The big problem with placing work in the public domain is that it is often hard to harness. There is no requirement to publish or make materials available. Sure, you can file a Freedom of Information Act request for government-created source code, but not if you don't know it exists.
One intent of putting government creations into the public domain was to make that IP available to the taxpayers who paid for its creation. Releasing materials under an open source license furthers that goal. Open source is ideologically much closer to the public domain then the proprietary model. The key is that open source requires publication. The source is not just there to be dug up, it must be provided.
Beyond basic ideology
There are also three very pragmatic reasons the federal government is looking to open source. First, it reduces to nearly nil the "vendor lock-in" effect. "In major systems that are proprietary, agencies are restricted as to who can take over the contract when it ends," explains Peter Gallagher, president of DevIS, an open source development firm that specializes in e-government solutions. "The risk profile of open source is compelling," according to Gallagher, who adds with "public infostructure," a concept DevIS is working hard to evolve, the playing field is considerably more level.
Second, in today's security-conscious world, building terrorism-proof systems has become a federal priority, according to Gallagher. The U.S. government knows state and local governments, poorer nations, and non-governmental organizations (NGO) may not have the resources to bring their systems into the 21st century with proprietary software. Because the U.S. government must work with -- and trust -- these entities and their IT infrastructures, it is important to assure the software used to create and secure these systems is available and affordable.
Third, the federal government is always looking to save money. "The myth is when you buy off-the-shelf software, there are reduced customization costs," says Gallagher. "With open source, you still have to customize, but the customization is public. The ability to share across federal agencies -- state and local, too -- has a huge value proposition for the federal government." This strength makes open source solutions perfect for the U.S. government's "Smart Buy" program, which consolidates purchasing for any governmental agency in the country, not just the feds.
Good revenue possibilities, tough market
Many open source companies would like to move into the steady opportunities offered by government contracting. What these companies find is a very competitive environment that is not well understood "on the outside." There are numerous challenges. Large companies are now targeting smaller and smaller government contracts in an effort to maintain growth during periods of recession. Caution when approaching any change to the status quo is another challenge. "I've seen open source companies coming into the market that don't understand how long it takes to get [an agency] to make an infrastructure change," says Gallagher. "Relationship building -- it takes a year for risk- averse federal government people to make changes when awarding contracts that last five to eight years." It's tough to crack the market -- almost like a company needs, as Gallagher puts it, "an in."
There are reasons selling to the feds is so hard. Each step of the contracting process is covered in detail by rules, requirements, and regulations. While the inefficiency this creates makes for frustration for would-be contractors, it also creates a transparent process that makes it possible for those same small contractors to compete with the big market players in the hyper-competitive government sector.
Baby steps
The first step for any company looking to do business with the U.S. government is often to get on a General Services Administration (GSA) Schedule. A GSA Schedule is a contract vehicle -- a fishing license to go after government contracts. GSA Schedule applications can run 150 pages and include everything from a simple list of your company's best prices for products and services to arcane company facts and figures.
There are several ways to get on a GSA schedule. First, a company can buy another company that already has a GSA agreement. Second, a company could subcontract with a "prime" contractor who has a GSA agreement. Third, there are companies that rent out their contracting vehicles for a percentage of the take, usually in the 8-12% range. Fourth, a company can, of course, apply for its own GSA Schedule. Generally, it takes four to six months to get on a schedule. It can require 200+ hours to put together the application package -- and that's for someone with experience. Then the GSA has 120 days to review it, whereupon it will come back to negotiate price.
Gallagher's advice on getting a GSA schedule done? Hire a consultant.
Consultants come in various shapes and sizes from branches of the largest consulting firms to sole practitioners. "It costs between $10,000 and $30,000 to get on a GSA schedule," says Dina DiPalo, president of Contracting Resources Group Inc. (CRG), a small firm that works with small- to medium-sized software companies that have no experience in government contracting and are doing their GSA Schedule applications. "The price depends more on the consultant than on your company," DiPalo says. "Larger consultancies tend to be more expensive."
Many consultants want to do only the whole job. Other consultancies, like DiPalo's CRG, offer affordable coaching services and training programs for companies that want to do their GSA Schedule in house. When searching for a consultant, find one that can help your company through the whole process of obtaining contracts. Lead generation, proposal writing, and strategic planning are important services that many consultants provide.
Cold, hard truths
DiPalo and Gallagher agree that the most difficult challenges for companies trying to break into government contracting are focus and relationship-building. These go hand in hand. "Narrow your focus. Develop a strategy and goals," DiPalo advises. "Target, maybe, three agencies. If you spread yourself too thin in business development, your chances of winning are too low. Be focused and stay focused."
As difficult as it might seem, it is possible to crack the federal government markets. "We hear more success than frustration," DiPalo says. "The frustration is always 'it takes so long!' Once a company gets into an agency and they have a relationship there, they become integrated to that agency." Then the risk-averse culture becomes an advantage rather than a challenge. Once you're in, you're in. The government doesn't like change.
Quelle: IT Manager's Journal, 08.06.2004
