DoD Awards $836M for F-16 Systems Engineering Services to Lockheed Martin
Contract Overview
Contract Amount: $41,375,817 ($41.4M)
Contractor: Lockheed Martin Integrated Systems, LLC
Awarding Agency: Department of Defense
Start Date: 2002-09-30
End Date: 2011-09-08
Contract Duration: 3,265 days
Daily Burn Rate: $12.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: 200211!000345!5700!GE37 !OO-ALC/LGFD !F0960301D0207 !A!N! !N!QP08 !20020930!20061228!836196972!805258373!834951691!N!LOCKHEED MARTIN INTEGRATED SYS!6801 ROCKLEDGE DR !BETHESDA !MD!20817!07125!031!24!BETHESDA !MONTGOMERY !MARYLAND !+000000100000!N!N!000000000000!R414!SYSTEMS ENGINEERING SERVICES !A1C!OTHER AIRCRAFT EQUIPMENT !3AFH!F-16 FALCON !336411!E! !5!B!M! !A! !99990909!B! ! !A! !A!N!J!2!005!B! !A!N!Z! ! !N!C!N! ! ! !A!Z!A!A!000!A!B!N! ! ! ! ! ! !0001!
Place of Performance
Location: WARNER ROBINS, HOUSTON County, GEORGIA, 31088
State: Georgia Government Spending
Plain-Language Summary
Department of Defense obligated $41.4 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC for work described as: 200211!000345!5700!GE37 !OO-ALC/LGFD !F0960301D0207 !A!N! !N!QP08 !20020930!20061228!836196972!805258373!834951691!N!LOCKHEED MARTIN INTEGRATED SYS!6801 ROCKLEDGE DR !BETHESDA !MD!20817!07125!031!24!BETHESDA !MONTG… Key points: 1. Contract awarded for critical systems engineering services for the F-16 Falcon aircraft. 2. Significant value of $836 million highlights long-term support needs. 3. Competition was full and open, suggesting a competitive bidding process. 4. The sector is Defense, specifically aircraft manufacturing and support. 5. Risk is moderate due to contract duration and specialized nature.
Value Assessment
Rating: good
The contract value of $836,196,972 appears reasonable for extensive systems engineering services over a multi-year period for a major defense platform like the F-16. Benchmarking against similar long-term support contracts for aircraft systems would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to compete. This method generally promotes price discovery and can lead to more favorable pricing for the government.
Taxpayer Impact: Full and open competition aims to ensure taxpayer dollars are used efficiently by fostering a competitive environment that drives down costs.
Public Impact
Ensures continued operational readiness and modernization of the F-16 fighter fleet. Supports high-tech jobs within the aerospace and defense industry. Impacts national security by maintaining a key military asset. Potential for follow-on contracts for sustainment and upgrades.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration extends beyond typical annual appropriations.
- Reliance on a single contractor for critical systems engineering.
- Potential for scope creep or cost overruns in complex projects.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type limits cost risk.
- Long-term award provides stability for sustainment.
Sector Analysis
This contract falls within the Defense sector, specifically supporting the sustainment and modernization of the F-16 fighter aircraft. Spending in this area is crucial for maintaining air superiority and national security, with significant investments typically made in systems engineering and lifecycle support.
Small Business Impact
While the primary contractor is Lockheed Martin, a large aerospace company, the contract may involve subcontracting opportunities for small businesses in specialized areas of systems engineering, manufacturing, or support services. Further analysis would be needed to determine the extent of SMB participation.
Oversight & Accountability
The Department of Defense, through the Defense Contract Management Agency, is responsible for overseeing this contract. Robust oversight is essential to ensure performance, manage costs, and verify compliance with contract terms throughout its duration.
Related Government Programs
- Aircraft Manufacturing
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Long contract duration (over 10 years).
- Sole-source potential for follow-on work.
- Complexity of integrated systems engineering.
- Dependency on a single platform (F-16).
Tags
aircraft-manufacturing, department-of-defense, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $41.4 million to LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC. 200211!000345!5700!GE37 !OO-ALC/LGFD !F0960301D0207 !A!N! !N!QP08 !20020930!20061228!836196972!805258373!834951691!N!LOCKHEED MARTIN INTEGRATED SYS!6801 ROCKLEDGE DR !BETHESDA !MD!20817!07125!031!24!BETHESDA !MONTGOMERY !MARYLAND !+000000100000!N!N!000000000000!R414!SYSTEMS ENGINEERING SERVICES !A1C!OTHER AIRCRAFT EQUIPMENT !3AFH!F-16 FALCON !336411!E! !5!B!M! !A! !99990909!B
Who is the contractor on this award?
The obligated recipient is LOCKHEED MARTIN INTEGRATED SYSTEMS, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Contract Management Agency).
What is the total obligated amount?
The obligated amount is $41.4 million.
What is the period of performance?
Start: 2002-09-30. End: 2011-09-08.
What specific systems engineering tasks are included in this contract, and how do they align with the F-16's current modernization roadmap?
The contract covers a broad range of systems engineering services essential for the F-16's lifecycle. This likely includes requirements definition, system design, integration, testing, and sustainment engineering. Alignment with the F-16's modernization roadmap would involve ensuring these services support planned upgrades, such as avionics enhancements, structural improvements, or new weapon system integration, thereby maintaining the aircraft's relevance and capability.
What are the key performance indicators (KPIs) used to measure the contractor's success in delivering systems engineering services for the F-16?
Key performance indicators for such a contract typically focus on technical performance, schedule adherence, and cost control. Examples include meeting specified technical requirements for system performance, delivering engineering documentation and analyses on time, achieving successful integration of new capabilities, and managing project costs within the allocated budget. Effective KPIs ensure the contractor delivers value and maintains the F-16's operational effectiveness.
How does the firm fixed-price nature of this contract mitigate risks associated with evolving technological requirements in aircraft systems engineering?
A firm fixed-price contract shifts the primary cost risk to the contractor. While it provides budget certainty for the government, it can pose a challenge if technological requirements evolve significantly mid-contract, potentially leading to contractor requests for equitable adjustments or reduced scope if not managed carefully. Robust contract management and clear definition of baseline requirements are crucial to mitigate risks associated with technological evolution under this pricing structure.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Aircraft Manufacturing
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 645 TALLULAH TRAIL SUITE 101, WARNER ROBINS, GA, 31088
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: F0960301D0207
IDV Type: IDC
Timeline
Start Date: 2002-09-30
Current End Date: 2011-09-08
Potential End Date: 2011-09-08 00:00:00
Last Modified: 2022-04-08
More Contracts from Lockheed Martin Integrated Systems, LLC
- 200407!000098!5700!LA01 !11 Cons/Lgcw !FA701204C0003 !A!N! !N! ! !20031121!20130630!836196972!805258373!834951691!n!lockheed Martin Integrated SYS!6801 Rockledge Drive !bethesda !nj!20817!50000!001!11!washington !district of Columbia !D.C. !+000010350876!n!n!000530185344!d399!other Adp&telecommunication Services !S1 !services !000 !* !541690!A!B!3! ! ! ! ! !99990909!b!b!y!b! !a!n!l!2!007!b! !C!Y!F! ! !N!C!N! ! ! !b!z!a!a!000!a!b!n! ! ! !Y! ! !0001! ! — $679.5M (Department of Defense)
- 200611!007847!2100!w15p7t!usa Communications-Electronics !daab0703db009 !A!N! !Y!0243 ! !20060831!20110129!068514251!805258373!834951691!n!lockheed Martin Integrated SYS!1800 Route 34 !wall !nj!07719!76460!025!34!wall (township OF) !monmouth !NEW Jersey!+000077463827!n!n!000000000000!r414!systems Engineering Services !A7 !electronics and Communication Equip !000 !NOT Discernable !541330!E! !5!B!M! !A! !99990909!B! ! !A! !a!n!y!2!014!b! !C!N!Z! ! !N!C!N! ! ! !c!z!a!a!000!a!c!n! ! ! ! ! ! !0001! ! — $448.3M (Department of Defense)
- ISS Cargo Mission Contract (CMC) — $406.2M (National Aeronautics and Space Administration)
- THE Moses II Effort IS a Five-Year Sole-Source Follow-On Contract to Maintain the Health and Safety of the HST Observatory Through the Next Phase of ITS Science Mission. the Scope of This Follow-On Effort Includes Conducting ALL Elements of HST Operations Other Than Science Operations, and to Perform Systems Engineering Tasks Required to Properly Maintain HST Flight and Ground Systems.mission Operations Responsibilities Include Safe and Efficient Control and Utilization of the HST Observatory, Maintenance and Operation of Hst-Unique Facilities and Equipment, AS Well AS Creation, Maintenance, and Utilization of HST Operations Processes and Procedures. Critical Systems Engineering Responsibilities Consist of Optimizing Mission System Capabilities to Maximize HST Operations Effectiveness and Science Productivity. Essential Management Requirements Include Providing a Technical Staff Possessing In-Depth Knowledge of HST S Varied, Complex, and Unique Flight and Ground Systems, Ensuring Successful Accomplishment of the Diverse Tasks Necessary to Effectively Conduct HST Mission Operations and Systems Engineering AS Well AS to Manage and Report Contract Element Cost and Schedule Performance — $360.2M (National Aeronautics and Space Administration)
- Federal Contract — $304.3M (Department of Defense)
View all Lockheed Martin Integrated Systems, LLC 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)