EFO DLA LDR Functional Enablement.Redacted.pdf

CUI

DEFENSE LOGISTICS AGENCY

CONTRACTING SERVICES OFFICE - PHILADELPHIA

700 ROBBINS AVENUE

PHILADELPHIA, PENNSYLVANIA 19111-5092

(SAP Platform) Learning, Development & Readiness (LDR) Functional Enablement for Enterprise Resource Planning (ERP) Digital Transformation

Controlled Unclassified Information (CUI)

Source Selection Sensitive Information - See FAR 2.101 & 3.104

JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

UNDER FEDERAL ACQUISITION REGULATION (FAR) SUBPART 16.5

Multiple Award Schedule/Multiple Award Contract (MAC) Orders under MAC/Fair Opportunity, FAR 16.507-6

1. IDENTIFICATION OF THE AGENCY AND CONTRACTING ACTIVITY:

Requesting Agency:

Defense Logistics Agency HQ Information Operations, SAP Platform (J62X) 8725 John J. Kingman Road Fort Belvoir, VA 22060-6221

Contracting Activity:

DLA Contracting Service Office – Philadelphia (DCSO-P) 700 Robbins Avenue Philadelphia, PA 19111

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED:

Pursuant to FAR 16.507-6(b)(3), the action being approved is an exception to the fair opportunity process. This justification authorizes the use of other than full and open competition to award a firm-fixed price task order for the SAP Platform requirement.

This acquisition will be a sole source award in accordance with the terms of the SAP Core task order SP4709-26-F-0019, which was competitively awarded to Accenture Federal Services via the J6 Enterprise Technology Services (JETS) 2.0 contract vehicle.

This justification authorizes and approves the issuance of a Task Order for functional enablement and user support services to augment the Defense Logistics Agency's (DLA) Enterprise Resource Planning (ERP) Digital Transformation initiative. This initiative involves the implementation of new ERP solutions, including SAP S/4HANA Private

DLA Contracting Services Office – Philadelphia (DCSO-P) SUBJECT: EFO – DLA LDR: Functional Enablement for ERP Digital Transformation

Controlled Unclassified Information (CUI) Source Selection Sensitive Information - See FAR 2.101 & 3.104

Cloud Edition 2025, SAP Ariba Sourcing and Procurement for Public Sector, and SAP Bulk Fuels Management 4.0, which will introduce a significantly new user experience.

The strategy is to issue a Task Order to acquire a contractor team of Project Managers, Training Specialists, Graphics /Tech Writer I, and Technical Writers. This action will provide the DLA Learning, Development, & Readiness (LDR) team with critical support for the deployment of these projects. The contractor will be responsible for preparing functionality narratives, conducting hands-on SAP system sessions, assessing current functions for system alignment, and ensuring all materials are 508 compliant. This support is essential to ensure successful user adoption and to bridge the gap until full-time government employees are approved and onboarded to support the Digital Business Transformation efforts.

3. A DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET

THE AGENCY’S NEEDS, INCLUDING AN ESTIMATED VALUE:

The Defense Logistics Agency (DLA) has a critical need for skilled personnel to support the functional enablement and user adoption of its Enterprise Resource Planning (ERP) Digital Transformation. This initiative involves the implementation of new solutions, including SAP S/4HANA, SAP Ariba, and SAP Bulk Fuels Management, which will introduce a significantly new user experience. These services are essential to ensure a successful transition and to support impacted users until DLA's Learning, Development, & Readiness (LDR) division is staffed with the appropriate full-time employees.

The required support services are centered on ensuring users can adopt the new ERP systems. The contractor must provide a team of Task Order Project Managers, Training Specialists, Graphics /Tech Writer I, and Technical Writers.

Required Supplies/Services:

Activity Description

Functionality Narratives Prepare detailed narratives describing future-state system processes, including step-by-step workflows, system touchpoints, and key data inputs/outputs.

User Functionality Assessment

Assess "as is" functions to perform a complete comparison, crosswalk, and mapping to align with the new system's functionalities.

Controlled Unclassified Information (CUI) Source Selection Sensitive Information - See FAR 2.101 & 3.104

Hands-on SAP System Sessions

Conduct guided system walkthroughs and create data in test environments for scenario-based operational use cases.

Project Management Provide project management using a Hybrid Agile approach, including input to sprint planning, daily scrums, and sprint reviews.

508 Compliance Ensure all electronic and information technology, including all final documents created, are fully compliant with Section 508 accessibility standards.

Knowledge Transfer Facilitate knowledge transfer sessions with the DLA sustainment team to ensure they gain a deep understanding of the new system's functionalities and documents.

The total estimated dollar value for the proposed firm fixed price (FFP) requirement is using a base year with three option years:

Period of Performance (PoP) Base Period September 30, 2026 to September 29, 2027 Option 1 September 30, 2027 to September 29, 2028 Option 2 September 30, 2028 to September 29, 2029 Option 3 September 30, 2029 to September 29, 2030

Total Estimated Life Cycle Cost:

4. IDENTIFICATION OF THE EXCEPTION TO FAIR OPPORTUNITY AND

SUPPORTING RATIONALE, INCLUDING A DEMONSTRATION OF THE

PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR THAT THE

NATURE OF THE ACQUISITION REQUIRES USE OF THE EXCEPTION

CITED:

Pursuant to FAR 16.507-6(b)(3), an exception to the fair opportunity process is justified in the interest of economy and efficiency because it is a logical follow-on to an order

Controlled Unclassified Information (CUI) Source Selection Sensitive Information - See FAR 2.101 & 3.104 already issued SP4709-24-D-0079/SP4709-26-F-0019 under the JETS 2.0 contract vehicle, and all awardees were given a fair opportunity to be considered for the original order. The relationship between the Core Task Order and this follow-on is logical in terms of scope and continuity of effort, as the S/4HANA technical migration executed under the initial order serves as the direct structural prerequisite for the Learning, Development & Readiness (LDR) Functional Enablement for Enterprise Resource Planning (ERP) Digital Transformation Task Order required here.

The SAP Platform Support Core Task Order was initially competed under the JETS contract vehicle and awarded to Accenture Federal Services. Through executing this original order which involved not only operating DLA’s unique, customized SAP platform but actively building its current architecture, Accenture Federal Services has formed deep, foundational knowledge of t new S/4 Hana, Ariba, and Bulk Fuels Management systems. In the interest of economy and efficiency, issuing this follow-on order to the incumbent is necessary to leverage this exceptional wealth of system-specific context. This intimate, as-implemented knowledge of the live system architecture, configuration, and functionality is not documented in a way that could be transferred to another contractor. This makes Accenture uniquely qualified to assist the DLA LDR team in developing accurate functionality narratives and effective training materials that precisely match the new user experience. Awarding this task order to another contractor would require a lengthy and costly period of discovery, reverse-engineering, and knowledge transfer, which would cause unacceptable delays to critical user training and jeopardize the successful adoption of DLA's enterprise-wide Digital Business Transformation.

5. DETERMINATION BY THE ORDERING ACTIVITY CONTRACTING

OFFICER THAT THE ANTICIPATED COST TO THE GOVERNMENT WILL BE

FAIR AND REASONABLE:

The determination that the anticipated cost for this Task Order will be fair and reasonable will be made in accordance with FAR 15.404. The primary basis for this determination is the use of the pre-negotiated labor rates established in the competitively awarded SAP Platform Support Core Task Order (SP4709-26-F-0019), which have already been determined to be fair and reasonable.

The Contracting Officer will perform a price analysis on the contractor's proposal using the following techniques:

1. Comparison with the Independent Government Cost Estimate (IGCE): The Government will develop a detailed IGCE based on the specific tasks outlined in

Controlled Unclassified Information (CUI) Source Selection Sensitive Information - See FAR 2.101 & 3.104 the Performance Work Statement (PWS) and the pre-negotiated labor rates from the base contract. The contractor's proposed price will be compared to the IGCE.

2. Verification of Labor Rates: The contractor's proposal will be evaluated to ensure that all proposed labor categories and rates are in strict accordance with the established, pre-negotiated rates in the base contract.

3. Technical Evaluation of Proposed Level of Effort: The contractor's proposed level of effort (i.e., labor hours per category) will be reviewed by the Government's technical evaluation team to ensure it is reasonable and appropriate for the work required to successfully complete the functional enablement and user support tasks.

This combination of using pre-negotiated, competitive labor rates and conducting a thorough analysis of the proposed level of effort will ensure the final price is fair and reasonable to the Government.

6. ANY OTHER FACTS SUPPORTING THE JUSTIFICATION:

The Defense Logistics Agency’s (DLA) Digital Business Transformation, which is critical to modernizing the agency's operations and user experience, has already commenced. The rollout of new critical systems, including SAP S/4HANA and SAP Ariba, is imminent. Providing the functional enablement, user-facing documentation, and training support immediately is essential to ensure user adoption and prevent mission disruption once these systems go live.

The incumbent contractor, Accenture Federal Services, possesses unique and highly specialized knowledge of DLA’s as-implemented and forthcoming ERP architecture, including the specific configurations, data structures, and the rationale behind key technical decisions made during the core platform support effort. This deep, experiential knowledge is not available in a complete technical data package, engineering description, or statement of work that would be sufficient for another contractor to perform this task.

The development of such a package would be impractical and cost-prohibitive, as it would require a massive effort to reverse-engineer and formally document the thousands of nuances in the live, evolving system. The "technical data" required for this specific task is, in fact, the incumbent's institutional memory of the platform.

Attempting to bring in a different contractor to perform this functional enablement role would result in unacceptable costs and delays, primarily due to the lack of a transferable data package. A new vendor would require, at a minimum, an estimated six to nine months of discovery and knowledge transfer activities simply to create their own understanding of the system at a level sufficient to develop accurate training. This would involve significant labor costs and would create a dangerous gap between the system's

Controlled Unclassified Information (CUI) Source Selection Sensitive Information - See FAR 2.101 & 3.104 go-live date and the availability of essential training for thousands of users, guaranteeing a chaotic and inefficient rollout.

Therefore, leveraging the existing SAP Platform contract with the incumbent is the only viable approach to provide the necessary support without introducing unacceptable schedule delays, significant cost duplication, and mission-critical risk to the DLA Digital Business Transformation.

7. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE

ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR SERVICES IS

MADE:

Accenture Federal Services possesses highly specialized, hands on expertise with the current DLA ERP architecture, specifically encompassing SAP S/4HANA and SAP Ariba. Because this knowledge is primarily experiential and currently lacks the exhaustive documentation required for a seamless transition, introducing a new contractor would severely hinder the development of accurate user-facing materials. Such a shift would inject unacceptable risks and schedule delays into the Digital Business Transformation timeline. This restriction to competition is temporary, aligning directly with the time required to stabilize the new systems and fully enable the DLA workforce.

It is projected that this knowledge barrier will dissipate within 18 to 24 months as the systems mature and comprehensive documentation is finalized, paving the way for full and open competition on subsequent efforts.

DLA is taking several concrete actions within this task order to actively remove this knowledge barrier for future acquisitions:

(1) A core requirement of this task is the creation of comprehensive functional documentation, including functionality narratives, process guides, and formal training materials for the new ERP systems. This documentation, delivered by the contractor, will serve as the primary mechanism for knowledge transfer from the contractor to the Government. The Government workforce will be trained using these materials, explicitly building the in-house expertise required to reduce future reliance on sole-source contractor support for this function.

(2) This Task Order and future related requirements will include clauses that emphasize the Government’s unlimited rights and ownership of all training materials, process documentation, solution designs, and other data. This ensures the Government can use these materials in any future competitive acquisition to provide a level playing field for

Controlled Unclassified Information (CUI) Source Selection Sensitive Information - See FAR 2.101 & 3.104 all potential offerors. Competition will be a primary and deciding factor in the acquisition strategy for any follow-on efforts.

DLA has and continues to exercise competition as often as possible and conducts ongoing reviews to keep abreast of new technology, both in industry and the Government. As a continuing effort DLA uses a variety of vendors, manufacturers, and contracts to fulfill its requirements and will continue its practice of surveying the market to ensure full and open competition whenever practicable.

8. CERTIFICATIONS:

TECHNICAL/REQUIREMENTS CERTIFICATION

I hereby certify that the supporting data provided for which I am responsible, and which forms a basis for this justification is complete and accurate.

CONTRACTING OFFICER CERTIFICATION

I hereby certify that this justification is accurate and complete to the best of my knowledge and belief.

PROCURING ACTIVITY COMPETITION ADVOCATE CERTIFICATION

-04'00

Controlled Unclassified Information (CUI) Source Selection Sensitive Information - See FAR 2.101 & 3.104

Pursuant to FAR 16.507-6(e)(2), I have determined that FAR 16.507-6(b)(3) applies to this order. I have reviewed and approve this justification.