DOJ's $18.2M Consulting Contract with Leidos Aspen Systems Corp: A Strategic Sourcing Peer Review
Contract Overview
Contract Amount: $18,241,057 ($18.2M)
Contractor: Leidos Aspen Systems Corp
Awarding Agency: Department of Justice
Start Date: 2007-05-21
End Date: 2010-09-30
Contract Duration: 1,228 days
Daily Burn Rate: $14.9K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 5
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: STRATEGIC SOURCING PEER REVIEW
Place of Performance
Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850
State: Maryland Government Spending
Plain-Language Summary
Department of Justice obligated $18.2 million to LEIDOS ASPEN SYSTEMS CORP for work described as: STRATEGIC SOURCING PEER REVIEW Key points: 1. The contract awarded to Leidos Aspen Systems Corp for administrative management consulting services represents a significant investment by the Department of Justice. 2. Competition for this contract was competitive, indicating potential for good value, though the specific pricing mechanisms need further scrutiny. 3. The primary risk lies in the Time and Materials pricing structure, which can lead to cost overruns if not managed tightly. 4. The sector is administrative management and general management consulting, a common area for government outsourcing.
Value Assessment
Rating: fair
The Time and Materials pricing structure, while common, offers less price certainty compared to fixed-price contracts. Benchmarking against similar administrative management consulting contracts would be necessary to fully assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: unknown
The contract was awarded via a competitive delivery order, suggesting that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competition, but the effectiveness depends on the specific solicitation and evaluation process.
Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it aims to secure services at a reasonable cost. However, the Time and Materials pricing could still lead to higher-than-expected expenditures if not carefully monitored.
Public Impact
Taxpayers are impacted by the $18.2 million expenditure for consulting services, necessitating transparency in how these funds are utilized. The Department of Justice relies on these services to enhance administrative and general management functions, potentially improving operational efficiency. The duration of the contract (over 3 years) suggests a long-term need for these consulting services within the agency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing
- Long contract duration
- Lack of specific performance metrics in provided data
Positive Signals
- Competitive award
- Awarded to a known entity (Leidos)
Sector Analysis
Administrative Management and General Management Consulting Services are crucial for government agencies to optimize operations and implement strategic initiatives. Benchmarks for this sector vary widely based on the complexity and duration of the services required.
Small Business Impact
The provided data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to assess small business participation.
Oversight & Accountability
The 'STRATEGIC SOURCING PEER REVIEW' designation suggests that this contract has undergone some level of internal review. However, the extent of ongoing oversight and accountability mechanisms for this specific contract is not detailed in the provided data.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Justice Contracting
- Office of Justice Programs Programs
Risk Flags
- Time and Materials pricing model can lead to cost overruns.
- Contract duration is lengthy (over 3 years), increasing exposure to potential inefficiencies.
- Lack of specific performance metrics in the provided data makes value assessment difficult.
- Potential for scope creep given the nature of consulting services.
Tags
administrative-management-and-general-ma, department-of-justice, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $18.2 million to LEIDOS ASPEN SYSTEMS CORP. STRATEGIC SOURCING PEER REVIEW
Who is the contractor on this award?
The obligated recipient is LEIDOS ASPEN SYSTEMS CORP.
Which agency awarded this contract?
Awarding agency: Department of Justice (Office of Justice Programs).
What is the total obligated amount?
The obligated amount is $18.2 million.
What is the period of performance?
Start: 2007-05-21. End: 2010-09-30.
What specific deliverables and performance metrics were established to ensure the value and effectiveness of the consulting services provided by Leidos Aspen Systems Corp?
The provided data lacks specific details on deliverables and performance metrics. A thorough review would require access to the contract's statement of work and performance evaluation reports. Without these, assessing the true value and effectiveness of the $18.2 million expenditure is challenging, as it's difficult to quantify the impact of 'Administrative Management and General Management Consulting Services' without defined outcomes.
How effectively did the competitive delivery order process ensure the best possible pricing for these consulting services, given the Time and Materials structure?
While a competitive delivery order is a positive step, the Time and Materials (T&M) pricing structure inherently carries a risk of cost escalation. The effectiveness of price discovery depends heavily on the clarity of the base contract, the realism of estimated hours, and the agency's ability to monitor and control labor rates and hours. Without detailed bid analysis and ongoing cost tracking, it's difficult to confirm optimal pricing.
What is the anticipated long-term impact of these consulting services on the operational efficiency and effectiveness of the Office of Justice Programs?
The long-term impact is contingent on the specific recommendations implemented and the agency's capacity to adopt them. Consulting services in administrative management aim to streamline processes, improve resource allocation, and enhance strategic planning. The success of this $18.2 million investment will be measured by tangible improvements in the Office of Justice Programs' operational efficiency and its ability to achieve its mission objectives over time.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: COMPETITIVE DELIVERY ORDER
Solicitation ID: 2007Q0005
Offers Received: 5
Pricing Type: TIME AND MATERIALS (Y)
Contractor Details
Parent Company: Leidos Holdings, Inc.
Address: 700 N FREDERICK AVE, GAITHERSBURG, MD, 20879
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $19,352,473
Exercised Options: $19,352,473
Current Obligation: $18,241,057
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS10F0070J
IDV Type: FSS
Timeline
Start Date: 2007-05-21
Current End Date: 2010-09-30
Potential End Date: 2010-09-30 00:00:00
Last Modified: 2022-10-29
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