DoD's $10.2M Blue Yonder APO Contract Awarded to Accenture Federal Services

Contract Overview

Contract Amount: $10,231,791 ($10.2M)

Contractor: Accenture Federal Services LLC

Awarding Agency: Department of Defense

Start Date: 2024-05-01

End Date: 2026-04-30

Contract Duration: 729 days

Daily Burn Rate: $14.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 117

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: BLUE YONDER (BY) / ADVANCED PLANNING & OPTIMIZATION (APO) DEVELOPMENT AND SUSTAINMENT (PRIME)

Place of Performance

Location: FORT BELVOIR, FAIRFAX County, VIRGINIA, 22060

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $10.2 million to ACCENTURE FEDERAL SERVICES LLC for work described as: BLUE YONDER (BY) / ADVANCED PLANNING & OPTIMIZATION (APO) DEVELOPMENT AND SUSTAINMENT (PRIME) Key points: 1. Contract focuses on advanced planning and optimization software development and sustainment. 2. Accenture Federal Services, a major IT contractor, holds the prime position. 3. The award is a delivery order under a larger contract, indicating ongoing program needs. 4. The sector is IT services, specifically computer-related services, a common area for federal spending.

Value Assessment

Rating: good

The contract value of $10.2M over two years appears reasonable for specialized software development and sustainment. Benchmarking against similar large-scale IT development contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and value for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary IT services.

Public Impact

Enhances critical logistics and planning capabilities for the Department of Defense. Supports advanced software solutions that can improve operational efficiency. Potential for ripple effects on supply chain management and resource allocation within the DoD.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific performance metrics in provided data.
  • Potential for scope creep in long-term software sustainment.
  • Dependence on a single prime contractor for critical systems.

Positive Signals

  • Awarded through full and open competition.
  • Firm Fixed Price contract type helps control costs.
  • Long-term sustainment indicates a recognized need and value.

Sector Analysis

This contract falls within the IT services sector, specifically "Other Computer Related Services." Federal spending in this area is substantial, supporting a wide range of digital infrastructure and software needs across agencies.

Small Business Impact

The data indicates this is a prime contract awarded to Accenture Federal Services, a large business. There is no explicit information on small business participation in this specific delivery order, though the prime contractor may utilize subcontractors.

Oversight & Accountability

The award is a delivery order under a larger contract, suggesting existing oversight mechanisms are in place. Further review of the parent contract and specific oversight for this order would be needed to assess accountability.

Related Government Programs

  • Other Computer Related Services
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Potential for vendor lock-in
  • Complexity of software sustainment
  • Dependence on a single large prime contractor
  • Limited visibility into small business subcontracting

Tags

other-computer-related-services, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.2 million to ACCENTURE FEDERAL SERVICES LLC. BLUE YONDER (BY) / ADVANCED PLANNING & OPTIMIZATION (APO) DEVELOPMENT AND SUSTAINMENT (PRIME)

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 $10.2 million.

What is the period of performance?

Start: 2024-05-01. End: 2026-04-30.

What is the specific functionality and expected impact of the Blue Yonder APO system on DoD logistics?

The Blue Yonder Advanced Planning & Optimization (APO) system is designed to enhance complex supply chain and logistics planning. For the DoD, this likely translates to improved inventory management, optimized transportation routes, and better resource allocation, ultimately aiming to increase operational readiness and reduce costs. The specific impact depends on the modules implemented and their integration with existing systems.

What are the key risks associated with the sustainment phase of this contract?

Key risks in the sustainment phase include potential cost overruns if maintenance and updates become more complex than anticipated, vendor lock-in due to specialized knowledge, and the risk of the software becoming outdated if not continuously improved. Ensuring clear contract terms for change management and performance metrics is crucial to mitigate these risks.

How effectively does this contract leverage competition to ensure value for taxpayer money?

The contract was awarded under 'full and open competition,' which is a strong indicator of effective competition. This process allows any qualified vendor to bid, fostering a competitive environment that typically drives down prices and encourages innovation. The firm fixed price structure further reinforces cost control, suggesting good value realization.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther Computer Related Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - IT MANAGEMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: SP470924Q1012

Offers Received: 117

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Novetta Solutions, LLC

Address: 800 NORTH GLEBE RD #300, ARLINGTON, VA, 22203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $10,269,082

Exercised Options: $10,231,791

Current Obligation: $10,231,791

Subaward Activity

Number of Subawards: 9

Total Subaward Amount: $4,376,706

Contract Characteristics

Consolidated Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SP470917D0023

IDV Type: IDC

Timeline

Start Date: 2024-05-01

Current End Date: 2026-04-30

Potential End Date: 2026-04-30 00:00:00

Last Modified: 2025-12-10

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