Justification and Approval Private Sector Leadership REDACTED_Redacted.pdf

This is a Justification and Approval (J&A) document for a sole-source, Firm-Fixed Price (FFP) Indefinite Delivery Indefinite Quantity (IDIQ) contract award to Heidrick & Struggles International, Inc. (HSI).

Contract Overview and Services: The Department of War (DoW) intends to award HSI a $75,000,000 contract over a 36-month period for Private Sector Leadership Engagement Support Services. HSI will provide executive search expertise to recruit top-tier private sector leaders to address critical DoW challenges including operational inefficiencies, supply chain fragility, modernization needs, and structural issues within the defense industrial base. Services include: (1) Industry Leader Identification and Recruitment Support Services targeting expertise in shipbuilding, submarine industrial base, autonomous systems, munitions production, health care, real estate, infrastructure optimization, construction, business systems, IT, personnel management, contracting/finance, schools, and commissaries; (2) Candidate Vetting and Selection Support Services involving interview coordination, compensation negotiations, and onboarding support; and (3) Specialized Engagement supporting Chief Operating Officer and Director recruitment and assisting the Office of Strategic Capital in recruiting up to 30 investment professionals with private equity, venture capital, and strategic investment expertise.

Justification for Sole Source Award: The contracting officer justified the sole-source award under 10 U.S.C. § 3204(a)(1) and RFO § 6.103-1, determining that only HSI possesses the unique combination of Tier 1 expertise, deep defense industry knowledge, and exclusive C-suite executive relationships necessary to fulfill highly specialized requirements. Market research identified five "Big Five" global executive search firms (Korn Ferry, Russell Reynolds Associates, HSI, Spencer Stuart, and Egon Zehnder), and a Notice of Intent posted on SAM.gov on February 6, 2026, explicitly invited competing sources to demonstrate capability; no responses were received from any competing firms. The justification notes HSI's successful performance on the preceding contract (HQ003425CE025) and documented recruitment of over 70 viable candidates serving as BOND advisors, with several candidates placed in permanent high-level government roles. The estimated duplicative cost of transitioning to another vendor is $23 million, and failure to award HSI would result in substantial performance risk and mission degradation.