16 janvier 2024 | International, Aérospatial
US Navy looks for cost-saving ideas in Running Fix efficiency effort
Leaders want feedback on where the service can spend more efficiently and repurpose its funds.
5 février 2019 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité, Autre défense
DEFENSE COMMISSARY AGENCY
Coast Produce Co., Los Angeles, California, is being awarded an indefinite-delivery, requirements type contract to provide fresh fruits and vegetable products for commissaries located in the west areas of the continental U.S. The award amount is estimated at $153,648,855 for the base year. Actual obligations using resale stock activity group, defense capital funds, will occur upon issuance of delivery orders during the period of performance. Contract funds will not expire at the end of the current fiscal year. The contract is for a 24-month base period beginning Feb. 25, 2019, through Feb. 21, 2021. The contract includes three one-year option periods. If all three option periods are exercised, the contract will be completed Feb. 21, 2024. The Defense Commissary Agency, Fort Lee, Virginia, is the contracting activity (HDEC02-19-D-0002).
NAVY
General Dynamics Bath Iron Works (BIW), Bath, Maine, was awarded a $126,171,106 cost-plus-award-fee contract for DDG 51 class integrated planning yard services. BIW will provide expert design, planning and material support services for both maintenance and modernization. This contract includes options which, if exercised, would bring the cumulative value of this contract to $719,178,832. Work will be performed in Bath, Maine, and is expected to be completed by January 2024. Fiscal 2019 operations and maintenance (Navy); and fiscal 2019 other procurement (Navy) funding in the amount of $21,022,460 was obligated at time of award, and $4,549,434 will expire at the end of the current fiscal year. This contract was not competitively procured, in accordance with 10 U.S. Code 2304(c)(1) - only one responsible source and no other supplies or services will satisfy agency requirements. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-19-C-4452). (Awarded Jan. 30, 2019)
Swiftships LLC,* Morgan City, Louisiana, is awarded a $26,683,722 modification to previously awarded fixed-price incentive contract N00024-18-C-2401 to exercise an option for construction of Landing Craft, Utility (LCU) 1701 and 1702. LCU 1700 will replace the existing LCU 1610 class of amphibious landing craft on a one for one basis. LCU 1700 will be a similarly rugged steel craft which will recapitalize the LCU 1610 capabilities and have a design life of 30 years. LCU 1700 craft will be a highly reliable and fuel efficient heavy lift platform whose capability will be complementary to the faster air cushion landing craft which have a significantly shorter range, smaller payload capacity, no habitability, and operating hour limitations. Work will be performed in Morgan City, Louisiana, and is expected to be completed by May 2021. Fiscal 2019 shipbuilding and conversion (Navy) funding in the amount of $26,683,722 will be obligated at time of award, and will not expire at the end of the current fiscal year. The Naval Sea Systems Command Washington, District of Columbia, is the contracting activity.
Kingfisher Systems Inc., Falls Church, Virginia, is awarded a $14,236,278 cost-plus-fixed-fee contract for advanced cyber support services in support of the Marine Corps Cyberspace Operations Group. This one-year contract includes four one-year option periods which, if exercised, would bring the potential value of this contract to an estimated $73,344,685. Work will be performed in Quantico, Virginia. The period of performance of the base period is from Feb. 4, 2019, through Feb. 3, 2020. If all options are exercised, the period of performance would extend through Feb. 3, 2024. Fiscal 2019 operations and maintenance (Marine Corps) funds in the amount of $5,500,000 will be obligated on this award and will expire at the end of the current fiscal year. This contract was competitively procured via request for proposal N66001-18-R-0011 which was published on the Federal Business Opportunities website and the Space and Naval Warfare e-Commerce Central website, with five offers received and one selected for award. The Space and Naval Warfare Systems Center Pacific, San Diego, California, is the contracting activity (N66001-19-C-3406).
Northrop Grumman Systems Corp., Military Aircraft Systems, Melbourne, Florida, is awarded $11,654,051 for modification P00068 to a previously awarded cost-plus-incentive-fee contract (N00019-13-C-9999). This modification provides for non-recurring engineering to incorporate the Multifunctional Information Distribution System/Joint Tactical Radio System into the E-2D Advanced Hawkeye aircraft in support of the government of Japan. Work will be performed in Melbourne, Florida (75.15 percent); Norfolk, Virginia (8.98 percent); Ronkonkoma, New York (8.42 percent); St. Augustine, Florida (6.34 percent); Misawa, Japan (.32); and various locations within the continental U.S. (.79 percent), and is expected to be completed in June 2020. Foreign Military Sales funds in the amount of $11,654,051 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.
Canadian Commercial Corp., Ottawa, Ontario, Canada, is awarded an $11,382,478 firm-fixed-price, cost-reimbursable indefinite-delivery/indefinite-quantity contract. This contract provides services in support of Navy ship and weapons systems test events such as target presentations, planning and conducting of test, and analysis and evaluation of the assigned surface weapons systems during test events as well as systems engineering and program management support. Work will be performed at Point Mugu, California (85 percent); Ridgecrest, California (6 percent); Las Cruces, New Mexico (3 percent); Kauai, Hawaii (2 percent); Salt Lake City, Utah (2 percent); Lompoc, California (1 percent); and various locations outside the continental U.S. (1 percent), and is expected to be completed in February 2024. No funds will be obligated at the time of award. Funds will be obligated on individual orders as they are issued. This contract was not competitively procured pursuant to 10 U.S. Code 2304(c)(1). The Naval Air Warfare Center Weapons Division, China Lake, California, is the contracting activity (N68936-19-D-0008).
UPDATE: The contract deductive modification awarded to Gilbane Federal, Concord, California (N39430-15-D-1634) on Jan. 16, 2019, to decrease the value of the contract for the cleaning, inspection and repair of Fuel Storage Tanks 305, 307, and 308 at Defense Fuel Support Point, Tsurumi, Japan, was not signed on that actual date. The modification for $10,966,383 will now be executed Feb. 4, 2019. Work on Tanks 305, 307, and 308 is being removed from the contract by mutual agreement of the parties.
DEFENSE LOGISTICS AGENCY
Beacon Point & Associates LLC,** Cape Coral, Florida, has been awarded a maximum $49,000,000 fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract for hospital equipment and accessories. This is a five-year contract with no option periods. This was a competitive acquisition with 71 responses received. Location of performance is Florida, with a Feb. 3, 2024, performance completion date. Using military services are Army, Navy, Air Force and Marine Corps. Type of appropriation is fiscal 2019 through 2024 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE2DH-19-D-0010).
AIR FORCE
Akima Logistics Services LLC, Herndon, Virginia, has been awarded a $13,536,602 firm-fixed-price contract for fuels and supply services. This contract provides for services to support all management, personnel and equipment to perform fuels and supply services. Work will be performed at Joint Base Andrews, Maryland, and is expected to be completed by Feb. 29, 2020. This award is the result of a competitive acquisition and five offers were received. Fiscal 2019 operations and maintenance funds in the amount of $6,768,301 are being obligated at the time of award. The 11th Contracting Squadron, Joint Base Andrews, Maryland, is the contracting activity (FA2860-19-C-0004).
DEFENSE ADVANCED RESEARCH PROJECTS AGENCY
General Dynamics Mission Systems Inc., San Antonio, Texas, has been awarded an $11,816,042 modification (P00037) to previously awarded contract HR0011-16-C-0001 for classified information technology services. The modification brings the total cumulative face value of the contract to $116,832,430 from $105,016,388. Work will be performed in Arlington, Virginia, with an expected completion date of February 2020. Fiscal 2019 research and development funds in the amount of $5,430,798 are being obligated at time of award. The Defense Advanced Research Projects Agency, Arlington, Virginia, is the contracting activity.
*Small Business
**Service-Disabled Veteran Owned Small Business
https://dod.defense.gov/News/Contracts/Contract-View/Article/1747970/
16 janvier 2024 | International, Aérospatial
Leaders want feedback on where the service can spend more efficiently and repurpose its funds.
12 décembre 2022 | International, C4ISR
Over the past six months, there have been 10,666 ransomware variants identified, almost twice the total in the previous six months.
17 novembre 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité
By: Eric Chewning and Frank Coleman III After years of growth, defense budgets will likely flatten (or decline). In such a financial environment, the U.S. Department of Defense will consider trade-offs between funding modernization, sustaining legacy equipment and preserving force structure. These hard choices will be informed by the DoD's strategic acquisition priorities, which will likely continue to reflect the need for innovation around leading-edge capabilities in areas like space, C5ISR, long-range precision fires, unmanned vehicles and artificial intelligence. To support these evolving mission requirements, the defense industry will need to ensure the industrial base is able to deliver technological advantage. This requires attracting world-class talent as well as the necessary financial capital to operate global industrial enterprises. Attracting these resources requires continued value creation through growth and return on invested capital improvements. But in a down budget environment, where is this growth to come from? While many will think organic growth is the best value-creating option (and often is), the answer also lies in augmenting a classic portfolio strategy with a systematic approach to transactions. Mergers and acquisitions are a proven growth accelerant for defense companies, and have generated superior shareholder returns and greater resilience for companies that have pursued it systematically. At first glance, this may simply seem like an obvious description of recent history. The aerospace and defense sector, after all, has seen rapid consolidation in the last five years, with deals worth $358 billion struck between 2015 and 2019, three times the total between 2010 and 2014. The problem for defense companies looking for more of the same is that this wave of consolidation now appears to have run its course. The combined market value of the top five defense hardware players is now more than four times that of the next five; so even as further mega-deals are theoretically possible, they will be increasingly difficult to execute, underscoring the value of programmatic M&A. Distinct from selective or organic deal-making approaches, programmatic M&A involves a company conducting two or more small or midsized deals per year, with an aggregate value greater than 15 percent of its market capitalization over five years, that align with their overall corporate strategy (which is hopefully linked to the “fast streams” of growth in the budget (see exhibit below)). These deals get choreographed around a specific business case, such as scaling or integrating vital digital capabilities, and are rooted in a disciplined appraisal of transactions. In the defense industry, programmatic M&A should be deployed against a strategy supported by the customer's need for innovation, lower costs and better mission outcomes for the war fighter. Our analysis shows that over the last decade, few defense companies took a programmatic approach to M&A. Those who did outperformed their peers in total shareholder returns by 10.4 percent. M&A was also an important key to resilience during the last defense spending downturn in 2007-2011: The top quintile of outperforming companies, as well as optimizing cash and flexing capex, used it as an opportunity to grow less cyclical parts of the business and build digital capabilities. Defense companies may be deterred by the current market environment, featuring stretched valuations, competition from institutional capital and a squeeze on mid-tier players. They may be cautious about the challenge of integrating smaller nondefense acquisitions into company processes and culture — a process that is easier to get wrong than right to be sure. The very complexity of these circumstances creates opportunities for bold players to differentiate themselves from their peers, align their strategies with national defense priorities and add significant value for shareholders. When done well, programmatic M&A can form a central pillar of their growth strategy. With a proactive approach to deal sourcing, holistic diligence, and in-house execution and integration expertise, companies can establish M&A as a critical capability and avoid the risks of reactive, one-off projects. In the challenging environment that confronts the defense industry today, those who act boldly will succeed in creating enduring businesses that can adapt to the evolving needs of the national defense. Eric Chewning and Frank Coleman III are partners at McKinsey and Company. Chewning previously served as chief of staff in the Office of the Secretary of Defense, and before that as the Pentagon's industrial chief. https://www.defensenews.com/opinion/commentary/2020/11/16/why-defense-firms-need-to-get-systematic-about-ma-big-and-small/