procurement actions through the use of contract award evaluation factors or subfactors. Tese factors look at the use of small businesses in performing a pro- posed acquisition, the contractor’s use of small businesses on previous govern- ment contracts and ways to include small business performance in award fee con- tracts. Tus, if all things are equal among competitors, small business performance could be a deciding factor in the award. Poor
small business subcontracting
performance could also affect prime con- tractor incentive fees.
In another move to ensure the consid- eration of small businesses at the very earliest stage of the acquisition process, AMC’s major subordinate commands’ small business assistant directors partici- pate in peer reviews with the members of the acquisition team for all planned acquisitions above $100 million, with the objective of ensuring consideration of small business opportunities. As part of this initiative, military department and defense agency small business directors similarly review all planned acquisitions above $500 million.
Active oversight and management of small business goals, including use of data metrics and more effective use of market research, is another primary ini- tiative whereby the AMC OSBP works to increase small business participation. Tis oversight helps to ensure that we are aware of the capabilities of small busi- nesses and that they are aware of DOD’s needs. Te DOD OSBP is leading the way within the federal government on a new market research technique called Small Business Maximum Practicable Opportunity (MaxPrac) analysis. In essence, MaxPrac identifies specific con- tracts being awarded to large businesses that could potentially be satisfied by small businesses.
ECC 2%
FIGURE 2 FY15 AMC Performance by Command
TACOM 7%
MICC 27%
CECOM 12%
AMCOM 20%
ASC 10%
RDECOM 12%
SMDC 3%
JM&L 7%
KEY AMCOM – U.S. Army Aviation and Missile Life Cycle Management Command
ASC – U.S. Army Sustainment Command CECOM – U.S. Army Communications-Electronics Command
ECC – U.S. Army Expeditionary Contracting Command JM&L – Joint Munitions & Lethality Life Cycle Management Command
MICC – U.S. Army Mission and Installation Contracting Command
RDECOM – U.S. Army Research, Development and Engineering Command SMDC – U.S. Army Space & Missile Defense Command
TACOM – U.S. Army TACOM Life Cycle Management Command
SUPERLATIVE PERFORMANCE All of AMC’s major subordinate commands exceeded their overall small business goals for FY15, thanks in part to initiatives designed to reduce barriers for small businesses and to align the com- mands’ small business programs with DA and AMC strategic objectives. (SOURCE: AMC OSBP)
Another of AMC’s long-term initia- tives is developing and training Army acquisition’s small business workforce, supporting the professional growth of the small business specialist as a mem- ber of the Army Acquisition Workforce and, in turn, facilitating the expansion of small business training and information at their disposal to increase knowledge and awareness of the value of small busi- ness. Small businesses play a vital role in sustaining military readiness, providing economic security and advancing tech- nology. Ensuring that the acquisition workforce understands how small busi- nesses can best fit into the contracting puzzle will help to maximize opportuni- ties for them.
FISCAL IMPACTS Te current fiscal environment poses several challenges to DOD’s ability to provide small business opportunities, however.
First, the reliance on continuing reso- lutions to fund federal spending has a potential impact on the overall defense industrial base, but potentially more profound consequences for small busi- nesses whose viability is more sensitive to variations and gaps in cash flow. New contracts that may have been planned for award to a small business may be placed on hold pending a fully approved budget, and agencies with existing contracts may be forced to slow their planned levels of
ASC.ARMY.MIL 39
ACQUISITION
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