By Author Diana L. Lindstrom, ShipwreckedProject.

com

Sample
Statement of Work for Janitorial Services for XYZ Company

XYZ Company is the importer, distributor, and retailer for an international brand of tea. It has 50,000
square feet of mixed-use property. 10,000 square feet is used for offices, 25,000 square feet is a
warehouse, and 15,000 square feet is a small retail store. The company has decided to outsource its
janitorial services in order to save money and improve liability concerns by lowering business insurance
levels and premiums. The company will also lower its worker compensation insurance premiums by
having fewer employees.

The procurement for janitorial services is a high priority for the company. Although it is not the
number one priority overall, it is the first priority for the facilities group. This group will manage and
monitor the services provided by the supplier, as well as pay the fees that are agreed upon in the
services agreement.

The type of contract will be a firm fixed price contract. It will include option years with appropriate
pricing discounts per year to increase savings to the company.

The janitorial services required are:

Offices – Monday through Friday evening services consisting of cleaning, sanitizing, and stocking
restrooms as needed, emptying trash cans, cleaning trash cans as needed, removing trash to
designated disposal area, vacuuming common areas, vacuuming cubicles and offices, spot treating
carpet stains, spot dusting horizontal surfaces without moving papers or other items on desks, sweeping
and/or mopping floors in common areas, cleaning and disinfecting break room surfaces, cleaning and
disinfecting drinking fountains, cleaning and disinfecting lobby furniture. Report maintenance problems to
Company XYZ facilities manager. Quarterly services consisting of deep cleaning of all surfaces in
common areas including shelves, fire extinguishers and/or cabinets for them, signs, clocks, etc.,
stripping and waxing all floors, deep cleaning/disinfecting all surfaces in restrooms. Semi-annual
services consisting of carpet cleaning in all common areas and cubicles/offices.

Retail store – Monday through Saturday evening services consisting of cleaning, sanitizing, and
stocking restrooms as needed, emptying trash cans, cleaning trash cans as needed, removing trash to
designated disposal area, sweeping and/or mopping floors, cleaning and disinfecting drinking fountains,
spot dusting horizontal surfaces without moving papers or other items. Report maintenance problems to
Company XYZ facilities manager. Quarterly services consisting of deep cleaning all surfaces such as
shelves, fire extinguishers and/or cabinets for them, signs, clocks, etc., stripping and waxing all floors,
deep cleaning/disinfecting all surfaces in restrooms.

Warehouse – Monday through Saturday evening services consisting of cleaning, sanitizing, and
stocking restrooms as needed, emptying trash cans, cleaning trash cans as needed, removing trash to
designated disposal area, sweeping and/or mopping floors. Reporting maintenance problems to
Company XYZ facilities manager. Quarterly services consisting of deep cleaning fire extinguishers
and/or cabinets for them, signs, clocks, etc., stripping and waxing floors, deep cleaning/disinfecting all
surfaces in restrooms.

Quality cleaning is required including full performance of all specified daily services on the first official
working day of the contract period.

All cleaning personnel are prohibited from disturbing papers on desks or shelves, opening desk drawers
or cabinets, or using telephone or office equipment located within XYZ Company’ property. Emergency
situations are exempted from the ban on using XYZ Company telephones.
All contract personnel are required to sign in and out upon arrival/departure of XYZ Company property. A
form is located in the janitorial closet located in the offices, warehouse, and retail store areas of the
property.

J. Ross Publishing WAVTM material 1 of 7 Procurement Project Management Success, 2014

 By Author Diana L. Lindstrom, ShipwreckedProject.com

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Contractor personnel assigned to this contract will be furnished identification badges by XYZ Company.

Facility master key will be provided to the contractor supervisor only. Contractor will be liable for all costs
associated with re-keying, re-issuance, or programming of keys, access cards, and security codes which
result from the loss of compromising of keys, access cards, or security codes by contractor’s personnel.

Supervisors will be trained on the use of alarm systems. Supervisors will be responsible for training
cleaning personnel on the use of alarm systems.

Contractor’s employees will be responsible for securing all offices, gates, and exterior entrances/exits
upon completion of contracted services unless otherwise directed by the designated XYZ Company
representative. Failure to secure all exterior entrances/exits and/or gates will result in a $50.00 charge
per occurrence. Repeated failure to maintain a secure facility when providing janitorial services will be
cause for termination of the contract.

The contractor will furnish all supplies and materials necessary for the performance of the contract. Any
changes to the items on the XYZ Company list of approved supplies and materials must be submitted in
writing to the XYZ Company representative and approved prior to use in the XYZ Company property.
Contractor must maintain within each janitorial closet a list of Material Safety Data Sheets (MSDS) for
each product used by the contractor. The contractor will not use any material that XYZ Company
determines unsuitable for the purpose intended, or that is harmful to any part of the building, contents, or
equipment.

Electricity and hot/cold water will be available, at no charge, to the contractor from existing outlets for
use with contractor’s equipment.

Contractor will provide all necessary cleaning equipment, including power driven floor scrubbing
machines, waxing and polishing machines, industrial-type vacuum cleaners, etc. to successfully perform
the work agreed to in the contract. XYZ Company representative will approve all equipment before it is
used in the property. Equipment that is deemed to be of improper type, or design, or inadequate for the
purpose intended, will be replaced by the contractor.

Contractor personnel may use the break rooms within the property.

No one is to accompany contractor’s employees to XYZ Company property that is not employed by the
contractor, and assigned to work in the property.

XYZ Company may require the removal of a contractor employee from the XYZ Company property
without cause at XYZ Company’s discretion. This includes immediate removal.
Contractor will pay for criminal background investigations for all personnel assigned to work at XYZ
Company property for the term of the contract.

All people employed by the contractor will be US citizens or possess papers showing that they are legal
aliens. All personnel assigned to the XYZ Company property must be able to understand the English
language and be able to read all labels, descriptions, and instructions for all materials used under the
contract.

Contract personnel responsible for project management and/or supervision of contractor’s employees
assigned to this contract are required to understand and speak English fluently.
Failure of contractor to resolve performance issues shall serve as cause for termination of contract.

Contractor is required to maintain at its sole cost and expense Commercial General Liability insurance,
Workers’ Compensation insurance, Employers’ Liability insurance (if applicable), and automobile
insurance. The amounts and limits of each type of insurance will be listed in the contract.

J. Ross Publishing WAVTM material 2 of 7 Procurement Project Management Success, 2014

 By Author Diana L. Lindstrom, ShipwreckedProject.com

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The procurement milestones are:

Kick-off Meeting
Procurement Plan
Solicitation
RFP Process
Proposal Analysis
Negotiations
Contract Finalization
Notification of unsuccessful suppliers
Contract Administration

Status meetings will be held weekly. Meeting minutes/action items will be distributed to all team
members within 24 business hours after each meeting.

One financial analysis report will be distributed to all team members prior to the RFP being sent out.

The draft contract will be sent for review to all signatories after negotiations are completed.

The procurement file will be completed and reviewed within 21 business days after contract is executed.

The goal of this procurement is to save the company money. This will be accomplished by
decreasing the annual spend for janitorial services for the term of the contract. The savings will be
measured by using the average amount of spent per year for the past three years and using that amount
to divide the contractual spend. The equation used is: (1 – (NEW SPEND / AVG SPEND)) * 100 =
savings percentage

The success metrics of this procurement will be the date the contract is executed, the saving
percentage, and customer satisfaction. IBP satisfaction will be measured by a survey to be completed
before procurement begins and again after contract is completed.

The cost estimate for the procurement is: $40,000

The estimated completion date for the executed contract is: October 31, 2013

The procurement team is listed below.

Procurement Team

Name Initials Role Responsibilities

Donna Smith DS Strategic Sourcing Manager Team Leader

(SSM)
Robert Golden RG Director of Procurement (DP) Manager
James Brown JB Financial Analyst (FA) Financial research
Bill Green BG Facilities Manager, SME Specialized knowledge
John Q. Public JQP Owner Final approvals
Samantha Grey SG Attorney Legal opinions

J. Ross Publishing WAVTM material 3 of 7 Procurement Project Management Success, 2014

 By Author Diana L. Lindstrom, ShipwreckedProject.com

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Assumptions

Outsourced janitorial services will save the company money.

Team personnel will be available when they are needed.
Priority of procurement will not change.
The actual costs for janitorial services for the past three years is available.
The amount of contract spend for the first year of the contract will be $500,000.

Constraints

Contract execution date no later than October 31, 2013.

Budget for procurement is $40,000.
Contract spend for the first year as high as $500,000.

Schedule and Budget

The schedule and budget shown here lists the major milestones for this procurement, along with their
costs. The completion date for this procurement is October 31, 2013. The budget for this
procurement, not including negotiated contract costs, is $35,000.

Task Description Finish Effort Duration Labor

Date (hours) (days) Costs
Procurement for Janitorial Services 10/31/13 321.75 182 $34,558.46
Receive RFPS 05/10/13 7.50 7 $813.23
Kick-off Meeting 05/17/13 6.00 4 $594.24
Hold meeting 05/17/13 1.50 1 $359.53
Procurement Plan 05/24/13 27.75 4 $7,296.90
Solicitation 06/10/13 73.75 14 $6,367.38
Send RFP out 06/10/13 2.00 1 $104.31
RFP Process 06/28/13 12.25 19 $638.92
Proposal Analysis 08/02/13 92.50 36 $7,432.63
Receive proposals 06/28/13 8.00 1 $417.25
Evaluation team meets to decide 07/16/13 6.00 1 $239.69
on top proposals
Notify short list 07/17/13 2.00 1 $104.31
Oral presentations 08/01/13 16.50 2 $2,850.74
Meeting to decide on contract 08/02/13 4.00 1 $958.74
awardee
Negotiations 08/19/13 34.00 32 $3,503.29
Conduct Negotiations 08/16/13 8.00 12 $970.84
Contract Finalization 09/09/13 62.00 54 $4,748.18
Execute contract 10/31/13 2.00 53 $104.31
Notification of unsuccessful 09/12/13 6.00 3 $312.94
suppliers
Contingency 18 $441.00
Contract Administration End of N/A N/A N/A
contract
term

J. Ross Publishing WAVTM material 4 of 7 Procurement Project Management Success, 2014

 By Author Diana L. Lindstrom, ShipwreckedProject.com

Sample

Communication Plan

Time Work
Name Phone Fax
Zone Schedule
Donna Smith 972-555-1345 972-555-1346 CST 0800 - 1700
Robert Golden 972-555-1301 972-555-1346 CST 0800 - 1700
James Brown 972-555-1356 972-555-1357 CST 0800 - 1700
Bill Green 972-555-1401 972-555-1402 CST 0800 - 1700
John Q. Public 972-555-1234 972-555-1235 CST 0800 - 1700
Samantha Grey 972-555-1523 972-555-1501 CST 0800 - 1700

Mailing Address:

XYZ Company
P. O. Box 1325
Dallas, TX 75032

Shipping Address:

XYZ Company
1325 Texas Blvd.
Dallas, TX 75032

Meetings

The types of meetings required, personnel attendance requirements, and frequency of each type of
meeting are listed below.

Meetings Team Management Others

Informal discussions Daily As needed As needed
Procurement review Weekly As needed As needed
Status update Weekly Monthly As needed
Contract Audit Once, after agreement
reached and before contract
execution

Reports

Types and frequency of reports are listed below.

Reports Team Management Others

Status reports Weekly Monthly As needed
Update reports to Weekly (before team N/A As needed
team leader meetings)
Savings report Once, after agreement
reached and before
contract execution

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 By Author Diana L. Lindstrom, ShipwreckedProject.com

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Change Control

Change control requirements, responsible person, and supervisor are listed below.

Change Control Responsible Reports to

Change log maintenance Donna Smith N/A
Change reports James Brown Donna Smith

Risk Management Plan

The risk management plan consists of a risk management log. The log is shown below. Risk
management involves identifying possible risks, assessing the likelihood that a risk will occur, assessing
the damage that risk would inflict if it occurred, the actions that can be taken to either eliminate the risk
or mitigate its impact, and the responsible person for taking the action should the risk happen.

RISK LOG

RISK PROBABILITY IMPACT ACTION RESPONSE

Requested High Very high Negotiate Procurement
completion date lead
not workable
Necessary High Very high Negotiate Procurement
personnel not lead
available to meet
schedule
Team meetings Moderate High Determine better Procurement
not attended meeting time and lead
place
No competitors Moderate Very high Find and Financial
in market research analyst
competitors in
this industry and
market
IBP insists on Moderate Very high RFS completely Procurement
sole-sourced filled out and lead
process signed; advise
management
Scope of work High Very high Face-to-face (or Procurement
not detailed phone) interview lead
enough with SME
Funding not Moderate Very high Negotiate Procurement
adequate to funding levels lead
provide
requested
services
Funding level Moderate Low Negotiate lower Negotiation
does not provide spend levels lead
savings
RFP not High Very high Allow enough Procurement
delivered on time time for drafting lead (RFP
and reviewing writer)
RFP
RFP responses Moderate High Allow enough Procurement

J. Ross Publishing WAVTM material 6 of 7 Procurement Project Management Success, 2014

 By Author Diana L. Lindstrom, ShipwreckedProject.com

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RISK PROBABILITY IMPACT ACTION RESPONSE

late time for lead
questions,
responses, and
finalizing
responses
RFP responses Moderate Very high Include Procurement
inadequate extremely lead (RFP
detailed scope of writer)
work,
specifications,
draft contract,
responses to all
RFP questions
from suppliers;
amend RFP as
needed
Response High Very high Negotiate work Procurement
evaluation assignments of lead
delayed team members
as necessary
Top 3 Moderate High Allow enough Procurement
competitors oral time lead
presentations
delay schedule
Weather Low High Allow float time Procurement
adversely for oral lead
impacts oral presentation
presentation schedule
schedule

J. Ross Publishing WAVTM material 7 of 7 Procurement Project Management Success, 2014