DoD Awards $45.5M Salesforce CRM Contract to Sterling Computers Corporation
Contract Overview
Contract Amount: $45,489,149 ($45.5M)
Contractor: Sterling Computers Corporation
Awarding Agency: Department of Defense
Start Date: 2024-01-31
End Date: 2025-01-31
Contract Duration: 366 days
Daily Burn Rate: $124.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: CRM SALESFORCE SOFTWARE
Place of Performance
Location: ORLANDO, ORANGE County, FLORIDA, 32826
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $45.5 million to STERLING COMPUTERS CORPORATION for work described as: CRM SALESFORCE SOFTWARE Key points: 1. Contract value of $45.5 million for CRM software. 2. Awarded to Sterling Computers Corporation. 3. Competition method was Full and Open. 4. Sector is IT, specifically Electronic Computer Manufacturing.
Value Assessment
Rating: good
The contract value of $45.5 million appears reasonable for enterprise-level CRM software. Benchmarking against similar large-scale software procurements would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The use of Full and Open Competition is a positive indicator for price discovery. This method allows multiple vendors to bid, potentially driving down costs and ensuring fair market pricing.
Taxpayer Impact: The competitive nature of this award suggests taxpayers are likely receiving a fair price for the required CRM software.
Public Impact
Enhances Department of the Navy's customer relationship management capabilities. Supports critical operational functions through advanced software. Potential for improved data management and user experience.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in provided data.
- Potential for vendor lock-in with Salesforce ecosystem.
Positive Signals
- Full and Open Competition utilized.
- Firm Fixed Price contract type mitigates cost overrun risk.
Sector Analysis
This contract falls within the IT sector, specifically related to software procurement for electronic computer manufacturing support. Spending benchmarks for enterprise CRM solutions vary widely based on scale and features.
Small Business Impact
While the award was made through Full and Open Competition, there is no specific indication of small business participation or subcontracting goals in the provided data.
Oversight & Accountability
The Department of Defense's procurement process, including competitive bidding and contract type selection, suggests a degree of oversight. Further review of the solicitation and award documents would clarify specific accountability measures.
Related Government Programs
- Electronic Computer Manufacturing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for vendor lock-in
- Reliance on a single software provider
- Need for robust user training and adoption strategy
- Cybersecurity risks associated with cloud-based CRM
Tags
electronic-computer-manufacturing, department-of-defense, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $45.5 million to STERLING COMPUTERS CORPORATION. CRM SALESFORCE SOFTWARE
Who is the contractor on this award?
The obligated recipient is STERLING COMPUTERS CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $45.5 million.
What is the period of performance?
Start: 2024-01-31. End: 2025-01-31.
What is the expected return on investment for this CRM software expenditure?
The return on investment (ROI) for this CRM software expenditure is not explicitly detailed in the provided data. However, the anticipated benefits likely include improved operational efficiency, enhanced data analysis capabilities, and better stakeholder engagement for the Department of the Navy. Quantifying these benefits against the $45.5 million cost would require further analysis of the software's specific functionalities and projected impact on mission objectives.
What are the key performance indicators (KPIs) for this contract?
Key performance indicators (KPIs) for this contract are not detailed in the provided data. Typically, for CRM software, KPIs might include user adoption rates, data accuracy, customer satisfaction scores, and efficiency gains in sales or service processes. The Department of the Navy would establish these KPIs to measure the effectiveness of the Salesforce software in meeting its operational requirements and ensuring value for money.
How does this contract align with broader IT modernization efforts within the DoD?
This contract aligns with broader IT modernization efforts by providing a robust CRM solution to enhance customer relationship management within the Department of the Navy. Modern CRM systems are crucial for improving data integration, streamlining workflows, and enabling data-driven decision-making, all of which are key components of digital transformation initiatives. The use of a widely adopted platform like Salesforce suggests an effort to leverage industry-standard solutions.
Industry Classification
NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS
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
Address: 303 CENTENIAL DR, NORTH SIOUX CITY, SD, 57049
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $94,617,119
Exercised Options: $45,489,149
Current Obligation: $45,489,149
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: NNG15SC20B
IDV Type: GWAC
Timeline
Start Date: 2024-01-31
Current End Date: 2025-01-31
Potential End Date: 2027-01-31 00:00:00
Last Modified: 2025-12-31
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