Individual Subcontracting PlanRR20F0283.pdf

Rolls-Royce Corporation PO Box 420, Indianapolis, IN 46206-0420

Individual Subcontracting Plan

Date: November 24, 2020

Solicitation number: SPRTA1-20-R-0015

Awarding Government agency: DLA Aviation at Oklahoma City, OK

Prime contractor: Rolls-Royce Corp

Base contract: 6842689 - Qty 15

Base contract period-of-performance: March 2022 - March 2023

Base total contract value: $1,120,079

Base subcontract value: $664,499

Option contract: N/A

Option period-of-performance: N/A

Option total value: N/A

Option subcontract value: N/A

Small Business Liaison Officer: Jeannine McMillan Jeannine.McMillan@rolls-royce.com Rolls-Royce North America 546 South Meridian Street Indianapolis, IN 46225 317-435-1693

Rolls-Royce Contract Administrator: Racher Cerwinske Rachel.Cerwinske@Rolls-Royce.com Rolls-Royce North America 450 South Meridian Street Indianapolis, IN 46225

(317) 282-9079

Procuring Contracting Officer: Breann Irving breann.irving@us.af.mil DLA Aviation 3001 Staff Drive Tinker AFB OK, 73145-3070 405-855-3522

Proprietary Notice:

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of

Information Act (5 U.S.C. § 552(b)), and the provisions of the Section 40115 of the Federal Aviation Act of 1994.

The targets the Commodity teams strive to achieve for each subcontracting plan, unless specified otherwise are:

Small-23%, Small Disadvantaged-5%, Women Owned-5%, HUBZone-3%, Veteran Owned-3%, Service Disabled

Veteran Owned-3% and Historically Black Colleges & Universities/Minority Institutions-1%. The goals reflected in this plan represent the anticipated subcontracting opportunity with both Small Businesses and Other Than Small

Businesses. ANC/Indian Tribes are included in the Small and Small Disadvantaged categories.

Individual Subcontracting Plan

Total estimated dollar value of planned subcontracting with Small, VOSB, SDVOSB, HUBZone, SDB, WOSB, and HBCU/MI:

Percentage of total planned subcontract dollars AND percent of total contract value.

Other Than Small Business:

$0 0.00%

0.00%

Small Business:

$664,499 100.00%

59.30%

Small Disadvantage Business:

$0 0.00%

0.00%

Women Owned Small Business:

$0 0.00%

0.00%

HUBZone:

$0 0.00%

0.00%

HBCU/MI:

$0 0.00%

0.00%

Veteran Owned Small Business:

$0 0.00%

0.00%

Service Disabled Veteran Owned Small

Business:

$0 0.00%

0.00%

Proprietary Notice:

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of

Information Act (5 U.S.C. § 552(b)), and the provisions of the Section 40115 of the Federal Aviation Act of 1994.

Proprietary Notice:

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of

Information Act (5 U.S.C. § 552(b)), and the provisions of the Section 40115 of the Federal Aviation Act of 1994.

BASE CONTRACT

The goals for this subcontracting plan reflect a dollar value and percentage of expected subcontracting to Small, Small Disadvantage Business, Women Owned Small Business, HUBZone Small Business, Veteran Owned Small Business, Service Disabled Veteran Owned

Small Business and HBCU/MI. This plan does not include indirect costs.

*Note, the OTSB and Small categories capture the total subcontracting amount and percentage. This form follows the format of the Individual Subcontracting Report (ISR).

Individual Subcontracting Plan

Total estimated dollar value of planned subcontracting with Small, VOSB, SDVOSB, HUBZone, SDB, WOSB, and HBCU/MI:

Percentage of total planned subcontract dollars AND percent of total contract value.

Other Than Small Business:

$0 0.00%

0.00%

Small Business:

$0 0.00%

0.00%

Small Disadvantage Business:

$0 0.00%

0.00%

Women Owned Small Business:

$0 0.00%

0.00%

HUBZone:

$0 0.00%

0.00%

HBCU/MI:

$0 0.00%

0.00%

Veteran Owned Small Business:

$0 0.00%

0.00%

Service Disabled Veteran Owned Small

Business:

$0 0.00%

0.00%

Proprietary Notice :

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of

Information Act (5 U.S.C. § 552(b)), and the provisions of the Section 40115 of the Federal Aviation Act of 1994.

OPTION(S) CONTRACT

Individual Subcontracting Plan

Item/Task Description Business Classification General Machining SMALL

Subcontracting Rationale:

This strategic supplier for this component is a small business. As such, this subcontracting plan does not show goals in any other small business subcategory.

Proprietary Notice :

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of

Information Act (5 U.S.C. § 552(b)), and the provisions of the Section 40115 of the Federal Aviation Act of 1994.

The table below identifies the anticipated subcontract items/tasks along with the corresponding business classification of the proposed supply chain.

Individual Subcontracting Plan

The method used to create subcontracting goals for an individual subcontracting plan is based on the type of item to be procured. Due to the complex nature of our product, long lead-times, and an extensive qualification process, subcontracting goals for spare parts or production engines are based on the existing supply chain. The classification of the supplier associated with a component, usage, and cost determine the percentage goal used for a particular spare part or engine. Subcontracting goals for research or new product initiatives are based on a forecasted value placed on the commodity to be purchased along with the size classification of the proposed supplier. Once the goals have been created for an individual subcontracting plan the Program Manger responsible for the delivery of a specific contract will countersign the plan to ensure the goals are properly communicated.

Successfully integrating SB, SDB, WOSB, HUBZone SB, VOSB, SVOSB, HBCU/MI into our overall supply chain begins with understanding whether or not the commodity or service requires a fully integrated strategy. If a strategy is required, it generally defines the basis for creating and maintaining competitive advantage within the commodity, how technology leadership will be developed and maintained, the basis for intellectual property ownership and what supplier development activities will be carried out to support the strategy. Alternatively, there are commodities that, because of the availability of resources (capable suppliers, capacity, etc.) or its use across other industries, a commodity strategy is not necessary. Currently, our supply chain is made up of Other Than Small Businesses (OTSB) as well as small businesses for both strategic and non strategic commodities.

From a process standpoint, both strategic and non strategic procurement activities require our

Purchasing teams to include all categories of small businesses where available. This requirement applies to both Government and Commercial purchases. While this requirement exists, it is understood that small businesses may not compete in all industries. In these cases, the Buyer is required to document these details via our internal forms and submit their findings to the Small

Business Liaison Officer (SBLO).

Several resources are utilized to help identify capable small businesses for Purchasing initiatives.

Specifically, the teams have been trained to use the Dynamic Small Business Search and the Quick

Market Search tools previously found in the Central Contractor Registration (CCR). The teams are also using a database created by Rolls-Royce that captures the capabilities of small businesses who have registered via www.Rolls-Royce.com. Additionally, the teams are utilizing other means to locate small businesses. For example, industry periodicals, engineering expertise, etc. Our supplier selection process includes understanding and evaluating the capabilities of a potential source. The key drivers in our sourcing decisions are quality, cost, and delivery. To ensure compliance with

Government subcontracting requirements, the teams are also considering the classification of the business (OTSB-vs-Small) when selecting a supplier.

Proprietary Notice:

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of Information Act (5 U.S.C. § 552(b)), and the provisions of the Section 40115 of the Federal Aviation Act of 1994.

The SBLO, Jeannine McMillan, will administer the Rolls-Royce Small Business Program in compliance with the Master Plan, valid January 1, 2019 - December 31, 2021. The responsibilities of the SBLO include: small business training, small business development, locating small businesses for new initiatives, preparation of the ISR and SSR, attend trade shows, attend and participate in local organizations that promote and enhance members of the small business community. The SBLO will also ensure the maintenance of certain documents applicable to Government subcontracting. For example, supplier certifications, purchase orders, internal forms which capture purchasing rationale for exclusion of small businesses in sourcing opportunities, ISR/SSR reports, purchasing policies and procedures applicable to the Small Business Program, and the Small Business internet and intranet sites.

As a general practice, individuals involved in the solicitation process are aware that extra effort is to be exercised when seeking qualified small businesses. This includes Engineering assistance, quality control assistance, financial assistance (immediate payment), instruction on the preparation of proposals, etc. Except for those contracts that will be performed entirely outside of any State, territory or possession of the United States, District of Columbia, or the Commonwealth of Puerto

Rico, Rolls-Royce will include FAR 52.219-8, Utilization of Small Business Concerns, in all

Government subcontracts valued at $700,000 or more. Additionally, Rolls-Royce requires that

OTSBs that receive subcontracts valued at $700,000 or more adopt a subcontracting plan consistent with the required elements of the FAR.

Rolls-Royce will cooperate in any studies or surveys as may be required. Additionally, Rolls-Royce will submit the ISR and SSR reports via http://www.eSRS.com and ensure that our subcontractors with subcontracting plans agree to submit these reports or equivalent report. Rolls-Royce will, if available, provide our prime contract number, our DUNS number, and the e-mail address of the Small Business Liaison Officer who is responsible for acknowledging receipt of or rejecting the ISRs to all first-tier subcontractors with subcontracting plans so they can enter this information into the eSRS when submitting their ISRs. When necessary, Rolls-Royce will direct our suppliers to our on-line reporting tool to submit subcontracting data. Likewise, Rolls-Royce will require our tier-one suppliers to provide their contract number, DUNS number, and email address of their subcontracting administrator so that their tier-one suppliers may submit subcontracting data.

Rolls-Royce will make a good faith effort to acquire articles, equipment, supplies, services, or materials, or obtain the performance of construction work from the small business concerns that were used in preparing the bid or proposal, in the same or greater scope, amount, and quality used in preparing and submitting the bid or proposal. Responding to a request for a quote does not constitute use in preparing a bid or proposal. Additionally, Rolls-Royce will provide the Contracting Officer with a written explanation if we fails to acquire articles, equipment, supplies, services or materials or obtain the performance of construction work as described in (d)(12) of this clause. This written explanation will be submitted to the Contracting Officer within 30 days of contract completion. After November 30, 2017, we will include subcontracting data for each order when reporting subcontracting achievements for indefinite-delivery, indefinite-quantity contracts with individual subcontracting plans where the contract is intended for use by multiple agencies. Rolls- Royce will not prohibit a subcontractor from discussing with the Contracting Officer any material matter pertaining to payment to or utilization of goods or services. Finally, Rolls-Royce will pay its small business subcontractors on time and in accordance with the terms and conditions of the underlying subcontract, and notify the contracting officer if we make either a reduced or an untimely payment to a small business subcontractor (see 52.242-5).

Proprietary Notice:

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of Information Act (5 U.S.C. § 552(b)), and the

Jeannine McMillan, Rolls-Royce SBLO

Proprietary Notice:

This data shall not be disclosed outside the Government and shall not be duplicated, used, or disclosed in whole or in part for any purpose. This restriction does not limit the Government’s right to use information contained in the data if it is obtained from another source without restriction. The data subject to this restriction are contained on all subsequent pages of this document. This document and all information herein must be withheld indefinitely from disclosure to any third party pursuant to the Freedom of Information Act (5 U.S.C. § 552(b)), and the