I’ve been lucky to work with some exciting, cutting-edge technologies over the course of my career. Back in the mid-to-late 90s, biometrics—especially facial recognition—was this ‘new’ technology that hadn’t really taken off in the market yet. But potential buyers were already buzzing with ideas, imagining all the ways it could be used for security and convenience.

Today, Generative Artificial Intelligence (Gen AI) is transforming industries, including government contracting (GovCon) and procurement, by streamlining processes and automating tasks. While it is already much further along on the adoption trail than Facial Recognition (FR) biometrics was in the 90s, it’s interesting to see some of the same adoption challenges come up in conversations with current users and potential customers at Procurement Sciences.

Many of these mirror similar concerns to those in the early days of FR.

Establishing Policies for Gen AI Usage

One concern often encountered, especially in mid- and large-size companies, is the usage policy for new technology. Each company must decide internally how, when, and why Gen AI can be used. Just as with FR biometrics 25 years ago, organizations that recognized the potential benefits of these technologies chose to establish standard operating procedures (SOPs) and policies to guide their use.. These measures aimed to guide usage without blocking the technology altogether. Many times, these policies evolved as the boundaries became clearer.

Establishing generative AI policies with appropriate guardrails that allow the business to benefit from new technology is a priority for all successful FR and Gen AI users. FR agencies that didn’t govern its use faced many ethical and legal issues. Similarly, establishing clear policies and SOPs for Gen AI usage is crucial. Government Contracting (GovCon) companies leading the way in Gen AI adoption are setting internal standards and gradually pushing the boundaries of its application.

These early adopters have crafted policies covering data privacy and security, transparency and reporting, intellectual property, and overall security. Companies that adopt Gen AI without documented guidelines risk a range of issues, from misuse and ethical concerns to regulatory compliance challenges. The technology is powerful and extremely beneficial, but it must be understood.

The sooner companies begin using Gen AI and documenting how, when, and why it can be applied, the better equipped they will be to manage its correct applications within their business.

Benefits of Gen AI for Government Contractors

Early adopter companies are often surprised to discover new, beneficial uses for emerging technology. Much like agencies that initially adopted FR for specific needs, such as security or convenience, they often uncovered additional use cases that weren’t originally anticipated. For example, using FR to identify individuals in law enforcement contexts with minimal information was the initial, obvious application. However, this later extended to convenience-focused cases, such as facilitating inmate privileges and managing visitor access.

Often, workflows were developed to solve targeted problems, but they also extended into other business areas that weren’t previously considered. Currently, Gen AI is primarily used in the GovCon space for tasks like business development, proposal writing, and other early-cycle procurement activities.

Users who collaborate creatively with Gen AI and their vendors quickly recognize its benefits and often advocate for expanding its use into areas like contract management, compliance monitoring, and risk assessment. It can also open new possibilities within existing process areas. As the technology matures, generative AI will increasingly automate complex processes, enhance decision-making, and provide strategic insights across the entire procurement lifecycle.

Once again, early adopters who embrace these new opportunities will gain an advantage over their competitors.

Realistic Expectations for Generative AI in GovCon

A common misconception about GovCon Generative AI is that it functions as an “easy button,” capable of fully automating a precise, 100%-accurate response tailored to corporate strategy and the specific problem at hand. Yes, Gen AI has advanced remarkably in a short time, and the promise of multi-agent workflows moving closer to this ideal isn’t far off. However, expecting a fully completed 500-page response to an RFP, ready for submission without any human review, is not yet feasible. Be cautious of those who make such promises.

This mirrors the early days of FR, when Hollywood often depicted the government identifying any person in any database from any photo. The reality was that even with a database of facial images, the matches required similar poses, angles, and lighting to produce a usable list of potential results. There was no easy button then; a human was always in the loop, critically evaluating results and adding judgment to the process. FR has been a useful tool, just as Gen AI is today.

Generative AI is excellent for automating repeatable tasks, assisting with research, generating content, acting as a virtual assistant, and functioning as a chatbot. In the GovCon space, Gen AI can already complete 70-80% of tasks in areas like Opportunity Identification, Bid/No-Bid Analysis, business strategy development, and proposal drafting and review.

The bottom line is that, like FR, Gen AI can take you closer to completion than you could get without it. Use the tool as it stands today, and integrate the human element to finish the task. When the technology eventually aligns with the “easy button” experience, you’ll be ready to harness its full potential.