DoD Spends $26.5M on Management Consulting from BCG via BPA Call
Contract Overview
Contract Amount: $26,475,774 ($26.5M)
Contractor: THE Boston Consulting Group Inc
Awarding Agency: Department of Defense
Start Date: 2018-07-11
End Date: 2020-04-13
Contract Duration: 642 days
Daily Burn Rate: $41.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: CATEGORY MANAGEMENT
Place of Performance
Location: BETHESDA, MONTGOMERY County, MARYLAND, 20814
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $26.5 million to THE BOSTON CONSULTING GROUP INC for work described as: CATEGORY MANAGEMENT Key points: 1. High contract value ($26.5M) for management consulting services. 2. Competition was full and open, suggesting potential for competitive pricing. 3. Risk is moderate given the established firm and service type. 4. Spending is within the administrative management consulting sector.
Value Assessment
Rating: good
The contract value of $26.5M for administrative management consulting is substantial. Benchmarking against similar large-scale consulting engagements would be necessary to fully assess value, but the firm fixed price and full and open competition suggest a reasonable pricing structure.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally promotes price discovery and can lead to more favorable pricing for the government.
Taxpayer Impact: The use of full and open competition is a positive indicator for taxpayer value, as it allows all eligible vendors to bid, potentially driving down costs.
Public Impact
Significant taxpayer investment in management consulting services for the Department of Defense. The contract supports administrative functions within the Washington Headquarters Services. The duration of the contract (over 600 days) indicates a long-term need for these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration is lengthy.
- No small business participation noted.
Positive Signals
- Full and open competition.
- Firm fixed price contract type.
Sector Analysis
This contract falls under administrative management and general management consulting services, a common area for government spending. Benchmarks for similar consulting contracts would indicate if the $26.5M is within expected ranges for the scope and duration.
Small Business Impact
The data indicates that this contract did not involve small business participation. For future contracts, exploring opportunities for small businesses could enhance competition and support economic diversity.
Oversight & Accountability
The use of a BPA Call suggests a streamlined procurement process. Oversight would focus on the quality of services delivered and adherence to the firm fixed price terms.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Defense Contracting
- Washington Headquarters Services Programs
Risk Flags
- Lack of small business participation.
- Contract duration is over 1.5 years.
- Limited insight into specific deliverables.
- Potential for cost overruns if scope was not well-defined.
Tags
administrative-management-and-general-ma, department-of-defense, md, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $26.5 million to THE BOSTON CONSULTING GROUP INC. CATEGORY MANAGEMENT
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 (Washington Headquarters Services).
What is the total obligated amount?
The obligated amount is $26.5 million.
What is the period of performance?
Start: 2018-07-11. End: 2020-04-13.
What specific management consulting services were provided under this contract?
The contract specifies 'Administrative Management and General Management Consulting Services' (NAICS 541611). While the exact deliverables are not detailed in this summary, such services typically include strategic planning, organizational assessment, process improvement, and operational efficiency enhancements for government agencies.
What was the competitive landscape like for this specific BPA Call?
The award was made under 'FULL AND OPEN COMPETITION', suggesting that multiple vendors were eligible to bid. However, the specific number of bids received and the details of the competitive evaluation are not provided, making it difficult to fully assess the intensity of the competition beyond its classification.
How does the $26.5M expenditure compare to similar consulting contracts within the DoD?
Without specific details on the scope, duration, and deliverables of comparable contracts, a direct comparison is challenging. However, $26.5M is a significant sum for consulting services, and its value is best assessed against the specific outcomes and efficiencies achieved for the Washington Headquarters Services.
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: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: BCG Federal Corporation
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: $34,336,166
Exercised Options: $26,602,407
Current Obligation: $26,475,774
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HQ003417A0012
IDV Type: BPA
Timeline
Start Date: 2018-07-11
Current End Date: 2020-04-13
Potential End Date: 2021-07-13 00:00:00
Last Modified: 2023-02-19
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