The Vertical-Specific Buzz: What Does It Really Mean?
“Vertical-specific” is a buzzword that’s been making the rounds when exploring GovCon contract lifecycle management (CLM) software. But what does “vertical-specific” even mean? In theory, it refers to software designed to meet the unique needs of a particular industry, like government contracting. The idea is that organizations can achieve rapid integration and immediate alignment with industry-specific workflows by building software to the specific requirements of a vertical. The promise is a streamlined, off-the-shelf solution addressing the sector’s unique regulatory, operational, and compliance challenges.
In practice, however, it becomes apparent that a vertical-specific label doesn’t automatically solve the complex contract management nuances inherent to the GovCon community. Government contracting is rich in diversity. From publicly traded to small businesses, satellites to submarines, each GovCon is unique. A one-size-fits-all solution, even if vertical-specific, falls short of adequately mirroring this multifarious ecosystem.
The Myth of Fast and Easy
The idea that implementing vertical-specific software for GovCon is quick and straightforward is misleading. Effective integration of any GovCon CLM software requires a deep dive into your unique processes and workflows.
To genuinely add value, we need a comprehensive approach. This means codifying existing processes, understanding team operations, and identifying specific opportunities for improvement. It takes time, effort, and a commitment to partnership. There isn’t a quick fix. It’s a long-term investment requiring detailed planning and strategic execution.
Verticals Within Verticals
Should we treat GovCon as a single, monolithic vertical? Certainly not. Government contracting is a multifaceted industry with diverse sectors like defense, aerospace, healthcare, and IT services. Each sector has its unique priorities, workflows, and requirements. Some providers propose that their software is not just specific to GovCon but specific to these verticals, e.g., vertical-specific for aerospace and defense. But even within these sub-verticals, complex variations exist that require an agile system—the ultimate fatal flaw of vertical-specific systems.
Consider the aerospace and defense sectors within GovCon. Managing contracts for aircraft manufacturing organizations differ vastly from those for satellite technology contractors. Each GovCon within aerospace and defense has its own set of priorities and workflows.
The same applies to other GovCon verticals. In Defense and Public Health, the processes and priorities for managing contracts for medical research differ significantly from those for hospital administration. An IT contractor working on software development will have different needs than one handling infrastructure upgrades.
These verticals within verticals reveal that a more rigorous approach is required than what a vertical-specific label can offer.
What Matters? Your Specifics.
For a GovCon to receive tangible benefits from its CLM, a solution beyond the superficial architecture of vertical-specific software is needed. It’s essential to have a CLM system with robust features that are out-of-the-box yet still highly configurable, integration-friendly, and capable of adapting to your organization’s specific needs. This includes tailoring workflows, integrating with existing systems, and complying with regulations.
Onboarding a CLM also requires a partnership approach. Rather than simply installing software and walking away, providers should work closely with your organization to understand your requirements, identify opportunities for improvement, and ensure successful adoption. They must speak your language to truly partner with you and your organization to get the implementation right. This collaboration ensures that the CLM system fits your current needs and can evolve with your organization as it grows.
The idea of vertical-specific software for GovCon might sound appealing, but the reality is far more complex. Effective CLM software requires more than a tailored label—it demands a deep understanding of your organization’s unique needs, a commitment to process improvement, and a detailed, strategic approach.
So, before settling for a quick fix, remember: your unique needs are the key to a powerful CLM and should always outweigh any vertical-specific claims.