The Case for Strategic Procurement Reform
The U.S. government’s procurement and acquisition system, while designed to promote accountability, fairness, and cost-effectiveness, has become burdened by complexity and bureaucracy. What began as a system to safeguard taxpayer dollars and ensure fair competition is now often characterized by slow, cumbersome processes that hinder innovation and delay mission-critical results. As a certified Strategy Management Professional (SMP) and a former Head of Contracting, we bring complementary perspectives to a shared conclusion: procurement reform is not just a compliance issue – it’s a necessity. In this article, we reimagine the system through the combined lenses of strategic foresight and practical acquisition leadership.
Our Vision
A modernized, agile, and ethical procurement system that fosters innovation, enhances security, and delivers best value to the American taxpayer while ensuring efficiency, transparency, and fairness.
Four Strategic Goals to Modernize Procurement
Achieving this vision requires purposeful action, framed by four strategic goals:
Goal 1: Enhance Efficiency and Speed
Procurement delays are not just inconveniences; they directly impact the government’s ability to meet mission demands. To improve speed without sacrificing oversight, agencies must adopt agile acquisition practices. This means moving away from rigid, linear processes and embracing methods like iterative development, rapid prototyping, and phased contracting approaches — strategies commonly used in the commercial sector. Greater use of flexible instruments like Other Transaction Authorities (OTAs) and Commercial Solutions Openings (CSOs) can significantly reduce procurement cycle times, particularly when engaging with innovative or emerging technology providers.
Technology also has a critical role to play. AI-driven contract management tools can expedite proposal reviews, automate compliance checks, and improve risk assessments. Likewise, robotic process automation (RPA) can relieve contracting officers from repetitive administrative tasks, freeing them to focus on strategic activities. By embracing these tools, the government can shift resources from process-heavy tasks to higher-value mission outcomes.
Goal 2: Foster Fairness and Ethical Procurement
Transparency and fairness are the foundation of public trust. We propose the mandatory implementation of real-time dashboards that track contract evaluations, allowing all stakeholders, including oversight bodies, to monitor progress and understand decisions as they unfold.
Another key to fairness is expanding opportunities for small and minority-owned businesses. This means reducing barriers by streamlining the System for Award Management (SAM) registration and certification processes. Further, by raising small business thresholds to account for inflation and market realities, successful mid-tier firms, often squeezed out under outdated size standards, could remain competitive. Modernizing these policies ensures that the procurement ecosystem reflects the diversity and strength of the nation’s business community.
Goal 3: Reduce Costs While Maintaining Quality
Cost savings should never come at the expense of mission effectiveness or innovation. Instead of relying on rigid statements of work and prescriptive requirements, agencies should shift to defining contracts based on results and desired outcomes. This performance-based approach invites offerors to propose creative, efficient solutions tailored to achieve agency goals.
Further savings can be realized through better contracting models. Standardizing contract templates across agencies can reduce redundant negotiations and lower administrative burdens. At a broader level, adopting strategic sourcing practices — including category management and bulk procurement — enables the government to leverage its collective buying power. For common goods and services, especially in IT hardware and software licensing, aggregated demand can unlock significant cost savings while maintaining quality.
Goal 4: Ensure Procurement Supports Security and Innovation
Procurement reform is also security reform. Agencies must ensure that vendors entrusted with sensitive work meet rigorous cybersecurity standards. This could be accomplished by expanding the Cybersecurity Maturity Model Certification (CMMC) to apply beyond defense contractors, holding all federal vendors to higher security expectations. Moreover, contracts should have real consequences for cybersecurity failures.
Simultaneously, the procurement system must become more innovation-friendly. Rapid innovation funds could incentivize startups and non-traditional vendors to enter the government market, accelerating access to emerging technologies. Within agencies, dedicated “innovation accelerators” can help identify promising solutions and expedite their path to implementation. These efforts not only drive innovation but also ensure that procurement contributes directly to enhancing national capabilities.
From Bottleneck to Catalyst: Turning Vision Into Reality
Reform cannot simply be aspirational — it requires a deliberate, well-executed strategy. True transformation of the procurement system will demand more than piecemeal policy tweaks; it will require sustained leadership, coordinated action, and a strategic approach anchored in continuous improvement.
A centralized body within the Office of Management and Budget (OMB), working closely with the General Services Administration (GSA) and the Office of Federal Procurement Policy (OFPP), should be tasked with leading this effort. This entity would be responsible for ensuring that reforms are embedded within a comprehensive and evolving acquisition strategy, updated regularly to address emerging challenges and opportunities.
A modernized procurement system is not only achievable — it is necessary. With strategy at the center, government agencies can acquire the right capabilities at the right time, deliver better value to taxpayers, and promote fairness, efficiency, and innovation. By elevating procurement from a compliance obligation to a strategic asset, we can ensure that it serves the nation’s interests today and for generations to come.