Open Dialogue on Improving How to Do Business with the Federal Government 2. Procurement Rules and Practices

Issue: Major information technology (IT) investments frequently exceed original cost and schedule estimates and, in some cases, deliver very little useable capability. One key driver of these outcomes is the continued preference to develop solutions in-house rather than structure programs to allow for increased use of existing commercial solutions that can be rapidly deployed, often under firm-fixed price arrangements. ...more »

With the Government’s policy to restrict use of “high risk” contracts, many instances exist where the best suited contract types are not utilized. This includes cost reimbursement and time and material (T&M)/labor hour (LH) types. It is especially evident in IT development projects. In many cases such as when using Agile, T&M/LH makes sense and the insistence on fixed price either drives up cost unnecessarily and/or ...more »

Question 2: How can we reduce the cost of transactions for contractors? Answer: I recently worked for a company that allowed the employees to post their own time-card. There are too many people that are NOT trust-worthy enough (especially a very large company) to allow this to happen. We actually had to log in and log out electronically, but I heard stories of people that would enter more hours worked than they ...more »

There is no reason for proposal instructions to not match evaluation criteria, which happens more often than not. This should be a required quality check for any procurement, as it will facilitate the proposal writing and the proposal evaluation process. This simple requirement will result in time and cost savings across the board.

The FAR should reflect best practices in the private sector and many state construction (15 or so) programs by requiring prime contractors to list/name primary subcontractors in low-price award procedures (like proposed in HR 1942). Since the 1984 Competition in Contracting Act, federal agencies have run away from construction project low-bid prime contract award procedures because of the claims and disputes that were ...more »

Issue: The Relationship between Buyers, Acquirers, and Suppliers is increasingly silo-ed and divisive versus engaged in collaborative problem solving. Recent events and articles have highlighted the need for increased collaboration and alignment between business/IT sponsors, procurement organizations, and suppliers/contracts. PSC’s Commission Report, “From Crisis to Opportunity”, as well as NCMA’s recent article, “Becoming ...more »

Use of Lowest Price Technically Acceptable (LPTA) source selection procedures has increased considerably in recent years and in many cases it is being used inappropriately when the government is not acquiring commodity goods and services. If the product or service cannot be well defined, so that all competitiors are effectively competing on supplying the same product or service, LPTA shouls not be used. Also, if there ...more »

Attached is a statement by a company that has done business on federal contracts making the point that it is hard to compete against vendors who cut corners on wages and other required standards.

Establish upfront timelines for procurements and establish a performance metric or incentive for meeting those timelines. There is currently no incentive to meet procurement schedules. Extensions and delays should be the exception, not the norm. Delays are not only inefficient to meeting the mission goals but the longer cycles also hinder innovation and cost money. Industry requires predictability to manage their ...more »

Certainly there are many changes to the FAR possible to improve its shortcomings. Beyond that, however, Contract Specialists, Administrative Contracting Officers, legal contract reviewers, and the many program staff members that provide input to Procurement can improve the acquisition process. There are no hindrances to government personnel coming together to create internal metrics, to improve accountability, timeliness ...more »

The government may be able to increase the likelihood of new vendor participation (particularly among small businesses) if it lowers the ‘barrier of entry’ to doing business with the government through contractor registration simplification. One of the most common complaints from Sellers new to Federal procurement is the process of needing to register with multiple databases (DUNS, SAM, ORCA, IPP) before a vendor can ...more »

The federal procurement community should create a document that outlines the most common regulations with which buyers must comply, in a way the average (non-contracting) person could understand. This would give vendors more insight into why contracting officers make the decisions they do, leading to less frustration and fewer questions. This would also create more accountability on part of the purchasing agent to with ...more »