SOW_Task_Order-01_HUD_PLUS_8-14-2015.docx

U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD)

OFFICE OF THE CHIEF INFORMATION OFFICER (OCIO)

Enterprise Project and Portfolio Management (EPPM) Process/ HUD’s Portfolio and Project Lifecycle Utilization Solution (HUD PLUS) Support Services Task Order Statement of Work

1. BACKGROUND

In fiscal year 2010, the U.S. Department of Housing and Urban Development (HUD) was given new authority by Congress to conduct a transformation initiative in four areas:

1. Research, evaluation, and program metrics

1. Program demonstrations

1. Technical assistance and capacity building

1. Information technology

To better carry out HUD’s mission and meet these challenges, the agency has developed an organizational “Transformation Initiative” (TI) to deal with the broad range of persistent management, programmatic, operational and human capital challenges. One of the five strategic goals for the Department is to transform the way HUD does business. As part of the Transformation Initiative, the Office of the Chief Information Officer (OCIO) implemented the Information Technology Management (ITM) governance controls in FY 2011 to account for the usage of IT funding. To continue to support the department’s transformation initiative the OCIO is expanding its governance to uniformly control the project and portfolio management for IT through the implementation of an Enterprise Project and Portfolio Management (EPPM) process.

In September 2013, HUD’s Office of the Chief Information Officer (OCIO) engaged the consulting services of the Microsoft Gold Certified Partner, UMT Consulting Group, under contract DU-100F-13-C-05, to support the strengthening of the ITM Framework and improve the strategic implementation of the ITM processes and controls. HUD’s goal was to provide an integrated and cohesive information management process to collect, organize, and manage the financial, operational, program and project data needed to operate HUD’s business, improve portfolio-investment selection and support the ITM Framework.

The HUD ITM Framework is the foundation of establishing greater transparency and accountability throughout the investment life cycle in compliance with OMB, GAO and the President’s vision to change the way business is done in government. The ITM Framework (Figure 1) integrates a variety of related IT management methodologies, mandates, and practices into a full investment management lifecycle approach. The essential components of the ITM Framework are defined through a suite of supporting policies, processes, standards, guidelines, roles and responsibilities.

Figure 1: HUD Information Technology Management Framework The implementation methodology used by HUD EPPM process team focused in two key disciplines:

1) Portfolio Management

2) Project Management Through a series of workshops involving stakeholders from both OCIO and the HUD business areas, the team defined and documented the needs to improve both discipline areas. The HUD EPPM process team collected and prioritized requirements that were derived based on a capability-based approach that focused on 5 key tenants: governance, behavior, process, data and technology. The EPPM process platform included Microsoft SharePoint Server 2010, Microsoft Project Server 2010, and the Gartner recognized UMT software called UMT360 Financials©. The EPPM process solution was branded as HUD’s Portfolio and Project Lifecycle Utilization Solution (HUD PLUS).

The Portfolio Management portion of HUD PLUS was piloted in Quarter 2 (Q2) and Quarter 3 (Q3) of fiscal year (FY) 2014 with the Information Technology Investment Management (ITIM) team in support of the budget formulation process for FY15.

HUD PLUS enabled a repeatable process, seen below in Figure 2 for portfolio selection based on the methodologies and procedures defined based on vendor best practices and supported by the enabling technology.

Figure2: HUD Repeatable Strategic Portfolio Prioritization and Optimization Process These repeatable processes will be the standard for investment scoring, prioritization, optimization and selection for HUD. The establishment of these processes and the centralization of portfolio have enabled HUD to begin showing evidence against some of the GAO audit findings and recommendations (see Figure 3 below) HUD is beginning to address.

Figure 3: GAO Audits that will be addressed by the adoption and maturity of HUD PLUS As HUD matures, adopts and adjusts its’ culture to the new processes that HUD PLUS supports these audit findings will be settled.

The HUD PLUS is an enterprise solution for HUD and it is transformational initiatives in that it provides unprecedented transparency, accountability, and governance of IT investment management framework. It also provides better visibility, line of sight and report capability due to the centralized data structure and standardized templates.

The HUD PLUS will enable a framework to provide HUD leadership with the line of sight from strategy to capability, from capability to system/service, from system to investment and from investment to project.

2. OVERALL OBJECTIVE OR SCOPE OF EFFORT

The initial operating capability of the HUD PLUS solution was utilized in May 2015. The purpose of this Statement of Work (SOW) is to continue to adopt and grow HUD PLUS as a core integrated enterprise portfolio management solution that is used by HUD OCIO for Innovation Management, Portfolio Management, Project Management, and System/Service Development Methodology Management in support of the complete lifecycle of the ITM Framework.

The HUD PLUS will continue to capture a defined set of metadata for IT related projects. In addition HUD PLUS will continue to unify project and portfolio management into a single methodology and process thereby helping the organization to align resources and investments with strategic priorities more effectively, gain control across all types of work, and visualize performance by using effective and efficient dashboards.

The HUD PLUS solution can support the end-to-end process, at various levels of the HUD hierarchy, of the ITM Framework throughout the Architect, Invest and Implement phases and encompasses a methodology that can capture and support decision making at all levels. The framework addresses all areas of the ITM framework and provides a construct by which OCIO can clearly link strategy to execution and decision making.

The primary goal of the HUD PLUS solution is to collect, organize, process and manage the financial, operational, program and project data required to operate HUD’s business and improve investment selection and service delivery for customers.

· Training/Desk-Side Support

· Organizational Change Management Support

· User Onboarding (~1 Segment Per Month)

· Continuous Improvement of Processes

· Business Intelligence Reporting Support

· Data Health Checks (Integrity Reporting) Support

· Project Management Maturity Assessment Support

· Project Health Assessment Refinement Support

· Project Status Reporting Improvements Support

· Data Call Support

· Project Tailoring Agreement Reporting Support

· Training/Desk-Side Support

· Organizational Change Management Support

· User Onboarding (~1 Segment Per Month)

· Continuous Improvement of Processes

· Business Intelligence Reporting Support

· Data Health Checks (Integrity Reporting) Support

· Project Management Maturity Assessment Support

· Project Health Assessment Refinement Support

· Project Status Reporting Improvements Support

· Data Call Support

· Project Tailoring Agreement Reporting Support

· Training/Desk-Side Support

· Organizational Change Management Support

· User Onboarding

· Continuous Improvement of Processes

· Business Intelligence Reporting Support

· Data Health Checks (Integrity Reporting) Support

· Scenario Development & Portfolio Optimization Support

· Annual Budget Formulation Support

· Budget Hearing Preparation Support

· Annual Budget Submission Ex 53/300 Support

· Financial Integration/Interfaces

· Change Request Management

· Trend Analysis

· Resource Management – Generic, Named

· Resource Integration/Interfaces

· Task Status Collection

· Earned Value Management

· Governance Board Process Integration and Management (TRC, IRB, ARB)

· Total Lifecycle Cost Maturity

· Resource Capacity Planning

· Operational Analysis/Management/ROI

· Ensure alignment to help investments and investment managers report data more efficiently

· Business Capability Alignment (FEA)

· Enterprise Architecture Alignment

· Operations & Support Planning

· Application & Platform Strategy

· Application Portfolio Optimization

· Vendor Management

· Software + License Management

· Insights and Reporting

· Financial Management

· Transformation Roadmap

· Decision Tracking

The HUD PLUS will capture a defined set of metadata for IT related projects. In addition, HUD PLUS will unify project and portfolio management into a single methodology and process thereby helping the organization to align resources and investments with strategic priorities more effectively, gain control across all types of work, and visualize performance by using effective and efficient dashboards.

Current State Description

The HUD ITM Framework is currently being support by multiple silos and does not operate in an integrated manner. This has led to disjointed processes, duplicative efforts and mis-utilized resources.

The HUD PLUS supports the integrated Enterprise Governance Lifecycle (EGL) that will provide the underlying processes and governance layers to support the ITM framework. The EGL provides a framework to integrate various processes throughout HUD (ex. CPIC processes, Project Portfolio Management 2.0 processes and Software/System Development Methodologies (SDM).

Figure 5: Target State HUD Integrated Enterprise Governance Lifecycle (EGL) As of May 2015, HUD PLUS supports two major discipline areas: Project Management and Portfolio Management. Those disciplines are shown below in Figure 6.

Portfolio Management (PfM)

· Business Need Capture

· Budget Request/Value-Driven Business Case Capture

· Portfolio Analysis/Selection to support Budget Formulation

· Operational Performance Project Management (PM)

· Centralized Schedule Repository

· Standardized Schedule Templates

· Project Health Assessment (initial metrics are a subset only)

· Action, Decision, Risk, and Issue Management

· Document Management

Figure 6: Initial HUD PLUS Support for Project Management and Portfolio Management Disciplines The May 2015 disciplines referenced above are in the very early stages of adoption and change from the standpoint of maturity within the HUD organization and the wider user community will just be starting to utilize HUD PLUS in the April/May 2015 timeframe. The table below indicates the maturity level of the current HUD PLUS.

Portfolio Management Discipline

Project Management Capabilities

Maturity Level Key 1 = HUD is “Aware” of the existence of the capability 2 = HUD is “Educated” on the capability and understands the need for the solution 3 = HUD is “Trained” on the capability, understands its’ impact and the need for change 4 = HUD is “Adopting” the capability and shifting behaviors to adopt it 5 = HUD is “Sustaining” the capability as an institution

III. PROJECT REQUIREMENTS/SPECIFIC OBJECTIVES

Maintaining the HUD PLUS continues to have needs related to the following specific objectives:

· Provide operations and maintenance support of the HUD PLUS initial operating capability in the areas of Portfolio Management and Project Management.

· Provide support for organizational change management to promote HUD PLUS adoption in the areas of Portfolio Management and Project Management.

· Provide services to help with the consolidation and elimination of the existing budget planning, tracking and forecast data stores, processes, spreadsheets and applications in order to provide a more streamlined budget formulation and budget execution solution for HUD.

· Provide HUD with common and standardized processes for project management, forecasting resource demand and reporting in a consistent and uniform manner such that Project Health Assessments may be conducted using HUD PLUS.

· Provide enterprise information, data, and status suitable for the decision making and planning processes of the Portfolio Executives.

· Provide a repeatable solution for HUD portfolio capture, calibration, prioritization and optimization allowing for what-if scenarios based on various constraints.

IV. TASKS/DELIVERABLES

The major tasks and products outlined below are required by the SOW to maintain the HUD PLUS solution. The details of specific activities and deliverables will be provided in a Project Schedule.

A. Kick-Off Meeting

A kick-off meeting will be held within two weeks of contract award. The kick-off meeting will be used to clarify specific tasks and deliverables required and begin the development of planning and management documents. Follow-up meetings will be identified to review and approve plans, deliverables, schedules, and reporting details.

B. Monthly Progress Reports

The Contractor shall provide monthly progress/status reports after the issuance of this contract, which will be due no later than the fifteenth workday of each month. The status report will show actual progress against the Project Schedule. The status reports will: (1) provide a brief, factual summary description of technical progress made and costs incurred for each task (or group of tasks) during the reporting period; (2) identify significant problems and their impacts, causes, proposed corrective action, and the effect that such corrective actions will have on satisfying contract requirements and achieving contract objectives; (3) the schedule status or degree of completion of tasks/activities by time intervals; and (4) cost status or actual cost of work performed.

C. Project Schedule

The Contractor shall provide a project schedule of milestones and work activities in the MS Project format. The project schedule must be used to track and report progress of activities, resource allocation and costs. The project schedule will be uploaded and baseline in HUD PLUS no later than ten (10) days after the contract kick-off meeting. The project schedule will be updated as necessary after the project schedule is baseline in HUD PLUS.

Task 1: HUD PLUS Operations and Maintenance

The Contractor shall provide operations and maintenance services. The operations and maintenance areas that need to be supported are methodology administration, documentation and training, and change management. The requirements/deliverables related to these items are called out below.

Task 2: Organizational and Capability Maturity

The Contractor shall provide HUD PLUS Organizational and Capability Maturity (O&CM) supports change management, communications, detailed training, desk-side support, and maturing the use of the solution and processes enabled by HUD PLUS. The requirements/deliverables related to these items are called out below.

Task 3: Critical New Capability

The Contractor shall identify HUD PLUS critical new capabilities that will be implemented under the SOW work effort. The Contractor shall identify, prioritize and add to the enterprise roadmap any remaining new capabilities not implemented as part of the SOW work effort. The requirements/deliverables related to these items are called out below.

Task 4: New Capability: Application Portfolio Management (APM Initial Operating Capability - Part 1)

The Contractor shall deploy the HUD PLUS Application Portfolio Management (APM) capability as part of the enterprise OCRPM vision. The APM module is critical to completing the vision enabling HUD to get the maximum value out of the HUD PLUS investment in the form of application rationalization, reduction in duplicate efforts and elimination fragmentation in the portfolio.

A parallel effort will be started to deploy the capability so that they can converge in the future. The new APM capability and the existing HUD PLUS PM/PFM capability will be dependent on one another and will operate separately leveraging different primary user groups. Hence, the efforts to deploy APM will happen in parallel and roadmap to converge the solutions developed. The requirements/deliverables related to these items are called out below.

Note: This will require the additional purchase or upsell (true-up) to the UMT360 Portfolios software.

Note: In addition to UMT360 Portfolios, HUD should consider the acquisition of the UMT360 Portfolios APM Content Pack of Reports which includes dozens of pre-configured reports that can be used immediately once data is populated. Reports would be owned by HUD and can be modified, edited, and updated as business needs change.

V. TRAVEL

All local travel will be reimbursed at the rates in effect at the time of the travel. Local travel is defined as travel within the greater Washington Metropolitan area. Long distance travel will be performed on an as needed basis and coordinated with the GTM for this project. Every effort will be made to obtain economic airfares and per diem will be reimbursed at government-approved rates in effect at the time of travel.

VI. GOVERNMENT FURNISHED MATERIALS

Government furnished property (e.g., materials, equipment, and/or information) will be provided in conjunction with required performance under this Task as determined by mutual agreement between the government and the Contractor purchase of hardware or software tools, unless approved as part of the Task Order for this SOW, must be pre-approved by the GTM.

At the written request of the government, the Contractor shall immediately return any property provided by the government for the Contractor’s use to complete the assigned subtasks under this Task. If not requested, the Contractor shall continue to abide by FAR Part 45 until completion of the contract.

The government will arrange for Contractor access to HUD contractor/subcontractor data, works in progress, deliverables, and other materials essential to perform independent assessments or other activities in support of this SOW.

Government workspace will be provided to Contractor personnel when they are working at a HUD facility at government request. Individual contractor personnel will be provided access to the HUD information network, as necessary, and in accordance with HUD’s network security requirements, to accomplish this SOW.

VII. PLACE OF PERFORMANCE

It is anticipated that the majority of work may be performed at Department of Housing and Urban Development facilities. The coordination of work to be performed at a government site must be done through the GTR and GTM.

VIII. PERFORMANCE MEASUREMENTS

Performance Standards - The following provides the Performance standards for this Statement of Work:

Customer Satisfaction Quality of Products and Services – Excellent Rating

· Compliance with SOW requirements

· Accurate reporting

· Use of appropriate personnel

· Technical excellence

· Minimal errors requiring rework

On a quarterly basis, the Contracting Officer may assess a 1% disincentive of the applicable CLIN price if any one of the performance standards is rated less than Excellent; 2% if two of the performance standards are rated less than Excellent; 4% if three of the performance standards are rated less than Excellent; and 5% if all four performance standards are rated less than Excellent. The total disincentive that may be applied will not exceed 5% of the applicable CLIN price. Any disincentives shall be applied to all of the tasks completed and accepted during the calendar quarter evaluated.

Timeliness of Performance – Excellent Rating

· Performance milestones and delivery schedules met

· Timely completion, including wrap-up & contract administration

Business Relations –

· Effective management

· Business-like communications

· Prompt notification of problems

· Reasonable, cooperative, flexible, proactive

Customer Satisfaction –

· Service/products meet customer needs as expressed in meetings/interviews, etc.

· Responsive to SOW requirements

· Effective contractor-generated solutions

IX. PERIOD OF PERFORMANCE

The Period of Performance will be twelve (12) months from Task Order award.

X. TECHICAL CONTACTS

Government Technical Representative: Danita Gordon image1.png image2.png image3.png image4.png