Small BusinessChallenges

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USGIF Small Business Advisory Working GroupMay 2017 White Paper

PrefaceTheUnitedStatesGeospatialIntelligenceFoundation’s(USGIF)SmallBusinessAdvisoryWorkingGroup(SBAWG)helpsoursmallbusinessmemberspreparetocompetesuccessfullyforcontractopportunitiesinthegeospatialintelligenceindustryandrelatedmarkets.Weprovideadviceandforumstoshareinformation,solutions,andopportunitiesbeneficialtoSBAWGmembercompanies.TheSBAWGcurrentlyincludesover100membersinterestedinsupportingtheGEOINTcommunity.ThisWhitePaperwasdevelopedinclosecoordinationwithsmallbusinessesthatprovideorwishtoprovideservicesandproductstotheGEOINTCommunity.Itlaysoutaseriesofsmallbusinesschallenges,impactsandrecommendationsthatcanbeusedasaframeworktoincreasesmallbusinesssupporttoNGAandenabletheNGASmallBusinessProgramsOffice(SBPO)tomeetthesmallbusinessgoalsestablishedforNGAbytheSmallBusinessAdministration(SBA).

ExecutiveSummaryThisWhitePaperdocumentsthechallengesSmallBusinessesconfrontinattemptingtoconductbusinessandaccesscontractingopportunitiesattheNationalGeospatial-IntelligenceAgency(NGA).WeaimtopartnerwiththeNGASmallBusinessProgramsOffice(SBPO)tosupportNGA’smeetingtheSmallBusinessgoalssetforitbytheSmallBusinessAdministration(SBA),therebyimprovingSmallBusinesspresenceatNGAandprovidingNGAwithhighqualityproductsandservicesthatareflexible,innovative,andreasonablypriced.WefullyunderstandtheSBAtargetsarenotmandatory,butapplaudtheexpressedintentoftheDeputyDirectortoencourageopportunitiesforSmallBusiness.WebelievethisincludesbuildingarobustpooloffullyqualifiedandclearedsmallbusinessestojustifytheirsupporttoNGA’smissionandtheircontributionstomeetingSmallBusinessgoals.TheUSGIFSBAWGappreciatestheeffortsNGAalreadyhasmadeoverthepastfewyearstoencouragesmallbusinessestoengagewithNGAandtheSBPO,including:

• PrimeOpportunitiessuchasEmerald,EnterpriseSupportforAdministrativeServices(ESAS),VisualCommunicationsSupport(VCS),AllLeadersCoachingProgram(ALCP),andTundra.

• GEOINTSolutionsMarketplace(GSM).• NationalGeospatial-IntelligenceAgency(NGA)MentorProtégéProgram.• NGASmallBusinessClearanceProgram.

Wehaveidentifiedeightchallengesandsuggested24actionswithtangiblebenefitstobothNGAandSmallBusinesses.WeofferthisframeworkofchallengesandrecommendationsasthefirststepinbeginningadialoguewiththeSBPO.WehopeitwillalsobeofdirectinteresttoNGAleadershipandcontracting,security,financeandprogramofficials.

SmallBusinessChallengesandSuggestedActions

1.SmallBusinessHaveDifficultyUnderstandingtheAcquisitionLandscapeatNGA

Recommendation1:ProvideanAnnualReportreleasabletoindustrycontainingperformanceinformationonSmallBusinessesatNGAsuchascategory,typeofwork,percentageofcontract,dollarprojected,dollarsexpended.

Recommendation2:ProvideanAnnualSmallBusinessForecast.

Recommendation3:RevamptheSBPOwebsitetoimprovetheorganizationanddetailedinformationtomeetSmallBusinessneeds.

2.TheNGASmallBusinessProgramOfficeShouldIncreaseStaffingtoRespondtoGrowingSmallBusinessDemand

Recommendation4:AssessrequirementstoprovidetheNGASmallBusinessProgramOfficewithmoreresourcesandskilledstafftoexecuteitsresponsibilities,includingprogramevaluationandassessment,metricsdevelopment,collection,andperformancemonitoring,businessanalytics,datamanagement,andreporting.

Recommendation5:ConsideradedicatedcontractorTaskOrderforSBPOcontractsupport.

Recommendation6:WhenpreparingtherequirementstosupporttheNGASmallBusinessProgramOffice,weighbenefitsofusinghourlyorpart-timesupportratherthanFullTimeEquivalents.

3.CurrentFacilityClearanceProcessesCreateaBarriertoNGAAccessRecommendation7:TheSBPOshoulddevelopacommunicationstrategytoinformtheSmallBusinesscommunityabouttheintent,process,anddetailsoftherevisedNGAFacilityClearanceSponsorshipProgram.

Recommendation8:WorkwiththeSBAWGtoreviewtheprosandconsforNGAandSmallBusinessofNGA’srevisedFacilityClearanceSponsorshipProgram.

Recommendation9:WorkwiththeSBAWGtoseekbetterwaystoaccommodatepersonnelclearancesforSmallBusinessmanagementpersonnelandapercentageofqualifiedcandidateSCIsponsorship.

4.SecurityChallengesContinueEvenafterContractAwardOpportunitiesforSmallBusiness

Recommendation10:CollaboratewithindustrytoresolvechallengesinvolvingNGASecurityprogramsandpolicies.

5.NGASmallBusinessOpportunitiesNeedImprovementRecommendation11:ResearchtheimpactofbundlingonSmallBusinessparticipationduringthepre-acquisitionphase.

Recommendation12:CreatemoreopportunitiesforSmallBusinessestoPrimethroughtrainingandeducatingNGAContractingandGovernmentProgramManagersandcreatingtheprocessestosupportsuccessfuloutcomes.

Recommendation13:Developalong-termacquisitionforecast(18–24month)identifyingcontractsendingandexpectedopportunities.

Recommendation14:EstablishandmaintainOrganizationalConflictofInterest(OCI)rulesandguidelines.

Recommendation15:GiveSmallBusinessthesamevoiceLargeBusinesseshaveininfluencingaprocurementthroughestablishmentofapre-acquisitionmeetingbetweenthesmallbusinessesthatrespondedtoaRFIorSourcesSoughtandtheevaluatorsfollowingtheirassessment.

6.SmallBusinessUtilizationGoalsShouldbeMoreStronglyEnforcedRecommendation16:InformSmallBusinessesandNGAGovernmentstaffofPrimePartnerSubcontracting;Goals,targetsocio-economiccategories,PerformanceMetrics,Opportunities,andPastSuccesses.Requiresix-monthreportinganallprimecontractswithSmallBusinesssubcontractingplansandpublishthisinformationontheclassifiedARCforaccessbyallwithaccesstotheARC.

Recommendation17:IncludefinancialpenaltiesincontractsforfailuretomakeSmallBusinesssubcontractinggoals.Theseneedtobeassessedyearlyandmustbesignificantenoughtoenforcethegoals.

7.ExpandtheMentorProtégéProgramRecommendation18:PostdataonhowmanycompanieswillbeprovidedaccesstotheNGAMentor-Protégéprogrameachyearandthecurrentlistofapprovedcompanieswaitingforfunding.

Recommendation19:ProvideanoverviewtoSmallBusinessesinterestedinamentorprotégéopportunitywithNGA,thenewMentorProtégéProgram,andNGA’splanstosupportitsimplementation.

8.ImproveNGAOutreachandInteractionwithSmallBusinessRecommendation20:AddtheSmallBusinessNAICSCodesandSocioeconomiccategoriestotheGeospatialSolutionsMarketplace(GSM)database.

Recommendation21:ConductMonthlyNewSmallBusinessWelcomeSessions.

Recommendation22:ConductQuarterlyCurrentSmallBusinessStatusMeetingwithSmallBusinesseswithprimeorsubcontractsatNGA.

Recommendation23:ConductAnnualSmallBusinessConferenceandSmallBusinessShowcase.TheNationalSmallBusinessWeekisanexcellenttimeforthisevent.

Recommendation24:HostIndividualSmallBusinessSocio-EconomicCategoryEventsinpartnershipwithUSGIF.

1.SmallBusinessHaveDifficultyUnderstandingtheAcquisitionLandscapeatNGA SmallBusinessChallenge:SmallBusinesseshaveextremelylimitedresourceswithmultiplefunctions,suchasbillablework,businessdevelopment,andproposalwriting,beingperformedbyeachemployee.AccesstodatatofacilitatetheunderstandingoftheNGAopportunitylandscape,SmallBusinesspartners,andcompetitiveprocessesiskeytomakinginformedbusinessdecisions,planningopportunitypipelines,andallocatingscarceresourcestoeffectivelyrespondtoSourcesSought,RequestsforInformation(RFIs),andRequestsforProposal(RFPs).ImpactStatement:LackofinformativedatahampersSmallBusinessmanagersfromeffectivelymakingdecisionsaboutplanningforandrespondingtobusinessopportunities.Thislackofreadilyavailableinformationbeginsacounterproductivecycle—fewersmallbusinessesarepreparedtorespondtoSourcesSoughtandRFIs,whichthencanreducethenumberofacquisitionssetasideforSmallBusinesses,fewerSmallBusinessessubmittingproposals,andfewerSmallBusinessesbeingawardedprimecontracts.Additionally,RFIresponsesarenotfullyeffectivenoranefficientmeansofconveyingafullunderstandingoftheresponseduetohighlyproprietaryinformationrestrictions.NGAbecomeslessabletomeetSBAtargetsandismorelikelytooptforunrestrictedsolicitationsresultinginawardstolargecompanies,whichcanbemorecostlyandlessagile.Recommendation1:ProvideanAnnualReportreleasabletoindustrycontainingperformanceinformationonSmallBusinessesatNGAsuchascategory,typeofwork,percentageofcontract,dollarprojected,dollarsexpended.

BenefitstoNGA:EncouragesSmallBusinessconcernstoparticipateandbuildstheSmallBusinessbasetosupportNGAneeds.BenefitstoSmallBusinesses:EnablesbusinessconcernstoinvestSmallBusinessresourcestodetermineiftherearesuitableandsufficientopportunitiesforSmallBusinessatNGA.

Recommendation2:ProvideanAnnualSmallBusinessForecast.RecommendmodelingtheannualsmallbusinessforecastaftersuccessfuleffortsattheStateDepartmentandDepartmentofHomelandSecurity.Theircurrent2016BusinessForecastscontainthefollowingdetailedandveryhelpfulcontentstoinformsmallbusinessesofopportunitiesandspecificallyhowtoengageinrespondingtothem.

• RequirementsDescription• OfficeSymbol• NeworRe-compete• NAICSCode• ExtentofCompetition(SocioEconomicCategory)• EstimatedValue• IncumbentContractorInformation• PeriodofPerformance• TargetAward• PlaceofPerformance• GovernmentPointofContactInformation

BenefitstoNGA:EncouragesSmallBusinessconcernstoparticipateandbuildstheSmallBusinessbasetosupportNGAneeds.BenefitstoSmallBusinesses:ProvidesbothLargeandSmallBusinesseskeyinformationtosupportplanningandallocatinginternalresourcesforbusinesspursuits.

Recommendation3:RevamptheSBPOwebsitetoimprovetheorganizationanddetailedinformationtomeetSmallBusinessneeds.Thisincludesensuringthatupdatesaremademonthlyandinclude:

• NGASmallBusinessReports• NewSBprograms• NGASmallBusinessSecurityProgram• Policychangese.g.MentorProtégé• SmallBusinessNews• SmallBusinessEvents• LinkstospecificsmallbusinessinformationontheGSM• Linkstounclassifiedopportunities• ListofSmallBusinessAwardsatNGA

BenefitstoNGA:NGAGovernmentStaffTrackingSmallBusinesseffortswillhaveonestorefronttoworkwith.BenefitstoSmallBusinesses:OnestopforNGASmallBusinessneedsaddstoefficiencyandclarityofdoingbusinesswithNGA.

2.TheNGASmallBusinessProgramOfficeShouldIncreaseStaffingtoRespondtoGrowingSmallBusinessDemandSmallBusinessChallenge:ObtaininginformationonNGAanditsacquisitionsandmakingSmallBusinesscapabilitiesknowntotheNGAcommunityiscriticaltobuildingbusinessinthecommunity.CurrentlytheNGASmallBusinessOfficehasalimitedgovernmentandcontractstafftosupportassignedresponsibilitiesinternaltoNGAandtosupportnewSmallBusinessesandcurrentSmallBusinessessupportingNGA.ImpactStatement:CurrentSmallBusinessOfficestaffingmakesinitialcontact,knowledgebuilding,andsmallbusinessprogramresourcingproblematic.NGAisalargeorganizationwithalargebudgetthatinterestsmanysmallbusinesses.LackofresourcingimpactsthequalityofsupportandthustheparticipationofsmallbusinessesinNGAacquisitions.Recommendation4:AssessrequirementstoprovidetheNGASmallBusinessProgramOfficewithmoreresourcesandskilledstafftoexecuteitsresponsibilities,includingprogramevaluationandassessment,metricsdevelopment,collection,andperformancemonitoring,businessanalytics,datamanagement,andreporting.

BenefitstoNGA:ImprovestheabilityfortheNGASBPOtoachieveassignedroles,responsibilities,andmeetobjectives;ImprovesSmallBusinessParticipation.BenefitstoSmallBusinesses:ProvidesadditionalresourcestomeetwithsmallbusinessestoexplaintheNGAlandscapeandsmallbusinessprograms;ResultsultimatelywillbeincreasingSmallBusinessutilization.

Recommendation5:ConsideradedicatedcontractorTaskOrderforSBPOcontractsupport.

BenefitstoNGA:ProvidesfocusonachievingNGASmallBusinessOfficeobjectives.BenefitstoSmallBusinesses:ProvidesfocusonachievingNGASmallBusinessOfficeobjectives.

Recommendation6:WhenpreparingtherequirementstosupporttheNGASmallBusinessProgramOffice,weighbenefitsofusinghourlyorpart-timesupportratherthanFullTimeEquivalents.

BenefitstoNGA:MinimizesNGAcostsbyusinganhourlyapproachviceFTEs.BenefitstoSmallBusinesses:Enableshiringpart-timeexpertiseforspecifictasks,suchasassessmentsandreporting,vicegeneralskillsforoneFTE.

3.CurrentFacilityClearanceProcessesCreateaBarriertoNGAAccessSmallBusinessChallenge: SecurityclearancesarefundamentaltotheNGAmission,buttheprocessfornominatingabusinesstogainaFacilityClearancethroughtheDefenseSecurityService(DSS)precludesequalopportunityforcompetition.TheDSSrequirementthatbusinessesbesponsoredeitherbythegovernmententityissuingaprimecontractortheprimecontractorthatissubcontractingwiththeSmallBusinessisa“Catch-22”—businessesneedaclassifiedcontracttobeabletobesponsoredfortheFacilityClearancetocompeteforanNGAcontractorbeasubcontractortoalargebusiness.Somelargebusinessesdeclinetosponsortheirsubcontractorstoavoidthembecomingcompetitorsforthework.LeadersandstaffinmanySmallBusinessesinterestedinsupportingNGAhavehadjobexperienceandsubstantialcareersingovernment,military,andindustryservingclassifiednationalsecurityprogramsandpossesscurrentpersonnelclearances.Theplayingfieldneedstobeleveledtogivesmallbusinesses—atleastthosewithexperienceintheclassifiedenvironment—anequalchancetogainaccesstoandcompeteforworkatNGA.ImpactStatement:WithoutaSmallBusinesssecurityprogramtohosttheFacilityClearanceandPersonalSecurityclearancesthereisanimpacttobothSmallBusinessesandNGA.SuchaprogramwouldprovideamorelevelplayingfieldtoqualifiedbusinessesandprecludingNGAfromcapitalizingonSmallBusinesseswithknowledge,capabilities,andinnovativesolutions. Recommendation7:TheSBPOshoulddevelopacommunicationstrategytoinformtheSmallBusinesscommunityabouttheintent,process,anddetailsoftherevisedNGAFacilityClearanceSponsorshipProgram.MinimalinformationisbeingpresentedtotheSmallBusinesscommunity.ItshouldincludemetricsthatwillhelpSmallBusinessunderstandwhethertheprogramactuallyoffersthemtheopportunitytodobusinesswithNGA.

BenefitstoNGA: ProvidesasystematicmethodologyforcommunicatingwithSmallBusinessesandmayreducephonecallsandmeetingrequestsaboutthetopic.BenefitstoSmallBusinesses: ProvidesclarityforSmallBusinesstounderstandwhethertheycanorshouldmaketheefforttoparticipateintheprogram.

Recommendation8: WorkwiththeSBAWGtoreviewtheprosandconsforNGAandSmallBusinessofNGA’srevisedFacilityClearanceSponsorshipProgram.ThiscouldincludeacomparisonwiththeNationalSecurityAgency(NSA)’sProvisionalIndustrialSecurityApproval(PISA)SponsorshipProgram,whichprovidesameansforalimitednumberofsmallbusinessestobeclearedforcompetingforclassifiedNSAcontracts.ItisnotasbeneficialtoSmallBusinessbecauseitdoesnotprovideanactualDSSFacilityClearance.

BenefitstoNGA: ImprovesNGA’sknowledgeofSmallBusinessdynamicstoenableeffectivecommunications,developmentofmutuallybeneficialsolutions,andencouragementofinnovativeSmallBusinesscontributionstoNGA.NGAwouldbe

abletoutilizethelessonslearnedbyNSAandnothavetocreateanewpolicyfromscratch.BenefitstoSmallBusinesses: ProvidesSmallBusinessesreal-worldinsightintocurrentandpotentialNGAneedsandopportunitiestosharetheirconcernsandrecommendationsformutuallybeneficialprograms;PositionsSmallBusinessestobeasuccessfulIndustrypartnersandofferinformedsolutions.

Recommendation9:WorkwiththeSBAWGtoseekbetterwaystoaccommodateSmallBusinessmanagementpersonnelclearances.Someagenciesworkonacase-by-casebasis;others,liketheNationalSecurityAgency(NSA)’sInfrastructureSecurityProcess,allowanadditional10percentofpersonnelsecurityclearancebilletstoprovideaccessforoverheadstaff.Thisprogram,whichappliestobothLargeBusinessprimesandSmallBusinesssubcontractors,ismorebeneficialforlargercontractsandmaynotbesufficientinallcases.AgoalshouldbetomaintaintheGovernment’sinvestmentinitsclearedcontractorworkforce.

BenefitstoNGA:MaintainsacadreofSmallBusinesseswithclearancesandexperiencetomeetnew,ongoing,andsurgerequirements.BenefitstoSmallBusinesses:AllowsSmallBusinessestomanagebillablestaffperformanceandbetterunderstandGovernmentneeds.Diminishesseekingsidedealstomaintainpersonnelclearances.

4.SecurityChallengesContinueEvenafterContractAwardOpportuntiesforSmallBusinessSmallBusinessChallenge:SmallBusinessesthataresuccessfulinsecuringworkonacontractconfrontevengreaterchallengesnavigatingNGA-specificsecurityadjudicationprocesses,evenwhentheyarecrossingoverclearedstaffwithactiveTSSCIclearancessponsoredbyotherDepartmentofDefenseandIntelligenceCommunityagencies.NGA’scrossoverprocesshasbeenreportedbyindustrymembersinextremecasestotakeoverfivemonths;thisnotonlyimpactstheSmallBusiness’scostsandretainingproposedcandidates,butalsotheNGAprogrammanager’sabilitytofulfillmissionandcontractrequirementsandadheretoplannedexpenditureratesandtimelines.Securityonboardingcomplicateslargebusinessesaswell,butdelayscanbecatastrophicforSmallBusinesscontractswhere1FTEcanaffectalargerpercentageoftheirworkandrevenue.Thefollowinghighlightssignificantcomponentsintheapprovalprocess:

• NGA’seNomportalallowscontractorstosubmittheirpersonneldirectlyovertheInternetforanNGAbadge,SCIadjudication,andIndoctrinationbriefing.Tobesubmitted,thecandidatemusthaveanactiveTSwithaninscopeinvestigation(6yearsorless).

• TheFacilitySecurityOfficer(FSO)forthePrimecontractisresponsibleforsubmittingallcandidates.SubcontractorFSOsmustprovidetheiremployees’informationtothePrimeFSOsothePrimemayservicetheirclearancesintheJointPersonnelAdjudicationSystem(JPAS)andsubmitthemforthecontract.EachPrimecontracthasanFSOidentificationnumber(FSOID)assignedtoensurethatcandidateeNomsubmissionsgototheappropriateCORforapproval.AnFSOwithtwoPrimecontracts,forinstance,willhavetwodifferentFSOID’s.

• TheContractingOfficer’sRepresentative(COR)mustbeawareofwhowillbesubmittedinadvanceandisthefirstlineofapprovalforthesubmission.

• AfterCORapproval,NGAPersonnelSecurity(PERSEC)adjudicatesthecaseand,ifnoissuesarefound,approvesthecandidatetobebriefed.Ifawaiverorconcernisfoundduringadjudication,investigationandapprovalcantakemonths,eveniftheindividualiscurrentlyclearedandworkingonacurrentNGAcontractinanNGAfacility.

• AftertheCORcompletesaPersonofInterest(POI)tabinPeoplesoftforthecandidate,thePrimeFSOemailsWorkforceSupporttoscheduleanindoctrinationbriefing.

ImpactStatement:Theprocesscanbeimpededandslowedbyanumberofactions,including:

• SubmissionofcandidateswhoseclearancenotlistedinJPAS.RequeststoResearch,Recertify,orUpgrade(RRU)havetobesubmittedtouploadaclearancefromthehigh-sideICclearancedatabaseintothelow-sideJPAS.RRUscantakeweeksormonthsfortheDefenseManpowerDataCenter(DMDC)toprocess.

• SubmissionofcandidatesalmostoutofscopeorwhoareintheprocessofaPeriodicReinvestigation(PR).Resultsofthesesubmissionscandiffer,apparentlydependingonthejudgmentofthepersonhandlingthecase.SomeeNomsarerejectedandtoldtonotresubmituntiltheyarere-adjudicatedwhileothersareallowedtostayinprocess.ForcandidatesalmostoutofscopebutnotyetallowedtobesubmittedforaPR,NGAPERSECwillaskfortheirlastSF-86copywithsignaturepages.Ifthecandidatedoesnothaveasavedversion,theyareaskedtomanuallyfilloutablankSF-86template.

• AnonresponsiveCOR,whoselackofactioncandelaytheprocesssubstantially.• Apriorwaiverorconcern,whichrequiresadditionalandoftenlengthy

investigationtoadjudicate.• TypographicalerrorsintheeNomformbytheFSOorinthePeoplesoftPOItab

bytheCOR,whichcanholduptheprocessseverely.Thesedelaysresultinamulti-million-dollarannualimpactonNGAasaresultoflostproductivityanddollarsnotexpendedinthefiscalyearforwhichtheywereplanned.ForSmallBusinesses,theimpactislostrevenue,unsustainablecostsforcleared,butunbillableworkerssittingonthebench,andlostopportunityifindividualsleaveandtakejobsatothercompanies.IndividualswaitingforworkwithSmallBusinessesmayfaceweeksormonthsofunemploymentwaitingfortheclearancetobeapproved.Recommendation10:CollaboratewithindustrytoresolvechallengesinvolvingNGASecurityprogramsandpoliciesbydevelopinganagreeduponanddocumentedworkflowthatdefinestheprocess,addstimelinestotheprocessanddefinesescalationproceduresforwhentheprocessisnotbeingfollowed.

BenefitstoNGA:HelpsGovernmentprogrammanagerssupportmissionandcontractrequirementsandadheretoplansforexpendituresandtimelinestooptimizecontractperformance.BenefitstoSmallBusinesses:ReducesSmallBusinessrecruitingcostsandchancesthatproposedcandidateswilltakeotherjobs.ImprovesretentionratesandabilityofSmallBusinessestostayinbusiness.

5.NGASmallBusinessOpportunitiesNeedImprovement SmallBusinessChallenge:NGAAcquisitionsOfficialsandPrimeContractorsarenotsufficientlyincentivizedtoseekopportunitiestouseSmallBusinessesoncontractsortoaggressivelypursueSmallBusinesscontractingtargetgoals.SmallBusinessSetAsidesrequireextensiveresearchbySBPO,activeresponsefromSmallBusinesses,andanNGAAcquisitionculturethatembracestheSmallBusinesscommunity.SmallBusinessesfacemultiplechallengesforanumberofreasons:

• NGAexecutesmanylargedevelopmentcontractsforwhichsmallbusinessescannotcompeteasprimes.Asaresult,alargepartoftheNGAbudgetisofflimitstosmallbusinesspriming.

• NGAbundlesmultiplerequirementsintolargemulti-awardIndefiniteDelivery/IndefiniteQuantity(IDIQ)TaskOrder(TO)service-typecontractsthatagainaredifficultforSmallBusinessestoprime.BuildinglargeteamstomeetalltherequirementsandfundingalargeProjectManagementOffice(PMO)tomanagethecontractwithoutassuranceofreceivinganyworkisamajorriskandrequiresanup-front,largeoutlayofresources.

• Withoutalong-termNGAacquisitionplan,SmallBusinessescannotplantheexpenditureoflimitedresourcestobidandproposeonhigherprobabilitywins.Knowingwhatisinthepipelineforthenext12to24monthsallowsthemtoselectandrespondtoRequestsforInformation(RFIs)andSourcesSoughtwithmoreassurancetheywillbidontheRFPwhenissued.

• AconstantlychangingOrganizationalConflictofInterest(OCI)environmentmakesbidandno-biddecisionsextremelydifficult.Inthepastyear,last-minuteOCIchangeshaveresultedinSmallBusinessesbuildingandthendisbandingteamsandevendecliningtobidwheninfacttheywouldhavebeenexcellentprimes.SmallBusinessesmayrespondtoaRFIwithgreatqualifications,butwhentheRFPcomesoutwithadifferentOCIPlan,thebusinesscannotbid,thecompanyhasspenttensofthousandsofdollars,andNGAdoesnotgettheSmallBusinessresponseitwasexpecting.

• NGAappearstohaveacultureofSmallBusinessaversion.NGAprogrammanagers,CORs,andContractingOfficersareunfamiliarwithSmallBusinesscapabilitiesandarenotwillingtoriskalargecontractonthem.EveniftwoormoresmallbusinessesrespondtoaSourcesSoughtorRFIwithgoodqualificationsbutmaynotcoveralltherequirementsbythemselves,Governmentevaluatorsdonotconsiderteamingbenefitsandinsteadmaketheargumentthatitcannotbesetasidebasedonbadassumptionsaboutprojectrisk.

• LargeBusinesseshavehigher-levelcontactsandmorefrequentcontactswithNGApersonnelandarealwaystryingtoinfluenceand“shape”acquisitionstotheiradvantagebykeepingthemfrombeingsetasideforSmallBusinesses.TheMACSSRFP,forexample,dealtwithSourceareasinwhichmanySmallBusinesseshaveexcellentcapabilities,butitwasretainedasunrestrictedbecauseofsuccessfullobbyingbylargebusinesses.Mojaveisanothereffort

wheremanysmallbusinesseshavesupportedSMARTSandESMARTS,yettheleastcomplexFunctionalArea1wasonlypartiallysetasideduetolobbyingbylargebusinesses.

ImpactStatement:Smallbusinessesarenotfullyparticipatingintheacquisitionprocessofdiscovery,capture,andexecution,andNGAisnotachievingitssmallbusinessgoals.TherealimpactisthatNGAisnotgettingthebenefitofflexible,customeroriented,andcostconsciousbusinessesthatcanprovideinnovationandhelpNGAexecuteitsmission.Recommendation11:ResearchtheimpactofbundlingonSmallBusinessparticipationduringthepre-acquisitionphase.CreatereasonablysizedservicecontractsthatSmallBusinessescanbidandmanage.

BenefitstoNGA: IncreasessmallbusinessutilizationandprovidesNGAwithmoreflexibility,lowercosts,andgreatercustomersatisfaction;ResultsinmorecogentStatementsofWork(SOW)andfewerdisparateactivitiesgroupedintoonecontract.Makesproposalevaluationeasierandreducesprobabilityofprotests.Createssmallercontractsthatareeasiertomanage.BenefitstoSmallBusinesses: ProvidesSmallBusinesswithmultipleopportunitiestosupportNGA;enablesthemtoconcentrateonprocurementsforwhichtheyhavethemostexpertisevicecoveringthewaterfront;Greatlyreducesriskbynothavingtobuildahugeteamtocovermultipleareastheyarenotexperiencedinmanaging.

Recommendation12:CreatemoreopportunitiesforSmallBusinessestoPrimethroughtrainingandeducatingNGAContractingandGovernmentProgramManagersandcreatingtheprocessestosupportsuccessfuloutcomesfor;

• EmergingSmallBusinessPrime.• SmallBusinessPrimeOpportunitiesinallSocioEconomicCategories.• SoleSourceJustificationsforqualifiedSmallBusinesses(e.g.8a,EDWOB,

SDVOSB,and8m).

BenefitstoNGA: AidesNGAinachievingSmallBusinesstargets;Providescapabilityatacompetitiveprice;ProvidesNGAAcquisitionsmoretoolstoacquiretheinnovativeproductsandservicestheyneedinamoretimelymanner. BenefitstoSmallBusinesses: IncreasesuseofSmallBusinesscapabilities,efficiencies,andinnovations;EnablesSmallBusinessestointroduceinnovationsandknowtheycangetacontractquicklyvicebeingshuffledofftoalargeprimewhomaytaketheproprietaryinformationandaddcosttotheeffort.

Recommendation13:Developalong-termacquisitionforecast(18–24month)identifyingcontractsendingandexpectedopportunities.Updatethisonamonthlybasis.ThiswouldexpandonthecurrentMonthlyOpportunitypaperNGAissuesthroughtheARC.

BenefitstoNGA:ForcesNGAtobetterplanandexecuteitsacquisitionprocessbyestablishingmilestonesandschedulesforre-competesandnewacquisitions,thus

keepingacquisitionsonscheduleandnotrequiringextensionsonallcontracts;ProvidesamoreknowledgeablecontractorbasewhichwillmakethembetterpreparedtorespondtoRFIs,SourcesSought,andRFPs;Increasessmallbusinessparticipationbymakingmoreinformationavailabletosmallbusinesses.BenefitstoSmallBusinesses:EnablesSmallBusinessestoplanandbudgetforfutureacquisitions;EnablesSmallBusinessestoresearchanacquisitionandhelpshapeitforsmallbusinesssetaside;EnablesSmallBusinessestoconsiderteamingpartnersearlyinordertofillcriticalgaps.

Recommendation14:EstablishandmaintainOrganizationalConflictofInterest(OCI)rulesandguidelines.Donotchangetheseinthemiddleofanacquisitionanddonotchangethemastheyaffectothercontracts.

BenefitstoNGA:ProvidesNGAwithaknowledgeablecontractorbasewithstrict,enforceablerulestoensureimpartialityandfairness.EstablishesapoolofOCI-freecompaniesNGAcanfullytrust;Reducestheconstantback-and-forthtoexplainwhatisandisnotallowed;thistiesupresources,slowsacquisitions,andaddsriskofprotest.EnsurescontractorsthatsubmittedRFIresponsesunderoneOCIplancanactuallyrespondtotheRFP.BenefitstoSmallBusinesses:ProvidescertaintyonwhatSmallBusinessescanbidandwhattheyhavetostayawayfromsotheycanbetterplantheirtimeandmoney;DoesnoteliminateaSmallBusinessfromanacquisitioninearlyplanningwithoneOCIplanthatischangedatthelastminuteanddoesnotallowtimeforteaming.

Recommendation15:GiveSmallBusinessthesamevoiceLargeBusinesseshaveininfluencingaprocurementthroughestablishmentofapre-acquisitionmeetingbetweenthesmallbusinessesthatrespondedtoaRFIorSourcesSoughtandtheevaluatorsfollowingtheirassessment.ThiscanbeagroupmeetingledbytheOSBPChief.

BenefitstoNGA:ProvidesNGAwithfirsthandknowledgeoftheSmallBusinessesinterestedinbiddinganopportunitywithouttheinfluenceofLargeBusinesses;IncreasesfamiliaritybetweenGovernmentstaffandSmallBusinessowners/leadsandaddstobuildingGovernmenttrustinSmallBusinesscapabilities;IncreasesSmallBusinesscontractingasNGAGovernmentstaffbreakthroughthebarrierLargeBusinesseshavebuilttokeepSmallBusinessesfrompriming.BenefitstoSmallBusinesses:ProvidestheSmallBusinessesfeedbackandanopportunitytoclarifytheircapabilitiestotheNGAstaffmakingthedecisiononwhethertosetasidethework;ProvidessmallbusinessesanopportunitytointroducethemselvestoNGAstaffandbuildrapport;Increasesopportunitiestobid,win,andsupportNGA.

6.SmallBusinessUtilizationGoalsShouldbeMoreStronglyEnforced

SmallBusinessChallenge:SmallBusinessutilizationisoftenafactorinNGAcontracts,butitsenforcementissporadic.LargeBusinessesareseldompenalizedforfailingtoachievethegoalstheysetforthintheirproposals.KeystrategiesusedbyLargeBusinessesinclude:

• CountingthepercentageofSmallBusinessutilizationasapercentoftotalsubcontractingvicethepercentofthetotalcontract,whichisrequiredbySBA.ALargeBusinessthatonlysubcontracts20percentofitstotalcontract,butassigns10percentofthattoSmallBusinesseswillreportitachieved50percentSmallBusinessutilizationviceatrue10percentutilization.Ifthegoalis34percent,thebusinesswillclaimitoverachievedwheninfactitfailedby24percent.

• ForcingextremelylowratesonSmallBusinesssubcontractssothattheycannotprovidepersonneltothecontract.TheLargeBusinessprime,whichhasmuchbetterrates,canexplaintothePMandSmallBusinessProgramOfficethatitprovidedeveryopportunitytoitsmanysmallbusinesses,buttheywerenevergivenanyresumes.ThisnotonlyhurtsthebottomlineoftheSmallBusinesses,butblemishesthereputationofallSmallBusinesses,leadstolowersubcontractinggoalsnexttime,andreducesprimeopportunitiesforSmallBusinesses.

• BackloadingSmallBusinessutilizationinthelastyearofthecontractsotheLargeBusinesscanwriteinitsnextproposalthatitachievedtheSmallBusinesspercentages,butitwillnotstateitonlydiditinYearFive.

ImpactStatement:SmallBusinesssubcontractingatNGAdoesnotmeettheSBAgoalsbecausetheLargeBusinessesdonothaveabusinesscaseformeetingthesegoals,evenwhentheysignuptothemintheirproposalsandresultingcontracts.ThecostofnotmeetingthegoalsismuchlessthanusingSmallBusinessesontheircontracts.NGAsetsgoalsandrequiresthemincontracts,butdoesnotmeetthembecauseitcannotovercometheLargeBusinessimperativetomakeasmuchmoneyasitcan.ThisentailsinpartrestrictingSmallBusinessuse.SmallBusinesses,whosupportedtheproposalprocess,getverylittleworkandtheirreputationissulliedbyslanderfromtheLargeBusinesseswhoclaimtheSmallBusinessescannotstaffpositions.Recommendation16:InformSmallBusinessesandNGAGovernmentstaffofPrimePartnerSubcontracting;Goals,PerformanceMetrics,Opportunities,andPastSuccesses.Requiresix-monthreportingonallprimecontractswithSmallBusinesssubcontractingplansandpublishthisinformationontheclassifiedARCforaccessbyallwithaccesstotheARC.Allfederalagenciesarerequiredtodothistypeofreporting;NGAshouldfollowsuit.FAR15.304--EvaluationFactorsandSignificantSubfactors.Forsolicitationsinvolvingbundlingthatofferasignificantopportunityforsubcontracting,thecontractingofficermustincludeafactortoevaluatepastperformanceindicatingtheextenttowhichtheofferorattainedapplicablegoalsforsmallbusinessparticipationundercontractsthatrequiredsubcontractingplans(15U.S.C.637(d)(4)(G)(ii)).

BenefitstoNGA:ProvidesreadilyavailableinformationtothePMandSBPOonhowwellaprimeisdoingwithitsgoals;thiscanbeusedtochangeitsbehavior;IncreasesSmallBusinessesparticipation;expandsbaseofqualifiedSmallBusinesses;Providesevaluationdataforfutureproposalevaluationsonhowwellacertaincompanyhasmetitsgoalsinthepast,notjustthelastyear,butoverthefullfive-yearcontract.BenefitstoSmallBusinesses:Providesinformationonhowwelltheprimeisdoingwithrespecttoachievingitsgoalsand,ifnotgivingthemtheinformation,putspressureontheprimetodoso.AllowstheSmallBusinesstorebutanyclaimsmadebytheprimes,e.g.noresumesweresubmittedbySmallBusinesses;ProvidesinformationonallprimesinNGAsoSmallBusinessescanselecttheonesthatrespectSmallBusinessesutilizationforpotentialteaming;ImprovesSmallBusinessutilizationthroughoutthecontract.

Recommendation17:IncludefinancialpenaltiesincontractsforfailuretomakeSmallBusinesssubcontractinggoals.Theseneedtobeassessedyearlyandmustbesignificantenoughtoenforcethegoals.PenalizethemthepercentoffundingbywhichtheyfailedtoreachtheirgoalswillenforcetheuseofSmallBusinesses.Forinstance,agoalof25percentisunderachievedby10percentsothepenaltyis10percentoffundingforthatyear.

BenefitstoNGA:EnablesachievementofNGASmallBusinesstargetscostsavingsfromagreateruseofSmallBusinessesBenefitstoSmallBusinesses:IncreasesthechancesthatSmallBusinesseswillgettheworkpromisedwhensigningteamingagreements.

7.ExpandTheMentorProtégéProgram SmallBusinessChallenge:TheMentorProtégéprogramdoesnothaveenoughopportunitiesfornewLargeandSmallBusinesspartnerstoparticipatebecauseofinsufficientfunding,thelengthoftheprocess,andthenumberofcompaniesalreadyapprovedfortheprogram.TheMentor-ProtégéprogramisdesignedtomotivateandencourageLargeBusinessprimecontractorfirmstoprovidemutuallybeneficialdevelopmentalassistancetoSmallBusiness,Veteran-OwnedSmallBusiness,Service-DisabledVeteran-OwnedSmallBusiness,HUBZoneSmallBusiness,SmallDisadvantagedBusiness,andWomen-OwnedSmallBusinessconcerns.Itaimsto:

• Improvetheperformanceofcontractsandsubcontracts.• Fostertheestablishmentoflong-termbusinessrelationshipsbetweenlarge

primecontractorsandsmallbusinesssubcontractors.• Strengthensubcontractingopportunitiesandaccomplishmentsthroughthree

incentives.

Theprogram,whichisactivelysupportedbytheDepartmentofDefense,providesNGAwithgreaterassurancethataprotégésubcontractorwillbeabletoperformunderacontract.Protégéfirmsgainpastperformancecredentialsundertheguidanceandsupportofexperiencedmentorfirms.Otherbenefits,whichhelpsupporttheNGAmission,include:

• Acquiringanexpandedbaseofqualifiedsmallbusinesses.• Mitigatingtheeffectsofnecessaryandjustifiedcontractbundling.• Strengtheningsubcontractingopportunities.• Achievingapotentialincreaseinsmallbusinessprogramgoalaccomplishments.

ImpactStatement:Currentinformationprovidedonhowmanymentor-protégépartnershipsthatwillbefundedeachyearandthenumberofapprovedcompanieswaitingforfundingreducestrustinthedecisionmakingprocessandbusinesseswillingnesstoexpendscarceoverheadresourcestopursuethisoption.ThisdetractsfromtheattractivenessoftheNGAprogramtoLargeandSmallBusinessesinterestedinmentor-protégéoptionsandencouragesthemtopursueprogramsadministeredbyotheragencies.

Recommendation18:PostdataonhowmanycompanieswillbeprovidedaccesstotheNGAMentor-Protégéprogrameachyearandthecurrentlistofapprovedcompanieswaitingforfunding.

BenefitstoNGA:IncreasesattractivenessofNGAMentor-ProtégéProgramtopotentialapplicants.BenefitstoSmallBusinesses:Supportsthepartnershipdecision-makingprocessandallocationofscarceresources.

Recommendation19:ProvideanoverviewtoSmallBusinessesinterestedinamentorprotégéopportunitywithNGA,thenewMentorProtégéProgram,andNGA’splanstosupportitsimplementation.

BenefitstoNGA:Providesclearguidancetobothindustryandgovernment.BenefitstoSmallBusinesses:Supportstheplanninganddecisionmakingprocess.

8.ImproveNGAOutreachandInteractionwithSmallBusinessSmallBusinessChallenge:SmallBusinessesseekmorefrequentandinformativeinteractionwiththeNGASmallBusinessProgramOfficeandGovernmentcustomerstounderstandcustomerneeds,discussSmallBusinesscapabilities,andshapeopportunities.ThemoreinformedSmallBusinessesare,thebetterpositionedtheyaretoprovidetimelyandefficientsolutionsandcapabilities.BothSmallBusinessandtheGovernmentarebusyandseektominimizethetimeneededtoarrangetransactions.NGA’ssizeandsecurityrequirementshindergeneraloutreachandinformationsharingsothechallengeistoprovideconduitsintoNGAforinformationsharingatsecuritylevelsnecessaryforsmallbusinessestolearnandexchangeinformationabouttheirproductsandservices.ImpactStatement:MoreinteractionwithandincreasedSBPOavailabilitywouldpreventSmallBusinessfromspinningtheirwheelsineffortstolearnaboutNGAopportunitiesthroughotherchannelsandgivingup.Asaresult,NGAgainsareputationforbeing“unfriendly”toSmallBusiness,attractsfewerinterestedSmallBusinesses,andlosesbeingabletotakeadvantageofSmallBusinessflexibility,innovation,andlowercosts.Smallbusinessesinturnaredeprivedoftheopportunitytosharetheirvalue-addedproductsandservicestoNGAandtoresearch,bid,andperformworktosupportNGA.Recommendation20:AddtheSmallBusinessNAICSCodesandSocioeconomiccategoriestotheGeospatialSolutionsMarketplace(GSM)database.

BenefitstoNGA:Providesclearlyidentifiablesocio-economiccategoriestodiscerntop-levelmarketcapability.BenefitstoSmallBusinesses:EnablesSmallBusinessestobedistinguishedbytheircategoryandtheircapabilitybusinessareas;thissupportscapabilitiesmatchmakingandpartneringopportunities.

Recommendation21:ConductMonthlyNewSmallBusinessWelcomeSessions.

BenefitstoNGA:MaximizesGovernmentresourcestoholdonemeetingvicemanyindividualones;helpsGovernmentbalancecompetingprioritiesandresponsibilities.BenefitstoSmallBusinesses:Providesallcompanieswiththesameinformationandaforumtoaskquestions.

Recommendation22:ConductquarterlycurrentSmallBusinessstatusmeetingwithSmallBusinesseswithprimeorsubcontractsatNGA.

BenefitstoNGA:ProvidesaforumtofocusonSmallBusinesscapabilities;AffordsanopportunitytotrainGovernmentworkforceandprovideprofessionalcertificationunits.

BenefitstoSmallBusinesses:Providesgreatervisibility,access,andinteractiontogovernmentandLargeBusinesspartners.

Recommendation24:HostindividualSmallBusinesssocio-economiccategoryeventsinpartnershipwithUSGIF.

• EmergingSmallBusiness• SmallBusiness• SmallDisadvantagedBusiness

o ServiceDisabledVeteransOwnedSmallBusiness(SDVOSB)andVeteranOwnedSmallBusiness(VOSB)

o HistoricallyUnderutilizedSmallBusiness(HUBZone)o EconomicallyDisadvantagedOwnedWomanSmallBusiness(EDWOSB)and

WomanOwnedSmallBusiness(WOSB)o 8aDisadvantagedSmallBusiness(8a)o HistoricallyBlackColleges(HBCs)

BenefitstoNGA:ProvidesNGAanopportunitytounderstandeachoftheindividualsocio-economiccategoryoptions.BenefitstoSmallBusinesses:ProvidesmoreopportunitytorepresentandfocusoneachSmallBusinesscategory.