Monday, September 10, 2012

More on Strategic Sourcing

Federal News Radio reports that OMB's Acting Director Jeffrey Zients is "hinting" that strategic sourcing (FSSI) may become mandatory throughout the GSA Schedules.

This would probably be the most unfriendly move for small business imaginable. FSSI is designed to drive margins down to a bare minimum, an area where only the largest players would be able to effectively compete.

This is not a Democrat/Republican issue, as several past administrations have paid lip service to small business issues, especially around the ability of small business to compete for government contracts.

Strategic sourcing would make it impossible for hundreds, perhaps thousands of small businesses to do business with the government, and would lead to both job loss and businesses closing.

The economic impact would be immediate and nationwide.

We all understand the need for the government to spend money in a responsible way, but making it harder for small businesses to sell to the government is not the way to go.

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