The US government has continuously supported small businesses to enable them secure government contracts that they would otherwise not be able to compete for against larger corporations. This has, for the most part, been realized through the creation of several federal acts and programs such as the Small Business Act. Through such legislation, Aerospace Drones can be supported financially to enable it to deliver on contracts that it can secure from the Department of Homeland Security. Moreover, according to the Small Business administration (2021), federal procurement officers are required by law to set aside contracts worth $3000 – $100000 for small businesses. If the Department of Homeland Security has such opportunities, Aerospace Drones can be awarded contracts over established companies as Lockheed Martin, Northrop Grumman, Boeing, and General Atomics. However the company should compete fairly and expertly on fair market prices, good delivery and quality (SBA, 2021).
The government has outlined preference programs to be used when procuring for government contracts as a way of ensuring that small businesses have a chance of securing key government contracts. These programs are specific in nature and target a particular group of people (Walsack, 2021). First, the government formed the Small and Disadvantaged Business (SDB) program that sets aside 3% of Department of Defence contacts for small businesses (Walsack, 2021). Second, through the 8(a) program, the federal administration awarded 23 % of its prime contracts to small businesses (Walsack, 2021). Third, is the Women-Owned Small Business program where a 5% goal is set aside for women who own small businesses (Walsack, 2021). Then there is the Service-Disabled Veteran-Owned Small Business Program that targets servicemen and women who have been disabled as a result of their service to the state. Lastly, the government established the Historically Underutilized Business Zone (HUBZone) that targets areas where the level of unemployment is quite high. Aerospace Drones can benefit mainly from the 8(a) program through which the company can secure contracts from the Department of Homeland Security since a goal of 23% has been apportioned for such small businesses. The company can also benefit from the Research Program run by the Small Business Administration (SBA) to help it develop a product that is very competitive in the market.
Today, the function of procurement within an organization has come to be central to the success of the company. Farrington and Lysons (2016) state that the management of procurement functions within a company requires people who are highly skilled and can negotiate good deals for the company. Moreover, the company should be able to meet the expected customers’ demands. For Aerospace Drones to effectively interact with the government, it will need a competent procurement team. The team should be led by a procurement manager. His main duty will be to develop procurement strategies for the company and manage the entire supply chain in a way that will help Aerospace Drones realize its objectives. The manager should also be good at negotiation and finding the most profitable agreements. The team needs a purchasing agent who will be tasked with drafting purchasing orders. The agent can as well do some clerical work and handle any queries from the government and suppliers. The third crucial member of the team is an administrative assistant. Their primary task will be handling matters of documentation and keeping proper and up-to-date records pertaining to the procurement dealings between Aerospace Drones and the government.
References
Farrington, B., Lysons, K. (2016). Procurement and supply chain management. Pearson.
Small business administration, (2021). SBA Open Government Plan.
Walsack, J. (2021). 22 grants, loans and programs to benefit your small business.