Matthew Wolfe, vice president of sales at Emissive Energy, displays the T-3 light, mounted on an AR-15 rifle. The T-3 is currently used on combat rifles in Iraq.
In the past five years, North Kingstown-based Emissive Energy has landed several big government contracts, selling 3 million units of its INOVA microlights – mini-flashlights on clips. The item even has its own U.S. Department of Defense stock number.
Government contracts are “the fastest-growing division in our company,” said Matthew Wolfe, vice president of sales for the law enforcement/government division.
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At the end of last year, Wolfe said, the division accounted for 20 percent of revenue at Emissive Energy, which designs and makes LED lighting equipment.
For manufacturers, breaking into government markets can yield lucrative contracts and steady sources of income. But it is daunting, requiring companies to sift through paperwork, understand acronyms, and spend long hours on research and making bids.
For Emissive Energy, it has paid off, Wolfe said, but dealing with the military, especially, can be a challenge for newcomers, because it’s so different from the private sector.
“In the consumer world you can almost walk in, and some buyers will sign off right there,” Wolfe said. In government contracting, meanwhile, “there are multiple signoffs,” he said. “Some of the projects I do take months or years.”
The military has specific standards and testing procedures, he said. Testing can take up to 10 months. They test against all kinds of elements to ensure durability. The government market “takes a lot more time and a lot more research and a lot more knowledge.”
Harsha Prakash, project manager of supply chain services for R.I. Manufacturing Extension Services, said he doesn’t advise financially unstable companies to move into the government/military markets. “It’s more for stable, growing companies,” he said.
RIMES provides free assistance to manufacturers in the state looking to expand into government markets.
The group helped Kennedy Inc. land a government contract for a set number of Reserve Officers Training Corps badges. The North Kingstown-based company makes emblematic items such as jewelry and key chains for corporations as well as auto accessories.
Bonnie Brayton, controller for Kennedy Inc., said the company sees the ROTC contract as an alternative to normal business, a “pilot” endeavor.
The problem is there are already some “big players” established in the realm of emblematic items in the military/government markets, she said. “I don’t think it will ever be our biggest line of business, just a way to expand the market base,” Brayton said.
Pilgrim Screw Corp., which makes screws, bolts, pins and studs for the aerospace industry, sought RIMES’ help with government contracts after seeing a dramatic downturn in business after the Sept. 11, 2001, terror attacks.
“We’ve seen an increase in business by going directly after some contracts,” said Geoffrey Grove, president of the company, which employs about 36 people in Providence.
Grove said government contracts are difficult to win, but the company needs the contracts because it can’t always compete in the private sector with cheaper products from overseas.
“We’re a small manufacturer in the state of Rhode Island,” he said. “In order to continue to operate here and pay the high wages that we pay, we need to find markets where the quality is higher and expectations are higher.”
And said the military always pays within 15 or 30 days, Wolfe said. “They are never late.”
Once a company learns the “ins and outs” of business with the government, he said, searching for solicitations and placing a bid becomes easier.
“People are afraid of selling to the military,” Wolfe said. “They think it’s a 10-foot-high stacks of paperwork.” In reality, he added, “my requests for quotes are all online. I can land a $4 million contract doing four hours of work on the Internet.”
