| Course
Description
This FAI-compliant course is part of the Principals
of Contract Pricing curriculum required for all contracting
professionals. It addresses all facets of price analysis
and provides the student with the knowledge, skills,
and abilities needed to conduct price analysis.
The course employs a combination of lecture-discussion,
case study, and practical exercise techniques to provide
training to cover the comprehensive set of learning
objectives established by FAI.
The target audience for this course consists of members
of the contract specialist (GS-1102) career path. Other
personnel involved in contract pricing decisions would
find the course helpful.
ACE
Credit Recommendation
In
the lower division baccalaureate degree category, 2
semester hours in Business Administration, Federal Acquisition,
Public Administration, Procurement Management, or Purchasing.
Prerequisites
To ensure success, we recommend that students have completed
the following courses:
Acquisition Planning I, Contract Formation I, and Contract
Administration I.
Course
Objectives
Upon successful completion of this course, the student
will be able to:
- Perform
price related market research
-
Conduct price analysis
-
Make price related decisions in simplified acquisitions,
sealed bidding, and negotiated procurements in accordance
with the Federal Acquisition Regulation
|
| Course
Content |
| Lesson
1: |
Market
Research for Price Analysis |
| |
Given
a purchase request containing the Independent Government
Cost Estimate (IGCE), excerpts from relevant acquisition
histories, and sample market data:
-Determine whether the IGCE is reasonable.
-Identify internal and external sources of market data
for estimating and analyzing prices.
-Develop an estimate of the proper price level. |
| Lesson
2: |
Maximizing
Price Competition |
| |
Given
sample requirements documents, excerpts from relevant
acquisition histories, and sample market data:
-Identify actions that would increase price competition,
including potential changes to the solicitation terms
and conditions. |
| Lesson
3: |
Price-Related
Information from Offerors |
| |
Given
sample requirements documents, excerpts from relevant
acquisition histories, and sample market data:
-Determine the need to obtain additional price-related
information from offerors
-Identify requirements for cost or pricing data.
-Recognize the applicability of one or more exceptions
to the requirement for such data.
-Determine the need for information from offerors other
than cost or pricing data. |
| Lesson
4&5: |
Price-Related
Factors |
| |
Given
the solicitation:
-Develop price-related factors for award.
-Given offers:
-Calculate the evaluated price of each offer. |
| Lesson
6: |
Price
Comparisons |
| |
Given
evaluated prices, information from offerors and market
research, and quantitative techniques:
-Select prices for comparison (i.e., commercial, historical,
ICE).
-Identify factors that affect price comparisons.
-Determine the effect of the factors on the price comparisons.
-Apply quantitative techniques to compare prices.
-Develop an estimate of the "should pay" price. |
| Lesson
7: |
Accounting
For Differences |
| |
Given
evaluated prices, information from offerors and market
research and the should pay price:
-Investigate the reasons and consequences of differences
(if significant) between offered prices and the "should
pay" price. |
Lesson
8: |
Price-Related
Decisions in Sealed Bidding |
|
Given
bids, the evaluated prices bid, information from bidders
and market research, the should pay price, and analyses
of significant differences between the should pay price
and evaluated prices bid:
-Identify possible mistakes in bids.
-Determine whether to reject a bid that is unreasonably
low or materially unbalanced.
-Determine the applicability of price-related reasons
for canceling the IFB. |
Lesson
9: |
Price-Related
Decisions in Negotiations |
|
Given
proposals, evaluated prices, information from offerors
and market research, the should pay price, and the findings
of the analysis of significant differences between the
should pay price and evaluated prices:
-Identify the need to request additional pricing information
from offerors.
-Recognize the role of price-related information in establishing
the competitive range.
-Plan factfinding related to proposed prices.
-Establish prenegotiation positions on price.
-Consider potential trade-offs between price and other
terms and conditions of the contract.
-Identify the conditions that may require cancellation
of the solicitation and/or resolicitation. |
Lesson
10: |
Documentation |
| |
-Identify
documentation requirements for sealed bidding and negotiated
procurements. |
