The Navy awarded an $850 million SeaPort-NxG multiple award contract (MAC) task order to IBM [IBM] on April 24 for Navy Enterprise Resource Planning (ERP) Technical Support Services (NETSS) work.

The NETSS task order was awarded on behalf of the Navy’s Program Executive Office for Manpower, Logistics and Business Solutions’ (PEO MLB) Navy Enterprise Business Solutions (Navy EBS) program management office. NETSS is the lead system integrator for ERP, which is the Navy Department’s financial system of record, managing almost 56 percent of the Navy’s total obligation authority.

This latest task order covers a one-year base period of performance with four 12-month options and another option to extend the task order term for six months. 

The NETSS task order includes information technology, information management, large scale systems integration and information systems mission support activities. The vendor is specifically set to provide services to upgrade and support Navy ERP’s capabilities including business intelligence, logistics, development, deployment and sustainment. 

NETSS services include data governance and analysis, business process re-engineering and management, software design and developing, and business system integration. Additionally, NETSS includes process management, solution delivery and data services, which support current and future Department of Defense and Department of Navy (DoN) requirements in the areas of enterprise information management services, solution engineering services, business process management services, analytics and decision support services and knowledge transfer.

“The award of NETSS is a major milestone in the continued maturation of Navy ERP’s capabilities. The services provided by the NETSS task order will enable the continued migration of new commands to Navy ERP, a move that will facilitate the Navy’s ability to conduct a clean financial audit,” Edward Quick, program manager for Navy EBS, said in a statement.

The Navy said ERP has thus far been deployed to 72,000 users across six Navy systems commands.

Over the past year, Navy EBS has consolidated and migrated seven DoN commands and the Office of the Secretary of the Navy from their legacy financial systems to Navy ERP, together consisting of $8 billion of budget authority. This included migrating and validating over four billion transactions to Navy ERP, “providing a more complete and audit-ready financial management system,” the service said.

“The recent strides the Navy has made in migrating commands to Navy ERP and the award of NETSS is a testament to the strong partnership and collaboration between PEO MLB and the Assistant Secretary of the Navy for Financial Management and Comptroller,” Les Hubbard, program executive officer for Manpower, Logistics and Business (MLB) Solutions, added.

The NETSS solicitation was first released to all of the SeaPort-NxG multiple award contract (MAC) holders in December, with proposals due in late January 2021.

In 2018, the Navy awarded 1,870 MACs for future competition on an expected $5 billion annual next generation seaport support work under the SeaPort-NxG contract vehicle. That work was divided between engineering support services and program management support services (Defense Daily, Dec. 3, 2018).

SeaPort is the Navy’s electronic platform to acquire support services in 23 functional areas. 

Before moving to the NETSS contract vehicle, system integrator support for the Navy ERP was provided via multiple companies in the Process Improvement, Reengineering, Management and Data Support Services (PIRMDS2) indefinite delivery, indefinite quantity MAC issued in 2016 by Naval Supply Systems Command Fleet Logistics Center Norfolk.

Last year, the Navy’s top acquisition official disestablished Program Executive Office Enterprise Information Systems (PEO EIS) and split it into PEO Digital and Enterprise Services (Digital) and PEO MLB. Previous PEO EIS offices related to manpower, logistics and other business solutions like EBS fall under PEO MLB. (Defense Daily, May 6, 2020).