In Parts 1, 2 and 3 of this series we have looked at the trend for Federal Information Technology (IT) procurements to enter into “Tera-Scope” contracts where all possible IT goods and services are brought under one massive Performance Work Statement. Some Agencies are requesting all-or-none responses which are impossible for any one company to meet alone. This adds further to the complexity by necessitating Teaming Arrangements that create groups capable of meeting all the task areas, experience requirements and socio-economic requirements of the RFP. Some Agencies are creating their Tera-Scope RFPs but allowing companies to participate only in those areas representing their core competencies. This simplifies the proposal writing process for the contractor and the evaluation process for the Government.
Ultimately a set of contracts will result that can be used by the target customer groups within an Agency, or even Government-wide, for ordering. In Agency specific scenarios, the resulting contracts are promised to be the only vehicles to be used for any Agency requirement. Project Managers must work with a company or a Team that has one of the contracts under the Tera-Scope. Work may be competed only among those companies or Teams that have one of the contracts under the Tera-Scope. Let us hope the Source Selection Team has chosen wisely and avoided protests from the losing companies.
What does the Government believe will happen when it limits its buyers’ access to companies that provide goods and services?
Winning companies should provide better prices just because they know they are more likely to get work now that the competition has been narrowed (aka Strategic Sourcing).
Winning companies should continue to provide better and better prices because they have to compete within this smaller pool to […]