Recurrently, some information professionals find themselves responsible for monitoring government procurement opportunities. The federal government is the world's largest consumer of goods and services and buys more than $2Q0 billion annually. Products and services range from construction contracts, to architectural and engineering services, research and development, service contracts for janitorial or computer maintenance, food service, day care, environmental services, or writing and photography, to name a few. A Small Business Administration study found that small businesses with one or more government contracts have a better survival rate than firms solely dependent on private sector contracts.
In many instances the government bidding process involves political consultants or lobbyists who may have been insiders previously and are hired to do business development or government relations to get a company's name before the right officials at the right time. Or, company marketing directors may rub elbows with officials regarding upcoming contracts. Nevertheless, the information professionals I spoke with agree that their users need fast, automated delivery of the "official word." The official word comes from the Commerce Business Daily and state or local agency newsletters or announcements.
Federal Contracts and the Commerce Business Daily (CBD)
At one time, the only way a company could learn what federal contracts were available for bid was through the printed version of the Commerce Business Daily (CBD), published by the U.S. Department of Commerce. The CBD contains information on all proposed procurements of $25,000 or more by civil and military agencies, including potential research interests. It also includes announcements for all contract awards of $25,000 or more and non-U.S. government contracts. The section of contract awards benefits subcontractors who want to identify primary contractors. Although some of the subcontracting may already have been decided, the announcements can serve as sources for information to open future avenues for doing business.
The print version of the CBD is offered as an annual subscription for $325/year (first class) or $275/year (second class), mailed daily. The mailing process delays getting information to the potential bidder in a timely way. Since the government requires proposal submission within short time lines, it's important for companies to get a head start wherever possible. In his article "Doing Business with Uncle Sam: Internet Access to Commerce Business Daily" (The Internet Connection: Your Guide to Internet Resources, April 1995), Rod Bustos points out:
"Accessing the Commerce Business Daily via the Internet offers a number of important advantages over using the traditional print medium. Perhaps most importantly, the online formats generally give one a head start over those who depend on the print. Since many of the announcements require application within a few days or a week, it is clear that any lead-time is beneficial to the applicant."
Electronic versions of the CBD are available one day before print mailing. The sidebar describes several of these versions.
Traditional Online Services
Although the CBD has been online via traditional online services for many years, using it requires the usual establishment of a search service account, associated start-up fees, and learning how to use a whole system when some customers only want the CBD database. Major vendors like KRI/Dialog, DataTimes, Dow Jones, NewsNet, and Lexis-Nexis continue to offer both comprehensive archival files and the current daily CBD online, some with no time lag at all. They maintain power searching features that come in very handy for tailored research questions.
Some information professionals continue to use the traditional services. Dialog ALERTS, for example, and similar electronic clipping services from other vendors make it possible to automate retrieval on a daily or weekly basis to get at the required information as quickly as possible. For some information professionals with low usage, cost-effectiveness considerations may lead searchers to choose the traditional online services, especially if they already know how to search the system. However, paying even what may seem like low-cost ALERT fees (daily ALERTS are $2.00 each and weekly, $6.00) could really add up to costly annual totals if ALERTS is needed for many users.
Some smaller companies are intimidated by both costs and procedures for searching traditional online services and won't set up accounts and go through the required learning curve. At one time, they may have instead opted for the difficult-to-use printed version of the CBD. One librarian who recently established a library at a relatively small environmental engineering firm with about 60 employees told me that their firm is so highly specialized that many of the sources required by its engineering and management professionals come from either very narrow industry-specific newsletters or local governmental sources, and, most are not available online. This firm does not maintain any accounts with traditional online vendors at this time. Yet, the company does a large percentage of business with the government and must have a way to monitor the CBD.
Enter the Internet
Of course the Internet has changed everything. During the past two years, several electronic monitoring companies have emerged on the Net that specialize in offering the CBD for flat annual subscription fees specific to usage levels. Fees range from $195 to up to $1,500. Several types of services have appeared and two key types are those with keyword profiles and daily e-mail delivery based on an interest profile, and those with flexible searching and Boolean operators for searchers who want to do their own searches.
One such company, Loren Data, which works under agreement with the U.S. Department of Commerce, provides the CBD over Internet e-mail delivery. Loren Data suggests that "by subscribing to [their] service you can proactively receive these announcements in your e-mail every morning....we do all the searching for you. Once in your mail box, you can quickly screen and distribute these to your users and at far less time to you."
The librarian at the environmental engineering company found it not only desirable but also necessary to save her time for other activities and use some kind of low-cost electronic CBD service. When she began exploring services, she tried an Internet-based service that offered keyword searching for a flat fee annually, but found she still spent too much time searching. Therefore, she decided to use Loren Data, one of the Internet-based e-mail delivery services that delivers just what matches your keywords.
Each day she gets her CBD e-mail, scans it, and eliminates items she thinks don't meet her company's criteria. After this first cut, she passes the information along to the right staff person, either an experienced engineer in the field or the vice president of marketing responsible for new business. She has found it much more economical to outsource this research activity to an automated search service rather than spend her time searching.
Gradually, more of such Net-based services are evolving. Some offer a host of either valuable related services or hyperlinks important to a small company's needs. Loren Data, for example, hyperlinks to the California State Contractor's Register, useful for learning about state contracts. Another company, Counterpoint, also offers the Daily Federal Register, the Code of Federal Regulations, and the Commerce Business Daily. Upon request, Counterpoint also offers data from the U.S. Department of Energy and the Nuclear Regulatory Commission. Future plans include what they claim to be the nation's only Internet version of state environmental regulations.
Decision Support Products: Indiana Infonet
Outsourcing CBD monitoring frees up time for developing important decision support products. An example of one organization with such a product is Indiana InfoNet. They are part of the Industry Research Liaison Program at Indiana University, one of many similar, federally-funded programs.
Indiana InfoNet provides business information to researchers, economic developers, and small businesses. Charlie Eads, Indiana InfoNet's Information Center Manager, explains that most of their clients are small businesses or persons starting businesses, inventors or people working to get government research grants. Indiana InfoNet assists them by providing all kinds of information from many sources, one of which is Commerce Business Daily. Eads explains that CBD's Research & Development section appears in their e-mail box each morning from Loren Data. The "R&D section is what our client base is most interested in," says Eads.
The Indiana InfoNet staff maintains a database of about 110 businesses who want notifications of any projects of interest announced in the CBD. One staff person, the "marketer," calls on each client, analyzes their capabilities and requirements, and then develops a keyword profile. Each day the CBD section received by e-mail is scanned by a software program and run against a data file which contains the keyword profiles of clients. Matches are immediately delivered to the client who can make a decision about submitting a proposal.
Staff at Indiana InfoNet consists of two librarians, a student part-time employee, a clerical staffer, and the marketer. The automation of CBD searching makes it possible for a small staff to serve more than 100 clients and still maintain numerous other responsibilities.
State and Local Contracts
In contrast with federal contracts, information about state and local contracts has been notoriously difficult to get or monitor. In the past, state publications such as the California State Contractors Register (CSCR) or other similar state "contract reporters" were available only as print subscriptions. Contractors used to complain that by the time they received print copies of the CSCR, a weekly publication, it was too late to bother to bid. This is changing. Now state-sponsored bulletin boards post information on the Net. Getting local procurement information typically required joining numerous mailing lists for receiving RFPs from agencies or departments. One giant centralized approach to local agency information is simply not there.
The need to track state and local bidding information has spawned both private companies and several types of government-funded organizations, some who specialize in state and local bid information only and some who provide bids at all levels -- federal, state, and local. These various companies and organizations offer an array of services to help small- and medium-sized companies compete in the federal government contract procurement arena, too.
A Premier Bid Service Company
BidNet, a 10-year-old company located in Albany, New York, gathers more than 20,000 bid requests each month from more than 3,000 state and local government agencies. Their collection includes bid requests from lesser known agencies most companies have never heard of. They encompass housing authorities, colleges, school districts, hospitals, and not-for-profit organizations. BidNet's research team also tracks some 50 to 100 bulletin boards and Web sites that carry contract announcements for state and local agencies. PeterAnsell, the company's executive vice president, explains that "providing information on federal bids is easy because it's centralized.... But, state and local information is decentralized and to get the information needed by contractors who work both locally or nationwide, takes much more effort." Ansell also asserts that those responsible for getting government business "just don't have time to search for bid opportunities."
One service offered by BidNet is the Bid Alert, which, to my mind, serves as contains only select, essential information taken from the description of government contracts. It identifies the quantity required, delivery point, specification, jurisdiction, agency, bid close date, delivery date, purchase type (such as contract), and a section for "special notice" information such as whether the contract is aimed at "MBE or WBE (minority or women based enterprises)." Bid Alerts are based on predetermined customer profiles.
BidNet does all the research for you and clients pay an annual fee ranging from $ 150 to $ 1,700, depending on geographic scope and needs. Although many large companies use this customized service, BidNet's low annual fees enable even small- and medium-sized companies to enter the competition for government contracts. Ansell says, "Internet did us a big favor because now so many agencies are making bids and notices available there."
He further claims that:
"Although the Net means more accessibility for more people, most of our clients are national companies who want opportunities from all over. Although the Internet offers one potentially good solution, it is often still difficult to use and requires going from one site to the next. With bulletin boards they are usually very easy and fast to use but do require direct dial to each one."
Ansell explains that the procedures involved in tracking these opportunities could equal a full-time job at $30,000 to $40,000 annual salary, or at least mean that someone probably already overworked would have to struggle with the leg work.
Currently BidNet offers clients an 800 number for obtaining the full text of the complete bid document, which they can provide within 24 hours. A BidNet Web site, projected for early 1997, will allow delivery of full contract proposals immediately without any waiting time.
Procurement Technical Assistance (PTACs)
The Procurement Technical Assistance Centers (PTACs) comprise another category of programs which identifies federal, state, and some local agency contracts. The Department of Defense (DoD) has funded PTACs in 48 states and Puerto Rico since 1986; at the close of 1995, there were 108 PTACs nationwide. The program is sponsored by the Defense Logistics Agency, Small and Disadvantaged Business Utilization. The contact person is Sim Mitchell.
PTACS offer several different services for helping businesses work with the government, including delivering potential contract information. Many companies are confused about the bidding process, the paperwork, or where to start. One PTAC located at the North Carolina Small Business & Technology Development Center (NCSBTDC) provides comprehensive assistance in selling goods and services to the federal government. Its services include help in finding out about contracting opportunities, preparing bid and proposal packages, interpreting regulations, and resolving contract administration problems.
The NCSBTDC also offers Procurement Bid Matching Service (PROBID), a computer-based bid matching service that scans sources of procurement opportunities and matches them against a unique keyword profile established for each subscriber. They include CBD, the Defense Logistics Agency Small Purchases, State of North Carolina Listings, Purchasing Directories from other states, and the DOD Blue Top Awards. Matches are sent to each subscriber. The cost for PROBID is $275.00 for 12 months or $175.00 for six months.
Another PTAC, the California Procurement Technical Assistance Network, CAPTAN, lists some 30 services, including automated bid notification for federal, state of California, and thousands of U.S. purchasers, bid review services, preparation of bidding documents, and much more. Their fees include an annual enrollment of $150 the first year and $95.00 in succeeding years and their "CBD Download Service" runs from $95 to $195, depending on search criteria.
Conclusion
Information professionals responsible for many activities now find it incumbent on them to use effective affordable electronic resources for identifying potential government contracts. Whether looking for federal, state, or local government business opportunities, several discussed here are affordable and easy and quick to use. This can free time for other more valuable activities including, perhaps, providing decision support tools or value-added service to users. As the technology grows and improves, these offerings should continue to help those who work in this arena.
RELATED ARTICLE: CBD E-Mail or Net-Based Services
All CBD e-mail services provide the daily current issue one day before print and offer flat fee annual pricing according to user-selected options. The searchable ones use proprietary search engines. Search engine evaluations were beyond the scope of this article and are not included.
1. Loren Data Corporation
Provides 15 FSGs (Federal Supply Groups or categories of RFPs). They e-mail the CBD's to you, in a form that does not need a lot of editing. Every morning Loren Data searches the CBD using your key words or phrases. Only announcements matching your search criteria are sent to you. Available by 10:00 AM (PST) for next business day's publication.
Price: $95, annually, for 1-2 FSG categories; $145, annually, for 3-15 FSG categories; $195, annually for Premium with unlimited keyword search.
2. Counterpoint Publishing
Counterpoint offers the Commerce Business Daily, the Daily Federal Register, the Code of Federal Regulations, data from the U.S. Department of Energy, and the Nuclear Regulatory Commission upon request. They soon plan to offer the nation's only Internet version of state environmental regulations. Commerce Business Daily Tracker provides automatic e-mail delivery every day to your specifications by words, phrases, item codes, class codes, procurements, supplies, services, etc. They have a 45-day archive, searchable at any time.
Price: $199, annually, for profile delivered by e-mail address. $700, annually for the fully searchable CBD.
3. Community of Science
Commerce Business Daily is one service of many offered by the Community of Science (COS). The CBD is fully field-searchable and the WWW.ALERT service allows users to develop their own searches either using keyword, specific section, agency and specified time frames. Custom queries can be stored, with titles of all hits e-mailed each morning. Users can set up to ten queries and easily amend or revise them daily.
A BROWSE Capability allows users to scan the CBD according to category (Supplies, Equipment and Material, Procurement, Contract Awards, Surplus Property Sales, Foreign Government Standards, and Special Notices). The user may also browse all past issues (1995).
Price: $300 annual fee for individual/small company users; $1,000 annual fee for COS corporate members; $1,500 annual fee for large company/institution users.
Each subscription gives access to all members of your group on either a "domain enable" basis or by user name and password,
* The fee includes access to the data through the following interfaces:
* World Wide Web Interface: Company-wide access to the Community of Science World Wide Web Server through available client software packages such as Netscape, Mosaic, and Lynx.
* CD-ROM Interface: Copies of the Community of Science CD-ROM for appropriate distribution within the member company. The last came out May 1996. All updates will be made available throughout the company as long as its membership is active.
4. CBD Search Services
Offers a variety of different access options including CBD Action and CBDCheap. CBD Action, one of the more sophisticated options, includes the full CBD daily, an "electronic highlighter" pen feature, automatic daily or repetitive search profiles, and other features. CBD Cheap is marketed as the low-cost solution to Commerce Business Daily and offers an inexpensive solution for users who just need to see a couple sections of the publication. This service provides daily Internet e-mail delivery and makes CBD available by 3:00 PM Eastern Time the day before the paper edition. Call or e-mail for information about other levels of service.
CBD Action, $749/year and up; CBDCheap, $75/year per section up to 10 sections. The CBDCheap option requires a one time set-up fee of $50.
Free features: Offers a free demonstration disk for CBD Action. Call or e-mail to get the disk.
5. United States Information Corporation
USIC's CBD Internet Smart System allows the user to search either by keyword, category, set of categories, or subject profile. After the search is completed, one may select output for screen display, send it to an e-mail address, or transmit the file with FTP. Currently this service has approximately six months of back issues available for searching. The files update daily one day before the print edition is available.
$499/year (includes one main profile). Each additional profile costs $249. Free features: Offers a two-week free trial of the system.
6. ClariNet
A new edition of the CBD issues every business day. Each edition contains approximately 500 to 1,000 notices. Each notice appears in the CBD only once. ClariNet classifies the notices into appropriate CBD newsgroups according to their classification codes, to make it easy to find the types of contracts in which you are interested.
CBD newsgroups all have "clod" in their names.
7. Softshare Government Information Services
Softshare provides service in two basic ways: an interactive system, Softshare Online, and a full-service system named Alert. The Online system provides 24-hour access to CBD data, no monthly minimums, a low connect rate, and no additional print charges. Softshare Online allows full Boolean logic on a variety of keywords; however, this less expensive option does not allow profiles. The full service option, on the other hand, allows the user to consult with Softshare representatives to customize a user profile and take full advantage of the company's CBD expertise. Customized filtering of CBD notices based on profiles built by Softshare's experts who select keywords for their users. Delivery is by e-mail, modem-to-modem or fax. Softshare offers a wide range of government procurement services and resources.
Price: $75.00 initial set-up. Up to a $500 subscription fee, annually, that includes other procurements services and sources. Call for more details.
8. CBD-ON-INTERNET, National Electronic
Procurement Assistance Center
E-mail daily, back issues for the past year. Search software to retrieve bid notices using the official CBD codes or any number of keywords. Search criteria can be stored as a Profile and retrieved and run at logon. Unlimited users within a company. No setup charge or hourly fee. Unlimited access 24 hours a day.
$199 per year per location.
9. GovCon
Access to the Commerce Business Daily, FACNET, government regulations, databases, contractors, more.
Price: $149, annually, for CBD by e-mail with 25 keyword search plus optional full listing of any 10 categories. $179, annually for CBD by e-mail with unlimited keyword search plus optional full listing of any 10 categories. $249, annually, plus $0.50/page for faxed version, with unlimited keyword search plus optional full listing of any 10 categories. $399, annually, CBD Full Feed downloaded by FTP. $15 charge for modifying CBD e-mail profile.
10. CBDDisk, Government Data Publications, Inc.
Government Data Publications, Inc. offers a variety of services and publications related to government information. Its CBDDisk is software, mailed with the CBD, either e-mailed or by download online. CBDDisk is proprietary search software used for both the mailed and online versions.
Price: $319, annually, for weekly diskette or downloaded e-mail version. $399, annually, for daily e-mail version.
11. Procurement Assistance Centers (PTACs)
PTACS offer various government procurements services including CBD via e-mail. There are 108 PTACs nationwide.
Price: Prices vary. Check with the PTAC in your region.
For one in your area, contact Defense Logistics Agency, Small and Disadvantaged Business Utilization, (703) 7671650, or http://www.acq.osd.mil/ec/sites.html for a variety of different types of small business government assistance centers, state by state.
Amelia Kassel is principal of Marketing BASE, in its twelfth year as an information brokerage. Market research, competitive intelligence, and worldwide business information using electronic databases are specialties. Ms. Kassel also conducts "The Mentor Program," a one-on-one, go at your own pace training for new online researchers or information brokers.
