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SmartBUY - Government-wide Software Procurement. Sharon Terango – Project Manager Michael Hargrove – Contracting Officer General Services Administration. June 9 - 11, 2009 GSA Expo. Table of Contents. SmartBUY Program Background Goals and Objectives Business / Governance Model
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SmartBUY - Government-wide Software Procurement Sharon Terango – Project ManagerMichael Hargrove – Contracting Officer General Services Administration June 9 - 11, 2009GSA Expo
Table of Contents • SmartBUY Program Background • Goals and Objectives • Business / Governance Model • Major Processes • Software Market Categories • Agreements and Highlights • LoB Partnerships • FAR Case Status • How to Use SmartBUY BPAs • Enterprise Software Initiative (DoD)
SmartBUY (Software Managed and Acquired on the Right Terms) launched in June 2003 • SmartBUY leverages the Federal government's software purchasing power • Supports President Obama’s Homeland Security Agenda to modernize critical IT Infrastructures • Identified as a FY 2010 IT Spending Priority by the Obama Administration • OMB Memorandum M-03-14 (June 2, 2003) • OMB Memorandum M-04-08 (February 25, 2004) SmartBUY Program Background
SmartBUY Key Service Objectives Best Obtainable Terms and Conditions SmartBUY Flexibility Cost Savings Standardization
Provide Federal agencies the best obtainable terms and conditions • Work with Federal agencies to understand software requirements • Improve the configuration management, security, and standards of Federal computers • Reduce Acquisition and Support costs • Complement the Schedule 70 program by targeting large-volume software purchases SmartBUY Business Model
GSA Schedule 70 / SmartBUY Relationship GSA Schedule 70 • Broad Selection of Software Applications • Selection Flexibility • Ease of Use • Standard Terms & Conditions SmartBUY • Strategic Sourcing Methodology • Targeted Software Competitions • Partners Selected Based on Government Footprint • Schedule 70 Terms & Conditions
SmartBUY Governance Model POLICY Office of Management and Budget Office of E-Government & IT Office of Federal Procurement Policy SmartBUY Governance Board GOVERNANCE CAO Council CIO Council OMB E-Gov & IT Administrator GSA ITS Assistant Comm. OPERATIONS SmartBUY Program Management Office Federal Agencies COTS Software Vendors Director Project Managers Contracting Officers Analytical Support
SmartBUY Governance Board SmartBUY Governance Board Participants: • OMB Administrator of E-Government and Information Technology • CIO Council • CAO Council • GSA Integrated Technology Services, Assistant Commissioner
SmartBUY Governance • Governance Board Meetings and Teleconferences • Proposed Agreement Vetting Process • Impending Agreement Notification • Waiver Process:http://www.cio.gov/documents/20040708finalwaiver-cUpdate.doc
SmartBUY Major Processes SmartBUY implements agreements using the following guidelines: • Identify Potential Agreements • Process Agreements • Administer and Track Agreements
Identify Potential Agreements • 1)Data Call and Analysis • Vendor Contact and Assessment • Requirements Review • DoD-ESI Collaboration
SmartBUY Major Processes SmartBUY implements agreements using the following guidelines: • Identify Potential Agreements • Process Agreements • Administer and Track Agreements
Process Agreements • Market Research, Spend Analysis, and Acquisition Recommendation • Business Case • 3) Governance Board Approval • 4) Agreement Acquisition • 5) Final Approval
SmartBUY Major Processes SmartBUY implements agreements using the following guidelines: • Identify Potential Agreements • Process Agreements • Administer and Track Agreements
Administer and Track Agreements • Notify Chief Information Officer (CIO) and Chief Acquisition Officer (CAO) Councils • Transition to SmartBUY from Existing BPAs • Renegotiate Agreements • Track Results
SmartBUY Software Market Categories • Business Intelligence • Database Management • Enterprise Backup/Recovery • Enterprise Content Mgt. • Enterprise Resource Planning • Geospatial Information Systems • Information Assurance • Network Management • Office Automation • Open Source
Identify Software Function / Map to SmartBUY Market Category • Define Requirements • Prepare Acquisition Plan • Prepare and Issue Solicitation via e-Buy • Evaluate Quotations • Seek Improved Prices via Negotiation with Compliant Offerors • Conduct Internal Administrative and Legal Reviews • Effect Bilateral Award Creating SmartBUY Agreements
Blanket Purchase Agreement (BPA) In accordance with FAR 8.405-3, a GSA Schedule BPA: • Simplifies recurring acquisitions of products and services. • Provides an opportunity to negotiate further discounts • Reduces administrative efforts by eliminating repetitive, individual orders and payments • Obtains best value by leveraging buying power through volume purchasing • Provides streamlined ordering procedures • Allows for quicker turnarounds on orders • Permits an ordering activity to incorporate terms and conditions consistent with the underlying contract
SmartBUY Agreements There are currently 35 SmartBUY BPAs. Each BPA is placed against an IT Schedule 70 contract. Achieved FY 2008 cost savings of over $165M for Federal customers.
BPA Socio-Economic Classifications • 9 Large Businesses • 20 Small Businesses • 3 Small Disadvantaged Businesses • 2 Service-Disabled Veteran Owned Small Businesses • 1 Woman Owned Small Business
SmartBUY State and Local Support Goal: Make SmartBUY Agreements available to non-Federal agencies via the Cooperative Purchasing program. • At this time, 13 of the 35 SmartBUY BPAs are available for state, local, and tribal use: • Enterprise Content Management (ECM) • Information Assurance - Data at Rest (DAR) • SmartBUY has received approval to establish new BPAs that may be used by state, local, and tribal customers: • Situational Awareness and Incident Response (SAIR) • Geospatial Information Systems (GIS)
Software Publisher Key Success Factors • Increase Federal Market Share • Create More Predictable Revenue Streams • Enhance Software Offerings with Professional Services • Lower the Cost of Sales to Government
FY 07 and FY 08 Sales Cost Avoidance 400 300 $ Millions 200 100 0 Sales Cost Avoidance SmartBUY Sales and Cost Avoidance SmartBUY BPAs have saved over $325 Million for Government Agencies in Fiscal Years 2007 and 2008
Information Systems Security (ISS) LoB • Facilitates information sharing on program goals, objectives and activities. • Collects information on current and planned agency software requirements, such as TIC, FDCC, and SCAP compliance. • Partners with government-wide working groups to participate in the development of SmartBUY agreements • Establishes a common framework to help agencies align their E-Gov and IT goals with OMB.
Builds strategic sourcing of government-wide software purchases through partnerships with government agencies. • SmartBUY and the ISS LoB Inter-Agency Working Group issued an e-Buy solicitation for the acquisition of Situational Awareness and Incident Response (SAIR) security products. • The following government-wide security applications were awarded in May 2009: • Configuration Scanning and Assessment Tools • Vulnerability Scanning and Remediation Tools • Network Path / Discovery Tools ISS LoB Developments
Identifies optimization and consolidation opportunities for Federal investments to reduce costs and improve services to citizens. • Seeks effective development and interoperability of Geospatial data. • Geospatial Information Systems (GIS) Functionality: Geospatial LoB • Computer Aided Design • Web-Based Visualization • Imagery Analysis • Geocoding • National Road Networks • Analytics and Modeling
Geospatial LoB Working Group representatives: DoD, EPA, USGS, NASA, Justice, Commerce, DOE, USDA, HUD, NARA, Census Bureau, and GSA. • The Working Group desires expansion of SmartBUY GIS Offerings to: • Promote marketplace competition • Further reduce GIS application prices • GIS tools and services will support monitoring, safeguarding, and scenario planning across all levels of Government. • Solicitation closed on May 21, 2009. Geospatial LoB Developments
IT Infrastructure (ITI) LoB • Identifies opportunities for IT infrastructure consolidation and optimization. • Defines specific performance measures for service levels/costs. • Develops transition plans within and across agencies. • Identifies best practices for government-wide consolidation and optimization.
FAR Case Status • Working with the FAR Council (Case 2005-014) to issue a new SmartBUY FAR clause. • Clause will state that all agencies purchasing commercial software include SmartBUY in their acquisition process as a “mandatorysource of consideration”. • The SmartBUY clause will reside in FAR Part 39. • April 2009 – The GSA Office of the Chief Acquisition Officer (OCAO) sent the case to OMB’s Office of Federal Procurement Policy for final approval.
How to Use SmartBUY BPAs • SmartBUY Website: http://www.gsa.gov/smartbuy • Decentralized Ordering Process • Standard Multiple Award Schedule (MAS) BPA Procedures • Spot Discounting Encouraged
Founded in 1998 to establish a Department of Defense software enterprise management process. • Identifies, consolidates, and presents broad-based commercial IT requirements to commercial IT vendors, via a single negotiating position. • Negotiation, acquisition and administration methodologies are based on recognized best practices, and 14 basic operating principles • Implements the GSA SmartBUY Program within the Department of Defense • ESI Home Page: http://www.esi.mil DoD Enterprise Software Initiative (ESI) Program
SmartBUY Program Management Office E-mail: SmartBUY@gsa.gov Website: http://gsa.gov/smartbuy