IT Staff Augmentation Contract Services Vendor Conference

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IT Staff Augmentation Contract ServicesVendor
Conference

• Texas Department of Information Resources
• April 25, 2006

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Agenda

• Introductions
• Meeting Objectives
• Reengineered Staffing Services Program
• Key Points
• Goals
• Notable program changes
• On-going Performance Metrics
• Vendor tier membership (active or suspended)
• Assessing vendor status (acceptable or
  unacceptable)
• Assessing vendor performance (the five criteria)
• RFO Schedule and Procurement Process
• Key Dates and Activities
• Logistics
• HUB subcontracting plan
• Question and answer process
• Evaluation Criteria
• Questions and Answers

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Presented By

• Brian Rawson, Service Delivery Director
• Cindy Reed, Service Delivery Deputy Director
• Sherri Parks, Contracting and Procurement
  Services Director
• Doug Holt, Project Planning Analyst, Service
  Delivery Division

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Meeting objectives

• Clarification of RFO key points
• Highlight program changes
• Questions and answers

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Sherri ParksContracting and Procurement Services
Director

• Key Points of the Reengineered Staffing Services
  Program

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Goals for Reengineered Program

• Goals
• Provide Opportunities for Broad Vendor
  Participation
• Frequent enrollment opportunities
• A dynamic list of active vendors
• Stimulate Competition
• RFO evaluation and contract award
• Work Order Solicitations
• A competitive process
• Increase Quality of Services
• Standardized job categories and not to exceed
  (NTE) pay rates
• Increased focus on quality at the individual Work
  Order Solicitation level
• Institute a Performance-based Metric-driven
  Program
• Routine assessments of vendor performance
• Vendor status (active or suspended) based on
  quantitative and qualitative measures
• Continue Support of HUB and Small Business
  Opportunities
• Frequent enrollment opportunities
• Partnering opportunities
• Reduce Administrative Burden
• Improved and Integrated Processes

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The Reengineered IT Staffing Services Program

• Notable Changes
• A streamlined process using the modified Go
  DIRect model
• No IACs nor vendor work order contracts will be
  required
• Customers schedule and conduct interviews
• Customers issue POs directly to vendor
• Vendors invoice customer
• Vendors pay administrative fee to DIR
• DIR will no longer be in the middle of the
  billing invoicing process
• DIR will continue to be involved in the work
  order process (posting opportunities and
  performing the administrative review)
• Frequent re-solicitations
• Provides frequent opportunities for vendors to
  access the market
• Market-driven NTE rates by job category
• DIR to monitor vendor performance
• Provides our customers with a set of
  performance-oriented vendors

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Doug HoltAnalyst, Service Delivery Division

• Ongoing Performance Metrics

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Ongoing Performance Metrics

• Vendor Tier Membership
• Active Vendors Tier
• members of the Active Vendors Tier have access to
  all applicable IT Staff Augmentation Contract
  (ITSAC) Service opportunities available through
  Work Order Solicitations
• Suspended Vendors Tier
• members of the Suspended Vendors Tier are not
  provided access to opportunities presented
  through Work Order Solicitations,
• vendors that maintain an unacceptable status for
  two consecutive evaluation periods are subject to
  contract suspension (membership in the Suspended
  Vendors Tier)
• Assessing Vendor Status
• Acceptable Status
• Vendors earn an acceptable status when they score
  above the 25th percentile when compared to other
  vendors in the Active Vendors Tier
• Unacceptable Status
• Vendors earn an unacceptable status when they
  score equal to or less than the 25th percentile
  when compared to other vendors in the Active
  Vendors Tier

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Ongoing Performance Metrics

• Assessing Vendor Performance
• The Qualitative and Quantitative Measures are
  Equally Weighted (20 each)
• Successful Placement the number of Placed
  Candidates
• Quality the number of acceptable candidates
  submitted and the number of acceptable candidates
  interviewed
• Customer Satisfaction the assessment of
  candidates based on customer feedback
• Compliance the observance of contractual
  standards
• Responsiveness the number of Work Order
  Solicitations to which the Vendor responded

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Ongoing Performance Metrics

• Examples
• Successful Placement
• Given
• Vendor A placed 5 candidates in the evaluation
  period
• The most candidates placed in the evaluation
  period is 8
• Then
• Vendor As Successful Placement Score is5 8
  0.625 or 62.5
• Quality
• Given
• Vendor A submitted 50 resumes in the evaluation
  period
• Of the 50 resumes, 48 were Acceptable Candidates
• Of the 48 Acceptable Candidates, 12 were
  Interviewed
• Then
• Vendor As Quality Score is made up of two
  partsa) ½ (48 50) 0.48 or 48b) ½ (12
  48) 0.125 or 12.5so, in total, the score is
  48 12.5 60.5

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Ongoing Performance Metrics

• Examples (continued)
• Customer Satisfaction
• Given
• Vendor A had one documented complaint about
  one of their workers
• Then
• Vendor As Customer Satisfaction Score is100
  (1 x 5) 0.95 or 95 100
• Compliance
• Given
• Vendor A failed to communicate a staff change
• Vendor A failed to communicate a
  point-of-contact change
• Vendor A s submitted a late sales reports
• Then
• Vendor As Customer Satisfaction Score is100
  (2 x 5) ( 1 x 15) 0.75 or 75
  100

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Ongoing Performance Metrics

• Examples (continued)
• Responsiveness
• Given
• Vendor A had the opportunity to respond to 40
  Work Order Solicitations
• Vendor A responded to 30 Work Order
  Solicitations (NOTE 2 resumes each for 20
  opportunities and 1 resume each for 10
  opportunities the 50 used in example 1)
• Then
• Vendor As Customer Responsiveness Score is
  30 40 0.75 or 75

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Ongoing Performance Metrics

• Examples (continued)
• Overall Vendor Performance
• Since each of the five performance categories are
  equally weighted, we can add them together and
  divide by five (0.625 0.605 0.95 0.75
  0.75) 0.736 or 73.6
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• Vendor Status
• Given
• 75 vendors scored below vendor A (less than
  73.6)
• there are 145 members of the Active Vendors Tier
• Then
• 75 145 0.517 or, put another way, this vendor
  scored in the 51st percentile
• This vendor eared an acceptable status

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Cindy ReedService Delivery Deputy Director

• RFO Schedule and Procurement Process

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Key Milestones for Vendors

• Vendor Conference April 25 (today)
• Last day to submit questions May 1 (100 p.m.)
• Answers to questions on ESBD May 8
• Proposals due May 12 (100 p.m.)
• Evaluation, BAFO, and negotiation May 15 Until
  Complete
• Anticipated contract award July 28 (no later
  than)
• Contract commencement September 1

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HUB Subcontracting Plan (HSP)

• DIR has determined that subcontracting
  opportunities are probable under this contract
• Therefore, respondents must make a Good Faith
  Effort to utilize Historically Underutilized
  Businesses (HUBs)
• Responses submitted without a HSP will be
  rejected
• All respondents are required to submit a HSP
  (including HUBs)
• If not subcontracting, the HSP must include a
  written explanation of how the company intends to
  perform the entire scope of the contract with its
  own resources
• The HSP form includes specific instructions for
  meeting the Good Faith Effort requirements

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HSP Key Points

• These HUB requirements are commonly missed.
• All respondents must
• Notify three (3) or more Texas Building
  Procurement Commission (TBPC) certified HUBs for
  EACH subcontracting opportunity identified
• Provide notice of subcontracting opportunities to
  at least one (1) minority or women trade
  organization or development center
• Provide notification of subcontracting
  opportunities no less than five (5) working days
  prior to the submission of your response to the
  RFO
• DIR encourages all respondents to seek HUB
  subcontractors and maximize HUB participation in
  their bids.

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Evaluation Criteria

• Evaluation criteria
• Pricing 45
• Vendor Information, Qualifications, 30 and
  Responsiveness of Proposal
• Vendor Performance 10
• Vendors Customer References 10
• Vendors Comprehensiveness 5 of Response
• 100
• The BAFO Process for IT Staff Augmentation
  Contracts
• Important considerations
• Competitive pricing
• Quality, integrity, and completeness of response
• Acceptance of terms and conditions

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Written Questions and Answers

• Issuing Questions
• Email questions to the DIR RFO Point of Contact
  (denny.ross_at_dir.state.tx.us).
• Receiving Responses
• Questions and answers addressed today will be
  issued as and addendum to the RFO within 3 days.
• Final questions and answers will be issued as an
  addendum to the RFO by 1PM on May 8th.
• Questions and answers will be issued anonymously,
  without reference to submitting company or team.
• Questions and Answers