Search The Firm Voice

Subscribe to The Firm Voice today!





Featured in Alltop


AddThis Social Bookmark Button
 
Issue Date: Firm Voice - April 22, 2009


Gifts from the Obama Administration? Government Contracts Are a New Business Opportunity for Agencies—Here's How to Land Them
Times remain tough and many clients may not yet be ready to position their brands and products for the coming turnaround. But there is one area where the potential for new business for firms may be blooming: government contracts. With the stimulus money funding countless new projects at the federal and state levels, now may be the time for your firm to seek out some of the plums. But keep in mind that this isn't exactly low-hanging fruit.

James Krol

James M. Krol
Vice President
Xenophon Strategies

Jim Parham

Jim Parham
COO
Hirons & Company
Communications

To find out how you can best position your agency for government contracts, we spoke with James M. Krol, former deputy associate administrator of communications and marketing at the GSA (a clearinghouse for many government contracts). He's now a vice president of Xenophon Strategies, and he shared some of his expertise with The Firm Voice.

Don't navigate away from this article just because you don't have a DC office or branch. Opportunities abound for firms beyond the Beltway, Krol assures. Jim Parham, COO of Hirons & Company Communications, agrees. His firm has worked on government contracts as a contractor and a subcontractor—and it's in Indiana. So read on for their tips and those of others already in this space:

Getting Started—Get on the "Schedule"

There are so many ways to approach this, says Krol. While GSA serves as a clearinghouse, it's not the only clearinghouse. The GSA provides a way for government agencies to buy goods and services. The GSA contracts with a list ("schedule") of approved organizations; other federal agencies can use the GSA's contract for those goods and services.

To have direct access to all these opportunities, you need to be on the "schedule." Krol says more than 160 PR agencies are listed on the "schedule e-library" at www.gsaelibrary.gsa.gov. (Xenophon and Hirons are both on the schedule.) The site includes detailed information outlining exactly how to get on the schedule.

The GSA Schedules Program "establishes long-term government wide contracts with commercial firms to provide access to over 11 million commercial supplies (products) and services that can be ordered directly from GSA Schedule," according to the site. So, for instance, the DOE can post an RFP through the GSA, and any organization on the GSA schedule can bid.

Seek Alternatives—Consider "Unscheduled" Routes

Getting on the schedule can be time-consuming and difficult. Smaller shops may find the process exceptionally arduous. (The agency needs to have a Dun & Bradstreet listing, Krol notes.) There are, however, easier "unscheduled" routes:

Open procurement. Many federal agencies post for services without going through the GSA. You can find such RFPs listed at https://www.fbo.gov/, says Krol. You can sign up there as an interested party and search for business opportunities—and you can have them sent to you.

Collaborate with those already on the schedule, including large firms that may need a communications program. Look at the firms on the list. If you know some of them, reach out. The government likes to encourage team relationships, says Krol. Some of the large firms may need to direct a certain percentage of their business to small businesses. Parham, too, suggests subcontracting—especially for a prime contractor with extensive federal experience.

Don't just look for PR gigs or collaborators. Related work—and potential partners—could be listed under any number of NAICS Codes (The North American Industry Classification System), which is how the GSA classifies industries. Broaden your search terms, says Krol.

And here's one more bit of advice for getting started: Parham suggests employing former federal employees who know the business. (That's just what Xenophon, too.)

Broaden Your Scope—Seek State Opportunities

Will Spivey

Will Spivey
Managing Partner
Trone

State-level contracts also provide promising opportunities for agencies with the right areas of expertise. Trone, based in High Point, North Carolina, has won contracts in North and South Carolina, and has bid for ones in Florida. Programs may vary by state, but every state has similar processes, says Will Spivey, managing partner.

The process is straightforward and online. Register, then select from a huge number of categories. Then you are sent notices. You can also search the state's website for opportunities. (He recommends signing up and doing searches, just to make sure you don't miss anything.)

As Trone's experience suggests, you aren't limited to your own state; you can bid from anywhere. However, most RFPs state an explicit preference for in-state firms. Sometimes, it may be a requirement—although Spivey has never seen that.

Be a Conformist—Don't Get Too Creative

Whether you are seeking a federal or state contract, there's one thing you must do: Follow the directions to the letter. The government agencies are looking for specific answers to specific questions, Krol says. Don't try to dazzle. "The contracting officer wants a blow-by-blow description" of how you would fulfill each requirement in the RFP. Be very matter of fact.

The same applies on the state level, say Spivey. It's all about following the rules and being responsive to the RFP stipulations. And that can be difficult for a shop that prides itself on creativity and counsel. With a private company, it may be to your advantage to explain why a different direction would be better than that outlined in the RFP. Not so with government RFPs. In fact, he notes, a non-conforming response may just remove you from consideration.

Don't Reach—Find Tailored Matches

Stick to your core competencies, our experts counsel. "Don't overestimate your abilities," warns Krol. Be realistic about what your agency can do. Do your homework. Your core competencies should match what the government wants. Don't oversell, Krol stresses.

Annamarie Saarinen

Annamarie Saarinen
VP, Public Relations
ASI Communications

Annamarie Saarinen, vice president, public relations at Minneapolis-based ASI Communications, agrees. There are thousands of opportunities available to PR, public affairs and communications firms, she says. You should use the strengths of your agency to go after the most appropriate contracts. Don't waste time on ones that are not a perfect fit.

Along those same lines, she offers another piece of advice: Target your pitch. A common pitfall, says Saarinen, is a "one size fits all" approach. Each government agency has its own dynamic, culture and objectives. And within each agency, each specific project they are soliciting a vendor for has its own objectives and challenges. In this respect, these contracts are like those in the private sector. Each contract is unique and should be approached accordingly.

Background Contracts—Gather Pricing and Scorecards

There's considerable transparency in the process, which means that you can do a lot of research. For example, says Krol, pricing can be a challenge, especially given that much of the competition has probably been very successful at winning business for years; they know how to do it, he says. But it's also public record—at least, after the fact. Go to http://usaspending.gov/ and research pricing.

Sometimes, you need to make a strategic decision: Do you want to bid—even on the ideal project? Some contracts may be for a year, with no-bid renewals for two more years. But then, in year four, the contract may have to go through the bidding process again—even if the government agency is thrilled with the firm. So the RFP is posted.

In those cases, says Spivey, try to find out everything about the contract. Past media coverage may yield valuable information. And you may be able to review scorecards from the last time it came up for bid. If everything suggests the incumbent firm is doing a good job, it may not be worth your effort.

Expect Heavy Accountability—Do Your Due Diligence

Accountability, fastidiousness, and transparency were recurring themes from our experts. These contracts are "heavy on accountability and paperwork," says Parham. And that isn't just in terms of winning the contract. "Don't discount heavily just to win the work. I've found the federal clients to be labor intensive and you'll need some adequate time."

And he—among others—stresses the need for an excellent time-charging accounting system.

The details can be so overwhelming that Trone always has someone review the RFP and create a checklist of all the requirements. That person then reviews the proposal before it goes out, and makes sure every requirement is met.

As with any potential client, Krol notes, you have to do your research. "Look for the right opportunity; then spend time applying for that opportunity."

Roxanna Guilford-Blake [roxannaguilfordblake (at) yahoo (dot) com]

Comments:
Wednesday, April 22, 2009 10:16:05 AM by Anonymous
You also have to be willing to play the set-aside game, because so much of the work is "set aside" for "disadvantaged" businesses. Xenophon is a "small, woman-owned business", even though it was founded and is run by a man. Presumably his wife is the "owner". It's a discouraging place to compete, where merit is often discounted in favor of gender, race, and connections (hire former federal employees indeed).

Share your comments
 
Firm Voice Reader Anonymous
 
Name 
Website 
Please note that all comments are moderated before actually posting
CAPTCHA Validation
Retype the code from the picture
CAPTCHA Code Image
Speak the code Change the code
 



Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player






SUBSCRIBE CONTACT US ABOUT US ADVERTISE PRIVACY POLICY