DOD Assessments of Supplier-Base Availability for Future Defense Needs

Both DOD and Commerce conduct assessments of supplier-base availability for defense needs that generally focus on the next 5 years. Several offices within DOD and Commerce's Office of Technology Evaluation have a role in assessing supplier-base availability, primarily conducting short-term assessments of selected sectors or existing weapon programs. In 2004, DOD's Office of Industrial Policy conducted a one-time series of comprehensive DOD-wide assessments of supplier-base availability that forecasted 10-20 years into the future. According to DOD and Commerce officials, assessments of future supplier-base availability for defense needs beyond a 5-year time frame can have limitations, in part, because it can be difficult to predict technologies and whether investment in the supplier base will be needed to support these technologies. Recently, the National Research Council and an industry association recommended that DOD continually assess the supplier base from a more strategic perspective to include its availability for long-term defense needs. DOD has not acted on these recommendations; however, DOD plans to incorporate industrial base considerations into its 2010 Quadrennial Defense Review to raise awareness of long-term, future, supplier-base availability for defense needs. Briefing to the Senate Committee on Banking, Housing, and Urban Affairs, Subcommittee on Security and International Trade and Finance on 27 Oct 2009.