Ignite the Promise

Benefits of Sequestration, Cost Reductions, and Furloughs

Americans seem to excel when we are faced with a crisis!  My view is that unless we face a crisis with our backs against the wall, or we are between a rock and a hard place we don't take action to do what's needed.  Until then, we are too busy with life and personal things than to focus on others' needs.

The onset of across-the-board reduction of funds for federal agencies via sequestration may be the 'crisis' that helps us all pay attention to doing what is needed and what is right.  From that perspective, I am optimistic that this crisis is a great blessing in disguise to get smart about funding needed activities, while eliminating less needed ones.  With limited funds, we must focus on the things we need and on the people who are going to be impacted.  This task-people framing should be maintained in order to keep the ship upright, i.e., a Task-People balance is required. It is about focusing on the most critical activities and expenditures (task side), along with the people needed to work the tasks or who will be affected by the activities.

Forcing the U.S. to critically look at the use of funds has a sense of traversing Maslow's needs pyramid all over again from the bottom up.  We are pushed to move from all the things we love to have when at the top of the pyramid to now looking at only the things we need to have at the bottom of the pyramid.  The challenge is to determine what we need to have in order to continue to provide products and services to customers.

Before sequestration and the across the board cuts in funding of our government occurred, I was seriously concerned about the financial impact on my business and my life style.  Now I view the required reductions in spending a positive thing.  I see a silver lining in belt tightening.  What is it?  It's about getting rid of unnecessary costs, whether in spending on things, projects, or personnel.  In a word, we are forced to improve efficiencies and effectiveness.  This will require improving leadership performance and work performance from all persons involved.  Given the requirement to reduce costs and yet perform one's mission, I suggest that we will find improved Returns-on-Investment (ROI) opportunities throughout the government -- improved returns from less spending!

However, we cannot be mindless about cost cutting.  We cannot be arbritrary.  Furloughing air traffic controllers would be necessary if all other options were first considered.   Such options were not considered and the controllers' furlough was set in place and then rescinded.  Doesn't it make sense to determine both the tangible (reduce cost) and the intangible (impact on people) side of a cut before making the cut??  Someone please help our leaders think before acting!! 

© Baldwin H. Tom CMC, FIMC
www.tbgroupconsultants.com

A Patriotic Visit -- Gettysburg Battle at 150 years

For the first time, Madeline and I visited the July 1863 American Civil War battlefield in Gettysburg, Pennsylvania, the site of President Abraham Lincoln's Gettysburg address.  This is another situation where you have to be there to absorb the sights and sounds and place to fully feel and appreciate what the battles meant to a divided nation.  The enormity of that period in American history doesn't even sink in without reflecting on the meaning of the sacrifices of the 51,000 dead and wounded soldiers from both the Confederate (south) and Union (north) sides. That number represents over 30% casualties from Union (93,000) and Confederate (70,000) armies.

On the third day of this three-day battle, 12,000 Confederate soldiers advanced across an open field believing that the Union Army was weakened at the center.  They were wrong and this action, known as Pickett's Charge, cost the Confederates over 5,000 casualties in one hour. It is very sobering to consider the passion and fierce determination of both sides in sacrificing so much for 'just a hill.' That was the high water mark of the Confederacy and the turning point of the war that would linger on for another two years.  After three days and on July 4, 1863, General Robert E. Lee led the remnants of the Confederate Army on a retreat back south. Of interest to us were the monuments from different states, both north and south, placed as markers on the battlefied to note where large numbers of their soldiers died in battle.  A highlight of the visit was the Battle of Gettysburg cyclorama, a 377x44-foot circular painting from 1884 by Paul Philippoteaux depicting Pickett's Charge.  From your vantage point, the entire set appears like a 3-dimensional scene! Awesome! After visiting Gettysburg, it sets me up to go see the current movie by Stephen Spielberg about Lincoln.  Lincoln, the movie, won an academy award for Daniel Day-Lewis as Best Actor in portraying Lincoln.

Lincoln's address on November 18, 1863 in dedicating a Soldiers' National Cemetery in Gettysburg was short and captured the essence and purpose the war was being fought.  Lincoln was not the keynote speaker that day in dedicating the national cemetery.  The keynoter was Edward Everett, a renowned American orator of the time.  Everett spoke for 2 hours in his address.  Lincoln spoke for about 2 minutes.  We do not remember Everett's address, but know well Lincoln's address.

"Four score and seven years ago our fathers brought forth on this continent, a new nation, conceived in Liberty, and dedicated to the proposition that all men are created equal.

Now we are engaged in a great civil war, testing whether that nation, or any nation so conceived and so dedicated, can long endure. We are met on a great  battlefield of that war. We have come to dedicate a portion of that field, as a  final resting place for those who here gave their lives that that nation might  live. It is altogether fitting and proper that we should do this.

But, in a larger sense, we cannot dedicate -- we cannot consecrate -- we cannot  hallow -- this ground. The brave men, living and dead, who struggled here, have  consecrated it, far above our poor power to add or detract. The world will little note, nor long remember what we say here, but it can never forget what  they did here. It is for us the living, rather, to be dedicated here to the  unfinished work which they who fought here have thus far so nobly advanced. It  is rather for us to be here dedicated to the great task remaining before us --  that from these honored dead we take increased devotion to that cause for  which they gave the last full measure of devotion -- that we here highly resolve  that these dead shall not have died in vain -- that this nation, under God, shall  have a new birth of freedom -- and that government of the people, by the people,  for the people, shall not perish from the earth."  [Bliss copy]

"Lincoln's speech transformed Gettysburg from a scene of carnage into a symbol, giving meaning to the sacrifice of the dead and inspiration to the living."

If one wanted to consider counterfactual history, and looked at one moment in time that could have changed the course of history, it was on the battlefield of Gettysburg.  IF the South had won just one more battle that third day, we might have had two separate nations.  Some say that it might even have been three nations with the West moving out on its own.  The world would not be the same without a United States of America.  Were it not for one battle victory, everything would have changed!

From this perspective, Gettysburg has emerged as a national defining moment for me.  Maybe those who fought the battles recognized the significance of the fight and stayed to fight to the end.  It was worth the sacrifice to them. It makes me grateful to them and proud to be an American!

© Baldwin H. Tom CMC, FIMC
www.tbgroupconsultants.com

Household Incomes and Mental Health Link?

Is it the competitive spirit that causes me to want to know how my income fares against the other states? Whatever the reason, I stopped to read about household incomes for 2011 (published in aarp.org/bulletin, Dec 2012). The information source was the U.S. Census Bureau 2011 American
Community Survey. If you want details, such as income inequality within states, go the the Census Bureau link. 

In the states in which I have lived, here are the median incomes. Arizona, $46,709; California, $57,287; Illinois, $53,234; Texas, $49,392; and Washington, DC, $63,124.

The top three states with the highest median incomes are #1 Maryland, $70,004; #2 Alaska, $67,825; and #3 New Jersey, $67,458. I could not have guessed these top three.

The three states with the lowest incomes are #1 Mississippi, $36,919; #2 Arkansas, $38,758; and #3 West Virginia, $38,482. Lower yet is Puerto Rico at $18,660.  Here is the entire list:

AL	$41,415		IL	53,234		MT	44,222		P.R.	18,660
AK	67,825		IN	46,438		NB	50,296		RI	53,636
AZ	46,709		IA	49,427		NV	48,927		SC	42,367
AR	38,758		KN	48,964		NH	62,647		SD	48,321
CA	57,287		KY	41,141		NJ	67,458		TN	41,693
CO	55,387		LA	41,734		NM	41,963		TX	49,392
CN	65,753		ME	46,033		NY	55,246		UT	55,869
DL	58,814		MD	70,004		NC	43,916		VT	52,776
D.C.	63,124		MA	62,859		ND	51,704		VA	61,882
FL	44,299		MI	45,981		OH	45,740		WA	56,835
GA	46,007		MN	56,954		OK	43,225		WV	36,482
HI	61,821		MS	36,919		OR	46,816		WI	50,395
ID	43,341		MO	45,247		PA	50,228		WY	56,322

Does income correlate with depression and other indicators of poor mental health? It appears to be the case. After I read about the 2011 household income data, I wondered how the lowest income states would match up with the states with poor mental health. I checked my prior blog and found that Mississippi, Arkansas and West Virginia are all listed in the 10 most depressing states in America-- 10 Most Depressing States in America.  It appears that it will be important for improving quality of life to include increasing family incomes, which means more jobs and higher paying ones.  And this means more education and training.  It's all interrelated, isn't it?

© Baldwin H. Tom CMC, FIMC
www.tbgroupconsultants.com

Cal Alumnus U.S. Ambassador Stevens

When someone famous turns out to have attended the same school you did, there is an amount of pride in that knowledge.  Just as I went to George Washington High School in San Francisco where Johnny Mathis attended and that I ran track with his brother, Ralph, I am proud to know that Ambassador J. Christopher Stevens, who was killed in our Benzhazi counselate, was also a graduate of the University of California at Berkeley.  I graduated in 1963 while he graduated in 1982.  Stevens family had deep roots at Berkeley.  His mother, father, stepfather, brother, aunt, uncle, and his cousin all graduated from Berkeley.

While I never met Stevens and have nothing to say about the issues surrounding the Benghazi, Libya embassy disaster, I read with interest a  rememberance of Ambassador Stevens in The Promise of Berkeley brochure (Fall 2012).   Of note is that his stepfather was Robert Commanday, a retired music critic and past director of the UC Glee Club.  I sang tenor with the Glee Club for two seasons under Commanday.  Interesting world!

From what I read, Stevens was a down-to-earth person not caught up in the formality of his office.  As he was fluent in Arabic, he would 'stroll' through back streets to better connect with and understand the Libyan people. 

UC Chancellor Robert J, Birgeneau said of Stevens, "His life epitomized the best of UC Berkeley's graduates, a commitment to excellence at the highest level, and a passion for making the world a better and more peaceful place."

© Baldwin H. Tom CMC, FIMC
www.tbgroupconsultants.com

Hurricane Sandy -- Storm of the Century!

Madeline and I were witnesses to an historic weather moment -- Hurricane Sandy causing more damage than any storm in a 100 years!  I am recording for the record our preparations for Sandy for what turned out to be a mild inconvenience for us in the Washington, DC area rather than the major disaster it could have been.  We are grateful, but sadden by the major destruction it has wrought elsewhere.  Over 100 dead and between $30-50 billion in damages and counting!  Seeing New York City flooded is a rare sight.

Sandy came to shore south of Atlantic City, NJ on Monday around 8 pm, 29 Oct 2012 as a Category 1  (80 mph winds) hurricane.  Since DC was on the westside of the storm, we did not suffer storm surge nor the brunt of the wind and rain suffered by the areas north and east of the storm.  Hence New Jersey and New York met the most damaging winds, rain, and storm surge from Sandy.

As Sandy moved toward an east coast  landing, the expected severity of the impending storm set in motion the federal government and our Metro system to shut down.  With these major entities shutting down, we did not hesitate to do what we could to prepare for the worse -- high winds, rain, and flying objects.  Our preparations are logged below.

We lived in Houston, TX 21 years where hurricanes were expected every year, so preparing for Sandy did not create anxiety for us.  However, we take warnings seriously.

Friday, 26 Oct: Bought bottled water and fresh fruit.

Saturday, 27 Oct:  Nice day, 70 F.  Clear yard area of potential flying hazards.  Take in chairs, stools, small decorative objects, rakes, etc.  Caulked door frame of rotted wood (Sandy gave me incentive to get to this chore I had ignored for 6 months).  Shopped for eggs, milk and other stuff we thought of in case all electricity went out.  In our survey, we felt that even if we lost power, we would still be able to cook since we have a gas stove, plus a portable butane grill in the back yard.  We had a car charger for our cell phones.   In the house, we still had an old dial phone that would still work without electrical power, so we felt OK about communications.

Sunday, 28 Oct:  Collected candles and flashlights, checking batteries.  Set up portable radio.  Filled the gas tank.  By noon today, temperature dropped into 50's and wind picked up noticeably.  Getting cool.  Sunday evening, decided to put on car cover to minimize damage by any small flying objects.

Monday, 29 Oct:  Rain started about 4 am this morning (and mostly heavy rain continued without stop for 28 hours).  Decided to pull in the three trash and recycle cans and tie them down by the back fence.  By noon I knew the wind was up with gusts over 40 mph.  In the rain, I went out to drain water from our small pond as the water was flowing over the top.  I used a small aquarium pump for about 20 minutes to reduce the water level.  I went to the basement to check that our sump pump was working.  Excess water from outside the house was already dripping into the sump bucket.  It was working...whew!  Cell phones were all charged and computers were shut down as we await the expected landfall of Sandy around 8 pm EDT.  We stayed up until about midnight watching the news and listening to the wind and rain.  The local weather station said that DC had about 65 mph winds with higher gusts and rain.  We could hear the rain and wind.  When we went to bed, the wind and rain was still heavy.  The tree that has grown up beside our second floor bedroom window would sway and bang into the house.  Just a bit nerve racking, but not too.

Tuesday, 30 Oct:  At 8 am, there was still heavy rain, but little wind. At 10 am after 28 hours of rain, it stopped (for for awhile and then continued off and on for the rest of the day).  It was a cool 40 F.  Our pond filled again, so I set the pump up to again drain it back.  We had the television on all day watching the news about the devastation Sandy caused in New Jersey and New York.  We were also in awe of the blizzards caused by Sandy.  How awesome is mother nature!  We are just grateful we did not face the same fate as our neighbors up north!  Thank God!

We have since sent in a contribution to Convoy of Hope to support their food distribution efforts.

© Baldwin H. Tom CMC, FIMC
www.tbgroupconsultants.com

Worldwide Downturn Keeps Young People Home

While we watch the lackluster movement of our economic recovery and see statistics monthly about the rate of unemployment and underemployment, or shifts in the poverty statistics, our focus is not on the impact of the economic downturn on youth.  In a recent article I read in The Globe and Mail (Toronto, 12 Sept 2012), author Lori Hinnant reviewed a report by the Organization for Economic Co-operation and Development (OECD) of the world's most developed countries.  The report noted that there is a growing danger regarding the "traditional pathway from school to work or family life."  The report shows that 16% of people ages 15-29 are not working or in school. Hinnant points out that the statistics are worse in European countries affected by the debt crisis, especially Ireland and Spain.

In America, I have read that more young educated adults are moving back home because of the economy. This article attracted my attention because I see the pattern alarming for several reasons:  1) If youth are not working or in school, then are they going to look to marriage/family to fill the void?   At some point the youth will need to work.  This path from family to work without education would seem to guarantee low income, higher potential for unemployment, and poor future prospects for moving upward in society.  2) If this situation continues for a prolonged period, the OECD states this will impact the next generation of youth.  

The OECD report covered the years 2008-2010 and Hinnant expects that a 2012 report would show even poorer numbers.  This scenario of youth staying home is not good if a high quality of life is desired.  I see education important in creating economic success and the quality of life that comes from success.  This is serious stuff.  Solutions?

© Baldwin H. Tom CMC                                                                                  www.tbgroupconsultants.com

10 Most Depressing States in America

When I found this report, it got my attention because I have become sensitized to the needs of people under stress.  Madeline, a senior chaplain working in the critical incident stress area, regularly attends workshops and conferences dealing with counseling and supporting people with stress -- depression, pain, and post traumatic stress disorder (found in many returning war veterans).  In accompanying her to these sessions, I have grown to appreciate the needs.  Health.com, using data from federal agencies, identified 10 states with the highest rates of depression, psychological distress, and other indicators of poor mental health. The states in alphabetical order are AK, IN, KT, MI, MS, MO, NV, OK, TN, and WV.

While genetics will play some role here, the environment plays an important trigger for psychological and physical distress.  High unemployment, high joblessness leads to anxiety, depression and, often, substance abuse.  These stressors are complicated by obesity, and hypertension.  Most of the 10 states fit in this category: Kentucky, Michigan, Mississippi, Missouri, Nevada, and Tennessee. 

Arkansas and Indiana are in a second group.  The bad economy has devastated community health center budgets, just as unemployment rises.  Many young adults are impacted.

The last two states, Oklahoma and West Virginia, have high poverty and low insurance coverage.  West Virginia ranked last or next to last on every mental health category evaluated.

Our nation's economy and health are given faces and names as the needs impact more and more people in negative ways.  We need to change this downward trajectory!

The report can be read at http://www.health.com/health/gallery/0,,20483493,00.html.

 © Baldwin H. Tom CMC
www.tbgroupconsultants.com

Thank Goodness for Bad Times!

OPPORTUNITIES IN A DOWN ECONOMY

Recession, market shares down, government has no money, cyber security issues mount, worldwide economic downslide, unemployment, ugh and more ugh! 

In the midst of this unsettled landscape, it is still about meeting needs.  With all sectors in our economy looking for ways to do more with less, it becomes important to learn of ways to work smarter – quicker, better, less costly -- in order to stop the slide and turn indicators upward. 

It is time to look at benchmarking again, the adoption of methods from one industry for use in another.  Remember how Southwest Airlines learned to turn around their planes for return flights?  They took the ideas from Indianapolis Raceway pit crews (changing tires, gassing, cleaning windshields) and adapted it to their planes.  The result was first-in-class turnaround times to lead the airline industry.

It is time for those creative and innovative minds to help design new thinking on getting work done. Einstein indicated that if you continue to do the same thing over and over again and expect to get different results the next time defines insanity!

It is an exciting time for individuals and small teams to step forward to make a difference as everyone is looking for better ways to work and to do business.  Yes, I am excited about the future because I feel that small groups and even individuals can make a difference in this economy.  Those in power are not just looking at the tried and true to solve the plethora of problems facing America and Americans, they are now willing to consider all possibilities, even from you, to see if an untried but real solution is at hand.  Who said, "Necessity is the mother of invention?"  Maybe we should update that to say, "Crisis fuels urgent creativity!"  That’s the beauty of the situation we find ourselves in today – a ‘candy store’ of potentialities to make a difference!  And yes, my firm is looking at ways to help reduce cost on managing large government contracts!

© Baldwin H. Tom CMC
www.tbgroupconsultants.com

Shifting Realities with Federal Government Contracts

Since our firm started life in the federal contract business as a minority owned, U.S. Small Business Administration 8(a) designated firm, my commentary revolves around this basis.  Yet, I believe the comments I make will have relevance to all small businesses wanting to succeed in the federal marketplace.

Here is my unscientific recollection of the shift in the way federal government contracts have been and are now being awarded.  Dates are not exact but serve to segment the different contract approaches.  Generally, the move from open, individual bidding on contracts has moved to closed, team bids on contracts.  This shift changes the entire way a company must act in order to be a successful, competitive bidder on federal contracts.  This shift demands the following from small businesses:  1) must network and build teaming relationships, 2) must develop skill/experience sets that make it a desireable teaming partner, 3) must become very skilled at writing proposals, and 4) must have very good people in key positions.  Trying to graduate from a small business set-aside position to a full-fledged larger business has become exponentially more difficult.  The new small businesses can no longer wait to build the needed infrastructure and expertise to compete well.  It must be a deliberate effort early -- right from the start! 

1990.  8(a) set asides were not always competed.  Before we arrived in Washington, DC to start up our effort with federal clients, we knew that there were many contracts set aside for disadvantaged businesses.  We also knew that, as long as you could do the work, many of the contracts were not competed.  In other words, competition for contracts was not as stiff as it has become.

1998.  8(a) set asides were competed.  When we finally set up in DC, all the contracts we were pursuing were being competed with at least three bidders.  We wondered what happened to the easy 'wins' of prior years. 

2004.  Contract bundling becomes apparent.  Around 2000 and more by 2004, the challenge was that agencies were beginning to group small contracts together to simplify their contract load.  The number of small projects that small businesses could bid on were thus reduced.  In order to win a contract now bundled, a small business had to team with a larger business that had the bandwidth and cashflow to bid and win. 

2008.  Government Wide Award Contracts (GWAC) and multiple-award Indefinite Delivery and Indefinite Quantity (IDIQ) contracts increase.  Beyond the bundled contracts requiring a large company to manage, the feds moved to GWAC and IDIQ contracts as a means to minimize the need for the feds to continuously find contractors.  Instead, they awarded these contracts to a select group of firms so in the future, the feds would already have available contractors.  Since these pre-selected businesses would merely bid on the requirements when the opportunities were released, it reduced the fed's selection evaluation to cost and approach. 

2011.  Some agencies now expect all bidders to be on an IDIQ/GWAC vehicle to compete for awards.  We know of an agency that has a multi-award contract for Information Technology work, one for Scientific and Technology requirements, and GSA Schedules for any other needs.  In other words, if your firm is not on one of the vehicles, you are not allowed to bid, or you need to find a firm with the vehicle and team with them.

With a reduced number of contract specialists and with cut-backs in federal agency funding, it is understandable that the shift to simpler contracting means is cost-effective and desirable.  The move to bundling a number of projects into a single contract, or pre-selecting a group of companies into a bidding pool has been the solution.  Anything that helps reduce the number of contracts to review and manage is the goal.  This is ideal for the government's need to do more with less. 

After 12 years working exclusively with the federal government, we are still learning how to adjust to the new norms in federal contracting.  Even with all the challenges, if we approach working with the government as a meaningful pursuit, then the struggles are worth the effort.  Since we view our ultimate customer as the citizens of the United States, it's like an investment in our own future! 

© Baldwin H. Tom CMC
www.tbgroupconsultants.com

9/11 Ten Years Today

As with life's high intensity events we experience, we remember exactly where we were when they occurred.  I remember distinctly what I was doing when President John F. Kennedy was assassinated.  I was at a water fountain in the Microbiology Department at the University of Arizona when a nun walked around the corner of the hall to tell me the President had been shot. I recall the first landing of U.S. astronauts on the moon.  I watched it on television in Tucson, AZ with friends, as our children played on the floor.  We were sitting on the couch, all four of us adults, seeing Neil Armstrong take the first step onto the moon's surface.

Ten years ago on September 11, 2001, I was packed and standing in our kitchen preparing to leave for Reagan National Airport to fly to Denver to provide training for employees of the Department of Transportation. Around 9:00 am, my daughter called us and told us to turn on the television.  Every channel had the same picture of a plane burning on the side of one of the twin towers in New York city. I remember how unreal the image looked.  It was surreal, like in a movie.  She pleaded with us to leave our house to drive away from the U.S. Capitol.  She said that the newscaster in Takasago, Japan knows a third plane was headed for the Capitol. In reports, you hear that that the plane was targeting either the White House or the U.S. Capitol.  I side with the Japanese newscaster that the primary target was the Capitol -- a much easier, visible, and iconic target. 

My daughter was teaching English in Japan and was able to make the telephone call to us in Washington, DC. In retrospect, I marvel that her call made it through the phone traffic. We live five blocks from the U.S. Capitol on what would be the flight path for a plane to come from the east.  If it were not for our daughter's call, I would have driven to Reagan airport, unaware of what was happening.  I do not believe the plane that crashed into the Pentagon had happened when we received her call. 

Even with the twin towers burning, I was still getting ready to leave for the airport.  That's how my mind was processing this -- stay normal and do what I was going to do.  This must be have been my mind coping with what seems improbable.  It wasn't until I heard that roads were closed to and from the airport that I had no choice but to stay home.  My wife and I stayed glued to the television the rest of the day.  We will never forget the pictures, nor the tragedy it represents as we remember the day.

Yes, I bought a book on the tragedy of 9/11.  We never left the house as our daughter asked, believing that the third plane that was brought down by heroic passengers would not have missed hitting the Capitol if it came our way.   I'm grateful for the passengers on United Airlines Flight 93 that crashed in Shanksville, PA for taking action to thwart the highjacking.  Shanksville is 167 miles by car from DC.  With the jet traveling at 580 miles per hour (when it crashed into the earth), it would have taken less than 17 minutes (if it were a car), or more likely less than 10 minutes to fly to the Capitol!  We are eternally thankful.  I have no doubts that the plane would have found the Capitol had it not been stopped. 

What does 9/11 mean to me today? 1) Be grateful for everyday, 2) There are good people in the world, 3) There are evil people in the world, 4) The world is changed and life is not the same as before 9/11, 5) The world is truly interconnected and a global community, 6) Whether we do good or do harm locally, the potential for global ramifications is very real, and 7) We need to protect and defend what we believe is good because there will always be some who want to destroy it.

© Baldwin H. Tom CMC
www.tbgroupconsultants.com