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You are at:Home»Execs to Know»Neelu Modali’s 2013 Outlook: Fiscal Cliff, Sequester, & Budget
Execs to Know

Neelu Modali’s 2013 Outlook: Fiscal Cliff, Sequester, & Budget

By Srimathi SridharJanuary 17, 2013
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Neelu Modali, SMRC

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.

Neelu Modali, CEO of SM Resources Corporation (SMRC), gave us his 2013 predictions:

“With 2013 upon us, we are seeing some new terms sprinkled with some familiar terms.  Fiscal Cliff, Sequester, and Budget seem to be three key topics in the forefront of any conversation about Federal Government Contracting.  While a lot of this strikes fear in the contractor world, there are some clear trends that can be identified, and actions that can be implemented. We’ve noted the following trends in Federal Contracting coming into 2013:

The LPTA Environment: It seems that more and more, cost wins work.  We’re noting a rapid move to LPTA on contract recomplete efforts.

T&M to FFP: Many contracts seem to be moving from a Time & Material structure to a Firm Fixed Price model, placing more risk on the contractor.

Insourcing: We’ve noted positions being insourced by the government, moving our personnel from SMRC to the Government.  We’re not likely to see much change on this front.

Some changes we’re making to adapt to the change:

Customer Focus: As procurements slide, increased customer focus and service are important.

Social Media: We are increasing our efforts to engage our employees and partners through this medium.”

 

Previous ArticleJean Stack’s 2013 Prediction: Active M&A in Government Contracting
Next Article Northrop Grumman Names Ruth Bishop VP of Quality, Safety, & Mission Assurance of Technical Services

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