Writing an Effective Statement of Work (SOW)

1. Writing an Effective Statement of Work (SOW) Skip Bartek, Aiko Neill and Shannon Kelley Contract Managers Enterprise Contract Management, Technology Sourcing Office

2. Agenda • SOW Standard Requirements • SOWs for Managed Services for Telecommunications • SOWs for Deliverables Based IT Services (DBITS) • SOWs for Cloud Services • Questions and Answers

3. SOW Standard Requirements • Scope of Project • Roles and Responsibilities • Deliverables • Schedule • Service Levels for Services • Acceptance Criteria • Pricing and Payment Schedules/Milestones • Assumptions

4. SOWs for Managed Services for Telecommunications

6. Payment Schedule Examples • Based on Schedule Milestones (Telecom Router Install Project) • Milestone 1 – Receive, configure, and test router • Milestone 2 – Install router into network, test and turn up • Milestone 3 – Train staff on router configuration, maintenance, and service • Payment Breakdown • Milestone 1 – 10% of total price • Milestone 2 – 25% of total price • Milestone 3 – 65%

7. Payment Schedule Examples, continued • Deliverables Based Payments (Network Assessment and Recommendations Project) • Deliverable 1 – Project Plan • Deliverable 2 – Assessment Reports • Deliverable 3 – Final Recommendation Report • NOTE: Acceptance Criteria is critical for these types of payment deliverables • Payment Breakdown • Deliverable 1 – 25%, or lower of total price • Deliverable 2 – 25% or lower, not to exceed 50% of total price • Deliverable 3 – 50% or higher depending on first two deliverables

8. SOWs for Deliverables Based IT Services (DBITS)

10. Features of DBITS Contracts • Benefits The value of any one SOW may not exceed $10 million including all extensions, renewals and change orders • DBITS Technology Categories • To view definitions of DBITS Technology Categories visit: http://www.dir.texas.gov/ict/contracts/dbits/Pages/dbitsservices.aspx (Click on the title of each category to view a list of vendors contracted for that service) • DBITS SOW Template – Appendix C

11. DBITS SOW Considerations • Roles and Responsibilities • Deliverables Submission/Format • Reports and Meetings • Period of Performance • Customer Furnished Equipment and Workspace • Additional Terms and Conditions

12. Deliverables – Defining and Describing

13. SOWs for Cloud Services

15. SOWs for Cloud Services Contracts • Overview of Cloud Contracts • Cloud Categories • Current Contracts

16. SOWs for Cloud Services Contracts • SOW Templates • Cloud Assessment Services • Cloud Services • IaaS • PaaS • Cloud Broker

17. Cloud Services Issues/Considerations • Service Level Agreements (SLAs) • Many DIR Contracts include approved vendor service agreements with agreed upon minimum SLAs • Some providers are flexible / higher cost • Some providers are less flexible / lower cost • Determine acceptable level of downtime, match that to the appropriate service provider

18. Cloud Services Issues/Considerations • Acceptance Criteria • Diverse depending on Cloud Service • For some Cloud Services, provisioning = acceptance/billing commencement

19. Questions? Skip Bartek, TEX-AN Contract Manager skip.bartek@dir.texas.gov (512) 936-9876 Aiko Neill, DBITS Contract Manager aiko.neill@dir.texas.gov (512) 475-0515 Shannon Kelley, Cloud Services Contract Manager shannon.kelley@dir.texas.gov (512) 463-7666www2.dir.state.tx.us