NASA awards $10.3M for robotic friction stir welding system, highlighting advanced manufacturing capabilities

Contract Overview

Contract Amount: $10,326,377 ($10.3M)

Contractor: MTS Systems Corporation

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2006-07-05

End Date: 2011-09-20

Contract Duration: 1,903 days

Daily Burn Rate: $5.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ROBOTIC FRICTION STIR WELDING SYSTEM PLUS OPTIONS

Place of Performance

Location: EDEN PRAIRIE, HENNEPIN County, MINNESOTA, 55344

State: Minnesota Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $10.3 million to MTS SYSTEMS CORPORATION for work described as: ROBOTIC FRICTION STIR WELDING SYSTEM PLUS OPTIONS Key points: 1. The contract value of $10.3 million for a specialized welding system suggests a significant investment in advanced manufacturing technology. 2. Competition dynamics indicate a full and open process after source exclusion, potentially leading to competitive pricing but requiring careful justification for the exclusion. 3. The duration of the contract (over 1900 days) implies a complex, long-term project with potential for evolving requirements. 4. The award to MTS Systems Corporation, a known entity in testing and simulation, positions this contract within the advanced industrial equipment sector. 5. Performance context is crucial given the specialized nature of robotic friction stir welding, requiring high precision and reliability for aerospace applications. 6. Risk indicators may include the complexity of integrating advanced robotic systems and ensuring long-term operational effectiveness.

Value Assessment

Rating: good

Benchmarking the value of a highly specialized robotic welding system is challenging without direct comparisons. However, the $10.3 million award for a system with options suggests a substantial investment in cutting-edge technology. The firm fixed-price nature of the contract shifts risk to the contractor, which can be favorable for the government if the scope is well-defined. Further analysis would require comparing the system's capabilities and price against similar advanced manufacturing equipment offerings.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while the intent was competition, certain sources were initially excluded. The number of bidders is not explicitly stated, but the 'exclusion of sources' suggests a potentially narrowed field compared to true full and open competition. The justification for excluding sources is critical to understanding if this process truly maximized price discovery and achieved the best value for the government.

Taxpayer Impact: While competition was intended, the exclusion of sources may have limited the number of potential bidders, potentially impacting the final price achieved for taxpayers. Transparency regarding the reasons for exclusion is key to ensuring fair competition and optimal use of funds.

Public Impact

The primary beneficiaries are NASA and its research and development initiatives, particularly in areas requiring advanced materials joining. The contract delivers a sophisticated robotic friction stir welding system, enabling enhanced capabilities in aerospace manufacturing and material science. The geographic impact is centered around NASA facilities where the system will be deployed, likely supporting national aerospace research efforts. Workforce implications include the need for skilled technicians and engineers to operate, maintain, and program the advanced welding system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if the 'options' are exercised and not adequately managed.
  • Integration challenges with existing NASA infrastructure and workflows.
  • Reliance on a single contractor for specialized maintenance and support of the unique welding system.

Positive Signals

  • Firm fixed-price contract structure helps control costs and manage budget.
  • Award to a known entity (MTS SYSTEMS CORPORATION) suggests a level of established capability.
  • The 'options' provide flexibility for NASA to expand capabilities if needed.

Sector Analysis

This contract falls within the advanced manufacturing and industrial equipment sector, specifically focusing on specialized welding technologies. The market for robotic welding systems is growing, driven by demand for precision, efficiency, and automation in industries like aerospace, automotive, and heavy manufacturing. NASA's investment in friction stir welding highlights the agency's commitment to adopting state-of-the-art manufacturing processes to push the boundaries of space exploration and technology. Comparable spending benchmarks would involve looking at investments in other advanced robotic systems or specialized manufacturing equipment within the federal government or large industrial corporations.

Small Business Impact

There is no explicit indication of small business set-asides or subcontracting plans within the provided data. The contract appears to be awarded to a large corporation (MTS SYSTEMS CORPORATION), suggesting that direct small business participation might be limited unless subcontracting opportunities arise from the prime contractor. Further investigation into subcontracting goals and performance would be necessary to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily fall under NASA's contracting officers and program managers. The firm fixed-price nature implies that oversight will focus on delivery, performance specifications, and adherence to the contract terms. Transparency regarding the 'exclusion of sources' and the justification for it would be a key area for oversight. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

  • NASA Research and Development Contracts
  • Advanced Manufacturing Technology Procurement
  • Robotics and Automation Systems
  • Aerospace Materials Joining Technologies

Risk Flags

  • Potential for limited competition due to source exclusion.
  • Complexity of integrating advanced robotic systems.
  • Long contract duration increases risk of obsolescence or scope creep.

Tags

nasa, robotic-welding, friction-stir-welding, advanced-manufacturing, firm-fixed-price, full-and-open-competition-after-exclusion-of-sources, industrial-equipment, aerospace, research-and-development, nasa-stennis-space-center, minnesota, large-business

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $10.3 million to MTS SYSTEMS CORPORATION. ROBOTIC FRICTION STIR WELDING SYSTEM PLUS OPTIONS

Who is the contractor on this award?

The obligated recipient is MTS SYSTEMS CORPORATION.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $10.3 million.

What is the period of performance?

Start: 2006-07-05. End: 2011-09-20.

What specific capabilities does this robotic friction stir welding system offer that are critical for NASA's mission?

Friction stir welding (FSW) is an advanced solid-state joining process that offers significant advantages over traditional welding methods, particularly for aluminum and other high-performance alloys used in aerospace. It produces high-quality, defect-free welds with minimal distortion and residual stress. For NASA, this translates to stronger, lighter structures for spacecraft, launch vehicles, and satellites, potentially reducing fuel consumption and increasing payload capacity. The robotic nature of the system implies high precision, repeatability, and the ability to automate complex welding paths, crucial for intricate designs and mass production scenarios. The 'options' likely refer to additional tooling, software, or capabilities that could further enhance its application in areas like in-space manufacturing or advanced materials research.

How does the 'full and open competition after exclusion of sources' process impact the overall value and fairness of this award?

The 'full and open competition after exclusion of sources' is a nuanced procurement method. It suggests that NASA initially intended to compete the requirement broadly but then identified specific sources that were either ineligible or deemed unnecessary to include in the competition. While it aims to maintain a competitive environment, the exclusion of certain sources can limit the pool of potential bidders. The value and fairness hinge entirely on the justification for the exclusion. If the excluded sources were genuinely incapable of meeting the highly specialized requirements or if their inclusion would have been redundant or inefficient, then the process might still yield good value. However, if sources capable of meeting the need were excluded without a strong rationale, it could lead to reduced competition, potentially higher prices, and questions about fairness to those excluded.

What are the potential risks associated with the long duration (1903 days) of this contract?

A contract duration of over 1900 days (approximately 5.2 years) for a complex system like a robotic welding unit presents several potential risks. Firstly, technological obsolescence is a concern; advancements in robotic welding could outpace the system's capabilities before its lifecycle ends. Secondly, the long duration increases the likelihood of scope creep or evolving requirements, which, if not managed through contract modifications, could lead to disputes or cost overruns, despite the firm fixed-price nature. Thirdly, maintaining operational readiness and ensuring adequate training and support over such an extended period requires sustained planning and resources. Finally, contractor performance stability over five years can be a factor; key personnel changes or shifts in the contractor's business focus could impact delivery and support.

Can we benchmark the $10.3 million award against similar robotic welding systems procured by other government agencies or in the private sector?

Benchmarking this $10.3 million award requires detailed comparison of system specifications, capabilities, and intended applications. Robotic friction stir welding systems are highly specialized, and their cost varies significantly based on factors like payload capacity, reach, precision, control systems, software integration, and ancillary equipment (e.g., tooling, safety enclosures, power supplies). While general robotic arm costs might be in the hundreds of thousands, a fully integrated, high-precision FSW system with advanced controls and support can easily reach millions. Without specific technical data sheets and quotes for comparable systems from other agencies (like DoD branches) or major aerospace manufacturers, a precise benchmark is difficult. However, the $10.3 million figure suggests a high-end, sophisticated system tailored for demanding aerospace applications, consistent with NASA's advanced manufacturing needs.

What is the track record of MTS SYSTEMS CORPORATION in delivering complex robotic or specialized manufacturing equipment to government agencies?

MTS Systems Corporation is a well-established company known for its expertise in testing, simulation, and measurement systems. They have a history of providing sophisticated equipment to various industries, including aerospace and defense. While their primary focus might be on testing and simulation rather than direct manufacturing equipment like welding robots, their experience with high-precision, complex electromechanical systems suggests a strong capability. To fully assess their track record for this specific contract, one would need to examine their past performance on similar government contracts, focusing on on-time delivery, adherence to specifications, and overall customer satisfaction. Information on their specific experience with robotic welding systems, particularly friction stir welding, would be crucial.

Industry Classification

NAICS: ManufacturingOther General Purpose Machinery ManufacturingWelding and Soldering Equipment Manufacturing

Product/Service Code: METALWORKING MACHINERY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14000 TECHNOLOGY DR, EDEN PRAIRIE, MN, 03

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

Financial Breakdown

Contract Ceiling: $10,326,377

Exercised Options: $10,326,377

Current Obligation: $10,326,377

Timeline

Start Date: 2006-07-05

Current End Date: 2011-09-20

Potential End Date: 2011-09-20 00:00:00

Last Modified: 2012-02-02

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