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14 Guide to Contracting ITS Projects START Step 1--Make Initial Decisions Use outsourc- Now you are ready to get started with the first step of the Decision Model. This first step actu- ing process ally involves a series of substeps designed to help make some initial decisions about the funda- (procure- ment mental project characteristics that differentiate a system development, a consultant contract, and package 6 or 7) an outsourcing contract. These subjects have been discussed earlier during the project planning STEP 1 activities. INITIAL DECISIONS The logic for Step 1, diagrammed in Figure 5, leads to four possible outcomes; one of which Use Other consulting services involves moving on to Step 2 of the Decision Model. process being (procure- procured. ment Not package covered 5) by this Model. Most system developments will STEP 2 Yes WORK take this path. Start DISTRIBUTION Send individual projects through No the Decision Does the agency Model. Does the project intend to outsource an No existing activity or include a system No function? development? Yes Yes Are traditional STEP 3 STEP 4 Yes No DEFINE PROJECT DETERMINE consulting services CATEGORY(IES) AGENCY being procured? CAPABILITY LEVEL STEP 5 Use outsourcing Go To Step Use consulting Other services SELECT APPLICABLE SYSTEMS process (procurement 2 process (procurement being procured. ENGINEERING package 6 or 7)* package 5)* Not covered by PROCESS(ES) & CANDIDATE Decision Model. PROCUREMENT PACKAGE(S) 1 2 * Following the identification 3 of a procurement package, STEP 6 go directly to Step 7 of the APPLY DIFFERENTIATORS Decision Model. Schedule Constraints Figure 5. Initial project-planning decision process. STEP 7 PACKAGE ASSESSMENT AND FINAL SELECTIONS Three other outcomes to the initial decision process are possible. These outcomes are identi- fied by the bracketed numerals 1 through 3 in Figure 5 and in the following descriptions. STEP 8  This outcome indicates you are planning to outsource an existing agency activity or agency DEFINE CONTRACT SCOPE AND TERMS & CONDITIONS function. Select procurement package 6 or 7 and go directly to Step 7 of the Decision Model process.  This outcome indicates a focus on the use of traditional consulting procurement processes END as associated with procurement package 5. Select procurement package 5, and go directly to Step 7 of the Decision Model process.  This outcome indicates that you are procuring services not addressed by any of the pro- curement packages covered within this guide. For example, procurement packages specific to public-private partnership contracts are not covered.