At growth [period],
we view problems as possibilities

As organizations navigate the changing landscape under the new administration, it is essential to understand DOGE's impacts.

Fact: The US Government Budget - Including for Government Contracting - Will Still Be in the Trillions of Dollars....growth[period] has an unapparelled network of former U.S. government officials and subject matter experts.  Our experts' networks, insights and experience help our clients navigate a successful path forward through the twists and turns of DOGE. Despite the proposed changes by DOGE, the federal government budget will remain in the trillions* of dollars. This Administration also favors privatization and outsourcing. Thus, allowing for opportunities for the government contracting sector to fill gaps. [*In FY 24 the government spent $6.75 trillion USD. Even if it is cut in half the government will spend over $3 trillion USD annually. Source: Congressional Budget Office]

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Fewer Contracts in Some Areas - Increased Spending in Others. The reality is that if your company provides any diversity, equity and inclusion related services those contracts are gone. However, the Trump Administration places a heavy emphasis on defense spending. This is also true in the context of Secretary Hegseth's guidance on proposed cuts to the Pentagon's budget. The House on February 25th passed a budget blueprint that invests an additional $100 billion in defense over the next decade. This is part of a sweeping Republican plan to enact President Trump’s agenda. This may seem oxymoronic, but it underscores how nuanced these activities are.  The purpose of the defense budget is to bolster our ability to defend the nation and deter aggression against America or our allies and partners. That purpose still remains. The bipartisan resolve to sustain it transcends DOGE. In FY 24 total US Defense spending was approximately $850 billion dollars. Even with tradeoffs in defense spending priorities the spending across the sector is strong.

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Effects on Small Businesses. The Trump Administration is suggesting that small business set aside categories, such as 8a, should be eliminated or sharply curtailed. These set aside programs have broad support across both aisles in Congress. However, if these programs are eliminated, small business size standards and NAICS codes are applicable for contracting officers to leverage. This continues to provide opportunities for small businesses to compete successfully to win prime work with the government.

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Performance based metrics. This emphasis by DOGE just underlies the already existing trend of federal agencies increasingly favoring performance-based contracting models that emphasize measurable efficiency over flexibility. Such an environment enables agencies to increase their reliance on Other Transaction Agreements (OTAs) and Indefinite Delivery/Indefinite Quantity (IDIQ) contracts. These types of contracts allow agencies to scale contract awards up or down based on flexible and shifting metrics and budgetary requirements and are not new to the federal contracting landscape.

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Weekly Updates. growth[period] publishes a Weekly Administration Update that can help you track and understand how DOGE will impact your company. Please send us an email at hcongdon@growthprd.com if you wish to be added to the list. Our experts are also available to help your organization chart a smart way forward to ensure growth in the shadow of DOGE. Please contact us at info@growthperiod.com and let us know how we may best help you continue to succeed.

Tyson’s Corner, Virginia – February 10, 2024 – growth[period], a leading provider of strategic management and transaction advisory consulting services, was proud to support DMI’s recent divestiture of its commerce, marketing & strategy, and digital engineering services segment to Encora. This divestiture allows DMI to sharpen its focus on digital transformation and managed services for Federal, state, and local governments. growth[period] provided specialized transition management and strategic advisory services to support the separation.

"We are proud to have supported DMI in this strategic divestiture, which will enable the company to continue its mission of delivering transformative technology solutions," said Courtney B. Spaeth, CEO of growth[period]. "DMI’s refined focus on digital transformation and managed services positions them for continued success in serving the public sector with innovative, mission-critical solutions."

Encora is a leading technology modernization and innovation partner to some of the world’s leading enterprise companies and is a portfolio company of Advent International. With over 1,200 employees, DMI remains a leader in digital transformation, offering managed IT services, agile software development, cloud modernization, AI-driven solutions, cybersecurity innovations, and network management. DMI is a portfolio company of OceanSound partners.

growth[period]’s transaction advisory services vertical provides turnkey solutions for corporate structuring, strategic alignment and buy- and sell-side due diligence that ensure clients are aligned to maximize business success. For more information, visit growth[period] at www.growthprd.com.

About growth[period] For more than 18 years, growth[period]’s management consulting, business development, strategy and transaction advisory services have focused on serving the principal challenges faced by the federal contractors and commercial businesses hoping to enter the federal marketplace. The firm is nationally recognized as a leading provider to growing and established clients seeking assistance to complete sophisticated corporate and technology transactions; manage entry into the federal government contracting industry; assist with navigating the federal marketplace; represent them in partnering agreements; and/or advise them on diligence matters. With deep roots globally, growth[period] has more than 50 experts and offices in multiple markets across the United States, Canada, Latin America, Asia and Europe. For more information, please visit www.growthprd.com