Department of Defense awarded $31.4M to Boston Consulting Group for management consulting services
Contract Overview
Contract Amount: $31,405,859 ($31.4M)
Contractor: THE Boston Consulting Group Inc
Awarding Agency: Department of Defense
Start Date: 2016-05-18
End Date: 2019-03-21
Contract Duration: 1,037 days
Daily Burn Rate: $30.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIXED PRICE AWARD FEE
Sector: Other
Official Description: IGF::OT::IGF TRAVEL FOR BRIEFINGS
Place of Performance
Location: FORT LEE, PRINCE GEORGE County, VIRGINIA, 23801
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $31.4 million to THE BOSTON CONSULTING GROUP INC for work described as: IGF::OT::IGF TRAVEL FOR BRIEFINGS Key points: 1. The contract was awarded under full and open competition, suggesting a competitive bidding process. 2. The fixed-price award fee contract type indicates performance incentives for the contractor. 3. The duration of the contract (1037 days) suggests a substantial, ongoing need for services. 4. The services fall under Administrative Management and General Management Consulting, a broad category. 5. The award was a delivery order, implying it was part of a larger contract vehicle.
Value Assessment
Rating: fair
The contract value of $31.4 million over approximately three years for management consulting services appears within a reasonable range for large-scale engagements. However, without specific details on the scope of work and deliverables, a precise value-for-money assessment is challenging. Benchmarking against similar contracts for administrative management consulting services would provide better context. The fixed-price award fee structure suggests an attempt to control costs while incentivizing performance, which is a positive sign for value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This typically suggests a robust bidding process with multiple interested parties. The number of bidders is not specified, but the open competition is generally favorable for price discovery and ensuring the government receives competitive offers.
Taxpayer Impact: Full and open competition generally leads to better pricing for taxpayers by fostering a competitive environment among potential contractors.
Public Impact
The primary beneficiaries are likely Department of Defense agencies requiring administrative and general management consulting. The services delivered are expected to improve operational efficiency and strategic planning within the DoD. The geographic impact is primarily within Virginia, where the contractor is located, but the services support national defense operations. Workforce implications may include the utilization of highly skilled consultants from The Boston Consulting Group.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics makes it difficult to assess the true impact of the consulting services.
- The broad nature of 'Administrative Management and General Management Consulting Services' could lead to scope creep if not tightly managed.
- Reliance on external consultants may not build internal capacity within the agency.
Positive Signals
- Awarded through full and open competition, suggesting a competitive process.
- Fixed-price award fee contract type incentivizes contractor performance.
- The Boston Consulting Group is a well-established firm with a track record in management consulting.
Sector Analysis
Management consulting services are a significant part of the professional services sector supporting government operations. This contract fits within the broader category of professional, scientific, and technical services. The market for these services is competitive, with numerous firms offering expertise in areas like strategy, operations, and organizational design. Benchmarking against similar contracts for management consulting within the federal government would reveal if this award represents a typical investment for the scope and duration.
Small Business Impact
There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the size and nature of the contractor (The Boston Consulting Group), it is unlikely that small business participation was a primary focus of this specific award, though larger firms often have subcontracting programs.
Oversight & Accountability
Oversight would typically be managed by the contracting officer and program managers within the Defense Commissary Agency. The contract type (fixed-price award fee) includes performance incentives, implying a level of performance monitoring. Transparency would be enhanced by public contract data, but detailed performance reports are usually internal. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Management and Consulting Services
- Professional Services Contracts
- Department of Defense Contracts
- Administrative Support Services
Risk Flags
- Contract duration is substantial, requiring ongoing monitoring.
- Scope of 'Administrative Management and General Management Consulting Services' is broad and requires clear definition.
- Performance metrics for award fee determination are not publicly detailed.
Tags
defense, department-of-defense, defense-commissary-agency, management-consulting, administrative-management, general-management, professional-services, fixed-price-award-fee, full-and-open-competition, delivery-order, virginia, boston-consulting-group
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $31.4 million to THE BOSTON CONSULTING GROUP INC. IGF::OT::IGF TRAVEL FOR BRIEFINGS
Who is the contractor on this award?
The obligated recipient is THE BOSTON CONSULTING GROUP INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Commissary Agency).
What is the total obligated amount?
The obligated amount is $31.4 million.
What is the period of performance?
Start: 2016-05-18. End: 2019-03-21.
What specific projects or initiatives did The Boston Consulting Group undertake for the Defense Commissary Agency under this contract?
The provided data indicates the contract was for 'Administrative Management and General Management Consulting Services' awarded to The Boston Consulting Group (BCG) by the Defense Commissary Agency (DeCA). While the contract ID and value are available, the specific projects or initiatives are not detailed in this summary. Typically, such contracts could encompass a wide range of activities, including strategic planning, organizational assessment, process improvement, efficiency studies, or support for major transformation efforts within DeCA. BCG's role would likely involve providing expert analysis, recommendations, and potentially implementation support to address complex management challenges faced by the agency. Further investigation into DeCA's public records or contract award narratives would be necessary to identify the precise scope of work.
How does the $31.4 million contract value compare to similar management consulting contracts awarded by the Department of Defense?
The $31.4 million contract value for administrative and general management consulting services awarded to The Boston Consulting Group (BCG) by the Defense Commissary Agency (DeCA) over approximately three years (1037 days) is substantial but falls within the expected range for large federal consulting engagements. The Department of Defense (DoD) frequently awards multi-million dollar contracts for management and strategic consulting to support its vast and complex operations. Benchmarking this specific award against other DoD contracts for similar services, such as strategic planning, organizational efficiency, or program management support, would require access to a broader dataset of federal contract awards. However, given BCG's status as a major consulting firm and the scale of DoD's needs, this figure is not inherently an outlier, but its value-for-money depends heavily on the specific deliverables and outcomes achieved.
What were the key performance indicators (KPIs) used to assess BCG's performance under this fixed-price award fee contract?
The provided data specifies the contract type as 'FIXED PRICE AWARD FEE' (FP-AF), which implies that contractor performance was evaluated against predefined criteria to determine the amount of award fee earned. However, the specific Key Performance Indicators (KPIs) or performance standards used for this contract are not detailed in the summary data. Under an FP-AF structure, the government typically establishes objective and subjective metrics related to the scope of work, such as timeliness of deliverables, quality of analysis, achievement of milestones, adherence to budget (if applicable beyond the fixed price), and overall client satisfaction. The contracting officer would have been responsible for monitoring BCG's progress against these KPIs and making a determination on the award fee. Without access to the contract's Performance Work Statement (PWS) or award fee determination documentation, the exact KPIs remain unknown.
What is the historical spending pattern for management consulting services within the Defense Commissary Agency?
The provided data highlights a single contract award of $31.4 million to The Boston Consulting Group (BCG) for administrative and general management consulting services by the Defense Commissary Agency (DeCA) from May 2016 to March 2019. This single data point does not provide sufficient information to establish a historical spending pattern for management consulting services within DeCA. To understand historical spending, one would need to analyze contract awards over a longer period, potentially including multiple contracts, different contractors, and varying service types within the management consulting domain. Analyzing trends in spending volume, types of services procured, and primary contractors over several fiscal years would be necessary to identify any patterns or shifts in DeCA's investment in external consulting expertise.
What is the track record of The Boston Consulting Group (BCG) in performing similar management consulting contracts for the federal government?
The Boston Consulting Group (BCG) has a well-established track record of performing management consulting services for various federal government agencies, including the Department of Defense. As a leading global management consulting firm, BCG has been awarded numerous contracts across different sectors, addressing complex strategic, operational, and organizational challenges. Their experience often involves large-scale transformation initiatives, policy analysis, and efficiency improvements. While this specific contract with the Defense Commissary Agency (DeCA) for $31.4 million is a significant engagement, it aligns with BCG's general capabilities and past performance in the public sector. A comprehensive assessment of their track record would involve reviewing past performance evaluations, contract completion success rates, and client feedback across their portfolio of government contracts.
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) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HDEC0516T0013
Offers Received: 1
Pricing Type: FIXED PRICE AWARD FEE (M)
Evaluated Preference: NONE
Contractor Details
Parent Company: BCG Federal Corporation (UEI: 042768267)
Address: 4800 HAMPDEN LANE STE 500, BETHESDA, MD, 20814
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $42,125,692
Exercised Options: $31,405,859
Current Obligation: $31,405,859
Contract Characteristics
Commercial Item: SUPPLIES OR SERVICES PURSUANT TO FAR 12.102(F)
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS10F0253V
IDV Type: FSS
Timeline
Start Date: 2016-05-18
Current End Date: 2019-03-21
Potential End Date: 2019-03-21 00:00:00
Last Modified: 2019-04-05
More Contracts from THE Boston Consulting Group Inc
- Super Hornet Component Repair Igf::ot::igf — $77.1M (Department of Defense)
- Navsup Reform Services — $55.0M (Department of Defense)
- A Project Management Team Will Support the Program Lead and the Three Project Teams. Over the Next SIX Months, Effort Will Focus on Four Different Areas - Program Governance and Setup, Vaccine Candidate Prioritization, Research and Development Suppor — $53.7M (Department of Health and Human Services)
- Naval Aviation Cost Reduction Excellence — $31.4M (Department of Defense)
- Professional Services to Develop Metrics of Performance and Metrics of Effectiveness Based on an Organizations Authoritative Requirements — $29.9M (Department of Defense)
View all THE Boston Consulting Group Inc federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)