Description
Organization: SPAWAR, DON-CIO
Team Name: NISMC and TACPO Team
Related Acquisition Topic(s): Acquisition Practices Streamlining, Commercial and Non Developmental Items (CANDI), Cycle Time Reduction (CTR), Integrated Product Teams (IPT)
Description:
Blanket Purchase Agreements (BPAs) established by the Naval Information Systems Management Center (NISMC)/Tactical Advanced Computer Project Office (TACPO) Team lower government and industry costs, shorten leadtimes, reduce staff needs, provide easy access to the latest standards compliant Information Technology (IT), and encourage wide use of commercial IT products and practices by Programs and customers within the Department of the Navy (DoN) and throughout the Department of Defense (DoD).
The NISMC and TACPO Team (the Team) are achieving acquisition reform through innovative use of the General Services Administration (GSA) Federal Supply Schedules for IT. The TACPO is tasked with providing commercial IT for the DoN, Coast Guard, and other DoD Agencies. The TACPO was established at the Naval Command, Control and Ocean Surveillance Center, Research, Development, Test and Evaluation Division, by the Chief of Naval Operations N-6 to provide commercial IT products in tactical and non-tactical environments. Since establishment in 1992, TACPO has worked closely with the contracting directorate of NISMC on the Navy's Tactical Advanced Computer (TAC) series of Indefinite Delivery Indefinite Quantity (IDIQ) contracts. DTC-2, TAC-3, and TAC-4 have provided over $550 million worth of commercial hardware, software, and support for Navy, Marine Corps, and Coast Guard programs. The Team has employed continuous process improvement in TAC acquisitions and has utilized the expertise of engineers and computer professionals from the Navy laboratories and Navy/Marine Corps/Coast Guard programs. To address lessons learned during the TAC-4 acquisition, in December 1995 the TACPO reviewed the procurement reforms initiated by the GSA, including consideration of best value, removal of maximum order limitations, and use of the Blanket Purchase Agreements (BPAs) under Federal Supply Schedule contracts. BPAs established within the terms of GSA Federal Supply Schedule contracts are not limited to the Simplified Acquisition thresholds of the Federal Acquisition Regulation Part 13. Because of the tremendous potential benefit of BPAs in taking advantage of the new flexibility in the use of GSA Federal Supply Schedule contracts, the Team decided to test the process within the Navy.
A requirement for notebook computers from the Marine Corps and other TAC customers was an excellent test case for the new BPA acquisition method. With NISMC as the contracting agency, a streamlined, best value evaluation model was employed for TAC Notebook, setting an important precedent for BPA usage in the DoD. Three additional BPA efforts have been completed in calendar year 1996: TAC PC, TAC Notebook Workstation and TAC Joint Workstation. TAC-JW, signed in December 1996, is the focus of this award nomination. It is the replacement of both the TAC-5 ID/IQ acquisition and the Army Workstation ID/IQ acquisition.
The TAC-4 acquisition required a staff that ranged from 15 to 40 people working full time over a period of 30 months. The TAC-JW BPA required 4 people part time for 3 months. During the week long proposal evaluation process, 20 hardware, software, logistics support, and contracting experts were enabled through TACPO's secure intranet to work from their own office spaces across the country. The TAC-4 acquisition project cost the DoN over $6 million from project initiation to contract award. The TAC-JW acquisition cost the DoN less than $200 thousand.
From industry's perspective, TAC-JW was a simpler proposal process. Although commercial-based, TAC-4 was a complex specification. The TAC-4 Request For Proposals was over 1000 pages generating hundreds of questions from industry and requiring many amendments. The TAC-JW Request for Quotes was stated functionally, delivered electronically, and was the equivalent of four typewritten pages. The proposals for TAC-4 consisted of thousands of hard copy pages. TAC-JW proposals were submitted electronically. TAC-4 vendors' proposal costs were estimated to be in excess of $15 million each. The TAC-JW vendors were able to respond in two weeks and expended minimal resources.
From a customer's perspective, TAC BPAs are easier to use, less costly, and products are delivered more expediently. The BPAs facilitate a more direct buyer/seller relationship. NISMC is implementing EC/EDI for user friendly, easy-to-use ordering from these BPAs (with emphasis on purchase card ordering) through ITEC Direct, the DoN's Information Technology Internet Shopping Mall. Customers may browse the TAC BPA electronic ordering guide and use a web-based order configuration tool.
BPAs achieve the benefits of reduced prices because of aggregated requirements. Also, because they are established within the terms of the GSA Federal Supply Schedules, BPAs meet all the requirements of regulation, including fair and reasonable prices and full and open competition. Depending on the products, discounts have ranged from 5% to 25% below the GSA Schedule prices. Customers DoD wide can place orders directly with BPA holders without further competition using the simplified (and familiar) process of issuing a delivery order under a GSA Federal Supply Schedule contract. The Team and BPA vendors are using Web technology to provide information to customers.
TAC-JW is partnering with industry to integrate COTS into military rack and rugged systems. TAC-JW offers rugged rack and rugged portable systems developed by industry, and TACPO is developing rail level specifications which provide the necessary interface between the commercial equipment manufacturers and the rack and ruggedized systems manufacturers/integrators. Customers will also have the benefit of the TAC BPA Logistics Integrated Product Team (IPT). This IPT, which consists of professionals from the DoN logistics infrastructure and Program Managers' representatives, will add value to the BPA process by developing procedures necessary to enhance commercial support and provisioning for TAC BPA hardware in the field. This will serve as a model for logistics support of commercial products throughout the DoN.
Another important comparison between TAC-4 and TAC-JW is the long-term benefits of providing best value to its customers. Initially, TAC-4 was an excellent value; however, changes in technology and reduction of commercial prices (especially memory) have not been readily available to the TAC-4 customers. Due to competition, TAC-JW vendors offered deep discounts under GSA schedule. As commercial prices fall, so will TAC-JW prices in accordance with GSA contract regulations. Since TAC-JW is multiple BPAs, competition will remain strong in accordance with natural market forces. Significant price reductions have already been submitted and approved. Technology refreshment is available through GSA schedule contracts, allowing constant updates to products and services. New technology at discounted prices is available for ordering on the BPA with minimal delay, nominally 24 hours.
The BPA method is faster, better, and cheaper for both government and industry. The Team has accomplished its mission of providing best value commercial IT products and services to the warfighter, focusing project resources on satisfying customers rather than on the mechanics of setting up and administering the contracts. They have created a BPA precedent which optimizes competition by requesting reductions of GSA schedule pricing before BPA award. The Team has clearly established itself as the leader in the Federal government in providing value to its customers through use of the BPA tools and it's widely recognized for this by IT acquisition professionals. GSA refers other DoD and Federal agencies (i.e., Army, DISA, EPA, IRS, Department of Veterans Affairs, Department of Transportation) to the Team for advice on BPA implementation. The techniques pioneered by the Team for the use of GSA Federal Supply Schedules and BPAs has broad application throughout DoD as a tool to apply commercial practices in acquiring not just IT, but the full range of products and services available through the GSA Federal Supply Schedules Program.
