The Office of Personnel Management’s Modernization Strategy and Opportunities for Small Business Contractors

The Office of Personnel Management (OPM) has recently placed its sights on upgrading its USA Hire platform, a major step in its broader human resources modernization strategy. While a lot of attention is currently given to the consolidation of various human capital systems across federal agencies, the revamp of USA Hire is a pivotal development for those aiming to enter or expand their services within federal contracting, especially for small-to-medium businesses (SMBs) that cater to governmental agencies.

The Shift in Human Resources Strategy

As part of its mission, OPM issued a request for information (RFI) on October 7, 2025, focusing on making applicant evaluation more efficient and identifying high-quality candidates across federal roles. The potential improvements to USA Hire align with the President’s Merit Hiring Plan, emphasizing a commitment to a merit-based hiring system.

USA Hire is set to provide cutting-edge assessment tools for various job roles with the goal of enhancing recruitment and overall job performance in the federal government. In the fiscal year 2024 alone, agencies utilizing USA Hire assessed around 1 million applicants across 20,000 job opportunities. This indicates a growing dependency on effective assessment systems, making it a great time for SMBs to get involved in providing relevant services or technologies.

Important Enhancements to Look For

With anticipated changes, USA Hire plans to enhance its capabilities, including:

1. Delivering assessments in secure, unproctored environment

2. Enabling online video-based interviews

3. Utilizing AI in both assessment development and scoring

If your SMB has the technology or support services that align with these enhancements, now is the perfect moment to engage with OPM.

The Need for Integration and Opportunities for SMBs

A crucial aspect of the modernization is the push for better integration with USA Staffing, the platform that manages federal hiring processes. Currently, there exists a lack of integration between various assessment platforms, which creates challenges for agencies navigating their recruitment pathways. The newly proposed changes might pave the way for third-party integration, opening doors for SMBs to provide complementary services.

Given the complexity of government requirements, this could mean significant opportunities for vendors who manage to navigate the contracting landscape effectively. Select GCR specializes in helping businesses understand government relationships and enhance their qualifications to work efficiently with federal programs, whether you’re a veteran-owned business (VOSB), service-disabled veteran-owned business (SDVOSB), HUBZone certified, or are simply looking to establish connections with government entities.

For instance, find resources on applying for certifications to ensure compliance and competitiveness in government contracting. Check out our comprehensive guides on VOSB certification or HUBZone program eligibility for helpful insights.

What is the RFI Asking For?

According to the RFI, OPM is particularly interested in:

1. Assessment delivery systems capable of scoring both closed-ended and open-ended responses, including writing samples.

2. Platforms that can support various formats of assessments including computer-adaptive and linear-on-the-fly assessments.

For SMBs that handle assessment technologies or related evaluations, the request offers critical insight into what OPM seeks. Being proactive in addressing these needs could place your company in a favorable position as the government looks to revamp its systems.

An Evolving Timeline

Currently, the OPM plans to draft a request for proposals (RFP) in January, with federal contract awards expected to materialize by 2027. This timeline emphasizes the importance of starting preparations now. The more prepared and knowledgeable your SMB is about government contracting, the better position you will be in to tap into available opportunities.

How Select GCR Can Help

Navigating the government contracting landscape does not have to be daunting. At **Select GCR**, we offer tailored consulting services aimed at helping your business secure government contracts. Understanding what’s required and how to align your offerings with government needs can set your SMB apart.

Here are some useful resources you can read that are designed to guide you through the contracting process:

– Tips for Winning Government Contracts

– Navigating GSA Schedules

– Registering with SAM

Capitalizing on Government Programs

If your business qualifies as a veteran, women, or minority-owned entity, engaging with government programs can yield numerous benefits. Many contracting opportunities come attached with incentives for these specific demographics. Leverage your unique qualifications; it provides a competitive edge in the ever-more complex bureaucratic processes.

Conclusion

As OPM moves forward with its HR modernization plan, the forthcoming years will offer ample opportunities for SMBs keen on contributing to the federal workforce via services like assessment systems or other technology solutions. This is not just about competition; it’s about collaboration, innovation, and finding unique niches in the government landscape.

Stay updated on government contracting trends by visiting our blog. Our insights can become a significant asset as you aim for growth in this dynamic field.

Opportunities are out there, and with the right resources and connections, small businesses can thrive in the realm of government contracting. Don’t hesitate to reach out with your questions or needs, and let Select GCR help guide you through the process!

Sources

1. OPM RFI on USA Hire, October 2025.

2. Federal News Network article on OPM’s modernization strategy.

3. Merit Hiring Plan and Executive Order 14170 details.

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