Green is the Way to Effectively Compete for Government Bids
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As the single largest purchaser of goods and services in the United States, the federal government is now focused on how its purchases will have an effect on the environment. More companies in the private sector are also manufacturing more products and providing more services that have fewer burdens on the environment. This is a great partnership, and a way for companies to be more effective in competing for government bids on new contracts. In the past, small and medium sized companies have had the most difficulty accessing the federal marketplace. The complex and archaic acquisition process as kept these companies out of the loop -until now.
These bids can range in volume of work and dollar amount, depending on the type of contract. Private companies can benefit in many ways by having a government contract for their business. For instance, companies will receive a steady, monthly income that many companies do not have.
In an effort to reduce the federal government’s carbon footprint, a presidential executive order directs purchasing agencies to identify and give preference to government bids for buying products and services that pose fewer threats to the environment. There are several guiding principles which need to be considered to assess the environmental performance of products marketed to the federal purchasing agencies.
Don’t Risk Current Projects for Future Gain Greed is not good when you are submitting government bids. If you know that you do not have the current labor force to complete the project, do not take on more work. Additionally, know that you presently have the skills and resources required to finish a project, and are not dependent on hiring additional staff once the contract is secured.
When the time comes to sell the company, a government agency will increase the value of the business to potential buyers, primarily for the same reasons that the business has benefited you. This is also true if you need to apply for a business loan or line of credit.
Incorrect Pricing The most common mistake is pricing items in incorrect units. For example, do not submit a bid reflecting gallons when the government is soliciting quarts. Change the language to four quarts rather than one gallon.
Some companies assume that their headquarters must be in Washington D.C. in order to be awarded lucrative government contracts. This is simply not true. The only real barrier is whether or not your business has the stamina to be an effective player in this market for government business.
Product Attribute Claims The claims made about the product or service should be examined carefully to ensure that performance is accurate.
The Environmentally Preferable Purchasing (EPP) program provides guidance to federal agencies and ensures that all environmental considerations are given when purchasing decisions are being made. Price and performance are also key factors to winning government contracts.