2012 is here, and with it comes big changes for the Federal IT industry. WashingtonExec gave local executives the opportunity to share their thoughts on where they see the government contracting industry headed.
Today’s “2012 Outlook” is from Kevin Parker, President, CEO and Chairman of the Board at Deltek.
Kevin Parker: With continued battles over government spending heightened by election year politics, the government contracting landscape in 2012 will be extremely dynamic. Given this uncertainty, we think the absolute size of the market will shrink slightly in 2012, and contractors will react to the tighter spending environment by increasingly focusing on winning bids in areas that are relatively insulated from budget cuts – health, energy, conservation, IT initiatives that drive cost savings, and cyber security. Contractors will also work very hard to be as efficient as possible – and will invest in technologies that make them efficient – with a laser focus on profitability.
Regarding the relationship between industry and the government overall in 2012, there will likely be a lingering negative perception of contractors in the policies and legislation that Congress puts forth. However, there is a real opportunity for government to partner with industry for the tools, expertise, and innovation they need to solve today’s problems, and we think that this need for tighter partnership will become more apparent in the coming months.
