DoD Awards $10.9M for Distribution Management Support Services to Cervello Global Corporation
Contract Overview
Contract Amount: $10,926,221 ($10.9M)
Contractor: Cervello Global Corporation
Awarding Agency: Department of Defense
Start Date: 2020-09-24
End Date: 2022-11-04
Contract Duration: 771 days
Daily Burn Rate: $14.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: DISTRIBUTION MANAGEMENT SUPPORT SERVICES (DMSS)
Place of Performance
Location: ALBANY, DOUGHERTY County, GEORGIA, 31704
State: Georgia Government Spending
Plain-Language Summary
Department of Defense obligated $10.9 million to CERVELLO GLOBAL CORPORATION for work described as: DISTRIBUTION MANAGEMENT SUPPORT SERVICES (DMSS) Key points: 1. Contract awarded to Cervello Global Corporation for $10.9 million. 2. Services fall under Engineering Services (NAICS 541330). 3. Awarded via Full and Open Competition. 4. Contract duration is 771 days. 5. No small business participation noted.
Value Assessment
Rating: fair
The contract value of $10.9 million over 771 days suggests a moderate daily rate. Benchmarking against similar engineering services contracts would be necessary to determine if this pricing is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing for the government.
Taxpayer Impact: The use of full and open competition is expected to yield fair market value, maximizing taxpayer return on this investment.
Public Impact
Ensures efficient distribution management for the Department of the Navy. Supports critical logistical operations within the defense sector. Potential impact on supply chain readiness and operational effectiveness.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
- Limited data on performance metrics.
- Potential for cost overruns if scope expands.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type.
- Clear contract duration.
Sector Analysis
This contract falls within the Engineering Services sector, which is crucial for supporting complex government operations. Spending benchmarks for similar support services can vary widely based on scope and duration.
Small Business Impact
The contract data indicates no small business participation (ss: false, sb: false). This suggests that the prime contractor did not subcontract with small businesses for this award, which could be an area for future review.
Oversight & Accountability
The contract was awarded as a delivery order under a larger contract vehicle (likely). Oversight would focus on task order execution, performance, and adherence to the firm fixed price.
Related Government Programs
- Engineering Services
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- No small business participation.
- Potential for unaddressed scope creep.
- Limited transparency on specific performance metrics.
- Dependence on contractor's internal quality control.
Tags
engineering-services, department-of-defense, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $10.9 million to CERVELLO GLOBAL CORPORATION. DISTRIBUTION MANAGEMENT SUPPORT SERVICES (DMSS)
Who is the contractor on this award?
The obligated recipient is CERVELLO GLOBAL CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $10.9 million.
What is the period of performance?
Start: 2020-09-24. End: 2022-11-04.
What specific distribution management functions are covered under this contract, and how do they align with the Navy's current logistical needs?
The contract likely covers a range of services related to the planning, execution, and optimization of the Navy's supply chain and inventory management. This could include warehousing, transportation coordination, data analysis, and process improvement initiatives. Alignment with current needs would depend on the specific requirements outlined in the Statement of Work, focusing on enhancing efficiency, reducing costs, and ensuring timely delivery of essential goods and materials.
Given the firm fixed price structure, what mechanisms are in place to manage scope creep and prevent cost overruns?
A firm fixed price contract inherently places the cost risk on the contractor. Mechanisms to manage scope creep typically involve a clearly defined Statement of Work (SOW) and rigorous change control processes. Any proposed changes to the scope must be formally evaluated for their impact on cost and schedule, requiring a contract modification and potentially additional funding, which the government can approve or deny.
How will the effectiveness of Cervello Global Corporation's support services be measured to ensure optimal value for the taxpayer?
Effectiveness will be measured against Key Performance Indicators (KPIs) and Service Level Agreements (SLAs) defined in the contract's SOW. These metrics could include on-time delivery rates, inventory accuracy, cost savings achieved, and overall efficiency improvements in distribution processes. Regular performance reviews and reporting by the contractor, along with government oversight, will ensure accountability and value for taxpayer investment.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: M6700420Q0008
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 535 PHILIPPE PARKWAY, SAFETY HARBOR, FL, 34695
Business Categories: Category Business, Partnership or Limited Liability Partnership, 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: $17,003,436
Exercised Options: $10,926,221
Current Obligation: $10,926,221
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 47QRAA18D003E
IDV Type: FSS
Timeline
Start Date: 2020-09-24
Current End Date: 2022-11-04
Potential End Date: 2023-11-04 00:00:00
Last Modified: 2026-01-08
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