Systalex Corporation
Highlights
Systalex Corporation, protests the issuance of a task order to The MIL Corporation under request for proposals (RFP) No. SB1341-08-RP-0009, issued by the Department of Commerce, National Institute of Standards and Technology (NIST), for support services for NIST's Business Systems Division (BSD). The competition was limited to vendors holding General Services Administration (GSA) Federal Supply Schedule (FSS) contracts. Systalex asserts that the agency improperly evaluated the protester's proposal.
B-400109, Systalex Corporation, July 17, 2008
DOCUMENT FOR PUBLIC RELEASE
The decision issued on the date below was subject to a GAO Protective Order. This redacted version has been approved for public release.
Decision
Matter of: Systalex Corporation
Pamela J. Mazza, Esq., Isaias Cy Alba, IV, Esq., and Desiree Lomer-Clark, Esq., PilieroMazza PLLC, for the protester.
Paul F. Khoury, Esq., Nicole P. Wishart, Esq., and John R. Prairie, Esq., Wiley Rein LLP, for The
Lauren Kalish, Esq., and Mark Langstein, Esq., Department of Commerce, for the agency.
Paul E. Jordan, Esq., and John M. Melody, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision.
DIGEST
Evaluation of protester's technical proposal was unobjectionable where agency reasonably found weaknesses associated with firm's failure to include sufficient examples of change management tools, recommendations for improving current tools, how methodologies should be updated, and how identified training technology should and could be implemented.
DECISION
Systalex Corporation, protests the issuance of a task order to The
The RFP sought functional and technical support services for the BSD with the principal goal of supporting the agency's commerce business system, core financial system. Proposals were to include a description of each vendor's technical approach, including its
Proposals were to be evaluated for best value on the basis of six factors (with relevant subfactors)--(A) technical approach; (B) management plan (quality control plan, project management plan, and staff recruitment/retention plan); (C) key personnel (resumes of project manager, testing lead, and development lead); (D) experience; (E) past performance; and evaluated cost. Factor A was most important and was slightly more important than factors B and C, which were approximately equal to one another. Factors B and C, individually, were more important than factors D and E, which were approximately equal in importance. The non-price factors were rated on an adjectival basis (exceptional, acceptable, marginal, unacceptable, and, for past performance only, neutral). Evaluated cost was approximately equal in importance to the non-price factors combined and was not scored. Instead, the agency would determine whether proposed costs were consistent with the cost proposal instructions and, if necessary would ensure that the costs reflected 1,920 hours multiplied by the proposed fully burdened hourly rate for each NIST functional title. Hourly rates that exceeded applicable
Four vendors, including Systalex and
Systalex | | |
Factor A: Technical Approach | Acceptable | Exceptional |
Factor B: Management Plan | Acceptable | Exceptional |
Quality Control Plan | Acceptable | Acceptable |
Project Management Plan | Acceptable | Exceptional |
Staff Recruitment/Retention Plan | Acceptable | Exceptional |
Factor C: Key Personnel | Marginal | Exceptional |
Project Manager | Exceptional | Exceptional |
Testing Lead | Marginal | Exceptional |
Development Lead | Marginal | Acceptable |
Factor D: Experience | Exceptional | Acceptable |
Factor E: Past Performance | Acceptable | Exceptional |
Evaluated (Probable) Cost | $17,640, 126 | $15,582,336 |
The agency made no adjustments to either vendor's proposed costs. Based on an independent assessment of each proposal and the
Systalex asserts that the evaluation was flawed because the agency improperly rated its proposal under the technical approach and key personnel evaluation factors. The protester maintains that a proper evaluation would have resulted in its proposal being more highly rated, and thus would have represented the best value for award.
In considering a protest of an agency's proposal evaluation, our review is confined to determining whether the evaluation was reasonable and consistent with the terms of the solicitation and applicable statutes and regulations. United Def. LP, B'286925.3 et al.,
TECHNICAL APPROACH EVALUATION
Under the technical approach factor, proposals were to be evaluated on the soundness and feasibility of the offeror's proposed technical approach and how it intended to satisfy the technical requirements in the performance work statement and performance requirements summary. RFP sect. M.2. In evaluating Systalex's proposal, the
Change Management
Systalex asserts that, contrary to the agency's evaluation conclusion, its proposal discussed in detail how the current change management process was being implemented and made recommendations on how the current methodology could be improved by integrating the existing tools to eliminate errors and omissions due to manual entry. Protest at 10. In this regard, Systalex states that it included the types of change management it proposed, the process for identifying where the changes are necessary, and the process for implementing the changes. Initial Comments at 3. Systalex states that it also proposed to increase efficiency by studying alternative tools that allow for more rapid and accurate tracking of changes while continuing current services without interruption. Protest at 6. Systalex maintains that it was impossible to provide more specific information because each situation and change issue is unique.
The evaluation in this area was reasonable. Although the protester's proposal included numerous definitions of change management, the agency found that it proposed using a structure already in place at NIST and failed to state what tools would be used to achieve change management goals.[3] AR at 14. Similarly, the proposal referenced the firm's experience in stating that Systalex would explore new tools to enhance change management implementation in the future, and its team's experience with a specific software application that would be used to enhance the version control system. Systalex Proposal at 51. However, the agency found the proposal otherwise included only limited recommendations for improving current change management tools, and that it did not demonstrate Systalex's stated expertise in implementing the referenced software application. Supplemental Agency Report at 3;
Updated Methodologies
With regard to updated methodologies, Systalex asserts that its proposal did in fact specifically address what methodologies needed updating and how the upgrades would be accomplished. Protest at 11. For example, it proposed to establish and enforce industry-standard [deleted] and to increase developers' ability to implement changes; to relieve increased calls to the customer interaction center (CIC) through [deleted].
The evaluation in this area was reasonable. Notwithstanding Systalex's proposal of the various identified upgrades, in assigning this weakness, the agency found that the proposal did not provide adequate detail in demonstrating how the firm would accomplish the upgrades. Thus, while Systalex's proposal included ideas for helping address [deleted] in the CIC, the agency notes, it has already explored these ideas under Systalex's current and previous task orders, and the proposal failed to present information that resolved the issues that prevented implementation of these solutions in the past, particularly the use of [deleted]. AR at 15; Tab 3, para. 10. Of the four proposed main methods of delivering training, three--[deleted]--were acknowledged by Systalex as currently in use at NIST. Systalex Proposal at 33. As to the single new method proposed, [deleted] technology, the agency found, and our review confirms, that the proposal lacked detail and failed to explain how the technology could and should be implemented at NIST. AR, Tab 3, para. 12; AR, Tab 10, at 6. Systalex claims that implementation was covered by its reference to a [deleted], and that anticipated cost savings addressed why it should be implemented. However, the proposal only devoted eight lines of text to the technology and, apart from mentioning [deleted] and cost savings, failed to provide any significant detail regarding implementation. Systalex Proposal at 34. In view of this limited detail, coupled with Systalex's proposal of existing methodologies with minimal detail as to how they would be updated, we find that the agency reasonably found the protester's technical approach weak in this area.[5]
Systalex challenges the
We need not determine whether the
ALLEGED IMPROPER RECRUITMENT
Systalex asserts that, after it filed its initial protest, the agency improperly recruited some of its employees to perform work under the firm's incumbent task order and
Systalex's assertions are without merit. Issues regarding whether an agency is complying with the CICA stay requirements are not subject to review by our Office. Grot Inc., B'276979,
The protest is denied.
Gary L. Kepplinger
General Counsel
[1] Systalex challenges the agency's award on numerous bases. We have considered all of Systalex's arguments and find that they have no merit, or that the alleged impropriety did not prejudice the protester. This decision addresses Systalex's most significant arguments.
[2] Systalex does not challenge three other weaknesses assessed by the
[3] Systalex asserts that, since the RFP required offerors to provide continuity for a continuous technology change management, it was unreasonable for the evaluators to downgrade its proposal for offering to continue and enhance its current methods. Systalex Supplemental Comments at 5-6. This assertion is without merit. While the RFP required continuity, as discussed, Systalex's proposal provided limited information on how its proposed improvements of current tools would be made. Thus, in our view, the agency reasonably found its proposal weak in this area.
[4] Systalex notes that the consensus evaluation refers to there being no examples of change management tools while the supplemental agency report explains that the weakness was based on limited recommendations. Systalex Supplemental Comments at 4. We see no meaningful distinction in the weakness as assessed and explained by the agency; it is clear that the agency found the proposal weak in this area. Apart from the protester's assertions, there is no basis for finding that the
[5] Our conclusion is not changed by Systalex's observation that one evaluator listed [deleted] technology as a strength, Systalex Supplemental Comments at 5; finding the proposal of a technology to be a strength is not inconsistent with a finding that the proposal failed to provide sufficient detail about implementing the technology. Further, the fact that the strength was not included in the consensus evaluation does not provide a valid basis for protest. See Resource Applications, Inc., B'274943.3,
[6] In any event, the agency denies that it has taken any formal personnel actions to hire Systalex employees to perform the requirements of