Yep, the procurement process (and related) requires a lot be baked into pricing. I’d also be curious what the fully burdened rate of in-house staff is compared to consultants. I’ve seen situations in the gov (not DoD) where despite high consulting rates, the full cost of hiring was even higher per hour.
But I’m loath to defend the big firms. Generally, quality plus the ever push for expanding scope leaves a sensation of waste. The solution is just going to need more than simply tossing them out.