appears within a reasonable range for the services provided. Benchmarking against similar contracts for administrative management and general management consulting services would be necessary for a more precise value assessment. However, the fixed-price nature of the contract suggests a degree of cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a competitive delivery order, with three bids received. The 'full-and-open' competition indicates that the agency sought proposals from all responsible sources. The presence of three bidders suggests a moderate level of competition, which generally aids in price discovery and can lead to more favorable pricing for the government.

Taxpayer Impact: A competitive process with multiple bidders helps ensure that taxpayer funds are used efficiently by driving down costs through market forces.

Public Impact

The Department of Homeland Security benefits from enhanced administrative and management capabilities. Services delivered include general management consulting to support agency operations. The geographic impact is primarily within the District of Columbia. The contract supports professional services roles within the consulting sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in consulting engagements if not tightly managed.
Reliance on a single contractor for critical management support could pose a risk if performance falters.

Positive Signals

Competitive award process suggests a fair market evaluation.
Fixed-price contract structure provides cost predictability.
Contract duration allows for sustained support and knowledge transfer.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative management and general management consulting. This sector is characterized by a wide range of service providers, from large consulting firms to specialized small businesses. Spending in this category often supports government agencies in optimizing operations, strategic planning, and implementing new policies. Comparable spending benchmarks would depend on the specific nature and duration of the consulting services.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. Therefore, the direct impact on small businesses through set-asides is likely minimal. However, the prime contractor, Systems Planning and Analysis, Inc., may engage small businesses as subcontractors, contributing indirectly to the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within the Department of Homeland Security. Accountability measures are inherent in the fixed-price contract terms and performance expectations. Transparency is facilitated through contract award databases, though detailed performance reports may not be publicly available.

Related Government Programs

Management and Administrative Support Services
Consulting Services
Department of Homeland Security Operations Support

Risk Flags

Potential for vendor lock-in if services are highly specialized.
Risk of recommendations not aligning with agency culture or operational realities.
Need for robust government oversight to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $17.9 million to SYSTEMS PLANNING AND ANALYSIS, INC.. NBIC PROGRAM MANAGEMENT AND ANALYTICAL SUPPORT.

Who is the contractor on this award?

The obligated recipient is SYSTEMS PLANNING AND ANALYSIS, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $17.9 million.

What is the period of performance?

Start: 2008-04-29. End: 2013-10-29.

What is the track record of Systems Planning and Analysis, Inc. with the federal government, particularly in management consulting?

Systems Planning and Analysis, Inc. (SPA) has a significant history of contracting with the U.S. federal government, particularly within the defense and homeland security sectors. While this specific contract focuses on administrative management and general management consulting, SPA is more widely recognized for its expertise in systems engineering, technical support, and program management, often for complex defense programs. Their federal contracting history indicates a capacity to manage large, complex contracts. A deeper dive into their past performance reviews and any past performance information (PPI) available through federal databases would provide more granular insights into their reliability and quality of service in management consulting specifically, beyond their core engineering and technical strengths.

How does the $17.8 million award compare to typical spending on similar management consulting contracts by DHS?

The $17.8 million award for five years of management consulting services by DHS is a substantial but not extraordinary amount for a federal agency of its size and scope. Typical spending on management consulting can vary widely based on the complexity of the issues addressed, the duration of the engagement, and the specific expertise required. For a department like DHS, which manages a vast array of complex operations, such an investment in administrative and general management consulting is plausible for strategic planning, process improvement, or organizational restructuring initiatives. Benchmarking against other DHS contracts for similar services, or against contracts awarded by agencies like the Department of Defense for comparable support, would provide a clearer picture of whether this award represents high, low, or average spending for its category.

What are the primary risks associated with this contract for the Department of Homeland Security?

The primary risks associated with this contract include potential over-reliance on the contractor for critical decision-making, leading to a loss of internal expertise. There's also a risk of scope creep, where the consulting services expand beyond the original intent, potentially increasing costs or delaying outcomes if not managed diligently. Performance risk is another factor; if Systems Planning and Analysis, Inc. fails to deliver the expected quality or insights, the agency's operational improvements could be hindered. Finally, ensuring the contractor's recommendations are effectively implemented and lead to measurable improvements presents an execution risk for DHS.

How effective has Systems Planning and Analysis, Inc. been in delivering on similar management consulting contracts?

Assessing the specific effectiveness of Systems Planning and Analysis, Inc. (SPA) on this particular $17.8 million DHS contract requires access to performance evaluations and outcome data, which are not publicly detailed in the provided information. SPA's broader federal contracting history suggests a capability to deliver complex services, but their primary strength often lies in technical and engineering support rather than pure management consulting. Effectiveness would be measured by whether the consulting services led to demonstrable improvements in DHS's administrative processes, strategic alignment, or operational efficiency. Without specific performance metrics or feedback, it's difficult to definitively gauge their effectiveness in this specific role.

What are the historical spending patterns for administrative management and general management consulting services at DHS?

Historical spending patterns for administrative management and general management consulting services at DHS are likely substantial, given the agency's size and the complexity of its mission. Agencies frequently engage external consultants to address challenges in areas such as organizational efficiency, strategic planning, policy implementation, and IT modernization. While the $17.8 million awarded to Systems Planning and Analysis, Inc. represents a specific investment, DHS likely has numerous other contracts, both larger and smaller, within this broad category. Analyzing aggregated spending data over several fiscal years would reveal trends, identify major service providers, and highlight areas where DHS most frequently seeks external management expertise.

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: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2001 N BEAUREGARD ST., SUITE 100, ALEXANDRIA, VA, 22311

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

Financial Breakdown

Contract Ceiling: $20,283,513

Exercised Options: $18,640,023

Current Obligation: $17,864,671

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS10F0338N

IDV Type: FSS

Timeline