Key Takeaways
As Elon Musk gets to work at the newly formed Department of Government Efficiency (DOGE), defense manufacturers see an opportunity.
Among them, General Atomics and L3Harris Technologies have lobbied Musk to cut red tape, which they claim slows down the Pentagon’s acquisition process and incurs unnecessary costs for contractors.
In a letter to Musk, General Atomics CEO Linden Blue highlighted “policies, procedures, and organizational oddities that hinder timely delivery of critical capabilities to warfighters.”
Blue argued that poor government policy and “sluggish bureaucratic decision-making” have hindered American defense contractors, who he claimed have lost business to foreign competitors as a result.
A similar letter penned by L3Harris CEO Christopher E. Kubasik slammed government inefficiency and called for an overhaul of the military procurement model:
“The first Trump administration laid the groundwork for breaking through the Department of Defense bureaucracy,” he stated. “Now, the DOGE can finish this vitally important job,” Kubasik said.
“Today’s national defense ecosystem is not optimized to build the modern “Arsenal of Democracy 2.0” that we urgently need to deter and defeat China, Iran and other rogue nations and non-state actors,” Kubasik added.
In his letter, Blue outlined three areas for reform that could speed up defense sales and reduce the bureaucratic burden on companies like General Atomics.
His first recommendation is to accelerate the Pentagon’s larger system acquisitions by setting time limits on DoD milestones.
Blue also called for the government to establish greater accountability within the U.S. Foreign Military Sales system, which he said is currently fragmented across the Department of State, multiple DoD agencies, and the military services.
Finally, he suggested that the government could issue a new interpretation of the Missile Technology Control Regime (MTCR) that would make it easier to export drones.
The letter from Kubasik to DOGE leaders outlines four key recommendations for improving defense acquisition efficiency.
Firstly, it suggested eliminating “duplicative” cost accounting standards that create excess paperwork for contractors.
Kubasik also called for the government to establish a centralized contracting office to enhance interoperability and streamline procurement.
To accelerate acquisition timelines, Kubasik also recommended that the government reform cost and pricing data requirements. He suggested that delays could be reduced by limiting contract award protests.