Modernizing Defense Acquisitions and Spurring Innovation in the Defense Industrial Base

4/9/2025

Executive Orders

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Action Summary

Purpose: Modernize the defense acquisition system and industrial base to maintain U.S. military superiority through state‐of‐the‐art warfighting capabilities.
Policy Objective: Accelerate defense procurement by reforming outdated processes, emphasizing speed, flexibility, innovation, and incentivizing risk-taking within the acquisition workforce.
Acquisition Process Reform:
- Secretary of Defense to submit a plan within 60 days that prioritizes commercial solutions, Other Transactions Authority, and Rapid Capabilities Office policies.
- Streamline decision-making by reviewing and reducing unnecessary tasks and duplicative approvals across functional roles.
- Establish a Configuration Steering Board to manage risk for acquisition programs.
Internal Regulations Review:
- Review and revise Department of Defense instructions, manuals, and regulations to eliminate onerous supplemental guidance.
- Implement measures to expedite and streamline acquisition processes using the ten-for-one deregulatory rule.
Acquisition Workforce Reform:
- Develop a plan within 120 days to restructure workforce metrics, right-size staffing, and enhance training focused on innovative, commercial acquisition methods.
- Establish field training teams to support the application of modern acquisition authorities and techniques.
Major Defense Acquisition Program Review:
- Conduct a comprehensive review of all Major Defense Acquisition Programs (MDAPs) within 90 days to assess schedule, cost, and performance issues.
- Identify programs for potential cancellation if they are significantly delayed, cost-overrun, or misaligned with strategic priorities, and report findings to OMB.
Joint Capabilities Integration: Undertake a review of the Joint Capabilities Integration and Development System within 180 days to enhance system efficiency and speed.
Definitions and Clarifications: Define key terms such as Adaptive Acquisition Framework, Acquisition Program Baseline, commercial solutions, Configuration Steering Board, innovative acquisition authorities, Other Transactions Authority, and Rapid Capabilities Office to ensure clarity in implementation.
General Provisions: Confirm that the order does not impair existing agency authorities or OMB functions and is subject to applicable law and appropriations.

Risks & Considerations

The Executive Order aims to modernize defense acquisitions, which could lead to increased demand for research and expertise in defense technologies and procurement processes. This may present opportunities for Vanderbilt University to collaborate with the Department of Defense on research initiatives.
There is a risk that the focus on rapid reform and innovation in defense acquisitions could lead to increased competition for federal research funding, potentially impacting Vanderbilt’s ability to secure grants in related fields.
The emphasis on commercial solutions and innovative acquisition authorities may require Vanderbilt to adapt its research and development strategies to align with these new priorities, potentially affecting existing partnerships and collaborations.
Vanderbilt may need to consider how changes in defense acquisition processes could impact its programs related to engineering, technology, and public policy, particularly in terms of curriculum and research focus.

Impacted Programs

School of Engineering at Vanderbilt may see increased opportunities for research and collaboration in defense technologies and acquisition processes, potentially leading to new partnerships with the Department of Defense.
Vanderbilt’s Office of Federal Relations might need to adjust its strategies to engage with federal agencies involved in defense acquisitions, ensuring that the university remains competitive in securing research funding.
The Center for Technology Transfer and Commercialization could play a crucial role in facilitating the commercialization of research outcomes that align with the new defense acquisition priorities.
Vanderbilt’s programs in public policy and management may need to incorporate new content related to defense acquisition reforms and their implications for government and industry.

Financial Impact

The reallocation of federal funds towards defense acquisition reforms could impact the funding landscape for research institutions, potentially leading to changes in grant opportunities and priorities.
Vanderbilt University might experience changes in its funding opportunities, particularly if federal discretionary grants prioritize defense-related research and innovation. This could necessitate adjustments in grant application strategies and partnerships.
There may be increased opportunities for Vanderbilt to secure funding for research and development in defense technologies and acquisition processes, particularly through collaborations with the Department of Defense and other federal agencies.
As defense acquisition reforms are implemented, there could be a shift in the focus of research and development activities at Vanderbilt, potentially affecting resource allocation and strategic planning.

Relevance Score: 3 (The order presents moderate risks typically involving compliance or ethics, with potential impacts on research funding and strategic partnerships.)

Key Actions

Vanderbilt’s Office of Federal Relations should monitor developments in defense acquisition reforms to identify potential research and collaboration opportunities with the Department of Defense. Engaging in defense-related research could open new funding avenues and partnerships.
The School of Engineering should explore opportunities to contribute to the development of commercial solutions and innovative technologies that align with the Department of Defense’s emphasis on speed and flexibility in acquisitions. This could enhance Vanderbilt’s role in defense innovation.
Vanderbilt’s Center for Technology Transfer and Commercialization should assess the potential for licensing technologies that meet the criteria for commercial solutions under the new defense acquisition framework. This could lead to increased commercialization and industry partnerships.
The Department of Political Science should conduct research on the implications of defense acquisition reforms on national security and policy. This research can provide valuable insights and position Vanderbilt as a thought leader in defense policy analysis.

Opportunities

The executive order presents an opportunity for Vanderbilt’s Research Centers to engage in projects that support the modernization of defense acquisition processes. By aligning research initiatives with the Department of Defense’s priorities, Vanderbilt can secure funding and enhance its reputation in defense research.
Vanderbilt can capitalize on the focus on innovation and risk-taking by developing programs that train students and faculty in innovative acquisition authorities and commercial solutions. This could position Vanderbilt as a leader in defense-related education and training.
The emphasis on streamlining and accelerating acquisitions offers an opportunity for Vanderbilt’s Business School to develop case studies and educational programs focused on efficient acquisition strategies and management practices.

Relevance Score: 3 (The order presents some adjustments needed to processes or procedures to align with defense acquisition reforms and capitalize on research and collaboration opportunities.)

Average Relevance Score: 3.4

Timeline for Implementation

60 days – The Secretary of Defense must submit a plan to reform the Department of Defense’s acquisition processes.
90 days – The Secretary of Defense shall complete a comprehensive review of all Major Defense Acquisition Programs and provide performance details along with a plan for reviewing remaining major systems.
120 days – The Secretary of Defense, in coordination with other military secretaries, shall develop and submit a plan to reform the acquisition workforce.
180 days – A comprehensive review of the Joint Capabilities Integration and Development System is to be completed.

The score is based on the shortest timeline (60 days), which falls within the 60-89 day range.

Relevance Score: 3

Impacted Government Organizations

Department of Defense (DoD): Oversees the comprehensive reform of defense acquisitions, including mandates to modernize acquisition processes and restructure the defense acquisition workforce.
Office of Management and Budget (OMB): Tasked with reviewing major defense acquisition programs (MDAPs), assessing cancellation lists, and incorporating performance data into future budget determinations.
Department of the Army: Collaborates on plans to reform acquisition processes and workforce training, as well as implementing acquisition reforms unique to Army needs.
Department of the Navy: Involved in acquisition and workforce reform efforts to ensure that naval systems and procurement strategies stay agile and effective.
Department of the Air Force: Participates in the comprehensive overhaul of acquisition processes and workforce restructuring to enhance its warfighting capabilities.
Joint Chiefs of Staff: Coordinates with the Department of Defense to conduct reviews and streamline the Joint Capabilities Integration and Development System.
Army Rapid Capabilities and Critical Technologies Office: Targeted as part of the rapid acquisition pathways and innovative authority reforms to accelerate defense procurements.
Naval Air Warfare Rapid Capabilities Office: Engaged in efforts to adopt expedited acquisition methods and modernize procurement strategies.
Department of the Air Force Rapid Capabilities Office: Instrumental in applying rapid capabilities initiatives to streamline acquisition actions and boost operational readiness.
Space Force Rapid Capabilities Office: Included in the directive to enhance rapid acquisition and ensure that space-related defense needs are met efficiently.

Relevance Score: 3 (The order impacts 10 distinct government organizations, which falls within the 6-10 affected agencies criteria.)

Responsible Officials

Secretary of Defense – Charged with submitting a plan to reform defense acquisition processes, overseeing internal regulation reviews, and directing overall implementation of the order.
Deputy Secretary of Defense – Acts through the Secretary of Defense to coordinate comprehensive reviews of major defense acquisition programs and the Joint Capabilities Integration and Development System.
Under Secretary of Defense for Acquisition and Sustainment – Responsible for establishing and leading the Configuration Steering Board as well as managing field training teams and risk management processes.
Secretary of the Army, Secretary of the Navy, and Secretary of the Air Force – Collaborate with the Secretary of Defense in reforming the defense acquisition workforce and submitting plans related to acquisition processes.
Component Acquisition Executives – Engaged in the detailed reviews and implementation of streamlined acquisition efforts and workforce reforms.
Director of the Office of Management and Budget (OMB) – Receives submissions concerning major defense acquisition program performance, potential cancellations, and budgetary recommendations.
Joint Chiefs of Staff – Work in coordination with the Secretary and Deputy Secretary of Defense in reviewing and streamlining the Joint Capabilities Integration and Development System.

Relevance Score: 5 (Directives impact top-level officials including Cabinet members and key agency heads, influencing high-level strategic decisions.)