Fairmont supports clients in strategic analysis and transaction due diligence across a wide array of government services, ranging from information technology to test and evaluation to physical security.

Fairmont has supported a wide range of engagement across the government services sector, including:

  • Diligence of a Tier 2 federal information technology services player focused on defense and intelligence clientele
  • Strategic planning support for a Tier 2 defense services player with a diversified portfolio of activities across aviation, naval, and electronic systems
  • Diligence of a global security services firm focused on support for the Department of Defense and the broader U.S. national security establishment
  • Diligence of a Tier 2 federal information technology services player focused on civil agency requirements for both mission and enterprise applications
  • Diligence of a specialized distribution services player offering unique technology-enabled capabilities to both government customers and Tier 1 defense industry players

Executives and acquirers in the government services sector must consider a range of factors as they evaluate plans for growth and acquisition. With federal budget pressures increasing, the long-running debate regarding “inherently governmental functions” is once again being heard, as defense services and civil agencies consider the advantages and disadvantages of services outsourcing versus government insourcing. The federal mandate to support small and disadvantaged businesses through contractual quotas is also a growing factor in a market where government set-aside contracts offer both opportunity and threat. A sampling of strategic issues for the years ahead include:

  • The role of commercial information technology – including hardware, software, and business processes / best practices – in shaping federal technology services procurement and implementation (and ultimately reducing demand for certain services while driving growth in others)
  • The impact of “Low Price / Technically Acceptable” contracting on both the current competitive environment for service providers and the long-range quality of services received by the government customer
  • Optimization of staffing to ensure that the appropriate mix of skillsets are deployed in the service of the government customer – and to ensure that the price to do so is competitive
  • The development of internal professional service processes and management systems to ensure that the organization can recruit, train and retain the best personnel and create sustainable competitive advantage
  • The development of disciplined corporate development capabilities, through a mix of both internal staff and external advisors, to ensure that M&A is handled in a consistent, systematic manner that creates long-term value for the firm