What Is The Difference Between Msa And Sow
You may encounter the MSA acronym which you shouldnt confuse with an SoW. To put it simply, the Master Services Agreement/Statement of Work format is a method of using documents for creating contractual agreements between two parties. Here is the difference between an MSA and a SoW:
- The MSA outlines legal terms and other rules between two parties whereas the SoW outlines project-specific deal terms like the descriptions of the services, payment terms, and more.
- An MSA can have a single SoW or it can have several SoWs attached to it.
Statement Of Work Funding
The SOWs should be consistent with the proposed appropriation to be charged from a Purpose-Time-Amount standpoint. Specifically, the funds being cited on the SOW should be used for the proper purpose, within the legal timeframes established by Congress, and within the amounts authorized, appropriated, and allocated to the program.
What Should A Statement Of Work Include
A statement of work template entails a lot of hard work in its creation. It is a comprehensive document and how detailed it can become depends on the kind of project to accomplish. Nevertheless, most projects share some basic fundamentals which include the following elements:
- IntroductionThe start of the SoW speaks in general terms. It explains what the project is, the people involved, the project manager, and so on.
- BackgroundThis section provides a short background of the project and provides a short explanation about the organization and its needs that led to the development of the statement of work example.
- PurposeStart with a purpose statement, followed by answering basic questions to provide more details about the project.
- LocationState here the location where the project will take place. Include the kinds of equipment or software to use.
- ScheduleThis contains a list of deliverables that specifically focuses on the deadlines and the individuals responsible for their completion. It includes all of the phases from start to finish.
- This section specifies the payments related to your project and their mode of delivery.
- OtherMention in this section anything that you havent covered in the other sections like restrictions, security issues post-project support, and so on.
- ClosureMake notes on how to accept the project deliverables. This may include who will deliver, check, and sign for them, and more. Make sure that all relevant documents get approved.
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United States Government Contracts
For US government service contracts, the use of SOWs remains strong, although statements of objectives and performance work statements have become increasingly popular due to their emphasis on performance-based concepts such as desired service outcomes and performance standards. SOWs are typically used when the task is well-known and can be described in specific terms. They may be preferred when the government does not desire innovative approaches or considers any deviation in contractor processes a risk. SOOs establish high-level outcomes and objectives for performance and PWSs emphasize outcomes, desired results, and objectives at a more detailed and measurable level, whereas SOWs provide explicit statements of work direction for the contractor or offeror to follow.
SOWs are typically replete with “contractor shall” statements of mandatory compliance . In practice, SOWs can also be found to contain references to desired performance outcomes, performance standards, and metrics, thus blurring their distinction between SOOs and PWSs. Aside from good practice, there is little government policy guidance that emphatically prescribes how and when to use SOWs versus SOOs or PWSs. Whereas the FAR defines PWS in Part 2 Definitions, and references SOOs and PWSs in Part 37.6 Performance Based Acquisition, SOWs are not addressed.
Statement Of Work Notional Format:
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Statement Of Work Checklist
Statement Of Work Guide
A Statement of Work is a legally enforceable agreement that can be used with Technology Services procurements.
DIR has established contracts that prequalify vendors to respond to SOWs across a variety of , including:
- Complex services such as software or hardware customizations, integration, or overall project solutions
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Using A Work Breakdown Structure To Develop The Statement Of Work
A Work Breakdown Structure should be used in developing the SOW. A WBS provides the framework for a disciplined approach of structuring and defining the total project or program. When preparing the SOW a complete application of a WBS may not be necessary for all programs, however, the underlying philosophy and structured approach can and should be applied. The Contract Line Item Number and the SOW should be constructed to correlate with the WBS. The use of a WBS during SOW development facilitates a logical arrangement of the SOW elements and provides a convenient checklist to trace all necessary elements of the program and ensure that they are addressed in the SOW.
Technical Operational And Organizational Environment
Provide details on the technical, organizational and operational environment in which the work will be completed. It is more significant in work where technical compatibility issues may arise. In some cases, it is important to describe in this Section how the work will fit within other initiatives and who will be the ultimate end user of the requirement.
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Location Of Work Work Site And Delivery Point
Identify where the work is expected to be completed. This also specifies the location of hardware and software and where people will meet to perform the work.
Example language:
- Due to existing workload and deadlines, all personnel assigned to any Contract must be ready to work in close and frequent contact with the Client’s personnel. The work will be performed at the Contractor’s location.
How Do You Write A Work Statement
One of the most important things that an organization can do is to write an effective statement of work example because it is often the first deliverable item that a client sees and because its the SoW template that tells your story.
A simple statement of work template starts and deals with the why, then moves on to the what and how, followed by the how much and when. All the elements of a statement of work should have a cohesive flow so that its easy to understand and follow. Here are a few tips to consider when writing an SoW:
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What Is A Statement Of Work Template
A statement of work template agreed-upon between an agency and a client clearly defines what work to include within a project and what isnt part of it. In itself, an SoW template is a project contract that establishes and aligns the expectations for both parties.
It contains details that make such alignments and may include details around processes, deliveries, and more. You can even include all types of details in of work example if you want, but its recommended to keep it as simple as you can.
Government Model Rfx Templates
RFx is a generic acronym used to cover an assortment of tender types, such as Request for Quote and Request for Proposal . Government model RFx templates are standardised templates intended to cover the majority of tenders that a government agency undertakes. They support good procurement practice across government and make it easy for suppliers to work with the agencies.
We recommend that you check first with your internal procurement or legal team before using these documents.
Refer to the sourcing your suppliers section of the website on what else you should do at this stage of the procurement process.
For designated contracts, agencies must carry out due diligence to make sure suppliers are meeting good employment standards.
Things agencies and suppliers should consider when filling out these templates:
- Broader outcomes
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Expected Start Date And Completion Date
Identify the period in which the work is to be performed.
More details are provided in the section of the SOW which identify the specific schedule which will be required for completion of the work.
Example language:
- The services of the Contractor will be required for a period of approximately , commencing on or about , and with expected completion on or about .
This section may also specify allowable time for work, such as number of hours that can be billed per day, week, month, etc.
Statement Of Work Vs Statement Of Objective
The SOO is a Government prepared document that provides the basic, high-level objectives of the acquisition. It is provided in the solicitation in lieu of a government-written Performance Work Statement. In this approach, the contractors proposals contain their statements of work and performance metrics and measures . The use of an SOO opens the acquisition up to a wider range of potential solutions.
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Government Statement Of Work Template Jobs
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Create The Statement Of Work
To create the actual Statement of Work it is best to use an established template from your organization or from a legal entity. Since you already have the task and the content defined it should be an easy step to plug in your content. A template also makes sure you are addressing all legal questions and you didnt is any content.
Template: Generic Performance Work Statement Template
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Statement Of Work Data Requirements
Each SOW will most likely have data requirements that are needed by the government and contractor. Below is a list of key data topics that you should consider:
- Deliverable data is governed by Data Item Descriptions in the Contract Data Requirements List , which establish the format and content requirements
- SOW taskings must not include the description and delivery requirements for data.
- DoD 5010.12-M Procedures for Acquisition and Management of Technical Data governs contracting for data.
- The SOW tasks the contractor to perform effort deliverable data is the by-product.
- Each deliverable data item must link to tasking in the SOW which generates the effort which results in the delivery of data.
- The SOW tasking paragraph resulting in data delivery must cite either the CDRL Sequence No. or the applicable DID, or both, at the end of the tasking paragraph.
Sample Template Statement Of Work
Date 2005-12-01
A Statement of Work is a narrative description of the required work. It stipulates the deliverables or services required to fulfill the contract, and it defines the task to be accomplished or services to be delivered in clear, concise and meaningful terms.
E1.0 Scope:
The title is how the work will be referred to.
E1.2Introduction:
Provides a brief description of the tasks or services required.
E1.3Estimated Value:
Provides a total estimate of the overall value of the requirement, including the cost of the professional services, the travel and living costs, translation, miscellaneous costs, GST/HST and any other costs which will be associated with the requirement.
E1.4Objectives of the Requirement:
Describes what is to be achieved or delivered by the completion of the contract. It also identifies the intended use of the completed requirement.
E1.5Background and Specific Scope of the Requirement:
Identifies the situation leading up to the requirement. It describes the range, extent, and parameters around the work to be completed in association with the contract and those events and circumstances leading to the need for this contract.
This section may also include a description of the organization, end users, previous contract work and its success or failure, bibliography, references, technical experts in the field, previous contractors, etc. – anything that will assist the contractor in formulating a good bid.
E2.0Requirements:
E2.1
E2.2
E2.3
E2.4
E2.5
E3.1
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Preparation Of The Statement Of Work
The preparation of an effective SOW requires both an understanding of the goods or services that are needed to satisfy a particular requirement and an ability to define what is required in specific, performance-based, quantitative terms. The SOW should reference qualitative and quantitative design and performance requirements contained in specifications developed according to MIL-STD-961.
Checklist: Statement of Work Checklist
And Source Of Acceptance
Provide a description of the performance, quality, format and testing requirements which will be used to measure whether the work is acceptable or not.
Example language:
- All deliverables and services rendered under any contract are subject to inspection by the Work Authority. Should any deliverables not be to the satisfaction of the Work Authority, as submitted, the Work Authority shall have the right to reject it or require correction before payment will be authorized.
This may also describe quality assurance in terms of processes, goals, automated testing, user testing, etc.
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How To Use This Tool
- The Government will conduct these Orders in accordance with FAR 16.505.
- Offerors are required to submit both a written Technical Proposal and Cost/Price Proposal to Government officials
- This is for the purpose of assuring that the Offeror is fully cognizant of the scope of this Statement of Work and has the capability to complete all requirements and/or satisfy all objectives of the
Project Management Control Procedures
Provide details of how the Work Authority will control the work . It will identify how the payment schedule will be matched to the measurement of performance throughout the contract. Contract management and controls in the SOW should be specific to the work and tasks.
Example language:
- The Work Authority shall ensure the contract will be brought in on time, on budget and of an acceptable quality i.e. submission of progress reports, system tests, etc.
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Other Information The Employer Must Give On Day One
On the first day of employment the employer must also provide the employee or worker with information about:
- sick pay and procedures
- other paid leave
The employer can choose whether to include this information in the principal statement or provide it in a separate document. If they provide it in a separate document, this must be something that the employee or worker has reasonable access to, such as on the employers intranet.
