We Under-Bid. Now What?

Posted by Leigh Ann Hope on Jun 29, 2016 10:00:00 AM

Under.Bid.jpgWhen you’re the incumbent, being forced to double-digit underbid just to have a shot at keeping work that was already yours can feel like an exercise is misery. 

 

In this business, there are no loss leaders. And the sting of a CPAR is not soon forgotten.

 

Still, when that overly ambitious (err, unrealistic) RFP response turns into a bid opportunity won, performance penalties are not a foregone conclusion.

 

Not All Sourcing Strategies Are Created Equal

There’s a reason that the top names in this business are on our client list.  They are held to the same standards as any other bidder in the defense contracting space. Regardless of how you feel about the LPTA bidding trend, it doesn’t appear to be going anywhere. Instead of bemoaning it, our teaming partners fully grasp that their multi-million dollar contract wins are essentially in the hole on Day 1. They know they need specific talent for the job that’s not on their bench. From tech support to specialist, of which few exist in the country, from single digit to triple digit staffing requests, they don’t pretend that their in-house hiring model can keep pace with what’s contractually committed. 

 

Rack Rate Pay Is Not a Requirement

Moreover, the IT giants who entrust us to keep their defense contracts in good standing understand that rack rate pay is not a given. That gives their low bid priced to win budget significant breathing room. 

 

Instead of taking the per hire financial hit themselves, savvy large-scale contractors tap teaming partners like us, with leaner ops, lower overhead, and unmatched recruiting results.

 

Time-Intensive Recruiting Isn’t Their Forte 

These companies understand that the only way to reconcile what was promised with what is realistic is to enlist a reliable teaming partner. With a dedicated team focused on servicing the skill requirements of these contracts, their federal government teams can focus on selling – not triage.

 

Then, something interesting happens. As their sales performance grows, so too does the pool of fully vetted, hire-date ready candidates available. With a true teaming organization like ours behind them, these companies unburden themselves from the onerous effort required for large-scale hiring in highly specialized fields. 

 

And when they are called upon to make final hiring decisions, we ensure the time is wisely spent. On average, our clients hire 1 of every 2 candidates we recommend. It’s a hiring ratio almost unheard of in this line of work. 

 

For us, it’s affirmation that our process is worth every bit of the unglamorous, old-fashioned hard work and passion we put into it.  

 

If you've found yourself in a scenario like those described in our blog, please schedule some time to find out how we've solved similar challenges. 

Topics: EDWOSB Partner IR, Inc. Sourcing Strategies