A NAICS code, North American Industry Classification System is a code which classifies a business establishment by type of industry. NAICS codes are 6-digit codes, some are ambiguous e.g. 334419 – Defined as “Other Electronic Component Manufacturing”. NAICS codes represent industry classifications, NOT product classifications.
The Department of Defense and SAM registration CAGE codes require choosing these codes which associates your company with the types of industries your company represents. DOD solicitations will list a NAICS code representing the item procured. The problem is when used in solicitations some codes are incorrectly chosen or don’t represent all items being procured, especially when one solicitation lists several items.
When using NAICS codes to search for government solicitations your results may be poor due to the fact that NAICS codes represents an industry and not products. A more accurate way to search for products listed in DOD solicitations would be to use Product Codes otherwise known as Federal Supply Class codes FSC’s, these codes represent the Product Category of the item being procured and are the first four digits of the NSN.
Here is a perfect example of a DOD Solicitation that listed a NAICS code which did not relate to a majority of the items being procured. SPE7MX-21-R-0120 lists NAICS 334419 Other Electronic Component Manufacturing and this solicitation lists a variety of products, 16 in total with a potential contract value of over 2 Million Dollars.
Here a just a few of the items listed in the above solicitation along with their associated FSCs which relate to the product category of the item.:
Hose Assembly – FSC 4720
Tube Nipple – FSC 4730
Linear Microcircuit – FSC 5962
Optical Prism – FSC 6650
Fuel Tank Parts Kit – FSC 2910
If your company was searching for government bids relating to any of the above items, your “Bid Search” probably would have not contained the NAICS code 334419 and you would have missed this one. However if you searched for bids using FSC’s you would have a much better chance and more accurate bid results.
BidLink Software Systems is an industry leader in DOD Bid Search and Procurement Research tools.
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