How to Define Clear SOW/PWS Requirements to Improve ...

How to Define Clear SOW/PWS Requirements to

Improve Your Service Acquisitions

2

Today’s Learning Objectives

• As a result of this session you will be able to:

– Understand a proven 7 step process to improve your

Service Acquisitions and develop a outstanding

SOW/PWS

– Apply a results based approach for developing your

requirement document (SOW/PWS)

– Recognize and understand key processes, skills, and

tools needed to develop a quality SOW/PWS

The Professor, Practitioner, and Programmer

3

• Lyle Eesley The Professor

• Phil Salmeri The Practitioner

• Matt Wilson The Programmer

Bottom Line Up Front

• Writing your requirement (SOW/PWS)

– Is the most important part of the process

– Shortcuts will take longer in the end

– Getting it right will save a lot of time

– There are proven methods to make the

requirements development process

better, faster, more effective

4

Seven Step

Service Acquisition Framework

• Conduct Historical Analysis

• Define Stakeholder & Customer needs

2. Review Current Strategy

3. Market Research

• Analyze Market

• Identify suppliers

4. Requirements Definition

• Business Strategy

• Acquisition Strategy

5. Acquisition

Strategy

• Select Right Contractor

• Award Contract

• Transition strategy

6. Execute Strategy• Monitor Performance

• Build & Manage Relationship

7. Performance Management

Customer

Requirement • Leadership Support

• Build the Team

1. Form the Team

Customer

ResultsSB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team

• Draft Requirements Roadmap

• Define Requirement

Plan

Develop

Execute5

Step One – Form the Team

6

Form the Team

Sub-elements

2. Review Current

Strategy

3. Market

Research

4. Requirements

Definition

5. Acquisition

Strategy6. Execute

Strategy

7. Performance

Management

Mission

Requirement1. Form the Team

Mission

Results

SB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team

Service Acquisition Process

Ensure senior management

involvement and support

Form the team, project vision, and

team charter

Stakeholder analysis: identify

stakeholders, pursue consensus

Develop communication plan

Develop & maintain knowledge base

over project life

Plan and schedule topical team

training (risk, COR, etc.)

Form the Team

• FAR 1.102 states that acquisition is a Team

function

• It’s been proven over and over again that a team

approach in developing requirements is the most

effective method

– The debate stays in the room

– Speeds the development and acquisition process

– Everyone has a voice and a contribution

7

Program

Managers

COR

Contracting Contractors

Team Approach

8

PM

Project

CO

ENG

FIN

COR

Tech Tech

Form the Team

• Develop a Vision Statement and Team Charter

• Create a Milestone plan to develop and execute the

requirement

• Communication plan will keep interested parties

informed of your progress

9

10

Identify Your Stakeholders…

Follow the Ripples

• What are the consequences of your actions?

• Who will be affected by this requirement

• How will this action impact other areas?

• Who benefits from doing a good job?

• Who’s job is made harder if things go wrong?

• What are you really trying to accomplish?

• How will you measure the benefits?

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Step 2 – Review Current Strategy

2. Review

Current Strategy

3. Market

Research

4. Requirements

Definition

5. Acquisition

Strategy6. Execute

Strategy

7. Performance

Management

Mission

Requirement1. Form the

Team

Mission

ResultsSB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team

Review Current Strategy

Sub-elementsService Acquisition Process

Identify current initiatives/contracts.

Review and document current performance

(cost, quality, schedule).

Begin program risk identification.

Document current processes.

Determine status of GFP/GFM/ Facilities.

Stakeholder submits current and projected

requirements forecast.

Review current /statutory requirements.

Define (at a high level) desired results.

Review current performance & desired

results with stakeholders and users.

Refine desired results and validate with

stakeholders. 11

Review and Document Current

Performance (Cost / Quality / Schedule)

• Determine how your Stakeholder(s) define success.

• Assess the current level of performance.

• Are the customers currently satisfied?

– If not what needs to change?

• Capture your Stakeholders concerns on worksheet.

12

Requirement Scoping Data

• What data will the contractor need to know to develop a

solid proposal for your requirement?– Historical information such as work volumes or maintenance records

– Location(s) of required work

– Security considerations

• What changes are projected by your customer?

• What are the budget constraints?

• What GFP or GFM will be provided?

13

Focus on the Desired Results

• Key stakeholder questions to hit the real objective:1. What results do we need?

2. Why do we need them?

3. When do we need them?

4. How will we know they’re good when we get them?

• Answers to these questions will form the foundation

of your requirement

14

Acquisition Risk Analysis

15

Schedule Constraints

Technical Challenges

Organizational Alignment

Funding Consistency

Stakeholder Expectations

Technological Stability

Business Allocation

Protest

Others …

Requirement

(PWS, SOW, SOO)

Contract Type and

Structure

Performance

Standards

Technical

Evaluation Plan /

Team

Quality Assurance

Surveillance Plan

Cost Estimate

Acquisition Team

Composition

Source Selection

Evaluation Factors

Risk / Issue / Opportunity

Category

Impacts on an Acquisition

16

Requirement

(PWS, SOW,

SOO)

Contract Type and

Structure

Performance

Standards

Technical

Evaluation Plan /

Team

Quality Assurance

Surveillance Plan

Cost Estimate

Acquisition Team

Composition

Source Selection

&

Evaluation Factors

Areas of Opportunity /

MitigationSchedule Constraints

Technical Challenges

Organizational / Political

Funding

Stakeholder Expectations

Technological Stability

Business / Programmatic

Protest

Other

Risk / Issue / Opportunity

Category

Step Three – Market Research

17

Market Research

Sub-elements

Take a team approach to market

research.

Determine data sources.

Develop a standardized interview

guide.

Conduct market research (include

both providers and consumers).

Request information from service

providers (informal or formal).

Analyze market research.

Document market research and

trends.

2. Review Current

Strategy

3. Market

Research

4. Requirements

Definition

5. Acquisition

Strategy6. Execute

Strategy

7. Performance

Management

Mission


Mission

ResultsSB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team


Market Research

Helps you identify:

• Who’s buying this service?– Both in the government and private industry

• Who’s providing this service?– To government and private industry

• How is the service being purchased?– Types of contracts, incentives, how they are structured

• How are the contractors delivering the service?– Address performance results, measures/metrics, customer

satisfaction, cost, and value assessments

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KEY: begin market research EARLY in the acquisition process.

Become an Informed Consumer

• Contact vendors and suppliers

• Understand commercial offerings, capabilities, and business practices

• Some of the traditional ways to do this include:– Issue “sources sought” type notices

– Requests for Information

– Hold pre-solicitation conferences

– Hold Industry Day

– Cold Call! Pick up the phone and call company representatives

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Step Four – Requirement Definition

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Conduct performance Risk Analysis.

Requirement Definition

Sub-elements

2. Review Current

Strategy

3. Market

Research

4. Requirements

Definition

5. Acquisition

Strategy6. Execute

Strategy

7. Performance

Management

Mission


Mission

ResultsSB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team


Conduct a Requirements Analysis.

Standardize requirements where

possible to leverage market

influence.

Build Requirements Roadmap.

Develop the QASP.

Develop Independent Cost Estimate

(ICE) based on projected demand

forecast.

Develop a PWS or SOW.

Establish stakeholder consensus.

Step 4 - Requirements Definition

This is the most important part of the entire process!!– The best contract in the world can not save a poorly defined

requirement.

• Use your market analysis to shape your requirement.

• Understand the risks associated with your requirement.

• Start shaping the structure of your requirements document

• Determine how you will validate that the contractor is meeting performance standards (inspection).

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Types of Requirements Documents

22

Low

High

Specificity of the Tasks

High Low

SOW

Statement of Work

PWSPerformance Work Statement

SOOStatement of Objectives

Contractor

Input

Performance Based –

Let the Contractor Solve the Problem!

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As you develop the requirement

Let the Contractor Solve the Problem

• Don’t write the requirement too tightly.

• Allow for creativity.

• Be open to new solutions and new approaches.

• How you write the HLOs and Tasks in the PWS/SOW

will either promote or inhibit innovative solutions.

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Source: http://acquisition.gov/comp/seven_steps/index.html

Remember the

Watermelons!

Develop tasks and standards

using the Requirements Roadmap

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The Requirements Roadmap process is the proven process on which

ARRT is built.

High Level

Objective

Inspection Incentive

Type

H

Performance

Task Statement

ABC

Standard

D

AQL

D

What

E

How

FWho

G

3.1…. 3.1.1

3.1.2

3.1.3

3.2…. 3.2.1

3.2.2

Alignment

Vision:

Requirements AnalysisPerformance Work Statement (PWS) Structure

PWS

HLO 2

Task

Task

Task

HLO 1

Task

Task

Task

Task

HLO 3

Task

Task

Task

Task

Task

HLO 4

Task

Task

Task

WBS Level 1: Vision

WBS Level 2: High Level

Objectives

WBS Level 3: Performance

Tasks

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Roadmap Provides the Linkage

27

Acquisition Vision

Stakeholder Desired Results

- HLO 1…..

- HLO 2…..

- HLO 3….

Quality

Assurance

Surveillance

Plan (QASP)

ABCDEFG

Acquisition

Strategy

Other uses

• DeliverablesRequirements Roadmap Worksheet

Task

ABCStandards

D

AQL

D

Inspection

EFG

Incentive

H

Performance

Work Statement

(PWS)

or SOW

ABCD

Why… Because

• When developing your requirements keep asking yourself why…

– Discover what results your customer needs to meet their objective?

– What standards are necessary to achieve that objective?

– How will you know if it’s good when you get it?

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Why?

Why?

Why?

Why?

Why?

Asking Why five times can bring you to the “real”

Performance Results…. One you may have never noticed

(Not the Who’s)

Performance Task Analysis

The Why Process

The key to finding

the real

Performance Task

29

Build Task Statements

30

Requirements Roadmap Worksheet

Standards

D

AQL

D

Incentive

H

Inspection

EFG• Tasks define specific results or

outcomes needed.

• Task statements should include a result, the context, or what the

result applies to and the actions the contractor is to perform toward

achieving the results.

• Results and context are basically nouns, Actions are verbs.

• Your task statement should avoid describing how the function

should be performed but focus on the results you are looking for.

Task

ABC

Determine What Level

of Performance you require

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Task

ABC

Standards

DAQL

D

Incentive

H

Inspection

EFG

• Performance Standards

describe what level of

performance must be met to

satisfy the required task.

• Standards should be established based on customer

requirements and not over stated.

– Ask the Question: What is the basis for the standard and why at that level?

• Standards must be clear and measurable.

• Standards are described with adverbs and adjectives.

• Are the standards you’re setting achievable and affordable?

– Are you willing to pay extra for a higher standard ?

– What is the impact on your budget ?

Dissecting a

Specific Requirement• Research and design a polio vaccine for

worldwide distribution.

Vaccine is inactive and is activated by application of

saliva. Its cost is low enough to enable distribution to

all populations in third world countries.

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A PWS Statement is composed of

multiple parts.

The roadmap helps build these from the

top down, but lets examine one from the

bottom up.

• Research and design a Polio vaccine for

world wide distribution.

• Vaccine is inactive and is activated by application of saliva.

• Does not require refrigeration support for shipping and storage

• Cost is low enough to enable distribution to all populations in

third world countries.

Building your Requirement

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A - The Result, of the Task

B - The context of the work to be

performed

C - The “Action(s)” that you

want performed D - The level of performance that

you want (standard)

• Research and design Polio vaccines for

world wide distribution.



• Cost is low enough to enable distribution to all populations in


This is your Task Statement

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Adding standards of fully defines your

requirement

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Task Statement

• Research and design Polio vaccines for world wide distribution.

Standards



• Cost is low enough to enable distribution to all populations in third world countries.

High Level

Objective


Type

H

Performance

Task Statement Standard AQL What

E

How

F

Who

G

3.1…. 3.1.1

3.1.2

3.1.3

3.2…. 3.2.1

3.2.2

Alignment

Vision:

How will you validate Performance

36

Develop your Inspection approach?Acquisition Vision

Desired Results

- A…

- B…

- C…

Desired

Outcome


Determine:

1. Who will collect the data?

2. Where will it come from?

3. How will the measure

be calculated?

4. How often do you want

to collect and review

the information?

5. If you write an objective

that is impossible to

inspect you must

modify the objective, task

or standard.

What are you going to look at?

Performance

Task

Standard /

AQL

Inspection

(Method / Type)

What How Who

Research and

design polio

vaccine for world

wide distribution

Vaccine is inactive

and is activated by

application of saliva.

It’s cost is low enough

to enable distribution

to all populations in


Polio vaccine

design

research

Report(s)

37

How are you going to measure it?

Performance

Task

Standard /

AQL

Inspection

(Method / Type)

What How Who

Research and

design polio

vaccine for world

wide distribution

Vaccine is inactive

and is activated by





third world countries

Polio vaccine

design

research

Report(s)

100% review of

studies and

research report

analysis

38

Who is going to measure it?

Performance

Task

Standard /

AQL

Inspection

(Method / Type)

What How Who

Research and

design polio

vaccine for world

wide distribution

Vaccine is inactive

and is activated by





third world countries

Polio

vaccine

design

research

Report(s)

100% review of

studies and

research report

analysis

COR/sci

entist for

polio

vaccine

project

39

Repeat until you have fully defined your

performance requirements

40

High Level

Objective


Type

H

Performance

Task Statement

ABC

Standard

D

AQL

D

What

E

How

F

Who

G

3.1…. 3.1.1

3.1.2

3.1.3

3.2…. 3.2.1

3.2.2

Alignment

Vision:

Completing your SOW / PWS

• Use your organization’s standard template

– If they don’t have one, there are some available

• Fill in / utilize existing language for common sections

– Organizational Description

– Security Requirements

– Travel Regulations

– Safety

– Etc…

41

Complete your SOW/PWS

• Keep the team engaged

• Get their input / feedback / review

42

42

PM

Project

CO

ENG

FIN

COR

Tech Tech

Step Five – Acquisition Strategy

43

Determine type of contract and/or

incentive structure

Acquisition Strategy

Sub-elementsService Acquisition Process

Determine the source selection

approach

Develop your Evaluation Factors and

draft source selection plan

Prepare acquisition planning

documents for approval

Consider use of Draft RFP.

2. Review Current

Strategy

3. Market

Research

4. Requirements

Definition

5. Acquisition

Strategy6. Execute

Strategy

7. Performance

Management

Mission

Requirement 1. Form the Team

Mission

Results

SB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team

Step Six – Execute Strategy

44

Execute Strategy

Sub-elements

2. Review Current

Strategy

3. Market

Research

4. Requirements

Definition

5. Acquisition

Strategy6. Execute

Strategy

7. Performance

Management

Mission

Requirement 1. Form the Team

Mission

ResultsSB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team


Issue Request for Proposals (RFP)

Conduct source selection following

the Technical Evaluation Plan

Selection Decision

Finalize the Quality Assurance

Surveillance Plan.

Award contract.

Debrief offerors.

Post Award implementation/transition.

Step Seven – Performance Management

45

Results

Set your performance assessment

schedule

Performance Management

Sub-elements

2. Review

Current Strategy

3. Market

Research

4. Requirements

Definition

5. Acquisition

Strategy6. Execute

Strategy

7. Performance

Management

Mission

Requirement 1. Form the

Team

Mission

ResultsSB

Users

Tech

Legal

PEOs

PCO

Buyers

QA Reps

CORs

Resource Mgt

Proj. Mgr

Stakeholders

Acquisition

Team


Manage and administer overall

program using the QASP.

Prepare and submit performance

assessment (CPARS)

Conduct supplier and key

stakeholders performance reviews.

Proven techniques

• Establish a team and keep it together

• Follow the process

• Conduct a facilitated workshop

– Use a third party facilitator, which will keep office politics out of the workshop

• Follow the Requirements Roadmap thinking process

• Use tools to help you

– Acquisition Requirements Roadmap Tool

46

To

ol /

Jo

b A

id

Wo

rk

Pro

du

ct(

s)

Pro

cess

Wo

rk

Flo

w

Steps 1-3 Steps 4 Steps 5

Synchronize Service AcquisitionsStandard process, formats, tools and training

using Service Acquisition Workshops and the ARRT Suite

Steps 6 Steps 7

Plan Develop Execute

ARRT Suite uses a common database structure to create once, use many

times producing standard, configurable formats for work products 47

Skill Dev. CenterTeam Charter

Project Plan

Communication Plan

Stakeholder Analysis

Market Research

ARRT

To

ol /

Jo

b A

id

Wo

rk

Pro

du

ct(

s)

Pro

cess

Wo

rk

Flo

w




Steps 6 Steps 7




Service Acquisition Workshops (SAW)

Service

Acquisition

Mall


Project Plan

Communication Plan


Market Research

ARRT

To

ol /

Jo

b A

id

Wo

rk

Pro

du

ct(

s)

Pro

cess

Wo

rk

Flo

w




Steps 6 Steps 7


PWS

SOW

SOO

QASP

Requirements Definition

Component




Service

Acquisition

Mall


Project Plan

Communication Plan


Market Research

ARRT

To

ol /

Jo

b A

id

Wo

rk

Pro

du

ct(

s)

Pro

cess

Wo

rk

Flo

w




Steps 6 Steps 7

Independent

Cost Estimate


QASP


Component

Cost Estimation

Component (ICE)



PWS

SOW

SOO


Service

Acquisition

Mall


Project Plan

Communication Plan


Market Research

ARRT

To

ol /

Jo

b A

id

Wo

rk

Pro

du

ct(

s)

Pro

cess

Wo

rk

Flo

w




Steps 6 Steps 7

Independent

Cost Estimate


Source Selection

Plan

QASP


Component

Cost Estimation

Component (ICE)

Evaluation Factors

Component (Section M)



PWS

SOW

SOO


Service

Acquisition

Mall


Project Plan

Communication Plan


Market Research

ARRT

To

ol /

Jo

b A

id

Wo

rk

Pro

du

ct(

s)

Pro

cess

Wo

rk

Flo

w




Steps 6 Steps 7

Independent

Cost Estimate


COR’s Monthly

Performance Tracking

Annual CPARS Input

Source Selection

Plan

QASP


Component

Cost Estimation

Component (ICE)Evaluation Factors

Component (Section M)Performance Assessment

Component


times producing standard, configurable formats for work products

QASP

52

PWS

SOW

SOO


Service

Acquisition

Mall


Project Plan

Communication Plan


Market Research

ARRT

To

ol /

Jo

b A

id

Wo

rk

Pro

du

ct(

s)

Pro

cess

Wo

rk

Flo

w




Steps 6 Steps 7

Internal

Government Cost

Estimate


COR’s Data Capture Tool

Monthly Performance

Tracking

Annual CPARS Input


times producing standard, configurable formats for work products

Source Selection

Plan

QASP


ComponentPerformance Assessment

Component

Cost Estimation

Component (IGCE)

Evaluation Factors

Component (Section M)

QASP

53

PWS

SOW

SOO


Service

Acquisition

Mall

Cost

Estimation

Evaluation

Factors

Performance

Assessment

Requirements

Definition

PWS /SOW

SSP

QASP

ICE CPARS Inputs

Use a structured approach to create

these key acquisition documents

Current

ARRT Suite runs on

MS Access

54

ARRT contains several sample projects

56

Requirements

Definition

57

Requirements

Roadmap Process

ARRT’s ABCs for Requirements

58

ARRT Work Products

#

www.ARRTacquisition.org

• A free online community for ARRT users

• Learn from others’ experiences

• Hear what is going on in the community

• Contribute your experiences

60

http://www.arrtacquisition.org/

SAM: Service Acquisition Mall

http://sam.dau.mil 61

SAM: Service Acquisition Mall

62http://sam.dau.mil/arrt

63

Today’s Learning Objectives

• As a result of this session you will be able to:– Understand a proven 7 steps process to improve your

Service Acquisitions

– Apply a results based approach for developing your requirements documents (SOW/PWS)

– Recognize and understand key processes, skills, and tools to help develop a quality SOW/PWS

Phil Salmeri [email protected]

Lyle Eesley [email protected]

Matt Wilson [email protected]

[email protected] [email protected]

mailto:[email protected]





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If you would like additional training or would like information about an instructor coming to you for onsite training, please let us know

www.publiccontractinginstitute.com1-202-775-7240

http://www.publiccontractinginstitute.com/

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