Kevin Robbins’ 2013 Outlook: Real Winners & Losers

Kevin Robbins, Wolf Den Associates, LLC

WashingtonExec 2013 Government Contracting Outlook Series:

The new year brings big changes for the Federal IT industry, and WashingtonExec is back with its Government Contracting Industry Outlook Series.

We are giving local executives the opportunity to share their thoughts on where they see our industry headed this year and beyond. Leaders were asked a series of questions focused on cloud computing, healthcare IT, defense, mobility, and more.

Kevin Robbins, Managing Director at Wolf Den Associates, LLC, told us what he thinks is ahead for 2013:

“As the decade-long rising tide that lifted all boats in the federal market recedes, there will be real winners and losers revealed (in terms of employees, companies, and transaction valuations).

-Large companies (>$1B) are disproportionately incumbent and expensive in an increasingly LPTA world – expect additional layoffs, increased re-compete competition, and continued margin pressure.

-M&A pace should accelerate as those larger companies have to turn to smaller, more innovative companies to catalyze growth.

-Potential accelerated pace of new company formation as talented executives find better/faster/cheaper ways to serve customer missions.

-Many of the biggest winners (double digit organic growers) will come from outside of the current “buzzword bingo” (big data, mobility, cloud, etc.) of “fast moving currents.”

-The best companies – those that will grow through these tougher times – are those that realize their customers are in the same boat and who work together with them to find ways to do more with less.

-Those that point fingers, complain, and deliver “less for less” will suffer.”

 

 

 

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