Month: February 2019

This week DLA Land and Maritime is currently performing market research to find new manufacturers of a specific float valve used with the AIM-9 missile.  This specific float valve has been provided by the same manufacturer for close to 20 years and who appears to be a contract manufacturer/job shop according to BidLink procurement history. What can that mean to you?  Just because it’s called a valve does not necessarily mean it’s made by a “valve manufacturer”.

Although the AIM-9 Missile is a Navy Program with Air Force as a joint participant DLA still gets involved especially when it comes to spares.  DLA is responsible for buying millions of parts used by all the services.  If your company manufactures anything, this one is worth looking at. A complete drawing package for this float valve will be available for any company to review and potentially become a new supplier. 

The process for this notice which is currently open this week is, DLA receives public responses, completes their market research and then considers posting a solicitation and subsequent award.  An Indefinite Quantity Contract (IQC) or Long Term Contract (LTC) will be awarded to one company for this item.  The Estimated annual demand for this item is over 3,100 units each year.  According NSN procurement history found in BidLink for NSN 4820-01-372-6031 the average unit price is over $70.00 each.  This single contract could be a significant order for any small contract manufacturer; the potential contract value is close to a quarter of a million dollars per year.  These LTC type contracts are the dreams of every contractor.

We were interested to see what other information, conclusions
or possible business opportunities we could ascertain from the data we have
access to.  This is what we found: The float
valve is part of a tank supplying coolant to the missile components of the
AIM-9 Sidewinder when in flight.  The
entire coolant tank assembly (model series TMU-72) was repaired by Mass
Systems/Ametek Ameron (Stock ticker AME) due to a contract awarded by Naval Air
Systems Command (NAVAIR) in 2018.

There are thousands of DOD contracting opportunities just
like this one.  Successful government
contractors do more than simply search for solicitations, they perform additional
research, diving deeper looking for trends, seeing what other opportunities
might arise.

Finding government contract opportunities such as this are simple, I used keywords float and valve to find this notice.  However searching for solicitations is only part of the formula for winning more government contracts.  When the quality, quantity and diversity of data analyzed goes up, your picture gets clearer, potentially leading you to undiscovered business opportunities.

This article started out as a simple posting for valve manufacturers to see a possible bid opportunity.  After looking at associated parts, where they are used, awarded contracts, companies involved, patterns began to appear and successful government contractors look at all of these. Try it for yourself.

BidLink has been a leading provider of DOD procurement research tools and data for the past 20 years. Find defense contracts, solicitations, sources for items, and research competition. Learn more at www.bidlink.net

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The Air Education and Training Command (AETC) is headquartered
in Texas at Joint Base San Antonio-Randolph, it’s the second oldest major
command in the Air Force.  The mission of
the AETC is to recruit, train and educate Airmen.  The entire AETC command as of October 2018
consists of about 61,000 people including contractors.  AETC flies approximately 1,300 aircraft in
several categories such as Jet trainers (T-38 Talon), Fighters (F-16 Falcon) and
Tankers (KC-135 Stratotanker) to name a few.

Operations include Air Force recruiting, Numbered air
forces and Air University.  The command currently
operates 12 major installations, supports tenant units and 16 active-duty and
seven Reserve wings.

AETC Installations are found in 6 states:

Alabama

Maxwell Air Force Base

Arizona

Luke Air Force Base

Oklahoma

Altus Air Force Base

Vance Air Force Base

Texas

Goodfellow Air Force Base

Joint Base San Antonio-Fort Sam Houston

Joint Base San Antonio-Lackland

Joint Base San Antonio-Randolph

Laughlin Air Force Base

Sheppard Air Force Base

Mississippi

Columbus Air Force Base

Keesler Air Force Base

New Mexico

Holloman Air Force Base

If you are interested in doing business with the Air Education and Training Command the links above can get you started.  Most of the awarded government contracts are from DODAAC’s such as FA3016 and FA4801.

BidLink is a provider of DOD procurement research tools and has been a leading provider of industry marketing data relating to DOD procurement and solicitations for the past 20 years. Find defense contracts and research competition. Learn more at www.bidlink.net

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Today we reviewed all contracts awarded by the Defense Logistics Agency (DLA) for the month of February 2019 to see what trends might appear.  Contractors selling Commercial Hardware (CH) items were third from the top of the list, by percentage of contracts.  The Commercial Hardware category is diverse both in types of items as well as government contractors supplying them.  Nearly every Ship, Submarine, Aircraft, Vehicle, System or Facility has parts categorized under the Commercial Hardware category it’s NOT just things you find in your big box store”.     

The Commercial Hardware category consists of over 350
subcategories.  Companies looking to
start selling to DOD or wishing to increase their DOD sales should take a
serious look at this category, especially when searching for government solicitations.
 Over ten (10) percent of all the contracts
awarded in total by the Defense Logistics Agency (DLA) for the month of February
(as of today) have been awarded to over 400 companies selling products
categorized as Commercial Hardware.

What is Commercial Hardware?  First of all it doesn’t include Screws, Nuts, Bolts, or Washers, they have their own categories.  Commercial Hardware items are produced by all types of industries such as Machine shops, Fabricators and Assembly shops made from various materials like metals, plastics and rubbers.

Here is a small sampling, a few names of products found within the subcategories under Commercial Hardware:

Adapters, Bands, Bellows, Brackets, Bumpers, Caps, Casters, Clamps, Clips, Covers, Fasteners, Frames, Guards, Hinges, Mounts, Plates…

When searching for government solicitations for commercial hardware items it can be cumbersome and time consuming due to the fact that this category has over 350 subcategories.  The trick is to search by the individual item name(s) for a more refined result set.  In fact after searching for open government solicitations in BidLink today we found 1,500 open bids for commercial hardware items.

In conclusion if you are interested in increasing the
number of government contracts you win take a look at the category “Commercial
Hardware”.  No matter what your specialty
is the chances of finding something you can supply to DLA is fairly good under
this category.  Also looking at the procurement
history of past government contracts shows that small businesses succeed in
this category.

BidLink is a provider of DOD procurement research tools and has been a leading provider of industry marketing data relating to DOD procurement and solicitations for the past 20 years. Find defense contracts and research competition. Learn more at www.bidlink.net

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How much chocolate does the Department of Defense (DOD)
buy, one of our staff said on Valentine’s Day.  The Defense Department buys chocolate you say?
 Yes DOD buys everything from weapon systems
to food and candy, you just need to know where and how to look.

If you are looking to sell to DOD or wondering how, your answers
exist in the data.

Reviewing past contract awards and solicitations tell you
details of the purchase.  The answers you’ll
find through this type of review will help guide you on how to sell your products.  Finding answers such as who’s buying that
type of item, how they are buying it, what kind of contract(s) are used how many
are purchased and what price they are paying. 
These answers will guide you on the best way to sell.  If you are simply just searching for open solicitations,
you could be missing out on other business opportunities.

DOD buys all kinds of food including fresh fruits and vegetables, dairy, bakery products and candy including chocolate.  Various types of contracts are used; both large and small companies sell food to DOD.  Contracts for food are awarded to local vendors as well as large prime vendors.
Contracts can be long term or one time buys.  The successful government contractor uses all these methods. 

The first part of my market research was to determine the code(s) relating to chocolate products.  There isn’t one but there is class of items under FSC 8925 which is titled “Sugar, Confectionery, and Nuts” – candy, chewing gum, honey and maple syrup all fall under that category.  Since chocolate is a candy now I know to search using FSC 8925 to find contracts and solicitations that might contain chocolate.  

Then I looked for contracts, companies selling products
under FSC 8925, bounced around in BidLink looking up contracts, companies, NSNs’
Cage Codes finding some very specific results of companies selling chocolate.

My goal for this study to just get an idea of what kind
of chocolate was sold and who sold it in past 45 days starting January 1^st
2019 till today.

A few data points I found relating to Chocolate the
Defense Logistic Agency (DLA) is buying:

Both Sweet and Semisweet chocolate baking chips, various types

Chocolate covered peanuts, assorted colors – Any guesses on the manufacturer?

• Candy Bars:
• Chocolate covered nougat, with caramel & peanuts
• And $50,958.00 worth of Butterfinger candy bars
• January 2019 Contract # SPE300-18-DQ003
• Quantity 288 cases
• Price $176.94 per case

Most contracts awarded to medium/large companies but one was
small with less than 40 employees.

Although I do not have the total picture of what’s being sold or what they might have purchased for Valentine’s Day, I did prove that DOD buys chocolate.  This conclusion can possibly lead you or your company to successful sales of you own to DOD.

BidLink is a provider of DOD procurement research tools and has been a leading provider of industry marketing data relating to DOD procurement and solicitations for the past 20 years. Find defense contracts and research competition. Learn more at www.bidlink.net

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When searching for DOD Bids for Electrical Equipment, Wiring Supplies, and Related Equipment, are you using the right codes?

One way companies find Government Contracting Opportunities is by the use of North American Industry Classification System (NAICS) codes.  NAICS Industry code 423610 is defined as “Wholesalers of Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment”.  Over 6,000 companies currently list this code in their SAM.gov registration, in the hope of finding government business.  Your SAM.gov profile defines your business and capabilities to the Federal Government.

When a new SAM.gov registrant sets up its profile, it usually reviews NAICS codes to choose the one(s) that most closely represent their business. All of the following items are included in NAICS 423610:

NAICS Industry Item List for Code 423610

Alarms
Batteries (except automotive)
Electrical Boxes and fittings
Busbars and trolley ducts
Capacitors (except electronic)
Circuit breakers
Coaxial cable
Electric wire and cable conduit
Electrical conduits and raceways
Electrical connectors
Electrical construction materials
Current-carrying wiring devices
Electrical distribution equipment
Electric light fixtures
Electric motors
Electric prime movers
Electrical apparatus
Electrical fastening devices,
Electrical fittings
Flashlights
Fuses
Electrical generators
Electrical hanging devices
Hardware, transmission pole and line
Electrical industrial controls
Electrical measuring Instruments
Insulated wire or cable
Electrical insulators
Light bulbs
Electrical lighting fixtures
Lightning arrestors
Electrical Lugs and connectors
Electrical meters
Electric motor controls
Motors, electric
Panelboards, electric power distribution
Pole line hardware
Electrical power transmission equipment
Electrical receptacles
Voltage regulators
Relays
Security systems
Signal systems and devices
Storage batteries (except automotive)
Electrical distribution switchboards
Electrical switches
Electrical transformers
Electrical transmission equipment
Electrical unit substations
Insulated Wire
Wiring supplies

If you sell any of the items listed above you’ve probably used this NAICS 423610 in your search for government solicitations.  However, looking for solicitations with this code will provide poor results.

Here’s why – NAICS code 423610 is not typically used by DoD when it creates solicitations for electrical equipment. When we searched in BidLink.net for open solicitations under this NAICS code, this is all we got:

To get good results use Federal Supply Classes (FSC’s) in your searches. Try setting up a solicitation search at www.bidlink.net, or at a government site to see the difference. A search with NAICS code 423610 will show very few solicitations, whereas searching with codes like FSC 5935 (the FSC for
“Electrical Connectors”) returns more more fruitful results:

BidLink is a provider of DoD procurement research tools and has been a leading provider of industry marketing data relating to DoD procurement and solicitations for the past 20 years. Find defense contracts and research competition. Learn more at www.bidlink.net.

If you found this article interesting, try another >> DoD Procurement; Acquisition Method Codes (Part 1)

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