Seven Steps
to performance-based acquisition
    
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step 4

Using a  Statement of Objectives
Understand contracting methods appropriate to solutions-based buying using a SOO.

Responding to a performance-based solicitation, especially one utilizing a SOO that seeks contractor-developed solutions, requires a significant effort on the part of contractors to propose to the government. It also requires a substantial effort on the part of the government's integrated solutions team (IST) to evaluate an array of different approaches or solutions. The team will have to understand the contractor-proposed solutions, assess the associated risks and likelihood of success, identify the discriminators, and do a best-value analysis. Therefore, a performance-based acquisition utilizing a SOO, for reasons of economy and efficiency, requires that the government consider limiting the pool of contractors who compete, at least in the final stages of the acquisition process.

Because of this, the acquisition strategy should consider some method of "downselection," so that only those contractors with a significant likelihood of winning award will go through the time, expense, and effort of developing proposals. Therefore, for solutions-based acquisition to work for the government and competing contractors, there must be a means to limit the competitive pool before the necessary but costly "due diligence" phase. How can this be done competitively? There are three effective acquisition methodologies:

  • Competitions conducted under FSS MAS contracts or BPAs using special ordering procedures

  • Multiple-award delivery order and task order acquisition under FAR Part 16 "fair opportunity" competitive processes using existing GWAC or MAC vehicles
  • Contracting by negotiation, using the advisory multi-step process (FAR Part 15.202) and other techniques as warranted
All three acquisition methodologies mentioned above can be used with a solutions-based SOO approach to generate considerable competition with regards to both solutions and price.

Note that the latter acquisition approach of the three, using FAR Part 15 procedures, takes far longer and costs more to implement. This is because the government team not only has to identify the best solution, but must also be concerned about contract formation (e.g., representations and certifications, terms and conditions, etc.). Nonetheless, use of FAR Part 15 may be required in some circumstances because there may not be an existing contract that meets agency needs. No one competitive solution fits all acquisitions.

What are the characteristics of SOO-based buying approaches?

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Using a Statement of Objectives

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