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.
Tim Hoechst, Agilex CTO, spoke with us about his predictions for what 2013 has in store. Hoecsht is a 2011 CTO Innovator of the Year and 2011 Fed 100 Award Winner.
“We enter 2013 facing significant uncertainty. While tax increases for most Americans were averted, huge battles over the debt ceiling, sequestration and the continuing resolution remain. Agencies have been given guidance by OMB to reduce IT spending by 10%.
That said, I’m very optimistic personally about the future. Agencies have long recognized the need to modernize their IT operations. Current budget pressures will serve as a forcing function, driving them to embrace new approaches that bypass the status quo and capitalize on emerging technologies. For the contractor community, this is a chance for forward-looking companies to distinguish themselves from the incumbents by offering more innovative new approaches that deliver greater value.
The market will also continue to bifurcate in 2013. Lowest cost, technically acceptable will ignore best value and commoditize many operational elements. However, the increasingly dynamic nature of many missions, coupled with technology’s increased complexity, will drive many programs to become more selective. That’s where leading contractors will focus their investments.”