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SEWP's delay no cause for worry

Aug. 19, 2014 - 11:26AM   |  
By JENNIFER SAKOLE   |   Comments
Jennifer Sakole is the principal analyst for Federal Information Solutions at Deltek. Her experience spans 20 years in the federal market in various roles including proposal writer, pricing analyst, marketing manager and account manager. She has been with INPUT and Deltek for over a decade.
Jennifer Sakole is the principal analyst for Federal Information Solutions at Deltek. Her experience spans 20 years in the federal market in various roles including proposal writer, pricing analyst, marketing manager and account manager. She has been with INPUT and Deltek for over a decade. ()

We recently learned that the award announcement for NASA’s $20 billion GWAC, Solutions for Enterprise-Wide Procurement (SEWP) V—expected in August—will be delayed to September.

To help ease any SEWP award-related anxiety you may be feeling and get you ready for what to expect as a SEWP V contract holder, here are a few interesting statistics and trends that my colleague, Andrew Endicott, identified in his recently-published Opportunity Snapshot of SEWP IV.

High Volume: The current iteration of the GWAC, which focuses on computer equipment and related services, has experienced a high volume of activity both in terms of reported spending and number of task orders awarded from fiscal 2010 to 2013.

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The report cites an average of over 12,000 task orders awarded annually, with an average task order value of $196,000. Keep in mind that in many cases, the reported obligations on a task will not equal the award value. That is the case with SEWP IV, where on average the reported obligations per task is $165,000 (or 84 percent of the average award value per task).

Plan for Q4: Over the last four fiscal years, the SEWP IV busy season reflects what we see across the federal market—a flurry of activity in the fourth quarter.

For SEWP IV, the first quarter has typically seen the lowest volume of task order award activity, with an average of 1300 awards from FY 2010-2013. In the third quarter, activity picks up with about double the amount of first-quarter awards.

If you do win a spot on SEWP V, then you’ll want to be aware of—and plan for—the huge spike of awards that occur in the fourth quarter: On average, half of the year’s tasks are awarded during this time.

Small Business: Small businesses have seen increased obligations and task order awards on SEWP IV since fiscal 2010 – in contrast with large businesses, which have seen reductions in both areas. The number of tasks awarded to small businesses in fiscal 2013 increased by almost 20 percent from fiscal 2010 (from 6,750 to 8,080).

In FY 2013, reported spending with small businesses totaled $ 1.4 billion, a 26 percent increase from FY 2010. Almost two-thirds of the FY 2013 total reported spending through SEWP was done with small businesses.

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