Government Contracting (GovCon) Weekly Newsletter - June 6, 2022

Off to a Great Start

Last week we launched the GovCon Chamber of Commerce's weekly newsletter focused on success in federal government contracting.

In the first week we had over 3,000 subscribers (on company page and my profile) to our newsletter. Pretty impressive and a sign that our efforts in the GovCon Chamber of Commerce are proving valuable to all of you.

Please let me know if you'd like us to address certain topics the bulk of industry would relate - especially regarding sales.

Neil McDonnell, President | GovCon Chamber of Commerce

Table of Contents

• LinkedIn 'Live' Event Recaps | May 30 - June 3rd
• Upcoming LinkedIn 'Live' Events | June 6 - 10th
• Agency Tip of the Week | USAF
• Business Development Tip | Block an Hour a Day
• Capture Tip | How to Get More HUBZone Set Asides
• Contract Vehicle Showcase | 8(a) STARS III

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LinkedIn 'Live' Event Recaps

Last week Neil McDonnell, President of the GovCon Chamber of Commerce, hosted the following training sessions on LinkedIn:

👉 Navy Industry Day Slides - How to Get Value

Watch the replay of this 'live' event where Neil walks through a 100-slide deck from a NAVWAR industry day pointing out 'gems' that can be found on each slide to benefit your business development, capture or proposal writing activities.

👉 Structuring Your Day for Maximum Success in Federal Sales

Learn how to structure your day to ensure success. In the replay of this 'live' event, you'll learn tips for focusing on activities in your day that are 'Important' but 'Not Urgent' and less on tasks that are sometimes urgent but not important. Remove the 'hectic' from your day-to-day work life.

👉 Should I Sell to Federal Agencies

If you wonder what your strategy should be around the Federal, SLED, and commercial markets, watch the replay of this 'live' event and hear Neil's recommendation. All of his recommendations are based on the belief that the more you 'focus' and niche down, the more success you will experience.

👉 5-Minute Tasks on LinkedIn to Improve Government Contracting

On a journey of a thousand miles, you only need to focus on the first step (or first mile) to get started. Watch the replay of this 'live' event and get two vital tips to improve your visibility among buyers and sellers - both tips will take less than 15 minutes.

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Upcoming LinkedIn 'Live' Event (June 6-10, 2022)

Neil McDonnell hosts 'live' LinkedIn events each day around sales in the federal market. Visit the GovCon Chamber of Commerce company page to stay in the know and register to attend these free trainings.

🔥 Why FOMO Hurts Small Businesses in the Federal Market - ATTEND

🔥 6 'Must Have' Marketing Assets for Small Businesses in the Federal Market - ATTEND

🔥 Over 100K Contract Vehicles - Which Ones Should You Get on? - ATTEND

🔥 Write a 5-Year Strategic Plan on One Page for the Federal Market - ATTEND

🔥 Death to the PWin! Rise of the 'Winning Proposal Score' (WPS) - ATTEND

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🌟 Agency Tip - Department of the Air Force 🌟

This week we showcase the U.S. Air Force (USAF) to help you do your 'homework' as you get to know their mission, spending habits, and process for finding vendors. Neil McDonnell hosted an USAF focused training session that you'll find valuable. Click the picture below to watch the replay of this event.

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🌟 Business Development Tip of the Week - 1 Hour BD 🌟

If you want to be 'successful' in government contracting, then you need to schedule time to be successful.

When I teach new business developers the skills they need (or even experienced folks continuing their education in sales) I always stress that they need to schedule, not plan, to have success.

Pick a time (1-2 hours max) each day that you will schedule for business development. It must be the same time each day (a recurring meeting with yourself) for the same duration.

The point of this tip is to 'block' out time for yourself to focus on Important but Not Urgent tasks. Your day might get crazy, but this time is sacred to you and must be faithfully protected.

I do this myself as it relates to creating content. I always create content like this between 5 and 8 AM to ensure it gets done and I can then focus on the needs of my customers.

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🌟 Federal Capture Tip of the Week - Set Aside Process 🌟

In this week's tip I'll share a suggestion for how you can get an opportunity 'set aside' to HUBZone. This tip applies to getting an opportunity 'set aside' for WOSB, SDVOSB, or 8(a) small businesses.

Understand the CO/KO Process

When determining if an opportunity should be 'set aside' for HUBZone small business competition, contracting officers evaluate whether enough HUBZone firms will respond to an RFP with acceptable proposals.

An acceptable proposal is one that meets all of the technical requirements (can the HUBZone do the work needed) and comes in at a fair price for the government.

Understand the Numbers Game

In order to better understand and accept the tip I'll provide in a minute, understand the numbers game from the buyer's perspective.

1. Rule of 2 | since many are familiar with this idea, I'll use it as the standard and say, the government buyer needs two (2) acceptable proposals (see above).
2. Rule of 6 | I'm making this rule up but basically it means that in order for the contracting officer to expect to have two (2) acceptable proposals, they'll need to expect 6 total opportunities. The thought is that some won't be acceptable or will have errors that eliminate those proposals. But if they have six (6) proposals they can expect at least 30% will be acceptable giving them the two (2) they need.
3. Rule of 10+ | In order for a contracting officer to expect they'll get at least 6 proposals from HUBZone small businesses, they need to see responses from at least ten (10) HUBZones to the Sources Sought notice they put out. If HUBZones aren't going to respond to the Sources Sought and RFI notices, then how can the contracting officer expect anyone will respond to an RFP?
4. CATCH 22 | The inherent problem in the 'Rule of 10+' is that while HUBZones might be trying to get an opportunity 'set aside' during sources sought, so too are WOSBs, SDVOSBs, and 8(a)s. In fact, while a HUBZone might know of nine other firms who responded to a sources sought, they don't see that 15 WOSBs responded and 25 SDVOSBs responded. The contracting officer might naturally lean towards setting the opportunity aside for SDVOSBs since they'll most likely be able to expect a good amount of 'acceptable proposals' submitted. Darn catch-22 scenarios!

SOLUTION / TIP

So how can you as a HUBZone win at this numbers game? You need to be strategic and not just focus on your response.

Build your own 'Mastermind Group' of HUBZone small businesses related to your core competencies. It should be a group of at least 20 other HUBZones who all agree to work together to push opportunities to HUBZone 'set aside' status.

There isn't anything unethical about this approach. It's just a coordinated way to make sure others are responding to sources sought on their own and encouraging the contracting officer to 'set aside' an opportunity to HUBZone.

You can find specific language I use in emails on the GovCon Chamber of Commerce website. We did this for hundreds of opportunities and helped move over $3B to HUBZone set aside. But it was only successful because like-services HUBZones worked together.

Reach out to Neil McDonnell on LinkedIn messaging if you have any questions about putting this in place. It might take time to find the right partners, but the actual 'lift' is relatively straight-forward.

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🌟 Contract Vehicle Showcase - 8(a) STARS III 🌟

The GovCon Chamber of Commerce created an eBook with the 8(a) STARS III contract holders listed including points of contacts for each company. Download it today to have offline and start reaching potential teammates.

About STARS III

Stars 3 is an Office of Management and Budget (OMB) approved, Best-in-Class (BIC), government-wide acquisition contract (GWAC) that aligns with the federal government's category management and spend under management (SUM) guidelines. STARS III has a $50 billion dollar contract ceiling and was awarded with a five-year-base through July 1, 2026, and a three-year-option that will run until July 1, 2029.

The primary North American Industrial Classification System (NAICS) code for STARS III is 541512. Additional IT NAICS (e.g., 541511, 541513, 541519, 518210) can be used as well as others that align with other IT services.

The STARS III contract allows for buyers to procure services directly (sole source orders) under the 8(a) competitive threshold.

What can be Bought on STARS III?

Federal agency buyers can procure customized IT services and IT service-based solutions including new and emerging technologies that evolve over the life of STARS III. While task orders must be for IT services, necessary support may be included if critical to the IT services-based effort.

The Primary Task Areas Include:

• Data Management
• Information and Communications Technology
• IT Operations and Maintenance
• IT Security / IT workforce augmentation
• Software Development
• Systems Design

There are two scope sub-areas: IT Services performed outside of CONUS and Emerging Technology-Focused IT Services such as Artificial Intelligence, Machine Learning, Blockchain, Quantum Computing, Virtual Reality and others as they hit the market.

8(a) STARS III Pricing Tool

Take a look at this tool to find a ton of great data. You can find a breakdown of which small businesses can use this vehicle for emerging technology or OCONUS work. You can get labor categories (there are 124 of them) and pricing from over 1,000 competitors to see how you align with their rates. The Pricing Tool can be found on GSA's web site.

One interesting advancement (in my opinion) is that STARS III was written without any minimum education or experience requirements for the labor categories. This allows the buyers to focus on skill sets, competencies, and responsibilities.