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NDIA Industry Forum Rocky Mountain Chapter. “Future of Competitive Sourcing” Break-Out Session 26 August 2005 Ms. Laurie Carroll, HQ AFSPC/XPM DeForest Hamilton, The Boeing Company Randy Welsch, Master Solutions. Why “Outsourcing?”.
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NDIA Industry ForumRocky Mountain Chapter “Future of Competitive Sourcing” Break-Out Session 26 August 2005 Ms. Laurie Carroll, HQ AFSPC/XPM DeForest Hamilton, The Boeing Company Randy Welsch, Master Solutions
Why “Outsourcing?” • Definition: Paying another company to provide services which acompany might otherwise have employed its own staff toperform. • Outsourcing has a bad connotation of sending US jobs overseas to places like India and China. In today’s context, a better phrase is “competitive sourcing.” • Why competitive sourcing? • Department of Defense is “right-sizing” • Budget pressures • Adds budgetary and manpower flexibility for the Command • Common sense factor that industry can do some things better
Defense Industry’s Role • Historical competitive sourcing: • “Roads and commodes” • Landscaping / building maintenance • Military housing (construction, management) • Law enforcement • Computer / Information Technology (small scale) • Out-of-the-Box competitive sourcing ideas: • Communications / Information Technology infrastructure • ICBM missile maintenance (Minot, F.E. Warren, etc.) • Flight crew members on non-weapons carrying aircraft • Launch sites (VAFB, Cape Canaveral) • Satellite Operations (50th Space Wing: 2SOPS, 3SOPS)
Challenges • Is the military culture ready for the invasion of the contractors? • Some may see it as limiting their professional space training options • In certain fields, there may be concerns with “white lab coats” • War fighting missions may be off limits • Training changes: moving from the ICBM model with lists to the commercial model, e.g., Iridium, Spaceway, etc. (Maytag repairman) • Contractor Ops must provide a transition plan to be credible. • Process improvements to the current competitive sourcing methods? • A DoD-wide coordinating body for competitive-sourcing? • Other…?