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PSC 2023 Biennial Acquisition Policy Survey Identifies Opportunities to Address Marketplace Disruptions in Government Contracting

Arlington, Va. (June 22, 2023) The Professional Services Council (PSC) today released findings from the eleventh edition of its premier survey on government contracting, PSC’s Biennial Acquisition Policy Survey: Decision Points for Leadership . Reflecting feedback from acquisition leaders from 13 different federal agencies, this survey reflects analysis of, and insights on, recent trends in government contracting policies and processes.  

“The federal acquisition landscape has undergone significant changes since the last PSC Acquisition Policy Survey in 2020, including but not limited to adjustments necessitated by the COVID-19 global health emergency,” said PSC Executive Vice President for Policy Stephanie Kostro. “Recent acquisition trends highlight real-world challenges in the American economy and constraints in the federal marketplace, from higher-than-expected inflation to increased competition for skilled workers to rapid technology development cycles.”

She continued, “PSC’s 2023 Acquisition Policy Survey captures practical insights from federal contracting officers and other acquisition officials, which can be invaluable as industry seeks to engage with its federal customers.”

Based on the conversations with the government officials, PSC identified the following four major themes: 

Budget Challenges: With a few exceptions in the last 25 years, agencies have begun each fiscal year under a Continuing Resolution, which generally keeps an agency’s appropriations flat until an annual appropriations law is enacted for that agency. With the highest inflation rates since the 1980’s, the last two years have seen significant challenges in budget execution, both for government and industry officials. 

Acquisition Strategies: Trends in agencies’ acquisition strategies (e.g., Best-in-Class vehicles, contract consolidation, multi-award contracts) have driven companies to pursue new or differing teaming arrangements and/or to be more selective in the opportunities they pursue. 

Workforce: The acquisition workforce has remained resilient throughout workplace shifts and a so-called “Great Resignation.” Questions remain about returning to the workplace, requirements for on-site contractor work, and best practices in hiring, training and retaining a skilled contractor workforce. 

Communication and Collaboration with Industry: The government seeks partnership with industry, where each partner communicates questions, problems, and potential solutions on a regular basis. Survey respondents highlighted the importance of understanding how potential solutions can address forecasted agency needs. 

“The key themes from the survey highlight that the government can and should demonstrate clear leadership to address federal marketplace challenges,” said Sebastian Beau Herrick, PSC’s Senior Associate for Public Policy and primary researcher for the Survey. “Ultimately, there’s ample opportunity in government to collaborate with industry for smarter contracting, better communication, and more seamless acquisition processes.” 

To access the full report, please visit www.pscouncil.org/2023acquisitionsurvey .

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