The Department of Defense (DoD) began a Mentor Protégé (M-P)
Pilot Program when Senators Nunn and Perry came together in the
90's to address the excuses of the large Prime contractors who said
they could not find enough capable small business to satisfy the
requirements of mandatory small business subcontracting plans. The
M-P program has seen its ups and downs through the years especially
in the area of budgets. Even so, several years after the DoD M-P
program became a recognized success many other agencies developed
their own version of a mentor protégé program. The biggest
difference is that the DoD Program had the reimbursable component
which was very appealing to the large prime contractors.
Whether it is a formal agreement facilitated by a government
agency or just a well developed informal relationship, Mentor
Protégé programs are a benefit to both large and small firms in
competition for contract awards. These relationships are as close
to a business "marriage" as one can get. The successful ones are
built on mutual trust and respect for each other's services and
contributions in the relationship. Where many programs have gone
astray is when a small firm links up with a large firm and they
both offer the same products or services. The small firm wants to
grow up to be like the big guy and the large guy hopes they sell
more of what they provide by way of a small business advantage. The
relationships or agreements which seem to hold the most promise are
those that are made up of two firms that need each other's products
or services and have a "go to market" strategy that benefits each
other over the long term and in multiple scenarios involving both
government and large commercial contracts.