Federal Contracting Acronym
NAICS
North American Industry Classification System
Plain-English definition
The North American Industry Classification System (NAICS) assigns six-digit codes to business establishments. Federal solicitations list NAICS codes to describe the scope of work and to apply SBA size standards for small-business set-asides. Vendors maintain primary and secondary NAICS selections in SAM.gov; mismatches between a company's NAICS profile and a solicitation can affect eligibility. NAICS complements PSC codes: NAICS describes the industry of the vendor or work, while PSC describes the product or service being purchased.
Why it matters
NAICS drives set-aside eligibility, market research, and how contractors position capability statements and past performance.
Where you will see it
SAM.gov notices, SAM entity profiles, USAspending award records, and RFPCapture NAICS market hubs.
Example in context
A cybersecurity services RFP lists NAICS 541512; the small-business lead confirms the company's SAM profile and size standard before committing proposal resources.