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Government Contracting - Government Contracting Myth No. 3: Selling to the Government Is No Different Than Selling to the Private Sector
By Gloria Berthold-Larkin
One of the biggest, and often fatal, mistakes a businessperson makes when entering the government market is to treat it just as he would entering the private sector market.
This is especially true when a company has been successful selling its products or services to consumers or other businesses; although certain strategies and tactics worked elsewhere, they may not necessarily work in the government market.
Flawed logic can be very costly because the government market is dramatically different from the private sector - due to the 2,000 pages of rules and regulations called the Federal Acquisition Regulations, which extend through the ever-changing accounting and financial requirements. However, most firms never even make it to the point of needing to know about these fundamental issues because they are never successful in making a first sale to the government.
Newcomers most often use the sales process of starting at the top, just as they would in the private sector. Get the buy-in of the top decision-maker and the subordinates will follow his/her lead, correct?
Countless salepeople have made innumerable presentations to generals or agency directors, expecting that their nodding heads will lead to a contract - only to be disappointed when nothing happens. Nothing. Not a call, no contract, no e-mail or even a polite "We made a decision to take another path" turn-down.
What they didn't realize is that, within the confines of the government, rarely are those people the real decision-makers.
Real decision-makers are the people who have the legal authority to spend our tax dollars, negotiate, purchase and sign their name on the contract on the government's behalf.
In the federal government, rarely, if ever, is just one person involved in the decision-making process. For contracts worth more than $25,000, most often there are layers of people, from the contracting officers and specialists to the technical representatives and program managers, who will be involved in purchase process.
To be successful selling to the government, a businessperson will invest the time and energy to learn the decision-making process, identify the various levels of people and make every effort to actually get to meet them and build relationships with them.
If you are not yet ready to make that commitment, consider exploring possible subcontracting opportunities with the companies noted below that have recently won the following contracts.
AAI Corp, Hunt Valley, won a $7,109,408 contract from the U.S. Army Contracting Command, Aviation and Missile Contracting Center to support the Joint Technology Center/Systems Integration Laboratory research, development and engineering tasks on its fleet of unmanned aerial vehicles and related interfaces. www.aaicorp.com/contact_us/doing_business_aai.html
Advanced Programs Inc., Columbia, won a $26,253 contract from the U.S. Coast Guard for a Rose Fiber keyboard, video, and mouse (KVM) extender. www.advprograms.com/contact.htm
Brooks & Associates LLC, Largo, won a $1 million contract from the U.S. Department of the Treasury's Bureau of the Public Debt for accounting training services. www.brooksandassociatesllc.com/contact.htm
Costello Construction of Maryland, Columbia, was awarded a $10,503,200 contract from The U.S. Army Corps of Engineers for a new National Museum of Health & Medicine to be built at the Forest Glen Annex in Maryland. www.costelloconstruction.com/contact.php
Dela Technology Corp., Rockville, won a $34,298 contract from the Defense Logistics Agency's Defense Supply Center, Columbus, Ohio, for electrical connector covers. www.delatechnology.com/aboutus.htm
EBL Engineers LLC, Baltimore, won a $649,950 contract from the U.S. Naval Facilities Engineering Command, Colts Neck, N.J., for mechanical and electrical engineering services. www.eblengineers.com/html/contact_us.html
Enterprise Solutions Group Inc., Cockeysville, won a $750,000 contract from the General Services Administration's Federal Acquisition Service, Auburn, Wash., for professional, administrative and management support services. www.enterprisesolutionsgroup.com/contact.htm
Federal Resources Supply Co., Chester, won a $29,078 contract from the Defense Logistics Agency's Defense Supply Center, Columbus, Ohio, for sediment strainers. www.federalresources.com/maritime/contact.htm
Global Strategies Group, Frederick, won a $50,352 contract from the Defense Logistics Agency's Defense Supply Center, Philadelphia, Pa., for trailer mounting fuel dispensing tank units. www.globalgroup.com/wmspage.cfm?parm1=209
Hascon LLC, Columbia, was awarded a $7,945,226 contract from the Naval Facilities Engineering Command and Public Works Department, Annapolis, Md., for design and construction of a child development center at Naval Support Activity Annapolis. www.thehascon.com/contact-us.php
John J. Kirlin Special Projects LLC, Rockville, won a $557,478 contract from the U.S. Army Corps of Engineers, Mobile, Ala., for the repair of the William Beaumont Army Medical Center Recovery Unit under the American Recovery and Reinvestment Act. www.jjkspllc.com
John J. Kirlin Special Projects LLC, Rockville, won a $394,373 contract from the U.S. Army Corps of Engineers, Mobile, Ala., for the upgrade of a biomedical exhaust system under the American Recovery and Reinvestment Act. www.jjkspllc.com
Johnson & Towers, Baltimore, won a $100,577 contract from the U.S. Army Contracting Command, Warren, Mich., for non-aircraft engine electrical system components. www.johnsontowers.com/contact
LB&B Associates Inc., Columbia, was awarded a $14,104,128 contract from the Defense Energy Support Center for aircraft refueling, bulk storage and distribution, and ground fuel delivery. www.lbbassociates.com/contact.html
Phoenix Trading Inc., Rockville, won a $29,486 contract from the Defense Logistics Agency's Defense Supply Center, Richmond, Va., for electrical chassis. www.ptimd.com/
Whiting-Turner Contracting Co., Baltimore, was awarded a $13,139,000 contract from the U.S. Army Corps of Engineers for the renovation of Building 10500 at Fort Lee, Va. www.whiting-turner.com/contact/contact.html
Gloria Larkin is president of TargetGov in Elkridge and frequently speaks about the topic of federal business development. She can be contacted at 410-579-1346 and via www.targetgov.com.
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