IA02 JA_Knox JEFO 2025_119.Signed - Copy_Redacted1.pdf

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W9124D25FA237 SAP License Renewal
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W9124D25FA237
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This document is a FAR Part 16 Justification for an Exception to Fair Opportunity for the Civilian Human Resources Agency (CHRA) to procure a System Analysis Program (SAP) Enterprise Support Renewal Licensed Software at the Aberdeen Proving Ground, Maryland. The procurement is for SAP Business Objects (BOBI) software renewal, which is critical for the Army's human resource reporting and business intelligence capabilities, supporting over 250,000 reports used by Army leadership.

The justification seeks to renew the SAP BOBI license through the CHESS DoD Enterprise Software Initiatives (ESI) platform, with a three-year contract from 28 August 2025 to 27 August 2028. Alternative software solutions like Vantage, Power BI, and Qlik were evaluated but found insufficient due to lack of universes, complexity of use, integration challenges, and transition costs. The procurement is sole-sourced to SAP due to the software's proprietary nature, with the Army arguing that an interruption in access would catastrophically impact HR reporting, personnel data management, and Army operational decision-making across multiple critical systems.

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Control Number: 2025-119

Defense Financial and Accounting Service (DFAS). The proprietary nature of the software means that no other vendors are capable of providing the required updates and technical support. Failure to renew the license and support for SAP BOBI would result in immediate cessation of CHR reporting and business intelligence capabilities, severely impacting Army operations, decision-making, and civilian pay management.

a. Background: Pursuant to the provisions of FAR 16.505(a)(4), SAP BOBI is the primary CHR reporting and business intelligence application. All Army commands, Headquarters elements, managers and human resource professionals utilize it to generate CHR business data and reports which enable intelligent and accurate decision-making and planning at all levels of Army management. Failure to renew the license support would immediately disable all CHR reporting and Business Information capabilities at the aforementioned levels. More specifically, all of the following categories of information would cease to be available across the Army enterprise:

- Current and historical civilian records from the Defense Civilian Personnel Data System (DCPDS)

- OCONUS Entitlement Tracking

- Personnel Actions which track all pay and personnel-related transactions for all

Army civilians and over 15 thousand DoD civilians serviced by the Army

- CHR account management data

- Quality Control data impacting civilian pay and personnel records

- Executive Service position slating information

- Army human resource position data

- EEO complaint tracking data

- DFAS payroll reverse interface data.

In short, lack of ready access to these sources of data via SAP BOBI would prove catastrophic to Army management and negatively affect operational capabilities at all levels, not the least of which would be official CHR data records, and as a result, civilian pay.

SAP BOBI usage has become so entrenched that we have nearly 250,000 reports in use within the system. Senior Army Staff, Headquarters Army EEO reporting, Major Army Commands, Direct Reporting Units, and managers of civilian personnel at all levels depend on the reports SAP BOBI provides. SAP BOBI software updates are only provided by SAP BOBI software support. No additional software manufacturers have been identified to provide software updates and technical support for SAP BOBI software. Several vendors have been identified to supply the required SAP BOBI software support.

The Army has designated the CHESS Enterprise contract suites as the mandatory enterprise solution to meet Information Management/Information Technology (IM/IT) requirements. The CHESS Enterprise solution consists of a variety of established multiple award contract suites. The suite applicable to the IM/IT support services required under this action is the CHESS DoD ESI BPA holder’s suite, with three contractors eligible for consideration under fair opportunity procedures.

b. Alternatives: Other brands, such as Vantage, Power BI, and Qlik, were evaluated but found to be insufficient for the following reasons:

- Lack of Universes (Power BI, Qlik)

- Complexity of Use (Vantage, PowerBI, Qlik)

- Integration Challenges (Qlik, PowerBI)

- Cost of Transition (Vantage,Qlik)

The unique capabilities of SAP BOBI, including its drag-and-drop functionality, universes, and seamless integration with existing systems, make it the only viable solution for meeting CHRA’s requirements. Limiting competition is necessary based on the inability of alternative tools to match these features without compromising usability, functionality, and cost-effectiveness.

c. Impact if not approved: Failure to utilize SAP BOBI would have catastrophic impact on the Army’s ability to fulfill its reporting requirements and support mission-critical decision-making processes. The BOBI environment is the sole platform utilized by all Army Commands to access, analyze, and export CHR data necessary for operational planning, resource allocation, and strategic decision-making. Army Commands rely exclusively on BOBI to prepare and present data to Commanders. SAP BOBI has been utilized by CHRA for over 20 years as a reliable source of data.

7. Efforts to Obtain Competition: CHRA is continuously meeting with vendors as well as attending conferences showcasing alternative solutions. With the expansion of Vantage and new implementation options, this is becoming a more viable solution and would add the element of competition in the next two to three years.

a. Effective competition: SAP BOBI is proprietary software, and only SAP or its authorized resellers can provide the necessary updates, patches, and technical support.

This exclusivity significantly limits the pool of potential vendors capable of meeting the Army’s requirements. No alternative software manufacturers have been identified that can provide the required support for SAP BOBI, further narrowing the competitive field.

b. Subcontracting competition: To ensure that the prime contractor obtains as much competition as possible in its subcontracting, the Government will require the contractor to comply with the applicable subcontracting requirements and promote competitive practices, to include the following: subcontracting plan, encouraging small business participation, and fair opportunity.

8. Actions to Increase Competition: CHRA is actively pursuing strategies to foster competition and identify alternative solutions for future acquisitions. As part of these efforts, CHRA regularly engages with industry vendors through scheduled meetings and

SAP BOBI is deeply integrated with other Army systems, such as the Defense Civilian Personnel Data System (DCPDS) and the Defense Finance and Accounting Service (DFAS) payroll interface. Replacing or transitioning to an alternative solution would require significant time, cost, and effort to reconfigure these integrations, which could disrupt operations.

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