The U.S. Army is transforming its acquisition strategy, with a significant pivot towards engaging smaller, innovative vendors, often likened to those in Silicon Valley. This shift was underscored by Army Secretary Dan Driscoll during a media roundtable, where he emphasized the need to move away from traditional prime defense contractors.
Driscoll stated, “It used to be 90 percent of things we bought were purpose-built for the military or the Army, and 10 percent were off the shelf.” He criticized the defense industrial base, asserting that it had led the American people and the Pentagon to believe they required military-specific solutions. “In reality, a lot of these commercial solutions are equal to or better,” he noted, advocating for a new approach that prioritizes commercially available products.
This reorientation follows the Army’s announcement to overhaul its entire acquisition structure, marking one of the most significant changes in years. According to Breaking Defense, this restructuring aims to accelerate the delivery of weapons systems to soldiers. Driscoll highlighted that the goal is to reverse the previous ratio, aiming for 90 percent of acquisitions to be commercially available and only 10 percent to be specialized military solutions.
Acknowledging the challenges faced by traditional contractors, Driscoll remarked that the Army has historically been a demanding customer, creating inefficiencies within its procurement processes. “I highlight how bad of a customer we have been,” he said, suggesting that both the Army and its suppliers must adapt to a more collaborative relationship.
The Army’s plans include consolidating its acquisition structure, reducing the number of general officers overseeing procurement, and streamlining the twelve Program Executive Offices (PEOs) responsible for acquisitions. These changes align with sentiments expressed by Defense Secretary Pete Hegseth during a speech on November 7, 2023, where he called for increased collaboration with commercial companies, even if their products do not fully meet military specifications.
Hegseth emphasized the importance of being open to what he described as the “85 percent solution,” allowing for iterative improvements over time. “We want to increase acquisition risk in order to decrease operational risk,” he stated, highlighting a shift in the Army’s procurement philosophy.
During the roundtable, Army Chief of Staff Gen. Randy George shared examples of how the Army has already begun integrating commercial products into its operations. He mentioned that General Motors’ engines are being utilized in the Army’s infantry squad vehicles, and there is consideration of using Caterpillar engines for the next-generation Abrams tank, the M1E3.
“There are companies out there that do this that we can definitely take advantage of,” George said. He expressed optimism about the opportunities available on the commercial side and noted a cooperative spirit among traditional contractors, emphasizing a shared commitment to enhancing the Army’s operational speed and efficiency.
This strategic shift represents a significant rethinking of how the Army engages with the defense industrial base, aiming to foster innovation and responsiveness in an era of rapidly evolving military needs. As the Army moves forward, it is clear that its focus will increasingly be on embracing commercially available solutions to meet its operational challenges.
