Business Finance Homework Help

Case Study: The First Rate Training Company

Submit your answers and be prepared to discuss in the live class session.

Under an existing advisory and assistance services contract, the First Rate Training Company (FRTC) prepared a detailed plan for the scientific and technical training of your agency’s personnel. The plan included numerous manning and staffing suggestions, such as minimum education and detailed experience requirements for instructors. These suggestions were based upon the minimum qualifications of current FRTC instructors. The entire plan was subsequently incorporated into a new request for proposals released by your office last week. That RFP requires contractors to execute and conduct the training as outlined in FRTC’s plan. The solicitation utilized full and open competition procedures. Proposals are due in approximately three weeks.

Today your network contract manager (NCM) received a call from Ken Hitchcock, president of Train-All, a company you expected to propose to your RFP. Mr. Hitchcock complained that the requirements document in your RFP looks “amazingly like FRTC’s training brochure.” Before angrily hanging up the phone, he added, “How can we possibly compete? It looks like FRTC wrote the requirement so that only they can win the award!”

The NCM has directed you to conduct a thorough analysis of the situation and, if necessary, recommend a plan to eliminate or mitigate any potential offeror conflicts of interest. Your objective is to ensure impartiality and objectivity in this acquisition.

Here’s the issue: Is First Rate being given an unfair competitive advantage based on its performance of the advisory and assistance contract? After your initial look at the situation, you have determined there are four distinctly different scenarios that could apply:

a) First Rate may be awarded the new training contract although it served in an advisory and assistance service capacity

b) First Rate may not be awarded the new training contract because it is a personal services contract

c) First Rate may not be awarded the new training contract because scientific and technical training is an inherently governmental function

d) First Rate may not be awarded the new training contract because its drafting of the training plan presents a conflict of interest.

1. Define Organizational Conflict of Interest (OCI), to include at least two different types of OCIs (i.e., circumstances leading to a possible OCI)?
2. Does an OCI exist in this circumstance? Explain.
3. If you find that there is an OCI, how will you remedy the situation?
4. If you don’t believe there is a conflict, how will you address Mr. Hitchcock’s complaint?
5. Can you award to FRTC even if you determine there is an OCI?