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Acquisition Research Program Newsletter
October 18, 2024 — Issue 218
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Happy Friday!
Let's get started with the news this week.
This Week's Top Stories
CNO Sets 80% Surge Readiness Goal by 2027
Matthew Olay, DOD News
Chief of Naval Operations Adm. Lisa Franchetti participates in an interview with Washington Post reporter Dan Lamothe at the Atlantic Council think tank in Washington, D.C., Oct. 16, 2024. Courtesy Photo
[Chief of Naval Operations Adm. Lisa] Franchetti's navigation plan focuses on 2027 as the year for the Navy to achieve maximized fleet readiness because that's also the year China's Xi Jinping has told his military to be ready for armed conflict.
"As the CNO who will be at the helm into 2027, I am compelled to do more — and do more, faster — to ensure that our Navy is more ready," Franchetti said.
"I have a clock in my office that tells me there are 807 days left until 1 January 2027," she added. "There is no time to waste, and your Navy is ready to get after it."
Africans recruited to work in Russia say they were duped into building drones for use in Ukraine
Emma Burrows and Lori Hinnant, The Associated Press
- The social media ads promised young African women a free plane ticket, money, and an adventure in Europe. However, upon arrival in Russia's Tatarstan region, they found themselves working in a factory assembling Iranian-designed attack drones for the war in Ukraine.
- To address a labor shortage, Russia has been recruiting women aged 18-22 from countries like Uganda, Rwanda, Kenya, South Sudan, Sierra Leone, Nigeria, and Sri Lanka. The recruitment drive is expanding to other parts of Asia and Latin America.
- With the help of foreign recruits, Russia has significantly increased its drone production, launching nearly twice as many drones at Ukraine in the first seven months of this year compared to the entire previous year.
- An analysis of about 2,000 Shahed drone attacks shows that about 95% of the drones hit no discernible target, often falling into rivers, fields, or even straying into NATO-member Latvia. The high failure rate could be due to improved Ukrainian air defenses or poor craftsmanship from the low-skilled workforce.
RTX will pay almost $1B for defrauding DOD, allegedly bribing Qatari official
Audrey Decker, Defense One
Visitors watch a video loop at the RTX exhibition stand at the Farnborough International Airshow on July 22, 2024, at Farnborough, England. Richard Baker / In Pictures Via Getty Images
“Raytheon engaged in criminal schemes to defraud the U.S. government in connection with contracts for critical military systems and to win business through bribery in Qatar,” said Deputy Assistant Attorney General Kevin Driscoll of the Justice Department’s Criminal Division. “Such corrupt and fraudulent conduct, especially by a publicly traded U.S. defense contractor, erodes public trust and harms the DOD, businesses that play by the rules, and American taxpayers. Today’s resolutions, with criminal and civil recoveries totaling nearly $1 billion, reflect the Criminal Division’s ability to tackle the most significant and complex white-collar cases across multiple subject matters.”
The defense contractor also recently was fined $200 million for the unauthorized export of defense technology to China, Russia, Iran, and elsewhere. In July, the company told investors during an earnings call that it set aside more than $1 billion to settle a number of government investigations.
AUSA 2024
‘Not one big bang’: Army looking to enhance competition with ‘teams of vendors’ for Next Gen C2
Carley Welch, Breaking Defense
Members of the 56th Air and Space Communications Squadron at Joint Base Pearl Harbor-Hickam operate cyber systems using a Enhanced communications flyaway kit during the Global Information Dominance Experiment 3 and Architect Demonstration Evaluation 5 at Alpena Combat Readiness Training Center, Alpena, Michigan, July, 12, 2021. (U.S. Air Force photo by Tech. Sgt. Amy Picard)
- The Army aims to change its acquisition approach for the Next Generation Command and Control (NGC2) project by involving industry teams rather than a single player.
- Army undersecretary Gabe Camarillo emphasized the importance of competition within the program, involving multiple vendors working together and against each other.
- The goal is to start a program of record quickly, with a competition planned for the third quarter of FY25, although there is a push to accelerate this timeline.
- The project will involve continuous revalidation of requirements, fostering collaboration between the requirements user and the acquisition community.
AUSA 2024
Army putting ‘significant … emphasis’ on air and missile defense with looming investments
Ashley Roque, Breaking Defense
A Patriot Advanced Capability-3 (PAC-3) Cost Reduction Initiative missile is launched during an Integrated Battle Command System (IBCS) flight test at White Sands Missile Range. (US Army/Darrell Ames)
- The Army faces high demand and strain on its air defense force due to frequent deployments and significant demand signals worldwide.
- The Pentagon recently unveiled the Replicator 2 initiative to find C-UAS systems for defending fixed sites inside and outside the continental United States.
- The Army is considering a mix of existing systems and those in development for potential funding.
- All services are expected to participate in Replicator to address policy barriers, production, manufacturing challenges, and cohesively invest in R&D for next-generation capabilities.
- Army acquisition head Doug Bush emphasized the need for cost-effective solutions that can be deployed across the entire Army, not just air defense units.
- There are significant policy issues to address for C-UAS defenses at specific sites within the US.
AUSA 2024
AI ASAP: Army wants OSD’s help to speed algorithm acquisition
Sydney J. Freedberg Jr., Breaking Defense
- Young Bang, the No. 2 civilian in Army acquisition, mentioned that they can train algorithms overnight, suggesting that even the streamlined Software Acquisition Pathway might not be fast enough.
- Army acquisition officials are collaborating with the Office of the Secretary of Defense to expedite AI programs. They have proposed developing a special AI variant of the existing Software Acquisition Pathway (SWP), although the Office of the Secretary of Defense seems less enthusiastic about this proposal.
Being Responsive to Combatant Commanders
Pete Modigliani and Matt MacGregor, Defense Tech and Acquisition
How to ensure the Pentagon, Services, and acquisition community are focused on the right operational priorities without the need for special authorities.
U.S. Army Sgt. Claudia Kinney, assigned to the 6th Squadron, 8th Cavalry Regiment, retrieves a drone during Allied Spirit 24 at the Hohenfels Training Area, Joint Multinational Readiness Center, Germany, March 6, 2024. U.S. Army / Spc. Micah Wilson
How many drones does the Army need? A lot more.
Sam Skove, Defense One
- The Army is buying hundreds of small drones to equip its infantry, but the current number is not enough to meet training objectives or go to war.
- During intensive training, drones are prone to accidents, with an estimated 25% of drones breaking or being lost.
- Brigade commander Col. Graham White emphasized the importance of 3D printing and in-house repair systems to keep drone units operational.
- The Army will need to regularly buy replacements, potentially around 1,000 drones per year, to make up for training losses.
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ARP and NPS News
NPS Student Capstone Project Research: September 10, 2024, Capt Paul Carney, LTJG Danielle Naldoza, and GySgt Alyssa Falge presented their thesis capstone project minimum viable product (MVP) to the Director of Production, Deployment, and Fleet Readiness, PEO IWS, and the Executive Director, PEO IWS.
Their MVP demonstration received tremendous support and endorsement such that the Executive Director believes their MVP is "an absolute game changer for leveling up [their] acquisition workforce" and is "looking forward to scaling up [their] work and deploying it across the PEO".
The team's capstone project aimed to streamline the acquisition strategy development process within PEO IWS, who is responsible for delivering critical naval warfare systems for the U.S. Navy. By applying the Lean Launchpad methodology, the project addresses challenges faced by assistant program managers (APMs) and other key stakeholders.
Through extensive market research, interviews with over 30 PEO IWS members and collaboration with key personnel, the team identified root issues and tested their MVP to develop a Generative AI solution that delivers more efficient acquisition strategies within PEO IWS.
The team is guided by Lt Col Jamie Porchia and Professor Jeff Dunlap in the Department of Defense Management at the Naval Postgraduate School.
Apply for the newly PMI accredited Distance Learning Master of Science in Program Management (MSPM) degree at NPS
MSPM is an advanced graduate education in the concepts, methodologies and analytical techniques necessary for successful management of programs/projects within complex organizations. The MSPM degree is a 24-month, part-time distance learning program open to qualified active-duty Navy and Marine Corps personnel, active-duty personnel from other Services, federal employees, international students, and DoD contractor personnel.
Call for Proposals: 22nd Annual Acquisition Research Symposium and Innovation Summit
Join us in Monterey May 7-8, 2025 for the 22nd Annual Acquisition Research Symposium & Innovation Summit. This year, the symposium is combined with an Innovation Summit under the overarching theme of "Transitioning Technology."
- The goal of this dual event is to explore and promote innovative ways to transition technology from research and development to programs of record to support the warfighter.
Proposals are due November 18. Learn more.
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Small Business Resources
APEX Accelerators Program
APEX Accelerators are an official government contracting resource provided for small businesses. Local APEX Accelerators provide free government expertise related to contract opportunities. The APEX Accelerators program focuses on building a strong, sustainable, and resilient U.S. supply chains by assisting a wide range of businesses that pursue and perform under contracts with the DoD, other federal agencies, state and local governments and with government prime contractors. Find an APEX Accelerator Near You
Navigating the Defense Market
Pentagon has made it a point to attract and engage companies with limited to no experience winning and performing government contracts. While some of these efforts have made it easier to get a foot in the door, including lower barriers to obtaining relatively small amounts of funding, the bulk of the Defense market remains elusive to new entrants. This guide is a living resource to help further lower barriers, enabling companies to focus their efforts on delivering new capabilities, while minimizing time wasted on discovering basic info, determining which offices to engage, and establishing realistic expectations. Additional Resources
Research
New Report Sounds Alarm about Our Nation’s Readiness to Confront Looming Military Threats
Jerry McGinn, Center for Government Contracting, George Mason University
GMU researchers recommend a National Strategy for Mobilizing the Defense Industrial Base, drawn from lessons from World War II, Iraq/Afghanistan, Covid-19, and Ukraine.
OTAs, Defense Tech, & The Path To Revenue
Austin Gray
Pulling all DoD Other Transaction Agreements reveals cultural differences between services, data disparities, and signs of hope.
Note: Other Transaction Authority (OTA) is the term commonly used to refer to the (10 U.S.C. 4021) authority of the Department of Defense (DoD) to carry out certain prototypes, research, and production projects. Other Transaction (OT) authorities were created to give DoD the flexibility necessary to adopt and incorporate business practices that reflect commercial industry standards and best practices into its award instruments.
Machine Failing: How Systems Acquisition and Software Development Flaws Contribute to Military Accidents
Jeffrey Ding, The University of Texas at Austin
The document discusses how software contributes to military accidents, highlighting the high stakes involved. It introduces the software development lifecycle theory, which expands the causal timeline of accidents beyond battlefield decisions to those made decades earlier in software design, supported by four case studies.
Events
UTAC 2024 (Unmanned Tactical Autonomous Control)
21-25 October 2024
Fort Benning, GA
Pacific Defense Contracting Summit
28-29 October 2024
Defense Leadership Forum
Honolulu, Hawaii
Defense Manufacturing Conference (DMC) 2024
2-5 December 2024
Austin, TX
Policy & Strategy
Army Chief of Staff Gen. Randy George laid out his vision for how he wants to modernize Army formations to prepare soldiers for the future fight. He is shown here visiting soldiers in 2023. (U.S. Army)
AUSA
How the Army’s chief of staff plans to modernize the service
Jen Judson, Defense News
- The U.S. Army will enhance its formations with next-level technology to counter drone threats faster.
- Army Chief of Staff Gen. Randy George emphasized the need to buy smart and fast due to tight budgets.
- George focuses on using field units to transform the service by putting capability into soldiers' hands in realistic environments.
- Four major areas will see accelerated efforts to maintain momentum, including obtaining flexible funding and rapidly getting equipment to soldiers.
Defense and Federal Government
DOD Releases Report on Defense Spending by State in Fiscal Year 2023
Department of Defense
- Defense spending rose by $50.5 billion in Fiscal Year 2023.
- Total DoD spending in the 50 states and D.C. was $609.2 billion, 2.2% of the GDP.
- $431.4 billion (71%) was for contracts, $167.4 billion (27%) for payroll, and $10.4 billion (2%) for grants.
- The report helps state and local partners understand and develop initiatives for defense industrial base and supply chains.
- A robust and resilient industrial base is crucial for military advantage.
Cybersecurity Maturity Model Certification Program Final Rule Published
Department of Defense
The purpose of CMMC is to verify that defense contractors are compliant with existing protections for federal contract information (FCI) and controlled unclassified information (CUI) and are protecting that information at a level commensurate with the risk from cybersecurity threats, including advanced persistent threats. This rule streamlines and simplifies the process for small-and medium-sized businesses by reducing the number of assessment levels from the five in the original program to three under the new program.
How the Pentagon’s financial audit will help win wars
Elaine McCuster, Mark Easton and Greg Little, Defense One
- Over the past five years, the Department of Defense (DoD) has spent more than $4 billion to improve visibility and transparency.
- Efforts to pass the audit have helped integrate data from finance, logistics, and readiness systems, breaking down longstanding silos and making it possible to see across the entire defense enterprise.
- These changes are already yielding benefits, such as ensuring that the right resources are available at the right time and that limited dollars are not put toward duplicative capabilities.
- Beyond record-keeping, the audit effort is helping to ensure U.S. military dominance into the future by improving the flow of data.
One more thing...
After two unsuccessful attempts, the USS Constitution is launched in Boston Harbor. The 44-gun U.S. Navy frigate, built to fight Barbary pirates off the coast of Tripoli, performed commendably during those conflicts, and in 1805 a peace treaty with Tripoli was signed on the Constitution‘s deck.
During the War of 1812, the Constitution won its enduring nickname “Old Ironsides” after defeating the British warship Guerriére in a furious engagement off the coast of Nova Scotia. Witnesses claimed that the British shots merely bounced off the Constitution‘s sides, as if the ship were made of iron rather than wood. The success of the Constitution against the supposedly invincible Royal Navy provided a tremendous morale boost for the young American republic.
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Karey L. Shaffer, MBA
Program Manager
Acquisition Research Program
Naval Postgraduate School
e: klshaffe@nps.edu
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