Performance-Based Contracting

Multi-million and billion-dollar government contracts are increasingly being awarded as a result of performance-based statements of work developed by government acquisition teams. In the past, a federal agency would issue a statement of work setting out the work to be done, minimum requirements, performance dates and so on.

Today, more and more federal agencies are requesting performance work statements (PWS) which turns the procedure around. Simply defined, performance-based contracting allows government to acquire services via contracts that define what is to be achieved, not necessarily how it is done. Contractors are required to develop the statement of work using performance metrics, measuring tools and a quality assurance plan. It enables contractors to follow an innovative development approach and allows the agency to evaluate each proposal for performance benefits before the contract is awarded.

Writing a Performance-Based Statement of Work is not easy. Focusing on the product to be purchased and outcomes and not the process requires discipline and guidance. This book, Performance Based Contracting, is an invaluable guide in understanding this process and helping government put in place more effective, efficient acquisitions and industry to secure major federal contracts.

The book shows you how to write a successful performance-based statement of work with lots of case studies and examples. Chapters lead you through all the steps necessary – from planning and market research to writing the performance-based statement of work and everything in between.

The book highlights the key elements of performance-based acquisition which encourage innovative business practices and emphasizes that performance-based acquisition requires the participation of all stakeholders – the users, the acquisition workforce and industry – to ensure the requirement is adequately satisfied.

The book also stresses that it is vital that all stakeholders understand the importance of their role in the process which is comprehensive and must include the user, and many different functional team members – including financial managers, legal advisors, program (project) managers, contracting officers, contracting specialists and so on. It is essential that industry be a key participant, especially, but not only, when the requirements are complex.

This is a ‘must read’ book for anyone and everyone involved in the federal contracting – whether they are seeking to win contracts or are responsible for awarding and managing them.

The authors have researched extensively through federal sources to bring the reader the most comprehensive desk reference available on all aspects of the performance-based contracting. This book has drawn heavily on the authoritative materials published by the a wide range of federal agencies including the Government Accountability Office (GAO), the General Services Administration (GSA), the Federal Emergency Management Agency (FEMA), the Department of Homeland Security (DHS), and Headquarters, Department of the Army. Then, the authors have organized the information into an organized and logical presentation, added their own experience and a high value step-by-step process to provide a valuable resource to contract veterans and newcomers alike.

The easy to follow step-by-step process explains the duties and responsibilities of all parties in the acquisition process, key skill areas required and how these are applied throughout the contracting life cycle. Finally, the authors provide a wealth of forms, report formats, checklists – checklists and more checklists – that guide all key individuals through the performance-based process.

Throughout this handbook, there are case studies, checklists, exercises and structured “if-then” guides designed to prepare contract writers and evaluators for the tasks in hand, give them a powerful set of management tools, motivate them to succeed and inspire them to adopt best practices in order to achieve even more positive performance outcomes.