Sea Enterprise Corporate Business Council Agenda Topic Overview Topic:Enterprise Services (Cell Phone Contracts) Type Brief:Information Objectives: Review.

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Presentation transcript:

Sea Enterprise Corporate Business Council Agenda Topic Overview Topic:Enterprise Services (Cell Phone Contracts) Type Brief:Information Objectives: Review CNI and NMCI cell phone initiatives Review acquisition strategy Review contract terms/status -Ordering and pricing information -How fast can we expect to implement -Required guidance to the enterprise Required Decisions:  None – Provided for information

CNI and NMCI Cell Phone Initiatives  Two separate initiatives  Approaches reflect a key difference in assumptions regarding unit price reductions for total requirements in excess of 15,000 units*  NMCI approach: Reductions unlikely, so maintain competition among 6 national providers  CNI/FISC approach: Significant price reductions available, so consolidate requirements  DON-CIO chaired meeting of 31 August 04  DASN (Acq) asked to lead assessment  Goal: To ID which approach provides better solution for Navy in time to support CNI’s requirements *Estimated Total Navy Requirement: 90,000 – 100,000

CNI and NMCI Cell Phone Initiatives Assessment Team  DASN (Acq)  Tom Essig  Jim Woodford  CDR Bob Cox  KT Petersen  DON-CIO:  John Lussier  NAVSUP/CNI  Tom Trump (NAVSUP)  Tammy Sanchez (FISC SD)  Karen Rainville (FISC SD)  CAPT Walt Jacunski (FISC SD)  Tammy Jones (NAVICP)  NMCI  Capt Chris Christopher  Mike Busansky  OGC  Richard Prevost  Penny Rabinkoff  OPNAV N6F  Tim Traverso  PEO-IT  Don Trayer

CNI and NMCI Cell Phone Initiatives Key Findings Significant tiered pricing discounts did not materialize CNI rates lower than NMCI rates, however Not an “apples to apples” comparison Not able to calculate total cost of ownership for CNI approach NMCI offer includes benefits not in CNI offer Insufficient data to determine which provides better value Insufficient time to obtain data necessary to complete analysis and support CNI requirements

CNI and NMCI Cell Phone Initiatives Key Findings (cont’d)  Both Approaches Provide:  Better value than commercial, GSA, or current fragmented pricing  Actions recommended by GAO telecommunications report  Accurate spend & usage data  A method of aggregating the number of portable devices being purchased and used  Identification of who is using these devices and how devices are being used

Acquisition Strategy  “Fly Off”  FISC authorized to award contracts  Voice and other services that do not require NMCI interface (CONUS)  Requirements contract (mandatory use) for CNI  IDIQ contract (optional use) for others  All other services/supplies: IDIQ for enterprise  1 basic year plus 4 option years  NMCI authorized to modify contract to include new wireless voice/data provisions/pricing  Voice and other services that do not require NMCI interface  IDIQ (optional use) for enterprise  As current contracts expire, all Navy personnel must use either CNI or NMCI contract for cell phone service

Acquisition Strategy Remaining Tasks  Acquisition policy document being prepared by PEO-IT  Establishing  Exception/waiver process (PEO/IT)  Mechanism established/ID’d to compare contract rates to current commercial/GSA (FISC/NMCI)  Complete analysis of:  Benefits of NMCI approach  Total cost of ownership (CNI and NMCI)  Experience under CNI and NMCI approaches

Acquisition Strategy Upon Completion of Analysis  If BCA supports enterprise use of NMCI  Make NMCI mandatory for all except CNI  Make NMCI mandatory for CNI upon expiration of base period of CNI contract  Do not exercise CNI options  If BCA supports enterprise use of CNI  Mandate CNI approach for all  NMCI approach no longer available for use  Take appropriate action if BCA supports approach different than either of these

FISCSD Sponsored Contract (CNI) Additional Information  Common Features Included in Plans  Caller ID; Voice Mail; (Add-on Charge in Some Nextel Plans)  Call Forwarding; 3-Way Calling; Call Waiting; Text Messaging; Directory Assistance  Flexible Reporting – With Capability Starting at Navy Level…  Ordering Office Level  Delivery Order Level  Program/Department Level  User Level  Billing – Hard Copy or Electronic

How fast can we expect to implement?  NMCI proposal expected this week  FISC SD contract in place now  Available now for all FISC customers  Posted to NAVSUP collaboration site for NAVSUP access  CNI expects to be completely transitioned to the FISC SD contract by 21 Jan 05  Should be available for others by end of month  FISC SD and PEO-IT developing ordering guide with FAQs  Working to place on DoD e-mall (early CY05)

Required Guidance to Enterprise  PEO-IT drafting acquisition policy document  Will implement mandatory use policy  Guidance document planned for PEO-IT website  DON-CIO drafting companion policy document

Sea Enterprise Corporate Business Council Agenda Topic Overview Topic:Enterprise Services (Cell Phone Contracts) Type Brief:Information Objectives: Review CNI and NMCI cell phone initiatives Review acquisition strategy Review contract terms/status -Ordering and pricing information -How fast can we expect to implement -Required guidance to the enterprise Required Decisions:  None – Provided for information