Plan Smart, Grow Strong: 4 Key Actions to Secure Your Future
With the new administration in place, the federal contracting landscape is rapidly changing. New mandates on efficiency, cost discipline, and mission alignment are reshaping agency priorities. To thrive in this environment, federal contractors must find new ways to drive the growth of their organization.
We’ve generated a list of actions that you can start implementing now to get a head start on growing in this new environment:
1. Do an audit of your contracts
Agencies are reassessing their contracts, categorizing services as either “mission critical” or “non-essential.” To protect your key contracts, it’s crucial to:
- Conduct a thorough contract assessment to document statutory and operational justifications.
- Prepare senior-level justification packages for key projects, securing endorsements from agency stakeholders.
- Align with emerging payment documentation requirements, integrating centralized invoice tracking and pre-approval justifications to reduce payment delays and ensure predictable cash flow.
2. Shift your focus to the priorities of the new administration
As budget constraints tighten, repositioning your service offerings to align with high-priority federal initiatives is essential. Contractors should:
- Shift your focus from areas facing cuts (e.g., external educational collaborations, conference support, etc.) to those more closely tied to the mission – especially in the mission areas aligned with the new administration – such as law enforcement, border security, national security, or other exempted functions.
- Develop efficiency-centered capabilities (i.e., automation, data analytics, process optimization, etc.) to enable agencies to do more with less, and abide by their current consolidation mandates.
3. Rethink your bid strategy
Ongoing policy reviews and contracting hold times are disrupting procurement cycles. To mitigate risks and maintain contract momentum, companies should:
- Build flexibility into pursuit timelines to account for procurement process disruptions.
- Know what alternative contracting methods are at your disposal. If a contract is on hold with one of your customers, perhaps a SBIR/STTR, OTA, CSO, or another innovative contracting method be an avenue for contract award.
4. Consider partnering with firms that are not being impacted by new administration changes
Forming the right alliances can enhance your credibility and expand capabilities in mission-critical areas. Consider:
- Pursue partnerships with organizations working in areas shielded from staffing reductions (i.e., law enforcement, border security, national security, or immigration enforcement) to strengthen your mission-critical credibility.
- Explore strategic acquisitions to acquire advanced technological capabilities or niche expertise aligning with agency directives for operational efficiency.
Final Thoughts
The new administration has ushered in a tidal wave of new priorities and changes that government contractors need to adapt to. While it can be stressful to deal with the impact of this new environment, swift action is required to thrive. Some of the immediate actions suggested here can hopefully be a helpful starting point for navigating growth during this time.
Let’s Talk
Navigating federal contracting changes doesn’t have to be overwhelming. Book a 30-minute strategy session with Red Team today to learn how we can be your growth partner during (and well beyond) this season of rapid change.
