08Dec Industry Day MDA Update Brief_08MDA4021.pdf

MiDAESS Industry Day

LTG Patrick J. O’Reilly, USA Director

Missile Defense Agency

December 19, 2008 ms-111712 / 121808

Distribution Statement A:

Approved for public release;

distribution is unlimited

Approved for Public Release

08-MDA-4021 (10 DEC 08)

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08-MDA-4021 (10 DEC 08)

MDA Organizational Changes

• Warfighter support / interface consolidated under Deputy Director

- MDA Deputy for Integration and Fielding

- MDA Director, Missile Defense Integration and Operations Center

- MDA Director, Joint Staff/Service Integration Cell

- Deputy for Directorate of Logistics (newly created)

• Deputy Program Manager, Ballistic Missile Defense Systems established

- European Component Program Office realigned under DPM, BMDS

- Worldwide Deployment Office realigned under DPM, BMDS

• MDA Director for Engineering

- BMDS Architect

- MDA Systems Engineer

- MDA Chief Engineer

• Small Business Innovation Research moved to MDA Director for Advanced Technology

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Services And MDA

• Service/MDA MOAs determine role, responsibilities, and authorities

• Hybrid program offices comprised of MDA project office with embedded Service “cells” for O&S enable Service/MDA transparency and will be described in MOA annexes

• Specific details documented in Service/MDA MOAs

- Navy – SM-3 MOA (3 FEB 06), Aegis Block 04 (9 MAR 07), SBX MOA (15 SEP 08)

- Army – (will be done)

- Air Force – (in process)

• Service/MDA Board of Directors (BoD) has responsibility for and oversees execution of program progress

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MDA And Small Business Contracts

Statutory Small Business Goals for DoD:

Total Small Business 23%

Small Disadvantaged Business 5%

Woman Owned Business 5%

Service Disabled Veteran Owned 3%

Historically Underutilized Business Zones 3%

SB Prime Contracts 7.8%

SB 1st Tier Subcontracts 16.2%

Estimate SB 2nd Tier and Below Subcontracts 18.8%

• MDA estimates that 42.8% of its acquisition dollars eventually flows to small businesses

- 7.8% of MDA acquisition dollars are awarded as prime contracts to small businesses*

- 16.2% are awarded to small businesses as 1st tier subcontractors*

- MDA estimates another 18.8% of it’s acquisition dollars flow to small businesses through 2nd tier and below subcontracts

MDA Total Acquisition Dollars*

Large Prime Systems Contracts (Boeing, LM, Raytheon, NG)

* Based on FY 07 reporting

42.8%

LB

Pr im e N on -sy ste m

Co ntr ac ts

8.2

84%

24.0% To SB’s documented*

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Historical MDA Small Business Goals/Actuals

Numbers represent % of total acquisition dollars

FY04 FY05 FY06 FY07 FY08 FY09

Goal Actuals Goal Actuals Goal Actuals Goal Actuals Goals Actuals* Goals

Total Small Business 5.5 7.2 7.5 7.8 7.8 8.4 7.8 7.8 7.8 7.9

HUBZone SB 0.2 0.0 1.5 0.0 0.5 0.0 0.3 0.0 0.3 0.3

SDB 1.0 0.9 1.5 0.5 1.5 0.9 1.2 0.9 1.2 1.2

WOSB 1.0 1.0 1.5 1.3 1.5 1.2 1.1 1.0 1.1 1.3

SDVOSB 1.0 0.5 1.5 0.0 1.0 0.6 0.3 0.0 1.0 1.0

* Final percentages for FY 08 not available from FPDS-NG yet

HUBZone = Historically Underutilized Business Zones SDB = Small Disadvantaged Business WOSB = Woman Owned Small Business SDVOSB = Service Disabled Veteran Owned Small Business

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Oversight Of Large Business Prime Contractors

NEW PROCESS

• MDA working with large business prime contractors to tie performance on small business subcontracting plans to Award Fee to

- Increase subcontracting opportunities at all tiers

– Incentivize increase in SB utilization on subcontracts

- Increase use of DoD Mentor-Protégé program

– Incentivize increase participation as part of subcontracting plans for new systems contracts

- Increase technology transition from Small Business Innovation Research (SBIR), Small Business Technology Transfer (STTR) and Historically Black Colleges and Universities/Minority Institutions (HBCU/MI) Programs

– Require initiatives on SB subcontracting plans for new systems contracts to increase transition of SBIR/STTR Phase II technologies and HBCU/MI research investments into BMDS element programs

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MDA Focus On Small Business

• MDA’s SBIR/STTR program is fourth largest in the DoD

- SBIR programs received $122.7M in MDA funding in FY08

- STTR program received $14.7M in MDA funding in FY08

• MDA funds a robust Historically Black Colleges and Universities/Minority Institutions (HBCU/MI) Program for research and development activities

- Standing Broad Agency Announcement with research topic areas

- >$1.5M annual investment

• MDA is working with NASA MSFC Small Business Office to glean lessons learned and best practices to assist Small Businesses in doing business with MDA

- Collaborating with NASA, AMCOM, SMDC and Huntsville Corps of

Engineers for a regional Small Business Conference in Spring 2009

- Established MDA Prime Contractor’s Council, July 2008, modeled after successful NASA MSFC Prime Contractor Council

• Director, MDA Office of Small Business Programs sits as a voting member on every Acquisition Strategy Panel

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MiDAESS Mission

• Implement national engineering and support services for the BMDS mission across the enterprise

• Enhance the sharing of BMD expertise and knowledge across the Agency

• Centralize the acquisition of support services manpower in a more efficient manner

- One program office to identify requirements and acquire A&AS support enterprise-wide

• Reduce Agency overhead cost enterprise-wide

- Eliminate other government agency (OGA) administration cost

- Eliminate user fees currently paid to OGAs

- Reduce number of contracts from 250+ to an estimated 30

(final number will be based on capabilities and teaming in the industrial market)

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MiDAESS Acquisition Approach as per FedBizOps Announcement, October 2008

• One source selection that includes

- Full and open competitions by functional capability group

- Small business competitions by functional capability group

• Results in multiple Indefinite Delivery/Indefinite Quantity (ID/IQ) Contract Awards

- 2 or more awards, per functional capability group

- Separate awards for both full/open and small business set-aside competitions

• Final small business set-asides were determined based on results of Market Research #2 assessment

• Draft RFP Release – 2QFY09

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MiDAESS A&AS Scope

Functional Capability Group Scope Group 1: QSMA Support • Quality, Safety, & Mission

Assurance (QSMA)

Group 2:

Acquisition Support

• Acquisition Management

• Business and Financial

Management

• Legislative Affairs

• International Affairs

• Logistics Management

Group 3:

Engineering Support

• Engineering

• Test

• Advanced Technology

• Information Management &

Technology Operations

Group 4:

Infrastructure & Deployment Support

• Infrastructure and Environment

• Warfighter Operations and

BMDS Training Center

Group 5:

Agency Operations Support

• Executive Support

• Public Affairs

• Human Resources

Group 6:

Security and Intelligence Support

• Security and Intelligence Support

• A&AS work is based on Agency charter and business practices”:

- Acquisition Executive – Group 2

- Program Mgmt – Groups 1, 3, 4

- Agency Operations – Groups 5, 6

• Work is aligned vertically by function and horizontally across programs for better BMDS “integration” and “sharing of expertise” across the Agency

• Work is being brought in-house on “MDA contracts” vice paying other Government agencies administrative costs

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MiDAESS Information Sources

• Questions and Recommendations

- Email: MiDAESS@mda.Mil

- Email: Professional Service Council – MDAInfo@pscouncil.org

• Updates and New Information will be Posted to FedBizOps Website

– Solicitation Number: HQ0006-07-R-0012

- Keyword: MiDAESS

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BACKUP

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08-MDA-4021 (10 DEC 08)

Missile Defense: Past And Present

• The Strategic Defense Initiative was an intensive R&D program born in the Cold War

- “What could we do to counter a massive Soviet attack?”

The World Has Changed

• The security environment has changed dramatically

- We no longer have just a single threat

- Multiple actors pose threats, some of whom may be non-deterrable, even irrational by our standards

- Proliferation of ballistic missiles of all ranges grows

- Missile Defense has shown its ability to “stabilize” a crisis

• Missile Defense mitigates the challenges of a dangerous, uncertain future