Why Booz Allen Hamilton is acquiring Liberty IT Solutions
Tech-focused consulting firm Booz Allen Hamilton is in the process of acquiring leading IT and services firm Liberty IT Solutions for US$725m. This acquisition sees the pairing of Liberty’s leading Salesforce and LCNC qualifications with Booz Allen’s advanced technologies and proven people, processes and systems to help deliver digital transformation to government.
Liberty IT, which is headquartered in Virginia and employs some 600 solutions architects, engineers and other tech talent, has been a leading digital partner driving transformation across the federal IT ecosystem since its founding in 1996, with partners including Salesforce cloud CRM. Its successful IT modernization track record quickly established Liberty as a top-tier provider of solutions in the federal space.
Booz Allen’s acquisition strategy
For Booz Allen, this acquisition in innovative tech and talent builds on what is a long-term strategy for the company in driving continued growth.
Like many of its previous acquisitions, it is the combination of people and capabilities that is paramount enabling Booz Allen to give its clients access to a deeper range of advanced, scalable technology solutions and deep digital expertise, deepening and strengthening the consulting firm’s digital transformation portfolio.
“The addition of Liberty strengths our unique market position as a leader in digital transformation, accelerates already robust growth in our health business and beyond, and delivers value for our people, our clients, and our shareholders,” says Haracio Rozanski, Booz Allen’s CEO.
Previous acquisitions, like this one, have sought to blend the firm’s heritage consulting work with technical expertise. In 2005, Booz Allen acquired SPARC, allowing Booz to create an Agile development hub in South Carolina in order to foster collaboration with customers such as Veterans Affairs and the Navy. While its 2009 acquisition of Aquilent (US$250m) bolstered Booz’s Agile, DevOps and open source capabilities.
What does Liberty offer Booz Allen?
Liberty’ts extensive experience driving digital transformation across government gives Booz Allen the strengths it needs to the critical needs as government as it “pushes to accelerate the modernisation of IT systems to increase efficiencies and outcomes”, says Kristine Martin Anderson, Booz Allen’s executive VP.
With this acquisition, Booz Allen will create a powerful digital transformation portfolio that includes the following:
- End-to-End Digital Solutions These will involve API development and Low Code/No Code (LCNC) solutions. Liberty will enhance Booz Allen’s ability to deliver end-to-end digital solutions for client — blending leading technologies and practices in smart cloud strategies, secure architecture, API-first design, Agile development, DevSecOps, human-centered design, and change management to drive technology adoption and deliver rapid and reliable value across a variety of markets.
- Expanded Salesforce Capabilities Booz Allen clients will have access to a broader suite of digital transformation and strategic Salesforce capabilities through more channels. Liberty is recognized as a Salesforce Navigator Expert for its demonstrated thought leadership in the Public Sector category, as well as proven delivery on the largest and most complex projects while achieving the highest standards of customer success. Its portfolio includes 70+ successful Salesforce projects and production-scale implementations; 140+ Salesforce architects, administrators, managers, and developers; and 340+ Salesforce certifications.
- Advanced Technology Integration By integrating Booz Allen’s capabilities in artificial intelligence, machine learning, cybersecurity, and other advanced technologies across an expanded digital solutions portfolio, clients will have access to an even broader and deeper range of transformative technologies.
- Strategic Growth Liberty has built a backlog of more than $2 billion in digital transformation work over the past 18 months. The acquisition is expected to create significant opportunities through meaningful revenue synergies and be a growth driver within Booz Allen’s federal portfolio.
Where next for Booz Allen?
With the Biden administration having announced a focus on cybersecurity, Booz Allen is looking for potential cybersecurity M&A options as the company views itself as “uniquely positioned to both help the nation and capture opportunities in this critical area”, says Rozanski.
Giving efficiency the full throttle at NASCAR
The NASCAR organization has long been synonymous with speed, agility and innovation. And so by extension, partnerships at NASCAR hold a similar reputation. One such partner for the organization has been CDW – a leading multi-brand provider of information technology solutions to businesses, government, education and healthcare customers in the United States, the United Kingdom and Canada. CDW provides a broad array of products and services ranging from hardware and software to integrated IT solutions such as security cloud hybrid infrastructure and digital experience. Customer need is the driving force at CDW, and the company helps clients by delivering integrated services solutions that maximize their technology investment. So how does CDW help their customers achieve their business goals? Troy Okerberg, Field Sales Manager - North Florida at CDW adds “We strive to provide our customers with full stack expertise, helping them design, orchestrate and manage technologies that drive their business outcomes.”
NASCAR acquired International Speedway Corporation (ISC) in 2019, merging its operations into one, new company moving forward. The merger represents an important step forward for NASCAR as the sport creates a unified vision to embrace its long history of exciting, family-oriented racing experiences while developing strategic growth initiatives that will drive the passion of core fans and attract the next generation of race fans. CDW has been instrumental in bringing the two technology environments together to enable collaboration and efficiency as one organization. Starting with a comprehensive analysis of all of NASCAR’s vendors, CDW created a uniform data platform for the data center environment across the NASCAR-ISC organization. The IT partner has also successfully merged the two native infrastructure systems together, while analyzing, consulting and providing an opportunity to merge Microsoft software licenses as well.
2020 turned into a tactical year for both organizations with the onset of the pandemic and CDW has had to react quickly to the changing scenario. Most of the initial change included building efficiencies around logistics, like equipment needing to be delivered into the hands of end users who switched to a virtual working environment almost overnight. CDW’s distribution team worked tirelessly to ensure that all customers could still access the products that they were purchasing and needed for their organizations throughout the COVID timeframe. Okerberg adds that today, CDW continues to optimize their offering by hyper-localizing resources as well as providing need-based support based on the size and complexity of their accounts. Although CDW still operates remotely, the company commits to adapting to the changing needs of their clients, NASCAR in particular. Apart from the challenges that COVID-19 brought to the organization, another task that CDW had been handed was to identify gaps and duplicates in vendor agreements that the two former single-entity organizations had in place and align them based on services offered. CDW further helps identify and provide the best solution from a consolidation standpoint of both hardware and software clients so that the new merged organization is equipped with the best of what the industry has to offer.