DoD overhauling key policies and instructions with significant implications for industry

As the Department of Defense embarks on an update to the core logistics policies that govern interaction with the private sector, let’s hope that DoD addresses both the strategic context for the military and operating imperatives of the private sector.

Government leaders have understood the challenge for years.  “We will prioritize speed of delivery, continuous adaptation and frequent modular upgrades,”  said Jim Mattis at The Johns Hopkins School of Advanced International Studies in January of 2018.

Defense analysts understand the nature of the challenge.  Earlier this year, Andrew Philip Hunter of the Center for Strategic and International Studies (CSIS) built on the Mattis theme.  “Deploying systems that are adaptable and agile is not just a technology strategy but a security imperative. Success will ultimately depend on DoD’s ability to rapidly adjust to uncertainty in threats—nimble adversaries, new domains, and unanticipated applications of technology utilization.”

Let’s hope that Undersecretary of Defense for Acquisition and Sustainment Ellen Lord and the DoD infrastructure deliver.  Ms. Lord promises revisions in fiscal year 2020, with significant implications for the private sector.

We are living in a brave new world.

“During recent years, the escalating cost burden of managing global supply chains has led many companies to reconsider their approach. The latest protectionist tendencies from governments further exacerbate the complications and challenges, increasing the appeal of near-shoring and on-shoring strategies,’’ according to industry analyst Mark Millar.

Once upon a time logisiticians were able to rely on governments to deliver an environment of stability.  Those days are over.  The risk/cost trade space has realigned.

I had a professor who once advised, "If you can't solve the problem, change the problem."  In the current global environment it makes sense to listen to that advice.