Deltek Clarity Report

Each year, Deltek surveys how government contracting firms of all sizes conduct business – address day-to-day business needs and functions, measure performance, identify tools and resources, overcome challenges and compliance hurdles – to formulate a baseline for the Clarity Government Contracting Study. The resulting report is a unique and trusted resource that helps performance-minded businesses identify areas to improve operational efficiency and effectiveness, help set business goals, inform business development strategy, and better understand how they compare to their competition.

The survey collects information on the functional areas of:

  • Business Development
  • Finance and Financial Compliance
  • Project and Risk Management
  • Human Capital Management (HCM)
  • Contract Management and Procurement
  • Information Technology (IT) and Cybersecurity.

2020 Was an Eye-Opening Year

Like so many other markets and industries, those in government contracting had to reevaluate their businesses to adapt to the needs of a country dealing with the COVID-19 global pandemic. A record amount of discretionary appropriations were released in 2020, and of this overall increase in federal spending, 53% was due to the U.S.’s COVID response.

Though some companies found themselves directly benefiting from the spending increase with fast revenue growth during this time, others found themselves in deemphasized areas, which put a premium on strong pre-existing customer relationships to keep operations solvent. New strategies for networking and diversifying products, services and markets were crucial to keep afloat, as were investments in operational capabilities and information security to support a fully remote workforce.

All in all, contractors reported only a slight dip in confidence that they can grow their public sector sales over the next 12 months. As seen in the Government Contractor Confidence Index illustrated within this year’s Study. Also highlighted are the more specific ways the pandemic impacted the day to day and long-term function of businesses.