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ARMY AL&T


after the change was requested, in spite of the increased workload (160 per- cent) imposed by all ARRA demands. This indicates a substantial degree of flexibility, responsiveness, and agility on the contracting office’s part. It also indicates the importance and wisdom of including contracting leaders in the original teambuilding session at the outset of the project. Without such involvement, it’s likely that the ARRA acceleration could not have occurred as quickly and effectively as it did.


Six million cubic yards of dredged material were used to restore 188 acres at the Port of Oakland. This new shallow-water habitat is called the Middle Harbor Enhancement Area. (Photo by Brandon Beach, USACE San Francisco District.)


stakeholders—the contractors; feder- al, state, and local agencies (including environmental agencies); Port of Oakland authorities; and, of course, the cognizant San Francisco District Contracting Office. Participants report that this session set the stage for effec- tive communication and collaboration among all stakeholders throughout the project. In particular, when the contract was modified to accelerate the project, this change was facilitated by the excel- lent lines of communication already present in the project.


Major project challenges included:


• Large number of diverse stakeholders. • Complexity inherent in managing a “dual-use” project.


• Significant extent of required permitting.


• Limited availability of dredging equipment on the West Coast, along with increased risk of mechanical failures with high-volume use of limited equipment.


In particular, the complexity of the project and the large number of diverse stakeholders meant that success would be complex and nuanced. Each stakeholder would judge success differently. For example, the contractor would judge factors such as profit and


84 JULY –SEPTEMBER 2010


market share; conservation groups would examine the quality of the wetlands restoration; the environmental agencies would judge compliance with its regulations, and so on. Further, the contributions of the project to the larger objectives of ARRA would remain yet determined in terms of their economic benefits.


For the San Francisco District Contracting Office, significant chal- lenges were negotiating, awarding, and managing the contract with limited staffing and without disruption to pre- viously planned work. The USACE is, like most federal agencies, always challenged to recruit and retain profes- sional procurement staff members. Very challenging contract negotiations were required, as the overall project included both a negotiated requirement and a competitive invitation for bid process, in addition to negotiating the contract to advance the dredging schedule. A final major challenge was expediting a high-priority contract with new rules, procedures, and reporting requirements demanded by ARRA.


In the face of these challenges, the contracting office was able to imple- ment contract changes to accelerate the project within only 100 days of ARRA enactment and only 3 weeks


Lessons Learned A few key lessons emerged in this case study. First, teambuilding and the early involvement of all stakeholders, includ- ing contracting leaders, appears to have been an important factor in imple- menting project and contract changes in response to ARRA funding. Second, the flexibility and responsiveness of the San Francisco District Contracting Office indicates that its personnel are well-trained and experienced in adapt- ing to unforeseen contingencies. This illustrates the importance of continued organizational investments in profes- sionalizing activities such as education, training, and continuous learning. Finally, the importance of selecting a contractor with a proven track record of successful past performance in the rel- evant domain cannot be overstated.


Implications for Policy and Practice


At the IRSPP workshop, the authors proposed at least three areas in which this case may influence policy and practice. First, the case points out the importance of viewing the procurement function as a strategic function in pub- lic organizations in terms of promoting larger public policies and objectives. Organizational leaders should consider acknowledging this strategic role by, for example, giving senior contracting officers a larger voice in organization- al strategic management processes. Second, the case reveals the impor- tance of investing in professionalizing


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