Outcome-Based Contracting in U.S. Government: From Policy to Performance : IBM Center for The Business of Government , April , 2026
Outcome-Based Contracting in U.S. Government: From Policy to Performance : IBM Center for The Business of Government , April , 2026
From the report: “This report addresses a critical question for today’s federal acquisition leaders: What are outcome-based contracts, when and how should the U.S. government use them, and what institutional conditions must be in place for them to succeed?
Government leaders face growing pressure to move from paying for inputs and activities to paying for measurable results. Agencies are expected to demonstrate impact, improve performance, and deliver better value for taxpayers. Outcome-based contracts are often presented as the answer. However, while appealing in concept, OBC implementation in the federal environment remains complex and often misunderstood.
This research stems from a partnership between the Commerce & Contract Management Institute (CCM Institute) and the IBM Center for The Business of Government. The two organizations convened expert sessions that combined commercial contracting experience and deep knowledge of the U.S. federal acquisition system, leading to a report that provides practical, evidence-based guidance with an understanding of where government stands today with respect to OBCs.”
Authors - Finkenstadt, Daniel, Cummins, TimSubjects
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