DoD awards $36.8M Engineering Services contract to Accenture Federal Services via Full and Open Competition

Contract Overview

Contract Amount: $36,860,825 ($36.9M)

Contractor: Accenture Federal Services LLC

Awarding Agency: Department of Defense

Start Date: 2018-02-25

End Date: 2022-04-30

Contract Duration: 1,525 days

Daily Burn Rate: $24.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: OT8505210662SP330018F0289

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $36.9 million to ACCENTURE FEDERAL SERVICES LLC for work described as: OT8505210662SP330018F0289 Key points: 1. Contract awarded to a large, established firm, indicating potential for specialized expertise. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The contract duration of over 4 years presents a long-term commitment for the agency. 4. The sector is Engineering Services, a critical support function for defense operations.

Value Assessment

Rating: good

The contract's value of $36.8M over 4 years appears reasonable for complex engineering services. Benchmarking against similar large-scale engineering contracts would provide a more definitive assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters a competitive environment and drives price discovery. This method allows all eligible contractors to bid, maximizing the potential for favorable pricing.

Taxpayer Impact: The competitive nature of the award suggests that taxpayers are likely receiving fair value for the engineering services procured.

Public Impact

Supports critical Department of Defense engineering and technical services. Ensures continued operational readiness through specialized engineering support. Potential for technology transfer and innovation within the defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Long contract duration could lead to scope creep or evolving requirements.
  • Reliance on a single large contractor may limit future flexibility.

Positive Signals

  • Awarded through full and open competition.
  • Firm Fixed Price contract type provides cost certainty.
  • Experienced contractor with a strong track record.

Sector Analysis

Engineering services are crucial for the Department of Defense, encompassing design, development, testing, and maintenance of complex systems. Spending in this sector is often driven by defense modernization and operational needs, with significant variation based on project scope and technological requirements.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as indicated by 'sb': false. This suggests the scope and requirements of the engineering services likely favored larger, more established firms with specialized capabilities.

Oversight & Accountability

The award was a delivery order under a larger contract vehicle, implying prior oversight and established terms. Further oversight would focus on performance monitoring, adherence to scope, and financial management throughout the contract's life.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Long contract duration (over 4 years).
  • Potential for evolving requirements not fully captured in initial scope.
  • Reliance on a single large contractor.
  • Lack of small business participation noted.

Tags

engineering-services, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.9 million to ACCENTURE FEDERAL SERVICES LLC. OT8505210662SP330018F0289

Who is the contractor on this award?

The obligated recipient is ACCENTURE FEDERAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $36.9 million.

What is the period of performance?

Start: 2018-02-25. End: 2022-04-30.

What specific engineering services are included in this contract and how do they align with current DoD priorities?

The contract, identified by NAICS code 541330, covers engineering services. These likely encompass a broad range of activities such as systems engineering, technical support, research and development, and project management critical to defense operations. Alignment with DoD priorities would depend on the specific tasks outlined in the delivery order, potentially including areas like cybersecurity, advanced manufacturing, or platform modernization.

What are the key performance indicators (KPIs) used to measure the success of this contract and ensure value for money?

Key performance indicators for this engineering services contract would likely include on-time delivery of milestones, adherence to technical specifications, quality of deliverables, and cost control. The agency would track contractor performance against these metrics to ensure the services meet requirements and provide good value. Regular performance reviews and feedback mechanisms are essential for managing this long-term engagement effectively.

How does the firm fixed price structure mitigate risks associated with potential cost overruns for the government?

The Firm Fixed Price (FFP) contract type shifts the majority of the cost risk to the contractor. Accenture Federal Services is obligated to complete the work for the agreed-upon price, regardless of unforeseen cost increases. This structure provides the Department of Defense with significant cost certainty and protects against budget overruns, assuming the initial scope was well-defined and realistic.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering 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: Accenture Inc.

Address: 800 N GLEBE RD STE 300, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $40,315,070

Exercised Options: $36,860,825

Current Obligation: $36,860,825

Actual Outlays: $16,685,692

Subaward Activity

Number of Subawards: 19

Total Subaward Amount: $1,777,566

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADU101

IDV Type: IDC

Timeline

Start Date: 2018-02-25

Current End Date: 2022-04-30

Potential End Date: 2022-04-30 00:00:00

Last Modified: 2023-10-12

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