Treasury's IRS Spends $505K on Qualtrics XM Licenses for Employee Experience Management
Contract Overview
Contract Amount: $505,800 ($505.8K)
Contractor: Advanced Computer Concepts, Inc.
Awarding Agency: Department of the Treasury
Start Date: 2023-09-19
End Date: 2026-09-18
Contract Duration: 1,095 days
Daily Burn Rate: $462/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 8
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: EMPLOYEE XM LICENSES (WEB SUBSCRIPTION) STANDARD IMPLEMENTATION - QUALTRICS EXPERIENCE MGMT (XM) MAINT-SUPPORT
Place of Performance
Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
Department of the Treasury obligated $505,799.6 to ADVANCED COMPUTER CONCEPTS, INC. for work described as: EMPLOYEE XM LICENSES (WEB SUBSCRIPTION) STANDARD IMPLEMENTATION - QUALTRICS EXPERIENCE MGMT (XM) MAINT-SUPPORT Key points: 1. Contract awarded to Advanced Computer Concepts, Inc. for Qualtrics XM licenses. 2. Spending is for maintenance and support of a web subscription. 3. The contract duration is 1095 days (3 years). 4. This falls under 'Other Computer Related Services' NAICS code 541519.
Value Assessment
Rating: fair
The $505,799.60 price for a 3-year subscription appears reasonable for enterprise-level experience management software, but without specific user counts or feature tiers, a direct per-unit cost comparison is difficult. It's within the expected range for similar government software subscriptions.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive process was used. This method generally promotes price discovery and ensures fair market value is obtained.
Taxpayer Impact: Taxpayers are funding the acquisition of software intended to improve employee experience, which could indirectly lead to better government services and efficiency.
Public Impact
Enhances employee feedback mechanisms for better workplace conditions. Supports data-driven decision-making for HR and management at the IRS. Provides tools for understanding and improving employee morale and retention.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific user count or feature tier details for cost validation.
- Potential for vendor lock-in with subscription-based software.
Positive Signals
- Utilizes competitive procurement for acquisition.
- Aims to improve employee satisfaction and productivity.
Sector Analysis
This spending falls within the Information Technology sector, specifically for software and related services. Government spending on enterprise software for HR and employee management has been increasing as agencies seek to modernize operations and improve employee retention.
Small Business Impact
The contract was awarded to Advanced Computer Concepts, Inc., which is not identified as a small business in the provided data. There is no indication of small business subcontracting goals or participation in this specific award.
Oversight & Accountability
The contract was awarded by the Department of the Treasury's Internal Revenue Service. Standard procurement regulations and oversight processes would apply to ensure proper use of funds and contract performance.
Related Government Programs
- Other Computer Related Services
- Department of the Treasury Contracting
- Internal Revenue Service Programs
Risk Flags
- Subscription cost over 3 years.
- Reliance on a single vendor for critical employee feedback tools.
- Potential for scope creep or additional feature costs.
- Limited visibility into specific user count and feature breakdown.
Tags
other-computer-related-services, department-of-the-treasury, va, delivery-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $505,799.6 to ADVANCED COMPUTER CONCEPTS, INC.. EMPLOYEE XM LICENSES (WEB SUBSCRIPTION) STANDARD IMPLEMENTATION - QUALTRICS EXPERIENCE MGMT (XM) MAINT-SUPPORT
Who is the contractor on this award?
The obligated recipient is ADVANCED COMPUTER CONCEPTS, INC..
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Internal Revenue Service).
What is the total obligated amount?
The obligated amount is $505,799.6.
What is the period of performance?
Start: 2023-09-19. End: 2026-09-18.
What is the specific number of users or licenses covered by this subscription, and how does the per-user cost compare to industry benchmarks for similar enterprise XM platforms?
The provided data does not specify the exact number of users or license tiers included in the Qualtrics XM subscription. To perform a precise per-unit cost comparison, this information would be necessary. However, enterprise-level XM platforms typically range from $10 to $50+ per user per month, depending on features and scale. Without user count, the total contract value of approximately $168,599 per year is a broad indicator.
What are the key performance indicators (KPIs) or metrics used to measure the effectiveness of the Qualtrics XM platform in improving employee experience at the IRS?
The data does not detail the specific KPIs or metrics the IRS will use to measure the effectiveness of the Qualtrics XM platform. Typically, such platforms are evaluated based on improvements in employee engagement scores, retention rates, feedback response rates, and the actionable insights derived from survey data to implement positive organizational changes.
Are there any alternative or open-source employee experience management solutions that were considered during the procurement process, and what was the rationale for selecting Qualtrics?
The provided data indicates the contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting alternatives were likely considered. However, the specific rationale for selecting Qualtrics over other proprietary or open-source solutions is not detailed. Factors often include feature set, integration capabilities, security, vendor support, and established government-wide acquisition contracts.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - END USER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 8
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 7927 JONES BRANCH DR STE 600N, MC LEAN, VA, 22102
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $505,800
Exercised Options: $505,800
Current Obligation: $505,800
Actual Outlays: $505,800
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SD60B
IDV Type: GWAC
Timeline
Start Date: 2023-09-19
Current End Date: 2026-09-18
Potential End Date: 2026-09-18 13:36:04
Last Modified: 2026-04-06
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