Department of the Army awards $53.6M for Task Management Tool software and integration services to Accenture Federal Services

Contract Overview

Contract Amount: $53,550,717 ($53.6M)

Contractor: Accenture Federal Services LLC

Awarding Agency: Department of Defense

Start Date: 2016-08-15

End Date: 2021-10-31

Contract Duration: 1,903 days

Daily Burn Rate: $28.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF::OT::IGF HEADQUARTERS DEPARTMENT OF ARMY TASK MANAGEMENT TOOL SOFTWARE LICENSES AND INTEGRATION SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22203

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $53.6 million to ACCENTURE FEDERAL SERVICES LLC for work described as: IGF::OT::IGF HEADQUARTERS DEPARTMENT OF ARMY TASK MANAGEMENT TOOL SOFTWARE LICENSES AND INTEGRATION SERVICES Key points: 1. Contract awarded on a sole-source basis, raising questions about potential price overruns and lack of competitive pressure. 2. Significant duration of the contract (over 5 years) suggests a long-term need for these services. 3. The contract's value is substantial, warranting close scrutiny of performance and cost-effectiveness. 4. Focus on software licenses and integration indicates a critical IT infrastructure component for the Army. 5. The absence of small business set-asides or reported subcontracting suggests limited direct benefit to smaller firms. 6. The contract's classification under 'All Other Information Services' is broad and may obscure specific service details.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging due to the lack of competitive bidding and specific service details. The $53.6 million award over approximately five years averages to over $10 million annually. Without comparable sole-source contracts or detailed breakdowns of the software licenses and integration services provided, it's difficult to definitively assess if this represents fair market value. The absence of competition means there's no market-driven price discovery to compare against.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This typically occurs when a specific vendor possesses unique capabilities, proprietary technology, or when urgent needs preclude a competitive process. The lack of competition limits the government's ability to solicit the best possible pricing and terms from a range of providers, potentially leading to higher costs for taxpayers.

Taxpayer Impact: Sole-source awards mean taxpayers may not be receiving the most cost-effective solution available, as there was no opportunity for vendors to compete on price and performance.

Public Impact

The primary beneficiary is the Department of the Army, which gains access to essential Task Management Tool software and integration services. Services delivered likely include software licensing, implementation, customization, and ongoing support for a critical operational system. The geographic impact is primarily within the Department of the Army's operational footprint, likely nationwide or wherever its personnel are deployed. Workforce implications may include the need for personnel trained to use and manage the Task Management Tool, as well as IT support staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits price competition and potentially increases costs.
Lack of transparency in specific service deliverables and performance metrics.
Long contract duration without competitive re-evaluation could lead to complacency or outdated technology.
Broad NAICS code 'All Other Information Services' lacks specificity for detailed analysis.

Positive Signals

Addresses a critical need for task management and integration within the Army.
Firm Fixed Price contract type provides some cost certainty for the government.
Long-term award suggests a stable, ongoing requirement that has been identified.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on software licensing and integration services. The IT services market is vast and highly competitive, with numerous vendors offering solutions for project and task management. However, for specialized government needs, particularly within large defense organizations, sole-source awards for specific platforms or integration expertise are not uncommon. The total IT spending by the federal government runs into billions annually, making this contract a relatively small portion of the overall IT budget but significant for the specific function it serves.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor is there any indication of subcontracting requirements. This suggests that the primary awardee, Accenture Federal Services, is a large business and that the contract's structure did not prioritize opportunities for small business participation. Consequently, the direct economic impact on the small business ecosystem from this specific contract is likely minimal.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of the Army's contracting and program management offices. The Inspector General (IG) for the Department of Defense may also have jurisdiction for audits and investigations if concerns arise regarding waste, fraud, or abuse. Transparency is limited due to the sole-source nature and the broad classification of services, making detailed public oversight challenging without further information on performance metrics and deliverables.

Related Government Programs

Army Knowledge Online (AKO)
Defense Enterprise Service Management
IT Services for Department of Defense
Software Licensing and Maintenance Contracts

Risk Flags

Sole-source award raises concerns about competition and potential overpricing.
Lack of specific service details hinders performance and value assessment.
Broad NAICS code obscures the precise nature of the services procured.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $53.6 million to ACCENTURE FEDERAL SERVICES LLC. IGF::OT::IGF HEADQUARTERS DEPARTMENT OF ARMY TASK MANAGEMENT TOOL SOFTWARE LICENSES AND INTEGRATION SERVICES

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 (Department of the Army).

What is the total obligated amount?

The obligated amount is $53.6 million.

What is the period of performance?

Start: 2016-08-15. End: 2021-10-31.

What specific Task Management Tool software is being licensed and integrated?

The provided data does not specify the exact Task Management Tool software being licensed and integrated. The contract falls under the broad NAICS code '519190 - All Other Information Services,' which lacks the granularity to identify the specific software product. Typically, such tools are used for project planning, resource allocation, task tracking, and collaboration. Without further details, it's impossible to determine if this is a commercial off-the-shelf (COTS) product, a custom-developed solution, or a specialized government-off-the-shelf (GOTS) system. Understanding the specific software is crucial for assessing its capabilities, potential for vendor lock-in, and the necessity of a sole-source award for integration services.

What is the historical spending pattern for this specific Task Management Tool software and integration service within the Department of the Army?

The provided data indicates a single award of $53.6 million to Accenture Federal Services from August 2016 to October 2021. This suggests that this specific contract represents the primary or sole federal spending for this particular Task Management Tool software and its integration services during that period. There is no information available in the provided snippet to indicate prior or subsequent contracts for the same service or software under this specific identifier. To understand a broader historical spending pattern, one would need to search for related contracts using different identifiers, keywords, or by examining the Army's IT spending portfolio over a longer timeframe.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

The provided data does not include specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. These metrics are typically detailed within the contract's statement of work (SOW) or performance work statement (PWS), which are not included in the summary data. KPIs and SLAs are essential for measuring the contractor's performance, ensuring the delivered software and integration services meet the Army's operational requirements, and providing a basis for evaluating value for money. Without this information, it is difficult to objectively assess the effectiveness and efficiency of the services provided by Accenture Federal Services.

What is the rationale behind the sole-source award, and were any justifications for other-than-full-and-open competition documented?

The provided data states the contract was 'NOT COMPETED,' indicating a sole-source award. However, it does not include the specific justification for this decision. Federal procurement regulations require agencies to document the rationale for sole-source awards, often citing reasons such as unique capabilities, proprietary technology, urgent and compelling needs, or lack of market availability. Without access to the Justification for Other Than Full and Open Competition (JOFOC) document, it is impossible to verify the validity of the sole-source determination or assess whether competitive alternatives were adequately explored. This lack of transparency raises concerns about potential missed opportunities for better pricing and innovation.

How does the cost of this contract compare to similar IT services or software licenses procured by other branches of the Department of Defense or other federal agencies?

Direct cost comparison is difficult without knowing the specific software and services procured. However, the average annual cost of approximately $10.7 million ($53.6M / 5 years) for enterprise-level IT software licensing and integration services is substantial. While large federal agencies often engage in significant IT investments, the lack of competition for this contract prevents a definitive value-for-money assessment against market rates or competitively procured alternatives. To conduct a proper benchmark, one would need to identify comparable contracts for similar Task Management Tools or integration services awarded through full and open competition across the DoD or other federal agencies, considering factors like user base size, scope of services, and contract duration.

Industry Classification

NAICS: Information › Other Information Services › All Other Information Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Accenture Inc.

Address: 800 NORTH GLEBE RD #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: $53,550,717

Exercised Options: $53,550,717

Current Obligation: $53,550,717

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $772,775

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline