Federal Government Consulting Is Curtailed in Some Agencies as Part of Budget Austerity and Defense Cutbacks

No matter which U.S. political party is in power, Washington typically has high hopes (but generally very little success) to cut waste and increase efficiency. Numerous proposals are always under consideration for cost control. Since one of the prime goals of consulting is often the creation of cost-efficiencies, these projects often lead to big consulting contracts. For example, the Defense Department is often under pressure to increase efficiency and achieve better prices in the procurement process. Such efforts potentially benefit from outside consultants. At the same time, the Defense Department is continually engaging consultancies in massive, multi-year contracts in computer systems, health (for both veterans and current service members), operations and advanced electronics and weapons systems. Other federal agencies that are frequent buyers of major consulting services agreements include the IRS, Homeland Security, Energy, Education and Transportation, as well as offices engaged in law enforcement, national security, financial services oversight, purchasing and cybersecurity.

Obtaining a federal contract is a very complex process that requires great expertise in bidding for, and meeting the requirements of, this work. However, the payoff can be immense for consultancies that win engagements.

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Federal Government Consulting Is Curtailed in Some Agencies as Part of Budget Austerity and Defense Cutbacks, Business and Industry Trends Analysis

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