Management

CO: “Government Contracting”

View Full Description

Don't use plagiarized sources. Get Your Custom Essay on
Management
Get an essay WRITTEN FOR YOU, Plagiarism free, and by an EXPERT!
Order Essay

Review the Presidential Directive on Government Contracting found in the lessons area.

Why does the President want to reduce Cost-reimbursement contracts?
Why is it preferred to use a Firm Fixed type contract?
Who accepts the greatest risk under each type of contract?
Why is competition favored over sole source?

ANSWER

 

 

 

 

 

 

In a memorandum for heads for the Heads of Executive Departments and Agencies, the Obama administration announced an adjustment on government contracting (Obama Whitehouse Archives). The president intended to reduce cost-reimbursement contracts giving the reason as a compulsion to perform his duty to the taxpayers. The office had observed that from the year 2001, the government spending on contracts had more than doubled which meant more burden on the taxpayer.

Firm Fixed types of contracts are generally preferred by the white house because it protects all parties in a contractual agreement. There are several reasons for this among them, the fact that they shift the risk from the customer to the service provider, prompts a reduction in administrative costs, allows saving of government expenditure for a later date and offers enormous amounts of flexibility.

The greatest risk to the buyers is the time and material contracts (T&M), the greatest risk to the seller is the firm fixed price contract. However, most contracts allow for negotiations to spread the risk between the two parties.

Sole source contracts are mostly used to avoid competition where only favoured bidders are awarded the contracts and not from any form of merit. The government however after realising the amounts of money spent on contracting begun to favour competition over sole-source contracts. The major reason is cost, when competitors race for the same bid, most of them have to reduce the price to compete effectively. Additionally, contracts are awarded in merit-making the best companies to get chosen for government projects, therefore, improving government management of services and taxpayers money.

 

 

References

Obama Whitehouse Archives. Memorandum for the Heads of Executive Departments and Agencies – Subject: Government Contracting. Retrieved on 13th August 2020 from https://obamawhitehouse.archives.gov/the-press-office/memorandum-heads-executive-departments-and-agencies-subject-government-contracting

Portugal, P., & Varejao, J. (2009). Why do firms use fixed-term contracts?

 

 

 

 

 

 

 

 

 

 

 

 

Homework Sharks
Order NOW For A 10% Discount!
Pages (550 words)
Approximate price: -

Our Advantages

Plagiarism Free Papers

All our papers are original and written from scratch. We will email you a plagiarism report alongside your completed paper once done.

Free Revisions

All papers are submitted ahead of time. We do this to allow you time to point out any area you would need revision on, and help you for free.

Title-page

A title page preceeds all your paper content. Here, you put all your personal information and this we give out for free.

Bibliography

Without a reference/bibliography page, any academic paper is incomplete and doesnt qualify for grading. We also offer this for free.

Originality & Security

At Homework Sharks, we take confidentiality seriously and all your personal information is stored safely and do not share it with third parties for any reasons whatsoever. Our work is original and we send plagiarism reports alongside every paper.

24/7 Customer Support

Our agents are online 24/7. Feel free to contact us through email or talk to our live agents.

Try it now!

Calculate the price of your order

We'll send you the first draft for approval by at
Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

We work around the clock to see best customer experience.

Pricing

Flexible Pricing

Our prces are pocket friendly and you can do partial payments. When that is not enough, we have a free enquiry service.

Communication

Admission help & Client-Writer Contact

When you need to elaborate something further to your writer, we provide that button.

Deadlines

Paper Submission

We take deadlines seriously and our papers are submitted ahead of time. We are happy to assist you in case of any adjustments needed.

Reviews

Customer Feedback

Your feedback, good or bad is of great concern to us and we take it very seriously. We are, therefore, constantly adjusting our policies to ensure best customer/writer experience.

× Contact Live Agents
Verified by MonsterInsights