Department of the Army awarded $24.2M contract for management consulting services to Leidos, Inc

Contract Overview

Contract Amount: $24,246,751 ($24.2M)

Contractor: Leidos, Inc.

Awarding Agency: Department of Defense

Start Date: 2005-05-20

End Date: 2010-06-30

Contract Duration: 1,867 days

Daily Burn Rate: $13.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 200508!500352!2100!W91QF4!ACA, FORT LEAVENWORTH !GS23F8006H !C!N! !Y!W91QF405F0059! !20050520!20060531!054781240!054781240!054781240!N!SCIENCE APPLICATIONS INTERNATI!10260 CAMPUS POINT DR !SAN DIEGO !CA!92121!23950!103!20!FORT LEAVENWORTH !LEAVENWORTH !KANSAS !+000000716032!N!N!000000000000!B599!OTHER SPECIAL STUDIES & ANALYSES !S1 !SERVICES !000 !* !541690!E! !6! ! ! ! ! !20200930!B! ! ! ! !A! ! ! !000! ! ! ! ! ! ! !Y!C!N!N! ! ! ! ! ! !000! ! ! ! ! ! ! ! ! !0001! !

Place of Performance

Location: FORT LEAVENWORTH, LEAVENWORTH County, KANSAS, 66027

State: Kansas Government Spending

Plain-Language Summary

Department of Defense obligated $24.2 million to LEIDOS, INC. for work described as: 200508!500352!2100!W91QF4!ACA, FORT LEAVENWORTH !GS23F8006H !C!N! !Y!W91QF405F0059! !20050520!20060531!054781240!054781240!054781240!N!SCIENCE APPLICATIONS INTERNATI!10260 CAMPUS POINT DR !SAN DIEGO !CA!92121!23950!103!20!FORT LEAVENWORTH !LEAV… Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract's duration of 1867 days (over 5 years) indicates a long-term need for these services. 3. The primary service category is Administrative Management and General Management Consulting Services. 4. The contract was awarded to a single vendor, Leidos, Inc., which is a significant player in the federal contracting space. 5. The contract value of over $24 million represents a substantial investment in consulting services. 6. The contract was awarded by the Department of the Army, a major component of the Department of Defense.

Value Assessment

Rating: good

The contract value of $24.2 million for over five years of management consulting services appears reasonable given the scope and duration. Benchmarking against similar large-scale consulting contracts within the Department of Defense would provide a more precise value-for-money assessment. However, the firm fixed-price nature suggests that the government has a clear understanding of the costs involved, potentially leading to better cost control compared to cost-plus contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. The number of bidders is not specified in the provided data, but this procurement method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The open competition suggests that the agency sought the best value from the market.

Taxpayer Impact: Taxpayers benefit from full and open competition as it typically drives down prices and encourages innovation among contractors, ensuring that government funds are used more efficiently.

Public Impact

The primary beneficiaries are likely the Department of the Army and its personnel at Fort Leavenworth, Kansas, who will receive enhanced administrative and management support. The services delivered are expected to improve the efficiency and effectiveness of management operations within the Army. The geographic impact is centered around Fort Leavenworth, Kansas, where the services will be primarily utilized. The contract supports the workforce by potentially providing specialized expertise that augments existing military and civilian personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for vendor lock-in due to the long contract duration.
  • Reliance on a single contractor for critical management functions could pose a risk if performance degrades.
  • The specific deliverables and performance metrics are not detailed, making it difficult to assess the precise impact of the consulting services.

Positive Signals

  • Awarded through full and open competition, indicating a competitive process.
  • Firm fixed-price contract structure provides cost certainty for the government.
  • The contractor, Leidos, Inc., is a large and established company with significant experience in federal contracting.
  • The contract duration suggests a sustained need and commitment to improving management functions.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically management consulting. This sector is a significant component of federal spending, supporting various government functions from administrative operations to complex strategic planning. The market for management consulting services is competitive, with numerous firms offering specialized expertise. The Department of Defense is a major client for these services, often seeking to optimize its vast operational and administrative structures.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). As a large contract awarded to a major prime contractor, it is possible that subcontracting opportunities may exist for small businesses. However, without specific subcontracting plans or goals detailed in the award, the direct impact on the small business ecosystem is unclear. Further analysis would be needed to determine if small businesses are being leveraged for specialized services under this prime contract.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program management office within the Department of the Army. Accountability measures are inherent in the firm fixed-price structure, which obligates the contractor to deliver specific services within the agreed-upon budget. Transparency is generally maintained through contract award databases, though detailed performance reports may not always be publicly accessible. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

  • Department of Defense Management Consulting Services
  • Army Administrative Support Contracts
  • Professional and Technical Services for Federal Agencies
  • Management and Strategy Consulting Contracts

Risk Flags

  • Long contract duration may increase risk of obsolescence or changing needs.
  • Performance metrics not detailed, making objective assessment difficult.
  • Reliance on a single contractor for critical functions.

Tags

department-of-defense, department-of-the-army, management-consulting, administrative-management, firm-fixed-price, full-and-open-competition, leidos-inc, fort-leavenworth, kansas, professional-services, large-contract

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $24.2 million to LEIDOS, INC.. 200508!500352!2100!W91QF4!ACA, FORT LEAVENWORTH !GS23F8006H !C!N! !Y!W91QF405F0059! !20050520!20060531!054781240!054781240!054781240!N!SCIENCE APPLICATIONS INTERNATI!10260 CAMPUS POINT DR !SAN DIEGO !CA!92121!23950!103!20!FORT LEAVENWORTH !LEAVENWORTH !KANSAS !+000000716032!N!N!000000000000!B599!OTHER SPECIAL STUDIES & ANALYSES !S1 !SERVICES !000 !* !541690!E! !6! ! ! ! ! !202

Who is the contractor on this award?

The obligated recipient is LEIDOS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $24.2 million.

What is the period of performance?

Start: 2005-05-20. End: 2010-06-30.

What is the track record of Leidos, Inc. in performing similar management consulting services for the Department of Defense?

Leidos, Inc. has a substantial track record in providing a wide array of services to the Department of Defense, including IT, engineering, and professional services. While specific details on their performance for management consulting at Fort Leavenworth are not in this data snippet, their extensive experience with federal agencies suggests a capacity to handle complex requirements. A deeper dive into past performance reviews, contract awards, and any reported issues on similar contracts would offer a more precise assessment of their suitability and reliability for this specific engagement. Their size and market presence indicate they are a capable contractor, but past performance on comparable tasks remains a key indicator of future success.

How does the awarded amount of $24.2 million compare to similar management consulting contracts awarded by the Department of the Army?

The awarded amount of approximately $24.2 million over a period of roughly five years (1867 days) for management consulting services places this contract in the mid-to-large range for such procurements within the Department of the Army. Without access to a comprehensive database of all Army consulting contracts, a precise benchmark is difficult. However, contracts of this magnitude typically involve broad strategic support, organizational analysis, or significant process improvement initiatives. The firm fixed-price nature suggests a well-defined scope. Comparing this to other contracts for similar services (e.g., NAICS code 541611) awarded by the Army or other DoD components would reveal if this represents a competitive price point or if it is on the higher end, potentially indicating a more complex or specialized requirement.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks for this contract include potential scope creep if the consulting needs evolve beyond the initial definition, contractor underperformance leading to unmet objectives, and over-reliance on the contractor's expertise. Given the firm fixed-price structure, the primary financial risk lies with the contractor if costs exceed estimates. Mitigation strategies likely involve robust contract management by the Army, including clear performance metrics, regular progress reviews, and defined change control processes. The long duration also presents a risk of the contractor's proposed solutions becoming outdated; however, the competitive award process should have selected a contractor capable of adapting. The government's active oversight is crucial for managing these risks.

What is the expected program effectiveness or impact of these management consulting services on the Army's operations at Fort Leavenworth?

The expected effectiveness of these management consulting services hinges on the specific objectives outlined in the contract statement of work, which are not detailed here. Generally, such services aim to enhance operational efficiency, improve organizational structures, streamline processes, and support strategic decision-making. For the Army at Fort Leavenworth, this could translate to better resource allocation, improved administrative workflows, enhanced training program management, or more effective implementation of new policies. The success will be measured against predefined Key Performance Indicators (KPIs) and deliverables. Without knowing these specific goals, assessing the precise impact is speculative, but the significant investment suggests a focus on substantial improvements.

How has federal spending on management consulting services (NAICS 541611) by the Department of the Army trended over the past decade?

Federal spending on management consulting services (NAICS 541611) by the Department of the Army has generally shown a fluctuating but significant trend over the past decade. While specific year-over-year data requires detailed analysis of historical contract databases, the Army, like other large federal agencies, consistently utilizes external expertise for organizational improvement, strategic planning, and operational efficiency. Spending often increases during periods of significant policy change, force structure adjustments, or the implementation of new technologies. Conversely, budget constraints or shifts in strategic priorities can lead to temporary decreases. The overall demand for these services remains robust, reflecting the complexity of managing a large military organization.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&DSPECIAL STUDIES - NOT R and D

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: Leidos Holdings, Inc. (UEI: 611641312)

Address: 1710 SAIC DRIVE, ROOM #8031, MCLEAN, VA, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Parent Contract

Parent Award PIID: GS23F8006H

IDV Type: FSS

Timeline

Start Date: 2005-05-20

Current End Date: 2010-06-30

Potential End Date: 2010-06-30 00:00:00

Last Modified: 2013-04-01

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