Since becoming private last year, Deltek has been able to redirect some of the dollars it previously spent on meeting Securities and Exchange Commission regulations into its sales team and its products, said Michael Corkery, who was named the company’s chief executive earlier this month.
Corkery takes over from Kevin Parker in leading the Herndon-based firm, which offers software tailored for government contractors and professional services firms. (Deltek also contributes content to Capital Business). He was named acting CEO in December after serving as Deltek’s chief financial officer since January 2010.
He said he’s bullish on Deltek’s ability to weather the storm, as contractors brace for more difficult times.
“It’s making the things that we deliver to our customers more valuable than ever,” he said.
Corkery said Deltek, which has made numerous acquisitions in recent years, including local companies Input and FedSources, remains interested in additional purchases, if they complement the company’s existing business.
“We know what we do well,” he said. “You’re not going to see us in vertical markets that are far afield from that.”
With automatic spending cuts looming, a government employee advocacy group and contractor trade group are sparring over who should bear the brunt of the reductions.
Last week, the American Federation of Government Employees issued a brief authored by Charles Tiefer of the University of Baltimore Law School on how federal agencies can reduce spending on contracts for professional services.
By Tiefer’s estimate, agencies could find 70 percent to 90 percent of the sequestration-required savings that would be cut from government personnel spending by instead cutting the contracts.
The Professional Services Council, a contractor group, said the recommendation would “cripple the government.”
Tiefer “ignores the reality that significant reductions have already occurred in the federal services market,” wrote Alan Chvotkin, PSC’s executive vice president and counsel. “This petty ‘us versus them’ debate must end.”
The Government Accountability Office late last month rejected a protest filed by the Louis Berger Group of the District against a U.S. Agency for International Development program.
USAID had excluded the company from the competitive range for a five-year contract to provide technical assistance for the agency’s economic development program in Jordan. The evaluating committee had found multiple problems with the proposal, including that one of the company’s proposed project leaders did not have enough experience and that its proposal relied too heavily on one university partner and did not mention partnerships with government ministries.
Louis Berger challenged virtually all of the points made in the evaluation, the GAO said.
“We have considered all of Louis Berger’s arguments, and ... we find that they merely reflect the protester’s disagreement with the agency’s technical evaluation, and offer no basis to sustain the protest,” the GAO report said.