Acquisition Planning

Acquisition planning is the structured process by which federal agencies determine what they need, when they need it, and how to procure it in compliance with the Federal Acquisition Regulation, forming the foundation for every government contract action.

What is Acquisition Planning?

Acquisition planning begins well before a solicitation is posted. Under FAR Part 7, agencies are required to develop a written acquisition plan for most procurements above the simplified acquisition threshold. The plan documents the agency's requirements, schedule, contract type selection, competition strategy, and any small business considerations.

A complete acquisition plan typically covers:

• Statement of need: what the agency requires and why
• Applicable conditions: regulatory constraints, security requirements, interoperability needs
• Cost: independent government cost estimate and funding availability
• Capability or performance characteristics: technical requirements
• Delivery or performance period: when the work must be done
• Trade-offs: cost versus performance decisions
• Competition: whether full and open competition will be used or a set-aside applied
• Contract type: firm-fixed-price, cost-plus, IDIQ, etc.
• Market research results: documented findings from market research

Acquisition planning is distinct from acquisition strategy, the plan is an internal agency document, while the strategy is a higher-level decision about the overall approach communicated more broadly.

Why Acquisition Planning matters for government contractors

Understanding an agency's acquisition planning cycle gives contractors a significant competitive advantage. Agencies often conduct sources sought notices and requests for information as part of their planning process. Contractors who engage early, attending industry days, responding to RFIs, and building relationships with the program office, shape requirements before they are locked into the solicitation. By the time a formal RFP is released, the acquisition plan has already determined the contract type, competition approach, and evaluation criteria that will govern the award.

Example

The Department of Veterans Affairs needs a new electronic health records integration system. Twelve months before the expected solicitation, the VA's contracting office begins acquisition planning: they conduct market research, issue a sources sought notice, hold an industry day, finalize the performance work statement, select an IDIQ contract structure with task orders, and prepare the acquisition plan documenting all decisions. Contractors who participated in the industry day and submitted capability statements have already influenced the requirements that will appear in the RFP.

Frequently Asked Questions

When does acquisition planning start?

Acquisition planning should begin as soon as an agency identifies a need, ideally 12 to 18 months before contract award for complex procurements. For straightforward commercial purchases, planning may begin just weeks before award.

Is the acquisition plan a public document?

Generally no. The acquisition plan is an internal agency document. However, some planning outputs, like a presolicitation notice or sources sought notice, are posted publicly on SAM.gov as part of the planning process.

What happens if an agency skips acquisition planning?

Poor acquisition planning leads to poorly written solicitations, protest vulnerabilities, contract modifications, and cost overruns. The FAR requires written acquisition plans for most procurements, and deviations from the plan must be documented and approved.

How can contractors find out about agency acquisition plans?

Agencies publish advance acquisition plans (sometimes called procurement forecasts) on their websites and on SAM.gov. The Office of Small and Disadvantaged Business Utilization (OSDBU) at each agency also publishes small business forecast data.