The acquisition engine is still humming along over at Deltek, with the software and market research firm adding Centurion Research Solutions to its stable.
The company announced the acquisition today, saying it supplements the market research capabilities Deltek added when it acquired Input in 2010 and FedSources in 2011 to create its GovWin IQ database offering.
“We’ve been talking for a while, and we are excited about the value the combination of the two companies can deliver," said Mike Corkery, Deltek CEO.
He declined to disclose the purchase price or Centurion’s annual revenue, but Deltek is picking up 59 employees.
The addition of Centurion brings more market research data on architecture and engineering opportunities, which Corkery said was particularly attractive to Deltek. Centurion also has data on IT, professional services, energy, and operations and maintenance contracts.
Centurion also brings its Opportunity Assessment Now offering, which is a data analytics tool that allows users to analyze an opportunity and assess the likelihood of winning it.
“We think that analytical platform will be a very interesting addition to our product set,” he said.
“Think about what is going on in today’s market with budgets narrowing and competition tightening,” Corkery said. “You need to be able to deploy your business development resources efficiently. Now, our customers will have full visibility of the opportunities that are out there and the analytical tools to know exactly what to pursue.”
According to Centurion’s website, the Opportunity Assessment Now tool, collects on 10 factors that influence the winning of a contract, including contract requirements, competitive landscape, teaming, management capabilities, technical capabilities, past performance and award tendencies.
The result is a clearer understanding of the likelihood of winning a given opportunity, according to the company.
Several details still need to be worked out as Centurion becomes integrated into Deltek’s GovWin offering. These include how the opportunity databases will be combined, and what the user experience will look like.
“The customer is going to get access to a broader set of capabilities, not less,” Corkery said.
The reasoning behind the Centurion acquisition is consistent with the Deltek strategy that Corkery described to me in an earlier interview at the annual Insights user conference last month.
“More risk is being pushed to contractors. There are more fixed price contracts and more low costs contracts. You have to run your business better,” he said at the time.
The addition of Centurion’s Opportunity Assessment Now tool lines up nicely with that “run your business better” thinking that Corkery talked about.
Going forward, acquisitions will continue to be a part of Deltek’s growth strategy, with a focus on adding capabilities and access to new markets.
The Centurion deal fits squarely in the realm of adding new capabilities, Corkery said.
Deltek’s most recent acquisition was the purchase of Acumen in July, which brought more project management capabilities.
While Centurion was a competitor with Deltek’s GovWin offerings, Corkery said the acquisition isn’t about removing competition, but about adding capabilities for the customer.
“What we are delivering has never been more valuable, and as the market narrows, our customers need more intelligence to pursue the right opportunities,” he said. “This gives our customers the actionable information they need.”
Posted on Nov 13, 2013 at 1:10 PM3 comments
Things turned ugly over the last week as TechAmerica filed suit over the departure of three senior employees who departed for a rival technology association.
The Information Technology Industry Council has been historically quiet in the public sector technology space until earlier this month, when it hired three of TechAmerica’s government experts and launched its own public sector group.
TechAmerica has fired back with a lawsuit filed in the Superior Court of Washington D.C., claiming a breach of contract and the lifting of proprietary information with the departure of Trey Hodgkins, Pam Walker and Carol Henton. A fourth TechAmerica employee, Erica McCann, also left with them, but she is not named as defendant in the suit.
Hodgkins and company left TechAmerica on Nov. 4, and the next day, ITI announced his and the others' hiring, as well as the formation of the Information Technology Alliance for Public Sector.
TechAmerica is claiming they took information about members and dues, as well as recruited members to ITI as a prerequisite for being hired.
I usually think of trade associations being rather polite. Sure, they’ll fight for their members, but rarely do you see them go after each other; in this case, however, the claws are out.
Hewlett-Packard executive and TechAmerica chairman Dennis Stolkey said in a statement, “These three individuals and ITI have attempted to damage TechAmerica's service to its members through unlawful means. That is not acceptable.”
He said they perpetrated “illegal acts” as they left his organization.
It is in everyone’s best interest to settle this case, but TechAmerica has little to lose and much to gain through this fight. They are asking for $5 million, as well as more for other damages.
It is unfortunate that this is happening now as Congress gears up for the next budget battles as well as a host of other issues that will impact procurement and technology issues. The last thing the industry needs is to be fighting with itself.
The departures are a blow to TechAmerica. Plenty of rumors have swirled around the organization in the last year or so, and these departures at the very least create the perception of instability.
The organization does have a strong board of directors to fall back on, starting with Stolkey, who ran the public sector business of HP Enterprise Services before being promoted to senior vice president of the Americas.
Other executives on the board with public sector experience include Bill Ballhaus, CEO of SRA International, Thomas Anderson, chief operating officer of STG Inc., Robin Lineberger of Deloitte, Charles Prow of IBM, and George Schindler of CGI.
With TechAmerica on the offensive, ITI has vowed to fight back, and won’t let the lawsuit distract it from the work it does for its members.
But with $5 million at stake, it’s hard to imagine this fight not being a distraction.
Posted on Nov 12, 2013 at 11:59 AM2 comments
Some of the best government contractors in the market were on hand last night for the 11th annual Greater Washington Government Contractor Awards gala.
Produced by the Professional Services Council and the Fairfax County, Va., Chamber of Commerce, the event recognizes some of the best and brightest among small, midsize and large contractors.
Each winner gets a few moments on the stage to thank colleagues, family, employees and customers. There is usually a funny quote or two, and a sentimental statement about the influence of parents, spouses or other mentors. Click here for a list of all the winners.
But this year, an interesting theme emerged from many of the winners, particularly the small and midsize companies.
Executives such as Brad Antle, CEO of Salient Federal Solutions, the winning contractor of the year in the $75 million to $300 million category, talked about how much they want to grow out of that midsize category.
Similar comments came from executives from XLA, contractor of the year in the $25 million to $75 million category and Credence Management Solutions LLC, contractor of the year in the under $25 million category.
Of course, every company wants to grow, but it was the way they talked about getting bigger that struck me. Their desire for growth recognizes a tough reality of today’s market.
With so much uncertainty, delays and budget pressures, small and midsize companies are getting squeezed. Sure, large businesses feel the pressure too, but they have access to resources that most small and midsize companies do not.
The desire to grow out of the small and midsize categories is as much about survival as it is financial gain.
That was the big lesson for me from the GovCon awards this year.
Another highlight was Ernst Volgenau, SRA International’s founder. He received the hall of fame award.
Volgenau is one of the pioneers of the government IT market, and he joined past honorees such as Norm Augustine, Charles Rossotti, Phil Odeen and Jack London.
Always a class act, Volgenau said he was accepting the award “on behalf of the past and present executives leading SRA.”
He pointed out current CEO Bill Ballhaus, who was in attendance, as well as Ted Legasey.
“Ted Legasey joined me as SRA’s second employee,” Volgenau said. “Sara, my wife, wasn’t an employee because I didn’t want to pay her, but she was there too.”
That line drew one of the biggest laughs of the night.
But Volgenau was serious as well when he talked about leading a company with high standards. “Like a lot of companies, we had challenges and we made mistakes, but if you are committed to serving your country, taking care of your employees and practicing high ethical standards, you can succeed,” he said. “A company with high principles can be a success.”
One of the best quotes of the night came from Kymm McCabe, CEO of ASI Government. She was named executive of the year in the less than $75 million category.
“You can be the ripest, juiciest peach there is, and there are still going to be people who don’t like peaches,” she said. Her message: Be yourself.
And finally, the annual GovCon awards raises money for a charity. This year, $11,000 was raised via a raffle for Operation Renewed Hope, an organization that provides housing and other support services to homeless veterans.
Posted on Nov 08, 2013 at 9:46 AM0 comments