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Deloitte won up to $488 million from the FAA after demonstrating its work first. Procurement leads decide what bidders must prove.

The US Federal Aviation Administration awarded Deloitte a potential 10-year, $488.2 million contract on Friday, Nextgov/FCW reported on Monday 9 November.

ERP LEADERS news desk · · First reported by Nextgov/FCW · Edition no. 67
Photo: Raysonho @ Open Grid Scheduler / Grid Engine/Wikimedia, CC0 · original

The work covers at least 200 applications and 3,000 databases.

The FAA picked the winner through a challenge. Bidders went through four phases: corporate experience, concept papers, plans to rationalise the portfolio and "modern factory demonstrations", with agency officials watching.

The agency sees AI as a way to analyse old code, write and test new code and find systems to retire, Nextgov/FCW reported.

In February the FAA said it expected to award one or more contracts by 30 September, ExecutiveGov reported. The award came about five weeks after the date the FAA had expected.

Our reading for procurement teams: a test round lets a buyer watch an integrator's AI claims run before a ten-year commitment. It also adds phases to the selection.

Sources

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Companies in this story

Our file on Deloitte

  1. 22 Oct

    Deloitte Australia cut about 170 jobs. It is hiring over 500 for client outsourcing.

  2. 14 Oct

    Deloitte polled 66 UK finance chiefs. 52% expect AI to cut their headcount.

  3. 13 Oct

    Deloitte judged backdated papers 'adequate', BBC says. $672m of Abramovich's assets left the books.

All 6 Deloitte stories

For your next steering committee

Questions for your own programme. They are not findings about any company in this story.

  1. 1Ask which exit clauses your largest software and services contracts carry, and when each can be used.
  2. 2Ask what leaving would cost, in money and in months.
  3. 3Ask who reads the contract when a dispute starts, and whether they have read it before.

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