Washington Management buys Federal Sources Inc.

Two powerful consulting firms have combined their strength. The Washington Management Group Inc., which specializes in helping clients access the General Services Administration's Federal Supply Schedule, has bought Federal Sources Inc., a market intelligence firm.

WMG's president and chief executive officer, Bill Gormley, said the acquisition combines his group's professional consulting services with FSI's research capabilities.

"Today we create an unmatched strategic alliance in our industry," he said.

WMG provides contract award services to companies that do not have GSA schedule contracts and management services to those that do. FSI provides market research and marketing consulting services for companies selling to government agencies.

Gormley, a former assistant commissioner of the Federal Supply Service, will run both firms. He said his first challenge is to integrate the two companies' consulting services and market research tools in effective ways.

State and local government business, Gormley said, should grow as those agencies use new cooperative purchasing provisions that allow them to buy through the GSA schedules.

The Coalition for Government Procurement, which is WMG's largest client, is also working on aiding in the integration process, said Larry Allen, the coalition's executive vice president.

"We're going to take a look and see how we can leverage the services that FSI provides for coalition members," he said. "We think their services are very complementary, and a lot of our members are already users of their services as well."

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