Acquisition Strategy MOPAS 2 - Training Slides

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  • FY 06-07 Federal Contracting for Professional Services rose 9%. In 2007--$78B in Fed govt spent on prof svc. management support; automatic data processing and telecommunications; technical services; research and development; training; and studies and analysis. Management support was the largest category of professional services at $43.6 billion, up from $40.3 billion in FY2006. In the same time period, research and development contracting increased 25 percent, from $2.8 billion to $3.5 billion, and spending on studies and analysis, $1.2 billion in FY2007, more than doubled. * KBR, Inc., $4.7 billion * Lockheed Martin Corp., $4.6 billion * Northrop Grumman Corp., $4.3 billion * Science Applications International Corp., $3.7 billion * General Dynamics Corp., $3 billion * L-3 Communications, $2.7 billion * CSC, $2.4 billion * EDS Corp., $2 billion * United Space Alliance LLC, $1.8 billion * Booz Allen Hamilton, $1.5 billion
  • Note with MOPAS 2 our approval level (CG) went from $500M PB to $10M $50M Non-PB to $1M
  • Per MOPAS guidelines, customer/requiring activity responsible to complete this document with HELP from contracting office
  • Acquisition Strategy MOPAS 2 - Training Slides

    1. 1. Mysteries of Contracting Acquisition Strategy for Services
    2. 2. MOPAS <ul><li>DON Management and Oversight Process for the Acquisition of Services (MOPAS) </li></ul><ul><li>Since ~ 2000, DOD has spent more $ on services than supplies/systems </li></ul><ul><li>Service acquisitions need tiered oversight similar to that provided for weapons systems (DOD 5000 series) </li></ul><ul><li>MOPAS 1: Section 801-FY 2002 NDAA </li></ul><ul><li>MOPAS 2: Section 812-FY 2006 NDAA </li></ul>
    3. 3. MOPAS 1 <ul><li>All service acquisitions > $100k must have an approved source selection plan or acquisition strategy before soliciting. (N/A to programs or IT under DOD 5000 series) </li></ul><ul><li>Different formats & approvals for services performance based (PB) and non-PB. Acq Strategy Document had 7 paragraphs. </li></ul><ul><li>LOGCOM had authority to approve: </li></ul><ul><ul><li>PB -$30M CCO, <$500M CG </li></ul></ul><ul><ul><li>Non-PB - $5M CCO, $30M ED, <$50M CG </li></ul></ul>
    4. 4. MOPAS 2 <ul><li>Approval Authorities </li></ul><ul><ul><li>Performance Based: </li></ul></ul><ul><ul><ul><li>>SAT-$10M - CCO </li></ul></ul></ul><ul><ul><ul><li>>$10M - $250M - HQMC ADC I&L (LB) </li></ul></ul></ul><ul><ul><ul><li>>$250M - $1B - DSAN (A&LM) </li></ul></ul></ul><ul><ul><ul><li>>$1B or Special Interest - ASN (RDA) </li></ul></ul></ul><ul><ul><ul><li>AT&L Special Interest - USD (AT&L) </li></ul></ul></ul><ul><ul><li>Non-Performance Based </li></ul></ul><ul><ul><ul><li>>SAT - $1M -CCO </li></ul></ul></ul><ul><ul><ul><li>>$1M - $78.5M - HQMC ADC I&L (LB) </li></ul></ul></ul><ul><ul><ul><li>>$78.5M - $500M - DASN (A&LM) </li></ul></ul></ul><ul><ul><ul><li>>$500M or Special Interest - ASN (RDA) </li></ul></ul></ul><ul><ul><ul><li>AT&L Spec Interest - USD (AT&L) </li></ul></ul></ul>
    5. 5. MOPAS 2 Purpose <ul><li>To ensure service acquisitions: </li></ul><ul><ul><li>Support DON objectives </li></ul></ul><ul><ul><li>Use Performance based contracting </li></ul></ul><ul><ul><li>Contain clear requirements </li></ul></ul><ul><ul><li>Identify measurable outcomes </li></ul></ul><ul><ul><li>Are properly planned and administered </li></ul></ul><ul><ul><li>Achieve intended results. </li></ul></ul>
    6. 6. Acquisition Strategy Content <ul><li>Requirements Development and Management </li></ul><ul><ul><li>Source of requirement </li></ul></ul><ul><ul><li>Outcomes to be achieved </li></ul></ul><ul><ul><li>Metrics to measure outcomes </li></ul></ul><ul><ul><li>New requirement or info how previous services were obtained </li></ul></ul><ul><ul><li>Nature/extent of market research </li></ul></ul><ul><ul><li>Commercial item determination >$1M (if appl) </li></ul></ul><ul><ul><li>Consolidation/bundling justifications </li></ul></ul>
    7. 7. Acquisition Strategy Content con’t <ul><li>Acquisition Planning </li></ul><ul><ul><li>Acquisition approach and milestones </li></ul></ul><ul><ul><li>Cost/price estimate </li></ul></ul><ul><ul><li>Funding source, availability, type of funds </li></ul></ul><ul><ul><li>Technical, Business, Management considerations </li></ul></ul><ul><ul><li>Opportunities for strategic sourcing </li></ul></ul><ul><ul><li>Performance based details (or why not & how to convert in future) </li></ul></ul><ul><ul><li>Socio-economic business considerations </li></ul></ul>
    8. 8. Acquisition Strategy Content con’t <ul><li>Acquisition Planning (con’t) </li></ul><ul><ul><li>Planned source selection process </li></ul></ul><ul><ul><li>Required waivers or deviations </li></ul></ul><ul><ul><li>Why not full and open competition (if not) and how to increase competition in future </li></ul></ul><ul><ul><li>Lease/purchase analysis (if appl) </li></ul></ul><ul><ul><li>Multi-year contracting issues (if appl) </li></ul></ul>
    9. 9. Acquisition Strategy Content con’t <ul><li>Risk Management- </li></ul><ul><ul><li>Current and potential technical, cost, schedule & performance risks and mitigation plans </li></ul></ul><ul><li>Contract Tracking/Oversight </li></ul><ul><ul><li>Mgmt approach for contract admin , QA, oversight, surveillance, etc. </li></ul></ul><ul><ul><li>Tracking procedures/processes to monitor </li></ul></ul><ul><li>Performance Evaluation </li></ul><ul><ul><li>Plan to evaluate if perf metrics achieved (eg cost, schedule, performance) </li></ul></ul><ul><ul><li>Personnel responsible to assess Kr perf and CPARS </li></ul></ul>
    10. 10. Questions???? <ul><li>Don’t shoot the messenger! </li></ul>

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