OCIOrganizational Conflict of Interest

An Organizational Conflict of Interest (OCI) occurs when a contractor's existing relationships, knowledge, or activities could provide an unfair competitive advantage, impair objectivity in performing contract work, or create bias. FAR Subpart 9.5 identifies three main types: unequal access to information (contractor gains non-public information useful for future competitions), biased ground rules (contractor helps define requirements they later compete for), and impaired objectivity (contractor evaluates its own products or competitors). Contracting officers must analyze potential OCIs and implement mitigation measures such as firewalls, recusal, or exclusion from future work. Contractors must disclose potential OCIs and may be required to submit OCI mitigation plans. Failure to identify and address OCIs can result in contract termination, debarment, or successful bid protests.