Hold Contracting Companies Accountable
Some contracting/consulting companies enter into contracts which they cannot complete, and yet are not held accountable for the losses encountered. In many cases, I've seen software consulting companies bid on projects for which the do not have the necessary personnel/experience to complete the task(s). Millions of dollars are awarded to these companies, and yet no product is ever produced. Such companies need to be ...more »
Some contracting/consulting companies enter into contracts which they cannot complete, and yet are not held accountable for the losses encountered. In many cases, I've seen software consulting companies bid on projects for which the do not have the necessary personnel/experience to complete the task(s). Millions of dollars are awarded to these companies, and yet no product is ever produced. Such companies need to be bound to their contract, forced to return a substantial portion of the contract funds to the government, and restricted from bidding on any further contracts with the associated agency for a period of no less than 3 years. The amount repaid should be the full amount received, minus the amount paid in wages, taxes, and benefits for the consultants. The restriction period should be sufficient to allow for the contracting company to review their operating model and make the necessary changes to meet future contractual obligations. In a short time, we will weed out a good number of those companies which are draining our resources, recoup a portion of the losses sustained, and see more quality-focused companies rise to the top of the pool no matter their size. Consider an existing situation: A company bids $50 million on a 5-year project for which they claim to have the resources to fulfill the task. They are awarded the contract, yet they actually do not have the necessary experience or personnel. A mad dash is made to enter into subcontracts with other software firms to obtain personnel. Although the contractors inform all parties that the task cannot be accomplished with the given toolsets, they are ignored. The contracted company reports that they are out of money before the end of the fourth year, and the project is finally cancelled. The company is not required to repay any portion of the $50 million. Furthermore, they remain on location charges excessive hourly rates, paying their consultants far less than their previously established income levels, and are working on projects which have not gone through the proper bidding and awarding process. When they fail on this project as well, who will hold them accountable? Where does the waste stop, and accountability come into play?
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