NCMA World Congress 2006

1
(No Transcript)
2
Statement of ObjectivesA Valuable Tool that is
Often Misused and Abused
Breakout Session 1505 Lori Woolf, Booz Allen
Hamilton Tory Kauffman, Esq., Booz Allen
Hamilton Date April 11, 2005 Time 130 230
3
Overview

• Introduction
• Myths Regarding the Use of SOOs
• Best Practices for Using SOOs
• Walkthrough of a SOO
• Conclusion
• Questions

4
Overview

• Introduction
• Myths Regarding the Use of SOOs
• Best Practices for Using SOOs
• Walkthrough of a SOO
• Conclusion
• Questions

5
Introduction Relevant Definitions

• Performance Based Acquisitions (PBA)
• An acquisition structured around the results to
  be achieved as opposed to the manner by which the
  work is to be performed. (FAR 2.101)
• Statement of Objectives (SOO)
• States the Governments overall performance
  objectives
• Used in solicitations
• Provides maximum flexibility to offerors to
  provide an innovative approach. (FAR 2.101)
• Performance Work Statement (PWS)
• May be prepared by the Government or result from
  an offerors response to a SOO (FAR 37.602)
  
• Describes the required results in clear, specific
  and objective terms with measurable outcomes
  (FAR 2.101)

6
Introduction Relevant Definitions (contd)

• Statement of Work (SOW)
• Provides in clear understandable terms the work
  to be done
• Defines the requirements (specific work tasks)
• Includes a scope statement (breadth and
  limitations of the work to include performance
  period)
• Identifies applicable documents (instructions,
  regulations, policy letters, etc.)
• Quality Assurance Surveillance Plan (QASP)
• The Governments inspection plan
• Documents methods used to measure performance of
  the service provider against the requirements and
  performance standards in the PWS

7
Overview

• Introduction
• Myths Regarding the Use of SOOs
• Best Practices for Using SOOs
• Walkthrough of a SOO
• Conclusion
• Questions

8
Myths Regarding the Use of SOOs

• Myth Using a SOO significantly reduces the
  planning burden of the Government
• Fact Using a SOO is not a shortcut. If SOO
  preparation is done properly, it requires no less
  effort than writing a SOW or PWS.
• Myth If you use a SOO, it replaces the SOW or
  PWS
• Fact FAR 37.602 (c) states the SOO does not
  become part of the contract. The SOO provides
  guidance to the Offeror as to the Governments
  requirement and requires the Offeror to develop
  the SOW or PWS.
• Myth SOOs only need to be high level
• Fact SOOs need to be written specifically enough
  that vendors are able to propose a solution (PWS)
  in response. Specific requirements such as
  Security or IT infrastructure, must be identified
  if they will have a direct impact on the
  Offerors proposed solution.

9
Myths Regarding the Use of SOOs (contd.)

• Myth SOOs cant exceed 5 pages
• Fact There is no established page limitation
  for a SOO. As with any well written document, it
  should be concisely worded.
• Myth Using a SOO makes a source selection much
  easier
• Fact When it uses a SOO, the Government must
  evaluate and negotiate the PWS submitted by each
  offeror. This can result in a more complex
  evaluation. However, the overall benefit of
  using a SOO is that the Government can consider
  many innovative solutions that meet the
  Governments objectives.

10
Overview

• Introduction
• Myths Regarding the Use of SOOs
• Best Practices for Using SOOs
• Walkthrough of a SOO
• Conclusion
• Questions

11
Best Practices for Using SOOs

• SOO Planning
• Have Executive Leadership
• Someone who has the ability to assess and
  influence
• Conduit to external environment
• Someone who is willing to be innovative and not
  adverse to facing criticism
• Ensure culture supports the spirit of partnership
• Be prepared to articulate how innovative
  approaches are consistent with your
  organizations values and mission
• Be prepared to face resistance and be able to
  address each situation
• Do the planning up front
• Collectively identify what you organization wants
  what is your expected end result?
• Conduct the Market Research
• Engage industry
• Issue a draft solicitation to ensure that
  industry understands the requirements (questions
  can lead to important clarifications in the SOO
  which can increase the likelihood of a successful
  contract)
• Allow industry sufficient time to understand the
  requirements which will encourage more offerors
  to submit proposals

12
Best Practices for Using SOOs (contd)

• Garner a partnership with Industry and all
  stakeholders and encourage teamwork
• Focus on outcomes and communications to solve
  problems as they emerge
• Conduct a due diligence of the industry partner
• Knowledge of partner breeds trust
• Allow sufficient time to allow all parties to
  understand the situation
• Define Roles and Responsibilities
• Ensure that everyone knows what each others role
  and responsibilities are
• Ensure clear lines of communication that are open
  and honest
• Contract should have a clearly defined mechanism
  for resolving disputes
• Using mediation or other alternative dispute
  resolving mechanisms can save time and is less
  expensive than litigation
• Resolution mechanism should be designed to
  improve the relationship between parties

13
Best Practices for Using SOOs (contd)

• SOO Writing
• Agencies should use a SOO when the Government
  wishes to place the reliance on private industry
  to solve its problem
• The SOO should marry to the objectives stated in
  agency strategic performance and business plans,
  and budget and investment documents
• The SOO must, at a minimum, contain
• Purpose
• Scope or mission
• Period and place of performance
• Background
• Performance objectives, i.e., required results
  and
• Any operating constraints, e.g., security
  requirements. (FAR 37.602 (c))

14
Best Practices for Using SOOs (contd)

• SOO as Part of the Solicitation
• A SOO is only used in a solicitation (typically
  as an attachment to Part J or annexed to Section
  L) the resulting contract must contain a PWS
  (FAR 37.602(c))
• When a solicitation uses a SOO, also require
  offerors to submit a proposed quality assurance
  surveillance plan (QASP) along with its PWS (FAR
  37.603(b), FAR 37.604)
• Nothing in the FAR requires that the QASP be
  incorporated in the contract
• Section L (Instructions to Offerors) of the RFP
  must include instructions to the offerors that
  require using the SOO to develop and submit a
  PWS
• Section M (Evaluation Factors for Award) should
  include criteria to evaluate the offerors
  ability to successfully achieve the SOOs
  objectives ensure a sound technical approach is
  proposed and verify that all requirements can be
  met

15
Overview

• Introduction
• Myths Regarding the Use of SOOs
• Best Practices for Using SOOs
• Walkthrough of a SOO
• Conclusion
• Questions

16
Walkthrough of a SOO
Overview
Background
Vision/Goal
Scope
17
Walkthrough of a SOO (contd)
Government - Contractor Interaction
Performance Objectives
18
Walkthrough of a SOO (contd)
Objectives include transition at the end of the
contract
19
Walkthrough of a SOO (contd)
Constraints
Budgetary Constraints
FOIA Constraints
20
Walkthrough of a SOO (contd)
Network Constraints
IA Constraints
21
Walkthrough of a SOO (contd)
Information Security Constraints
Physical Security Constraints
22
Walkthrough of a SOO (contd)
IT Constraints
Logistics Constraints
23
Walkthrough of a SOO (contd)
Future Constraints
Performance Objective
Key Stakeholders
24
Overview

• Introduction
• Myths Regarding the Use of SOOs
• Best Practices for Using SOOs
• Walkthrough of a SOO
• Conclusion
• Questions

25
Conclusion

• When used properly, a SOO can be an effective
  tool that enables private industry to propose
  innovative solutions to the Government in a
  performance-based environment.

26

• QUESTIONS?