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Efforts to speed procurement of commercial off-the-shelf items influenced by ‘The Amazon Effect’

Amazon looms large over the world’s commerce, drawing a stark contrast to old ways of shopping, and an even starker contrast to the way government agencies buy things. In fact, there’s even a term for it: The Amazon Effect.

So, when Section 846 of 2018 National Defense Authorization Act was enacted, providing for the Pentagon and other federal government agencies to buy directly from e-marketplaces, it was immediately dubbed the “Amazon Bill,” and not just because of the Amazon Effect.

Introduced by Congressman Mac Thornberry, the bill was crafted to help speed the procurement process for commercial off-the-shelf (COTS) products through e-commerce portals. The General Services Administration (GSA), in partnership with the Office of Management and Budget (OMB), is currently working on the strategy and plan to properly implement and execute this legislation.

Based on input from the providers of commercial e-commerce portals and e-procurement solutions, the GSA and OMB team has developed the initial plan (Phase I) and is now working on the market research and industry consultation needed to develop the program’s implementation guidance (Phase II). This is not a simple task, as the team must review and consider existing processes and all the requirements of public procurement — buying off negotiated contracts from vetted suppliers who have invested heavily in meeting government requirements, and giving fair treatment to small, disadvantaged, minority women-owned and veteran-owned companies. The target is to have things completed by 2020.

However, the gap between expectations of selection, ease of use and speed that Amazon has created among consumers, and the reality of what is actually possible in the federal government continues to crop up as we move into the next phase of this process, the proof of concept phase.

Keep reading this article at: https://www.publicspendforum.net/blogs/andrew-malay/2018/10/09/future-federal-government-procurement-ecommerce

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Federal circuit court confirms agencies’ obligations to prioritize commercial solutions

Palantir USG v. United States may prove to be one of the most significant procurement precedents of the decade.

Affirming the Court of Federal Claims, the Federal Circuit breathed new life into the government’s obligations under the Federal Acquisition Streamlining Act (FASA) to prioritize, to the maximum extent practicable, the acquisition of commercial and nondevelopmental solutions.

Weaning agencies off their historic preference for developmental solutions is critical now more than ever, as it is readily apparent that maintaining the United States’ technological and battlefield superiority depends on its ability to harness technologies from the commercial sector and become a more commercial-friendly business partner.

The decision will have the practical impact of requiring agencies to more carefully document their market research. Palantir will also provide useful leverage for companies seeking to eliminate (whether by negotiation or protest) solicitation provisions that are not accommodating to commercial vendors.

Keep reading this article at: http://www.mondaq.com/article.asp?articleid=737610

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OTAs: Preserving the authority

Other Transaction Authorities are the latest buzzwords in federal contracting, and for good reason.

OTAs have become critical to rapid prototyping in the defense realm, in some cases cutting off years from the time warfighters wait for new systems and capabilities.

OTAs are a business tool that let the government buy products and services using means other than those governed by the Federal Acquisition Regulations. These authorities, initially conceived by NASA in the 1950s and later expanded to the Defense Department in 1994, have recently surged in use and popularity — and praise. However, they also elicit a fair amount of criticism and debate about their future.

Fairness during the award process, soundness of proposals and lack of public information throughout the course of the award are among issues detractors highlight on OTAs. If their supporters want to preserve this acquisition instrument, they must address these concerns.

They’re not small concerns.

Keep reading this article at: https://washingtontechnology.com/articles/2018/08/03/insights-hawk-carlisle-ota.aspx

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Go far by getting picky with the FAR

Acquisition regulations don’t come with CliffsNotes, so members of a High Performance Team wrote 21 pages interpreting them and won a Department of Defense level award June 28 for their work.

The HPT members from Hanscom Air Force Base and several other major acquisition bases came together to better navigate what is commonly called Federal Acquisition Regulation 16.5.  Their findings generated a 21-page Guiding Principles document, incorporated into Air Force Materiel Command’s Informational Guidance this past August and winning a 2017 Department of Defense Value Engineering Achievement Team Award. The tips laid out in the team’s document can reduce acquisition cycle times, saving money while getting products to warfighters faster.

“Many teams spend valuable time, money and resources using formal FAR 15.3 source selection procedures because there is so much stipulation, training and sample documentation available,” said Crystal Foster, chief of contracting for Joint Surveillance Target Attack Radar System Recapitalization team, who was one of two Hanscom members on the HPT. “Less experienced acquisition professionals gravitate toward that. They want specific direction and rules, but if they just took a closer look and use ‘broad discretion’ in FAR part 16.5, they would have more power over the process.”

Those with Air Force network access can read the final product here. To produce it, the HPT combed through 57,000 contract actions. By the team’s own estimate, those who use tactics outlined in the guide can save an average of seven weeks per order. If every program that could use these acquisition methods did so, it would streamline the process for 15 cents of every dollar the Air Force spends, for a total of $9 billion.

Keep reading this article at: http://www.afmc.af.mil/News/Article-Display/Article/1568794/go-far-by-getting-picky-with-the-far/

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Pentagon’s startup outreach office no longer an experiment

Diving into long-term relationships can be scary, but the Defense Department said it’s ready to go to commit to its startup outreach program.

Defense Innovation Unit Experimental (DIUx), the office charged with bringing Silicon Valley tech to the Pentagon, will now be known as Defense Innovation Unit (DIU).

The name change reflects military leaders’ “commitment to the importance of its mission” and signifies the permanence of the group within the country’s defense apparatus, according to Deputy Defense Secretary Patrick Shanahan.

“DIUx has generated meaningful outcomes for the department and is a proven, valuable asset,” Shanahan wrote in a memo to agency leaders. “Though DIU will continue to experiment with new ways of delivering capability to the warfighter, the organization itself is no longer an experiment.”

Keep reading this article at: https://www.nextgov.com/cio-briefing/2018/08/pentagons-startup-outreach-office-no-longer-experiment/150408/

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