CONDUCTING MARKET RESEARCH Fred Lagunas Procurement Center Representative SBA Office of Government Contracting 4 Mar 09.

CONDUCTING MARKET RESEARCHCONDUCTING MARKET RESEARCH

Fred LagunasFred LagunasProcurement Center Procurement Center

RepresentativeRepresentativeSBA Office of Government SBA Office of Government

ContractingContracting4 Mar 094 Mar 09

PolicyPolicyFAR 19.502-2 Total Small Business Set-FAR 19.502-2 Total Small Business Set-asidesasides

• … …..each acquisition of supplies or ..each acquisition of supplies or services that has an anticipated services that has an anticipated dollar value exceeding dollar value exceeding $3,000($15,000 for acquisitions as $3,000($15,000 for acquisitions as described in 13.201(g)(1), but not described in 13.201(g)(1), but not over $100,000 is automatically over $100,000 is automatically reserved exclusively for small reserved exclusively for small concerns and concerns and shallshall be set-aside for be set-aside for small business……small business……• The contracting officer The contracting officer shallshall set- set-aside any acquisition over $100,000 aside any acquisition over $100,000 for small business participation when for small business participation when there is a reasonable expectation there is a reasonable expectation that….that….

• … ….offers will be obtained from at .offers will be obtained from at least two responsible small least two responsible small business concernsbusiness concerns

Market Market Research Research

PolicyPolicy• FAR Part 10.001 PolicyFAR Part 10.001 Policy– Agencies must conduct market research Agencies must conduct market research

appropriate to the circumstances--appropriate to the circumstances--

•before soliciting offers for acquisitions before soliciting offers for acquisitions with an estimated value in excess of the with an estimated value in excess of the simplified acquisition threshold(SAT)simplified acquisition threshold(SAT)

•before soliciting offers for acquisitions before soliciting offers for acquisitions with an estimated value less than the with an estimated value less than the SAT when adequate information is not SAT when adequate information is not available and the circumstances justify available and the circumstances justify its costits cost

Market Research Market Research Policy Policy cont’dcont’d

• market research should validate market research should validate the acquisition strategy being the acquisition strategy being usedused

• should back-up decision not to should back-up decision not to set-aside if a protest arisesset-aside if a protest arises

•consolidate results of market consolidate results of market research into a Market Research research into a Market Research document document

Agencies shall conduct market Agencies shall conduct market research on an ongoing basisresearch on an ongoing basis

CONDUCTING MARKET CONDUCTING MARKET RESEARCHRESEARCH

Agencies should document the Agencies should document the results of market research in a results of market research in a manner appropriate to the size and manner appropriate to the size and complexity of the acquisitioncomplexity of the acquisition““Requirements personnel and contracting Requirements personnel and contracting officers must WORK TOGETHER AS A TEAM officers must WORK TOGETHER AS A TEAM TO GATHER MARKET DATA needed to make TO GATHER MARKET DATA needed to make decisions. Market research utilized to justify decisions. Market research utilized to justify sole source must be complete and not more sole source must be complete and not more than 6 months old. A statement that “the than 6 months old. A statement that “the solicitation will be synopsized and that all solicitation will be synopsized and that all proposals received will be evaluated” is proposals received will be evaluated” is notnot a a substitute for performing adequate market substitute for performing adequate market research and in itself does not support and research and in itself does not support and justify sole source.”justify sole source.”

When conducting market research agencies;When conducting market research agencies;

should not request potential sources to should not request potential sources to submit more than the minimum information submit more than the minimum information necessarynecessary

should consult with the local SBA PCR as should consult with the local SBA PCR as early as possible during the acquisition early as possible during the acquisition processprocess

Market research is not just posting a Sources Market research is not just posting a Sources Sought or a RFI notice alone. You should also Sought or a RFI notice alone. You should also include results from a search in the Dynamic include results from a search in the Dynamic SB Search website. SB Search website.

The extent of market research WILL VARY, The extent of market research WILL VARY, depending on such factors as urgency, estimated depending on such factors as urgency, estimated dollar value, complexity, and past experiencedollar value, complexity, and past experience

CONDUCTING MARKET CONDUCTING MARKET RESEARCHRESEARCH

Market Research Market Research DocumentDocument

• Document responses received from Document responses received from RFIs and Sources Sought noticesRFIs and Sources Sought notices• Identify the number of SBs responding Identify the number of SBs responding

and SB categoryand SB category• Document if they intend to participate Document if they intend to participate

as a prime, team member or as a prime, team member or subcontractorsubcontractor

• Document results from Dynamic SB Document results from Dynamic SB Search queriesSearch queries• Number of results from each categoryNumber of results from each category• Identify each SB contacted by nameIdentify each SB contacted by name

ReferencesReferences

FAR Part 10FAR Part 10FAR Part 19FAR Part 19

CONDUCTING MARKET RESEARCH

CONDUCTING MARKET RESEARCH

QUESTIONS????

Fred Lagunas536-8685

[email protected]

Office of Government Office of Government ContractingContracting

MissionMissionThe Office of Government The Office of Government

Contracting’s mission is to Contracting’s mission is to help enhance the effectiveness help enhance the effectiveness of small business programs by of small business programs by working with Government working with Government Contracting and Business Contracting and Business Development (GC/BD) Development (GC/BD) program offices and others to program offices and others to develop policies, regulations, develop policies, regulations, and statutory changesand statutory changes..

Basis for SBA ProgramsBasis for SBA Programs

Small Business ActSmall Business Act

• Implements Congressional Implements Congressional Policy to aid, counsel, assist & Policy to aid, counsel, assist & protect the interests of small protect the interests of small business concernsbusiness concerns• Goal of policy is to ensure that a Goal of policy is to ensure that a fair proportion of purchases, fair proportion of purchases, contracts & subcontracts be contracts & subcontracts be placed with small businessesplaced with small businesses

Small Business Contract Small Business Contract Assistance ProgramsAssistance Programs

Prime Contract AssistancePrime Contract AssistanceSmall business set-aside programSmall business set-aside programProcurement Preference GoalingProcurement Preference GoalingSize Determination ProgramSize Determination ProgramWaivers to the Non-Manufacturer Waivers to the Non-Manufacturer RuleRuleNatural Resources ProgramNatural Resources ProgramCertificate of Competency (COC)Certificate of Competency (COC)

Subcontracting AssistanceSubcontracting Assistance

Office of Government Office of Government ContractingContracting

Procurement Center Procurement Center RepresentativesRepresentatives

PCRsPCRs

What PCRs DoWhat PCRs Do

•Promote SBA Programs/8(a) BDPromote SBA Programs/8(a) BD•Review Acquisitions, Bundling Review Acquisitions, Bundling Cases &Cases & SolicitationsSolicitations•Recommend Set-AsidesRecommend Set-Asides•Perform Market ResearchPerform Market Research•Provide & Attend Training Provide & Attend Training EventsEvents•Perform Surveillance ReviewsPerform Surveillance Reviews•Counsel Small, “Other Than Counsel Small, “Other Than Small” & Small” & Federal AgenciesFederal Agencies•Perform OutreachPerform Outreach

What PCRs SeeWhat PCRs See

•Small Business Small Business ReviewReview Form (DD2579)Form (DD2579)•Government Government EstimateEstimate•Sole SourceSole Source•J&As J&As •Statement of Statement of WorkWork•Acquisition PlanAcquisition Plan•Market SurveyMarket Survey•Purchase Purchase RequestRequest•Purchase HistoryPurchase History•SynopsisSynopsis

•Source Selection Source Selection CriteriaCriteria•A-76 InformationA-76 Information•Sensitive InformationSensitive Information•Set-aside appealsSet-aside appeals•Certificate ofCertificate of Competency RequestCompetency Request•Subcontracting PlansSubcontracting Plans•Bid AbstractsBid Abstracts