HX5 CEO Margarita Howard’s Approach to Leadership and Compliance

The government contracting industry demands unwavering attention to regulatory requirements and steadfast leadership. Few understand these demands better than Margarita Howard, sole owner and CEO/president of HX5. She’s steered her company from a startup to a small to medium-sized government contractor supporting the Department of Defense and NASA across 90 government locations in 34 states.

Her path through the traditionally male-dominated world of government contracting began with her service in the U.S. Air Force. A service-disabled veteran and Hispanic woman, Margarita Howard represents a distinct minority in government contracting leadership. According to Zippia, a career research firm that analyzes data from 30 million professional profiles, Hispanic or Latino individuals make up 17.7% of government contractors, and women comprise 45.4% of the workforce.

Howard’s success in building HX5 from the ground up stands out in an industry where women still earn only 93% of their male counterparts’ salaries. Her career trajectory demonstrates how determined leadership can break through long-standing industry barriers. “I’ve experienced it firsthand, and it does create an additional challenge to prove yourself as an effective and successful leader,” Howard says.

“It’s rewarding to see that women are making significant strides in the government contracting industry, over the years, breaking barriers and more often assuming leadership roles in this industry and within government agencies that we work with.” However, challenges persist, and despite progress, biases still need to be addressed.

Setting the Foundation Through Early Investment 

Margarita Howard recognized from the beginning that success in government contracting required more than technical expertise — it demanded robust infrastructure and an unwavering commitment to compliance. The company made a decisive early investment that would shape its future.

“Right from the beginning, we invested heavily upfront in purchasing and implementing a specialized accounting system developed for government service contracting firms — a system we knew the government was very familiar with, and that would provide us the necessary accounting tools to pass government billing audits and gain government approval for use in the performance of our government contracts,” Howard explains.

“So, that was also very attractive to large businesses, that we were very small at the time and that we already had this government accounting system in place that those large businesses had.”

She continues, “Those were investments the company made that were very key in the beginning. And certainly, the Small Business Administration makes those types of recommendations, but they don’t force you to implement those things. And it was a risk that we took, and it highly paid off.”

Leadership at HX5 isn’t confined to the corner office. The company maintains direct involvement in critical decisions, particularly in building its team. “With our corporate staff, especially for management positions, to this day, company leadership remains involved in the hiring process,” Margarita Howard says.

This hands-on approach extends throughout the organization, which now employs over 1,000 people. The management team, predominantly women, reflects Howard’s commitment to diversity in leadership. Three vice presidents — two women and one man — lead the senior management team, supported by several directors and managers, the majority of whom are also women.

Technical expertise drives success in government contracting, making the hunt for qualified talent — especially in the STEM fields of science, technology, engineering, and mathematics — fiercely competitive. HX5 maintains its edge through substantial investments in workforce development. Beyond recruiting top talent with advanced degrees and certifications, the company supports employees seeking rigorous advanced training programs and certifications.

Margarita Howard’s focus on finding the right talent for HX5 has shaped the company’s strong and loyal workforce. Early in the company’s history, the HR team acknowledged that the hiring process sometimes took longer than expected. Still, Howard insisted on maintaining high standards to ensure every hire aligned with the company’s mission. HX5 boasts a team where many employees have been with the organization for over 10 years and some for as long as 15 years. “I’m very proud of the team that we have,” she says.

Margarita Howard’s HX5 Maintains Standards Through Comprehensive Oversight 

Government contracting requires constant vigilance. “From working in the industry, we knew the importance of impeccable record keeping,” Howard points out. “Therefore, we’ve always ensured our finances, and all our records of everything we say we do, must always be supported with the appropriate documentation and recorded accurately because, as a government contractor, all of our records are open to the government’s inspection and audits at any time.”

For example, the security department undergoes rigorous annual evaluations to verify proper training implementation and adherence to security protocol, while the labor department has many requirements that federal contractors must ensure are always being met.

Professional development stands central to Howard’s leadership philosophy. The firm invests significantly in learning and development programs that equip employees with the skills and knowledge they need. Regular training on security protocols, compliance requirements, and industry standards helps maintain operational excellence.

“Working side by side with civil servants and the military, supporting their respective missions is a privilege,” Howard says. “I love this business and the work that we do.”

Howard’s leadership style emphasizes building lasting partnerships. The company maintains relationships with many of its original service providers, including its first banking partner. This loyalty stems from Howard’s recognition of those who supported HX5 in its early days.

“Large businesses and the government have to meet small-business goals,” Howard explains. “When they find a small company that they know understands the industry, that performs well, takes care of its employees, and know they’re not going to have to hold their hand, so to speak, that makes for a very positive long-term relationship between the two companies and oftentimes leads to new contracts and the expansion of existing work.”

She continues, “Building strong relationships with government agencies is an invaluable asset for successful government contractors as it can serve to provide the contractor with positive performance appraisals and sometimes even lead to new or additional business.”

Managing Through Market Uncertainties 

Howard’s leadership is constantly tested by market variabilities, particularly around government funding cycles. “In the face of such uncertainties, HX5 has developed a multipronged approach,” she explains. This strategic method of addressing risk management exemplifies Howard’s leadership style — careful planning combined with calculated action when necessary.

Margarita Howard’s commitment to excellence drives continuous improvement at HX5. The company recently began integrating artificial intelligence tools into its operations, demonstrating its dedication to technological advancement while maintaining strict compliance standards. “we try to stay ahead of those changing technologies, AI and cybersecurity,” she says.

Have you read?
Largest Asset Owners In The World.
Best cities in the world.
Best Countries for Work-Life Balance.
Largest economies in the world.
Safest Countries in the World.