70 -- ADDITIONAL MYSAP.COM LICENSES FOR NASA

Notice Date

July 27, 2001

Contracting Office

NASA/George C. Marshall Space Flight Center, Procurement Office, Marshall Space Flight Center, AL 35812

ZIP Code

35812

Solicitation Number

8-1-1-RI-D5715

Response Due

August 16, 2001

Point of Contact

Lydia H. Butler, Contracting Officer, Phone (256) 544-0304, Fax (256) 961-9714, Email lydia. butler@msfc.nasa.gov -- T. Jerry Williams, Contracting Officer, Phone (256) 544-0295, Fax (256) 544-4401, Email jerry.williams@msfc.nasa.gov

E-Mail Address

Lydia H. Butler (lydia. butler@msfc.nasa.gov)

Description

The National Aeronautics and Space Administration (NASA) plans to solicit for additional mySAP.com licenses to meet user requirements for the Budget Planning/Formulation, Integrated Asset Management (Logistics, Facilities, Environmental, and Aircraft), and Human Resources (Personnel Action Processing, Employee Records, Benefits Administration, Training, Awards and Workforce Information, Time and Attendance, Payroll, and Labor Distribution) Modules under the NASA Integrated Financial Management (IFM) Program, as well as any other functionality offered within the software deemed to be of benefit to the Agency. The mission of the IFM Program is to improve the financial, physical and human resources management processes throughout the Agency. The IFM Program will re-engineer NASA's business infrastructure in the context of industry "best practices" and implement enabling technology to provide necessary management information to support the Agency's strategic plan implementation. Specifically, NASA is targeting Enterprise Resource Planning (ERP) solutions to incorporate "best practice" business processes within the Agency. The Core Financial Module serves as the backbone for the other functional areas within the scope of the IFM Program. NASA selected the Joint Financial Management Improvement Program (JFMIP) certified core financial software of SAP Public Sector and Education, Inc., under its delivery/task order against its General Services Administration (GSA) Group 70 Information Technology Multiple Award Schedule Contract. The IFM Core Financial Module consists of standard general ledger, accounts receivable, accounts payable, budget execution, purchasing, project accounting and cost allocation. SAP's software infrastructure provides many additional functions beyond the required core financial functionality, such as Facilities Maintenance, Inventory/Warehouse Management, Building/Office Space Management, and Human Resources and Payroll, as well as Environment, Health and Safety, Strategic Enterprise Management, and Customer Relationship Management. All software functionality was purchased because SAP's product is a tightly integrated business processes software suite which cannot be separated and purchased separately. All licensed users can have access to any functionality within the purchased software, as long as it is configured and activated. Prior to any product acquisition, the IFM Program had committed to the "best of suite" concept as the best long term strategy, but recognized that the ability to implement varied as a function of the vendor chosen for the first module, Core Financial. The ability to extend the functionality beyond Core Financial was a consideration in downselecting potential JFMIP-certified GSA vendors to the "short list" under a Request for Information; shortly thereafter, these vendors were solicited under the IFM Core Financial Software Request for Quotation. The "best of suite" concept is significantly different than a strategy to pursue a "best of breed" software for each module; which means acquiring Commercial Off-the-shelf (COTS) software applications that focus on delivering a specific subset of business management functionality. With "best of breed" each business area or functional component has its own information, generated by its own system which invariably could vary dramatically necessitating the need for time-consuming reconciliation. Because "best of breed" solutions tend to be owned by and often adjusted on a functional level, meaning they are customized to fit the needs of the functional areas and its specific business, it was determined that "best of suite" was a better strategy to pursue. "Best of suite" is used to describe COTS software that addresses the enterprise needs, presenting a single view to the user from screen to screen by storing information in a single database. It eliminates re-keying information from one system to another and prevents operating in "silos" of functionality, and all of the data is consistent across the system in real time. A single database also results in a tighter integration of business processes. All transactions are processed against one and only one database eliminating the need for time-consuming reconciliation. The "best of suite" approach is a best practice utilizing today's available ERP functionality. The ERP transaction backbone is an integrated environment enabling visibility into operations previously available only through extensive integration of a diverse set of legacy systems that were not built to function in unison. Enterprise applications reduce cycle time, reduce delays, improve management productivity, and can reduce inefficient data entry and reconciliation tasks. It yields substantive benefits over a "best of breed" approach: (1) lower total cost of ownership since there are fewer systems to maintain, fewer systems to learn and less hardware; (2) fewer interfaces (temporary or permanent) with less development and maintenance costs and less fragmentation; (3) improved user satisfaction -- easier desk support, easier change management effort, and one "system" look and feel for users to learn; (4) faster implementation timeframe, hence faster realization of benefits, at least two years earlier with this approach; and (5) less risk -- easier integration, single software source and easier to manage and maintain. NASA/MSFC intends to procure from SAP Public Sector and Education, Inc. pursuant to FAR 6.302-1, which implements the authority of 10 U.S.C. 2304(c)(1) for acquisition of supplies or services from only one source and no other supplies or services will satisfy agency requirements. The licenses are deemed to be available only from SAP Public Sector and Education, Inc., as award to any other source(s) for the Budget Planning/Formulation, Integrated Asset Management, and Human Resources Modules would result in substantial duplication of cost to the Government that is not expected to be recovered through competition, in terms of integration, implementation, and sustaining support on each module, should other than SAP software be used; three times over if separate vendors are used for each of the three modules. Implementing within the SAP ERP Suite is the most cost effective method of implementation for the remaining major IFM modules. It is much more cost effective to leverage the ERP capability within the SAP Suite because it is already tightly integrated. It is cheaper and quicker to implement within the Suite than to implement stand-alone applications, each of which would require integration. Sustaining support would involve software upgrades that would be unsynchronized should stand-alone applications be implemented. Consequently, sustaining support would be much more difficult and problematical, as each module application would have to be maintained separately, as well as maintained between each other and the SAP software. Each module would also entail administration of separate license agreements segregating users by each application, further complicated by the widely divergent licensing approaches software vendors often use, resulting in burdensome license administration across the Agency. The Government intends to acquire a commercial item using FAR Part 8.4, Federal Supply Schedules under the GSA Group 70 Information Technology Multiple Award Schedule. Interested organizations may submit their capabilities and qualifications to perform the effort in writing to the identified point of contact, Lydia H. Butler, at 655 Discovery Drive, Suite 301-C, Huntsville, AL 35806, not later than 4:30 p.m. local time on August 16, 2001. Such capabilities/qualifications will be evaluated solely for the purpose of determining whether or not to conduct this procurement on a competitive basis. A determination by the Government not to compete this proposed effort on a full and open competition basis, based upon responses to this notice is solely within the discretion of the government. Oral, e-mail or fax communications are not acceptable in response to this notice. Information regarding NASA's Integrated Financial Management (IFM) Program is available at URL http://ifmp.nasa.gov All responsible sources may submit an offer which shall be considered by the agency. An Ombudsman has been appointed, See NASA Specific Note "B". Any referenced notes can be viewed at the following URL: http://genesis.gsfc.nasa.gov/nasanote.html

Web Link

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Record

Loren Data Corp. 20010731/70SOL019.HTM (D-208 SN50T2U3)