„h Performance-based Compensation. Just as private contractors are paid based on results, they can base employee compensation on performance. Contractors can pay bonuses for exceptional performance and give merit increases alone rather than longevity-based pay increments. This elicits greater productivity and effectiveness from staff.
„h Management Expertise. Contractors develop expertise to compete effectively. They hire well-known experts and develop management structures geared toward continuous improvements in performance.
„h Flexibility. Private contractors have the flexibility to respond quickly to changing program requirements or evolving needs of organizations. They can acquire new technology, obtain new equipment, reorganize offices, and/or adjust staffing configurations without the encumbrances of slow-moving public civil service or procurement systems. Most importantly, if they can increase their revenue by investing in more staff and other resources, they have the flexibility to do so without the artif
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