DOD Contractor Dumping Practices and Tactics

There are anti-dumping laws in the United States but still it occurs, as one company enters a new market they will lower prices in a price war prone position and take it in the sorts just to get their butts in the door. Where is the most common market for this to occur?

Well in Department of Defense contracting of course. But why? The United States Defense Department pays top dollars for its hammers right? Well not exactly, but yes sometimes. What are you talking about you ask?

Well here is how it works; the US Military needs to upgrade some ships, tanks or planes and so it puts out a bid and many companies bid. Often they bid less than their costs to do the job. But why?

Well so they can get onto the base and work with all the people there and once they do those in charge will obviously need something else done and so rather than going thru a 90-day bidding process they simply give it to the company already there, already cleared and already on the property doing some other similar job you see?

The contractors know this is how it works and well everyone realizes it really. It is kind of an unspoken thing that everyone knows in those circles. Now then is this necessarily a bad thing? No not really and let me tell you why.

When outsourcing to government contractors the US Military is looking to save money and streamline things and they need a smooth transition. If a government contractor already knows what is going on and how things work around there, well then things go pretty smoothly.

Now then, let us all consider how the private sector works? Well it works much the same way and there is a good reason for it. Ask any supply chain executive or change-management consultant. You see, there is a thing called organizational capital and when a new company or team comes onto the property it takes a while to get everything working right and this is not as easy as it sounds.

Once that hurdle is over, the last thing you want to do is start all over again with another group. My article is in response to a GAO report I read which completely missed the point on this issue, so consider all this in 2006.

"Lance Winslow" - Online Think Tank forum board. If you have innovative thoughts and unique perspectives, come think with Lance; http://www.WorldThinkTank.net/. Lance is a guest writer for Our Spokane Magazine in Spokane, Washington

Business Strategy v/s Tactics
Most of us are confused between the two words Strategy and Tactics. Strategy is a long term policy whereas tactics are how you deal with problems now....

Mortgage Loan Avoid Predatory Lenders
When you are in the market for a mortgage or a home equity loan you want to steer clear of predatory lenders. Predatory lenders take advantage of hom...

Spreading Best Practices: Talk About Talking About Change
Training and communication are all about change. As you disseminate best practices within your organization, you spend a lot of time talking about mak...

RV Park And Campground Managers, Employees And Other Casual Labor
Once you find a potential manager for your RV Park or Campground, the work is still not over. Questions such as background checks, credit checks, how...

Corporate Workplace Violence Plan - Will Yours Fail When You Need It Most?
You have your company's workplace violence plan all finished. It's loaded with all of the preventative and reporting procedures you think you need. ...

You Too Can Be An Addict - Five Effects of Caffeine Addiction
You are an addict. How can I make that statement? I dont even know who you are, but if you answer Yes to at least two of the four following questions,...

Duplicate Content - Evolution Of The Search Engines
Every day and every second the search engines are fighting against the duplicate content phenomenon, which continues to spread like a virus by spammin...

Setting a Goal to Overcome Organisational Inertia
Organisational inertia is like a cancer. It eats at personal ambition and genuine creativity. At first, it limits progress in organisations which even...

Challenges For HR to Become a Strategic Partner
1. Avoid Strategic Plans On Top Shelf (SPOTS).More strategies are written than acted upon. More visions are created than realized. More missions are e...

Georgia Home Mortgage Loans: Beware of These 3 Things
Currently, Georgia has the strictest mortgage laws in the nation. According to The Georgia Fair Lending Act, home loan lenders cannot finance credit i...

Relationships = Economy
Yet More Evidence of ChangeFor those who dismiss my missive as just hype, consider online business networking giant LinkedIn preparing for an IPO as e...

The Often Missed, But Essential Practices Of Sem And Seo
Search Engine Marketing and Optimization. If you are reading this article you most likely know the basics of what the two mean, but for those who do n...

Oops Mama Fell Get The Block and Tackle
Id rather leap down a flight of stairs blind-folded than to watch an elder fall. Falling is a very embarrassing experience for anybody and especially ...

The Health and Elder Care Corporate Social Responsibility and Code of Ethics
Prior to contracting with an outside service such as homecare, assisted living, nursing homes and even such services as an elder-law attorney or finan...

Diversity Training - How to Identify and Resolve Unconscious Discrimination in the Workplace
The Changing Face of Workplace DiscriminationIt seems that the face of workplace discrimination is changing into a less easily recognizable one. Worke...