texas department of information resources
DESCRIPTION
TRANSCRIPT
TEXAS DEPARTMENT OF INFORMATION RESOURCES
Dan Contreras
Assistant Director
Contracting and Procurement Services
Power to Purchase • May 6, 2010 • Deliverables-Based Information Technology Services (DBITS)
Meeting Opening
Welcome and Introductions
Agenda Review
• Overview of the DBITS Contracts
• In-Depth Review of How to Use Contract
• DBITS on DIR Website
• Vendor Requirements
• Questions
• Summary
| Power to Purchase Conference • May 06, 2010 • ICT Contracts Update2
Overview of the DBITS Contracts
CUSTOMER AND VENDOR FEEDBACK
CUSTOMER WORKGROUP SOLICITED FEEDBACK
FEATURES INCLUDE
• Contract with multiple vendors in Technology Categories
• Customers issue statements of work (SOWs) to contracted vendors
• Each SOW may be for up to $10 million including renewals, amendments and extensions
• Add Technology Categories in the future to meet customer needs
BENEFITS TO CUSTOMERS AND VENDORS
• Shortened lead times
• Reduced cost
• Increased quality
• Flexibility to meet individual customer needs
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Overview of the DBITS Contracts
Technology Categories
• Application Maintenance and Support
• Business Intelligence (BI) and Data Warehouse
• Enterprise Resource Planning (ERP)
• Service Oriented Architecture (SOA)
• Project Management
• Technology Upgrade/Migration and Transformation
• Information Technology Assessments and Planning
• Application Development.
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Process
Overview of ProcessReview Statement of WorkBest PracticesCommunications with contracted vendorsIssuance of POProject Management HUB ParticipationFuture Performance Metrics
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Statement of Work (SOW)
Appendix C of the DBITS contract is the Statement of Work template
• Customers must complete the SOW template
• Vendors must respond, in writing
• Vendors may only respond to SOWs for the Technology Categories awarded
• Customers may negotiate Ts and Cs of SOW to meet business needs—so long as they don’t weaken or conflict with DIR’s contract
• Vendor shall perform its work according to its contract with DIR and the Customer’s SOW
• The value of any one SOW, including all extensions, renewals and change orders may not exceed $10 million
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Statement of Work (SOW)
Introduction
• Describe the deliverables-based services to be delivered
• SOW is unique and distinct for each project
Background
• Explain why the Customer is contracting
• Provide useful information regarding the Customer Organization Project history Future plans Any other relevant information regarding the work to be performed
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Statement of Work (SOW)
Scope: Project-Based Services
• Scope of work
• Project risks, assumptions and constraints
• Roles and responsibilities
• Detailed description of deliverables
• Acceptance criteria
• Project completion criteria
• Project schedules to be achieved by vendor
• Relevant quality processes that will apply, such as change management, acceptance, and risk and issue management
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Statement of Work (SOW)
Scope: Outsourced Services
• Scope of services to be delivered
• Acceptance criteria
• Service-level objectives
• Key performance indicators
• Service-level agreements (SLAs)
• Service-level management
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Statement of Work (SOW)
Deliverables Sample Content
• Deliverables must be provided on the dates specified. Any changes to the delivery date must have prior approval (in writing) by the Customer contract manager or designate.
• All deliverables must be submitted in a format approved by the Customer contract manager.
• All deliverables must have acceptance criteria established and a time period for testing or acceptance.
• If the deliverable cannot be provided within the scheduled time frame, the Vendor is required to contact the Customer contract manager in writing with a reason for the delay and the proposed revised schedule. The request for a revised schedule must include the impact on related tasks and the overall project.
• A request for a revised schedule must be reviewed and approved by the Customer contract manager before placed in effect. Contract Terms and Conditions may dictate penalties, costs, and other actions based on the facts related to the request for a revised schedule.
• The Customer will complete a review of each submitted deliverable within specified working days for the date of receipt.
• A kickoff meeting will be held at a location and time selected by the Customer where the Vendor and its staff will be introduced to the Customer.
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Statement of Work (SOW)
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No. Item SOW Paragraph Due Date Recipient
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Deliverables Sample Content•Sample Delivery Schedule
Statement of Work (SOW)
Reports and Meetings Sample Content
• The Vendor is required to provide the Customer contract manager with weekly written progress reports of this project. These are due to the Customer contract manager by the close of business on the specify day each week throughout the life of the project
• The progress reports shall cover all work performed and completed during the week for which the progress report is provided and shall present the work to be performed during the subsequent week.
• The progress report shall identify any problems encountered or still outstanding with an explanation of the cause and resolution of the problem or how the problem will be resolved.
• The Vendor will be responsible for conducting weekly status meetings with the Customer contract manager. The meetings will be held on specify day of each week - at a time and place so designated by the Customer contract manager - unless revised by the Customer contract manager. The meetings can be in person or over the phone at the discretion of the Customer contract manager.
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Statement of Work (SOW)
Service Level Agreement
• Achievement of Budget Goals (total and subtotals)
• Achievement of Schedule Goals (final and interim)
• Security (as defined by customer)
• Quality (as defined by customer)
• Availability (data, system, and components)
• Performance (transmission, response, or completion times)
• Meantime to Resolution (MTR)
• Business Continuity
• ISO/ANSI standards
• IEEE standards
• Required communications (meetings, reports, calls, emails)
• Required documents (plans, estimates, schedules, analyses)
• Degree of accuracy of estimates (schedule, budget, resources, total)
• Effective risk management and response (adherence to plans)
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Statement of Work (SOW)
Period of Performance
• Specify the period of performance in which the Vendor will conduct and complete the work associated with the SOW.
Invoices
• Describe the Vendor’s responsibilities for invoicing Customer including invoice content, frequency/schedule and instructions for submitting invoices. Payments will be made in accordance with Appendix A of the Contract.
Customer/Vendor-Furnished Equipment and Work Space
• Specify what equipment and/or work space the Customer will provide or the expectations of what the Vendor will provide.
Additional Customer Terms and Conditions
• List any additional terms and conditions required by the Customer. Customers may negotiate the terms and conditions of a SOW to suit their business needs so long as the SOW terms and conditions do not conflict or weaken the DIR master contract.
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Statement of Work (SOW)
Vendor Response
• All written deliverables must be phrased in terms and language that can be easily understood by non-technical personnel (e.g., laypersons without subject matter expertise)
• All document deliverables must be in formats (hard copy and electronic) as specified by the Customer - at a minimum, the formats must be in industry accepted standards (e.g., MS Word, MS PowerPoint, MS Project)
• The Vendor must demonstrate its knowledge and expertise of the environment (e.g., platforms, software, applications, network, tools, etc.) for which work is to be performed
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Statement of Work (SOW)
Vendor Response Sample Content
• Agreement to confidentiality and legal statements
• Vendor staff capabilities specific to this SOW: Organization chart Management team resumes Key personnel resumes
• Vendor’s services capabilities: Outline of capability to deliver the required services, including process, functional
and technical expertise Agreed-on SOW for deliverables-based services Project plans for project services or transition
• Project management plan addressing the tasks specified in the SOW
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Statement of Work (SOW)
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Deliverable No. Deliverable Name Price
Pricing•Sample Pricing Sheet
Statement of Work (SOW)
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•Name •Hourly Rate •Number of Hours
Pricing•Sample Pricing Sheet
•DIR strongly suggests that Vendors be required to provide hourly rates as a point of reference for the Customer when evaluating the pricing submitted for the SOW. The rates may be compared against the IT Staffing contracts.
Statement of Work (SOW)
Sample Response Submission Requirements
• SOW schedule of events: deadline for questions, deadline for answering questions, response due date
• Address for response submission
• Number of copies
• Mandatory response contents
• Conditions may not conflict or weaken the DIR master contract
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Best Practices
• Use the Statement of Work template and include the minimum suggested items such as: Scope of Work Project Risks, Assumptions & Constraints Roles & Responsibilities Detailed description of Deliverables Acceptance criteria, including testing or period of review Project completion criteria Project schedules to be achieved by vendor Relevant quality processes
• Send Statement of Work to at least three (3) Vendors
• Customer negotiates pricing of deliverables directly with Vendor
• No work is to begin until Vendor receives Customer Purchase Order
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Communication with Contracted Vendors
• May meet with Vendors
• Use the Statement of Work to discuss needs with Vendors
• Vendor and Customer may work together to improve the SOW
• Customer should negotiate
• Vendor may only provide services in awarded Technology Categories
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Purchase Order
Customer MUST issue a Purchase Order
• Vendor may begin work ONLY after receiving a SOW signed by authorized representatives of both the Customer and the Vendor
AND
• the Purchase Order is received
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Customer Satisfaction
Customer Satisfaction Metrics
• DIR reserves the right to engage a third party to build and gauge customer satisfaction metrics.
• Should a Vendor go two straight quarters with a low customer satisfaction score, DIR may suspend all new prospective business orders for a period of time
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HUB Reporting
Any changes to vendor HUB Subcontracting Plan must be submitted to Bernadette Davis for review and approval
Send HUB PAR forms to the Customer
If you have questions about DBITS and HUB reporting, you can contact Bernadette at 512-463-5712 or via email at [email protected].
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DIR Website for DBITS
Searches from DIR Store:
• By Vendor
• By Deliverables-Based IT Services (DBITS)
• By Technology Category
Website will contain all Technology Categories regardless of search for ease of maintenance
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Marketing
• Vendor’s Responsibilities Must follow through with Marketing proposal in Offer Educate its Customers about DBITS and its benefits
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Questions: Deliverables-Based Information Technology Services (DBITS)
Contract Manager:Delia Arellano
(512) 463-2615
Assistant Director:
Dan Contreras
(512) 463-7381
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