TArticles tagged with: SAP

Behind the curtain: A look at the government’s hidden market

Federal contractors realize that they must own multiple award contracts to compete

By now, federal contractors realize that they must own multiple award contracts to compete in the $95 billion federal market. (If we subtract classified spending from this figure, fiscal 2017 IT spending topped $80 billion).  Meanwhile, IT modernization and related initiatives such as strategic sourcing, category management, and Better Buying Power are dramatically shrinking the number of prime contracts. Best in Class (BIC) preferred and mandatory vehicles are further decreasing buying options. If you don’t have the MACs, you simply cannot compete. If you don’t believe me, look at the numbers. In 2012, according to Bloomberg Government, the federal government spent $6 billion on IT products and services through IT government wide acquisition contracts (GWACs). Overall, by 2017, that figure topped $13 billion with well over 60 percent of IT spending happening through GWACs and other MACs, including agency-specific IDIQs. In that same period, set-aside spending on MACs grew 137 … Continue reading Behind the curtain: A look at the government’s hidden market

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