ADVANTAGE CONSULTING, INC.

A C I

"You Gotta Know When to Hold ‘Em, Know When to Fold ‘Em…."

ACI

ACI

 

By B. Michael Berger, Vice President, Advantage Consulting, Inc.

". . . know when to walk away, know when to run . . . " Kenny Rogers was, of course, singing about a hand of cards when he wrote these lyrics, but they can be easily applied to other aspects of our lives.

For example, in the present government market environment firms win contracts, obtains task orders, and successfully markets goods and services via GSA schedules, and with luck, this won't change any time soon. As a result, many firms seem to be “walking away” from one of the most important things they need to do to sustain long-term growth – and that's developing "new" business.

Sure We're Doing That, But We’re Overloaded With Work and We Don’t Need To!

That’s a standard excuse. Some executives say they can hardly keep up with work orders, taskings, and demands for more staff, and to suggest they should ask their people to even superficially add business development to their work load just doesn’t make sense.

Doesn’t it? Well, let’s take a look from another perspective. Without question the government markets – Federal, State and Local – are, right now, a pretty good place to be. Why is this? Well, in order to become, or appear to become efficient, or because of funding limitations, agencies are cutting back on one of their most expensive resources, people, and replacing staff with outside support so they can continue to accomplish their missions. This has been going on now for some years but two questions arise – how long will it continue, and is there a limit as to how many companies the process can continue to support?

Competition

Well, we really can’t predict the future, but we know that one of the most important elements of continued success in virtually every market is the ability to beat the competition. That having been said, winning business has always involved several factors:

  • Knowing the client
  • Being known by the client
  • The ability to continually demonstrate your capability
  • Having a competitive price, and
  • Earning the client or potential client’s trust and confidence

These factors have held true regardless of the currently popular method of awarding contracts - sole source, single competitive award, IDIQ (indefinite delivery/indefinite quantity), GSA Schedule, or whatever. Further, it is fair to say that of the five factors, the single most important is the last, earning a client or potential client’s trust and confidence.

No matter what the “selling” environment – buying a new suit or groceries for the family, acquiring 5,000 replacement PCs in a Federal agency, or farming out development and integration of a new Local Area Network, people buy from people they know and trust…period! Oh sure, price is often an issue, but the bottom line is that when buying almost anything (a wrist watch for example) you want to know what you are getting. You can, for example be rather confident that the watch you buy at a jewelry store is going to work a heck of a lot better and last a lot longer than the “genuine, knock-off, imitation” some guy is selling out of cardboard box at the street corner.

Government project managers and procurement officials have an inordinate “fear” of making mistakes or being embarrassed. They can’t afford to wind up with a “genuine, knock-off, imitation” of what they really need. That being the case, the best (not necessarily the only) way to prevent that from happening is to have great confidence in the firm that provides them urgently needed goods or services.

So What's the Bottom Line?

Well, we began by saying that people tend to overlook the need to reach out for new opportunities. We say that business development is "important" not "urgent," and that it only becomes urgent when things get tough - like when you can't assure your staff that they are "covered" for more than the next couple of months. Not only is that bad for them, but its bad for the company since those folks start "baling" out.

You Got My Attention - Help!

OK, how about starting with action planning, figuring out what your skills and capabilities are and where you need to go to win new business. Then you need to evaluate your goals, BD skills, process, methods and management and see how you can get your people involved.

The first step is to ask your people to participate in the BD process. When you do, however, be ready to get them motivated, train them in how to do it and commit to a support structure that will make it seem like BD is a normal part of what they do every day - working with, talking to, and most importantly listening to their clients.

We believe in a team concept - with a small group of carefully selected people focused on a current or prospective client. We also suggest using business tools that allows the team and corporate top staff to manage opportunities and make some educated decisions on probability of win.

The key to success, however, is recognizing that you never "walk away" from business development - it’s one of the business functions that you always "hold."

For more information, contact Mike at 703-642-5153 or e-mail: mailto:mberger@acibiz.com

About the author: Mike Berger's specialties are business development, training for corporate and government personnel, and collecting and analyzing information. He also supports clients wishing to obtain or make better use of their GSA Schedules and handles issues relating to corporate security. Mr. Berger completed 27 years service with the Federal government, and also retired as a Colonel from a parallel 31-year career in the Active Army and the Reserve Components. He holds a BA from Syracuse University did post-graduate study at the Syracuse University School of Social Work, and holds an MA in Management and Supervision from Central Michigan University. He is a graduate of the US Army War College, and published author in field of Military History and Occupational Analysis. He has edited and published numerous works including biographies and historical texts


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Advantage Consulting, Inc. ™
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