DATE: November 17, 2015
SUBJECT:
Title
RESOLUTION SELECTING AND AUTHORIZING AGREEMENTS WITH:
A) V3IT CONSULTING, INC.
B) PHOENIX BUSINESS, INC. DBA PHOENIX BUSINESS CONSULTING
C) SAGE GROUP CONSULTING, INC.
D) RJT COMPUQUEST, INC.
E) NH BRANDT, INC.
F) PAS SOFTWARE SERVICES, INC.
G) LABYRINTH SOLUTIONS, INC. DBA LSI CONSULTING
H) QSI, INC.
TO PROVIDE AS-NEEDED SAP LEVEL 3 SUPPORT SERVICES FOR A PERIOD OF FIVE (5) YEARS, FOR A TOTAL AGGREGATE AMOUNT NOT TO EXCEED $1,250,000.
Body
EXECUTIVE SUMMARY:
This proposed action will provide continued as-needed Level 3 support for SAP, the District’s Enterprise Resource Planning system. The District created Requests for Qualifications No. 15-31 (RFQ 15-31) with the intent to enter into a multi-vendor agreement with qualified firms to provide Level 3 support for all aspects of the SAP system.
Information Technology support services are comprised of three (3) service levels. Level 1 is the initial support level responsible for basic customer issues which is provided by Business Information & Technology Services Department (BITS) System Support Analysts. Level 2 is a more in-depth technical support level where more experienced and knowledgeable personnel such as BITS Business Systems Analysts provide the support within a particular function or product. Level 3 is the highest level of support responsible for handling the most difficult or advanced problems and these vendors will provide that service.
A multi-vendor agreement provides the District with options to select the best approach to a solution and/or best price. It ensures expertise and best practices across all disciplines of the SAP system and the ability to leverage each firm’s individual strengths. A multi-vendor agreement also provides greater capacity to work on multiple projects concurrently.
On September 2, 2015, the District issued RFQ 15-31 and electronically notified 487 firms of the request. 13 firms submitted proposals of their qualifications. A selection panel evaluated the responses based on the District’s standard evaluation criteria.
An evaluation committee comprised of BITS, Equal Opportunity, and Procurement Services staff, analyzed the proposals, conducted interviews on September 30 and October 1, 2015, and ranked the firms according to the criteria established in the RFQ. The firms that were interviewed included: Microexcel, Inc., QSI, Inc. Sage Group Consulting, Sierra Infosys, Inc., LSI Consulting, Quintel-MC, Inc., PAS Software Services, Inc., V3iT Consulting, Inc., Phoenix Business, Inc., SmallBoard, NH Brandt, Inc., RJT Compuquest, Inc. and Insight Global.
RECOMMENDATION:
Recommendation
Adopt a Resolution selecting and authorizing As-Needed Agreements with V3iT Consulting, Inc.; Phoenix Business, Inc. dba Phoenix Business Consulting; Sage Group Consulting; RJT Compuquest, Inc.; NH Brandt, Inc.; PAS Software Services, Inc.; Labyrinth Solutions, Inc. dba LSI Consulting; and QSI, Inc. to provide SAP Level 3 Support Services for a period of five (5) years for a total aggregate amount not to exceed $1,250,000.
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FISCAL IMPACT:
Funds for the first year of this expenditure are budgeted in the FY 15/16 Technology Management Program Professional Services account or otherwise included in the applicable project budgets of the District’s Technology Strategic Plan as approved by the Board. Funds required for future fiscal year(s) will be budgeted for in the appropriate fiscal year and cost account subject to Board approval upon adoption of each fiscal year’s budget.
Compass Strategic Goals:
The proposed action will utilize the expertise and experiences of qualified vendors in order to leverage SAP’s ongoing technologies and to streamline the District’s business processes. This agenda item supports the following Strategic Goal(s).
• A thriving and modern maritime seaport.
• A Port with an innovative and motivated workforce.
• A financially sustainable Port that drives job creation and regional economic vitality.
DISCUSSION:
In 2003, the District implemented SAP as its ERP system. The initial effort involved the implementation of the SAP business systems of Financials, Cost Accounting, Funds Management for Public Sector, Procurement, Inventory, Real Estate, Budget Preparation, Human Capital Management, Payroll, and Project System (management of capital development and major maintenance projects). Subsequently, staff implemented the Plant Maintenance and Sales and Distribution modules, retiring two legacy systems, Synergen and Maritime Operations Information Systems (MOIS).
The goals of the Level 3 support agreements are to provide the District with programming support for the various SAP modules, streamline District processes, improve user experience, and improve business area reporting. It was important to select firms that could support each of the District's SAP components and who demonstrate strong business and technical knowledge along with expertise and experience in Public Sector and best business practices.
The decision to select multiple firms was made to eliminate historical support challenges caused by the following: (i) staff turnover at the consulting firms, (ii) limitations of a vendor’s available skill set, (iii) the District's use of specialized functionality that may not be fully addressed by any one firm, and (iv) responsiveness to District’s needs.
When an enhancement request or complex issue requires Level 3 support, a request, detailing the requirement or issue is sent to all firms on the Level 3 Agreement. These firms will propose a solution and estimate of effort. BITS staff selects the firm with the best solution and price.
An evaluation committee comprised of the BITS, Equal Opportunity, and Procurement Services staff, analyzed the proposals, conducted interviews on September 30 and October 1, 2015, and ranked the firms according to the criteria established in the RFQ. The firms that were interviewed included: Microexcel, Inc., QSI, Inc. Sage Group Consulting, Sierra Infosys, Inc., LSI Consulting, Quintel-MC, Inc., PAS Software Services, Inc., V3iT Consulting, Inc., Phoenix Business, Inc., SmallBoard, NH Brandt, Inc., RJT Compuquest, Inc. and Insight Global.
Using the District's decision analysis process, the committee selected the following eight (8) firms as being the most able to meet the District's needs.
V3iT Consulting, Inc. (V3iT) - V3iT was established in 2001 and their primary business focus is the SAP suite of software. It is headquartered in Naperville, Illinois and has its Center of Excellence in Thane, India and Center of Dedication to e-Learning in Belgaum, India. V3iT has been providing consulting services to the District since 2006 and has worked with other Public Sector agencies with similar scope. V3iT proposed one of the lowest fee structures in its proposal.
Phoenix Business Consulting (Phoenix) - Phoenix is headquartered in Haltom City, TX with an office in Los Angeles, CA. Phoenix specializes in providing SAP implementation and support services to the Public Sector. Phoenix has over 17 years of experience providing production support to Public Sector firms. Phoenix proposed an onsite visit at no additional cost to analyze the current state of the District’s SAP implementation.
Sage Group Consulting, Inc. (Sage) - Sage has been in business since 2001 with offices in Hazlet, NJ; Schaumburg, IL; Houston, TX and NOIDA, India. Sage has been successfully providing consulting services to the District for the past nine (9) years. Sage proposed at no additional cost to analyze the SAP implementation at the District.
RJT Compuquest, Inc. (RJT) - RJT was founded in 1996 and is based out of Irvine, CA. RJT has been providing consulting services to the District since 2003. Their proposed staff demonstrated excellent skill sets with additional offshore support. RJT proposed at no additional cost an onsite knowledge acquisition and in-depth analysis of the District’s business processes.
PAS Software Services, Inc. (PAS) - PAS is based in Houston, TX and has 25 years of SAP experience. PAS has expertise in SAP Business Warehouse architecture, custom data modeling and Business Intelligence reporting.
NH Brandt, Inc. (NHB) - NHB has over 17 years of SAP architecture and development experience. NHB is based locally in San Diego and has worked as a sub-consultant on several SAP projects at the District and is very familiar with District business processes.
LSI Consulting (LSI) - LSI was founded in 1998 as a result of participating in the first two SAP Public Sector implementations in the U.S. LSI is based in New Jersey with a local office in San Diego. LSI has strong Public Sector experience with strong expertise in SAP’s Business Objects platform. LSI has been providing consulting services to the District since 2014.
QSI, Inc. (QSI) - QSI was founded in 1998 and is headquartered locally in Carlsbad, CA. QSI has strong experience with Public Sector firms and scope of work similar to the District’s. QSI has provided consulting services for the District as a sub-consultant.
QSI proposes the following sub-consultants: Abeam and ZEDventures
General Counsel’s Comments:
The Office of the General Counsel has reviewed the issues set forth in this agenda sheet and found no legal concerns as presented, and has reviewed and approved the agreements for form and legality. The agreements follow the District’s standard template which requires the service provider to defend, indemnify and hold harmless the District, its agents, officers or employees, from and against any claim, demand, action, proceeding, suit, liability, damage, cost or expense arising out of, or related to the performance of services by service provider.
Environmental Review:
The proposed Board action does not constitute a “project” under the definition set forth in California Environmental Quality Act (CEQA) Guidelines Section 15378 because it will not have a potential to result in a direct or indirect physical change in the environment and is therefore not subject to CEQA. No further action under CEQA is required.
The proposed Board action does not allow for “development,” as defined in Section 30106 of the California Coastal Act, or “new development,” pursuant to Section 1.a. of the District’s Coastal Development Permit Regulations. Therefore, issuance of a Coastal Development Permit or exclusion is not required.
Equal Opportunity Program:
Due to limited subconsulting opportunities, no small business enterprise goal was established.
PREPARED BY:
Romero San Agustin
Business Systems Supervisor,
Business Information and Technology Services
Attachment(s):
Attachment A: Draft Agreement 231-2015 - V3iT Consulting, Inc.
Attachment B: Draft Agreement 232-2015 - Phoenix Business, Inc.
Attachment C: Draft Agreement 233-2015 - Sage Group Consulting, Inc.
Attachment D: Draft Agreement 234-2015 - RJT Compuquest, Inc.
Attachment E: Draft Agreement 235-2015 - NH Brandt, Inc.
Attachment F: Draft Agreement 236-2015 - PAS Software Services, Inc.
Attachment G: Draft Agreement 237-2015 - LSI Consulting
Attachment H: Draft Agreement 238-2015 - QSI, Inc.