Middle-Tier Defense Acquisitions: Rapid Prototyping and Fielding Requires Changes to Oversight and Development Approaches
GAO-23-105008
Published: Feb 07, 2023. Publicly Released: Feb 07, 2023.
Fast Facts
DOD is working to improve how fast it develops and delivers weapon systems. DOD has been using a streamlined process to do so—known as the middle tier of acquisitions or MTA pathway—which aims to deliver systems within 5 years from program start.
We found that certain MTA programs that we reviewed don't fully incorporate 4 key principles of product development, such as dropping less urgent requirements to stay on schedule. Following these principles could help programs develop and deliver weapon systems more quickly.
Our recommendations address these and other issues. DOD's weapons acquisitions are on our High Risk List.
This small uncrewed aircraft was developed under the MTA pathway.
Highlights
What GAO Found
The Department of Defense (DOD) intends to facilitate rapid prototyping and rapid fielding of new weapons and other resources the military has identified it needs. This approach, known as the middle tier of acquisition (MTA), seeks to provide capabilities within 2 to 5 years of an acquisition program's start. DOD established policies and guidance for managing the MTA pathway, but several factors hinder effective implementation and oversight.
For example, an unclear data framework and reporting guidance limit the visibility of MTA program structures, scope, and technical data. As a result, the oversight role of the Under Secretary of Defense for Acquisition and Sustainment with regard to the MTA pathway is diminished. GAO also found that DOD components provided the Under Secretary with inaccurate data. Together, these issues complicate DOD's efforts to conduct data-driven oversight of the MTA pathway.
MTA policies from the Air Force, Army, Navy, and Special Operations Command (SOCOM) each partially implemented at least some of the four key product development principles that leading companies rely on to innovate quickly and successfully.
Component Policies Reflect Some Leading Product Development Principles
As GAO's latest study of leading acquisition practices found in March 2022, leading companies rely on key principles for successful product development. These include attaining sound business cases, applying iterative design approaches, off-ramping capabilities when needed to prioritize schedule, and incorporating feedback from users of initial capabilities. If the military departments and other DOD components incorporated these leading principles more fully into their MTA policies, they would be better positioned to meet their users' needs with greater speed—the core goal of the MTA pathway.
Why GAO Did This Study
DOD is continually challenged to deliver capabilities to its warfighters at the pace of innovation. Section 804 of the National Defense Authorization Act for Fiscal Year 2016 required DOD to establish guidance for an alternative acquisition process, now referred to as MTA. Since GAO's June 2019 report on the use of MTA authorities, DOD has reported an increase in programs using the pathway, from 35 programs to nearly 100 in 2022.
In light of this increased use, GAO was asked to review DOD's oversight and execution of MTA programs. This report assesses the extent to which (1) DOD effectively implemented policies, guidance, and processes to provide DOD with reliable data for MTA oversight; and (2) military components' MTA policies and selected programs implement leading principles for product development.
GAO selected a non-generalizable sample of 15 active MTA programs. This selection includes MTA rapid prototyping and rapid fielding programs from the Air Force, Army, Navy, and SOCOM. DOD estimates these programs will require more than $12 billion in funding. GAO also reviewed DOD MTA policies, guidance, and program documentation; compared component MTA policies and programs to the principles; and interviewed DOD officials to corroborate its assessments.
Recommendations
GAO is making 26 recommendations aimed at improving MTA oversight and development through policy and process changes. DOD concurred with 25 recommendations and partially concurred with one.
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of Defense | The Secretary of Defense should ensure that the Under Secretary of Defense for Acquisition and Sustainment and President of the Defense Acquisition University together update the Adaptive Acquisition Framework Documentation Identification tool to accurately reflect MTA documentation requirements. (Recommendation 1) |
DOD concurred with this recommendation. In September 2023, officials from the office of the Under Secretary of Defense for Acquisition and Sustainment and the Defense Acquisition University reported that the Adaptive Acquisition Framework Documentation Identification tool was updated to reflect MTA documentation requirements. As of April 2024, we are coordinating with DOD officials to substantiate their progress.
|
| Department of the Air Force | The Secretary of Air Force should ensure that processes required under MTA policy for use of the MTA pathway are fully established and documented. (Recommendation 2) |
The Air Force concurred with our recommendation. In February 2024, the Air Force noted that it plans to update guidance to ensure processes required under MTA policy for use on the MTA pathway are fully established and documented by October 2024. We will continue to track Air Force's progress in this area.
|
| Department of the Army | The Secretary of the Army should ensure that processes required under MTA policy for use of the MTA pathway are fully established and documented. (Recommendation 3) |
The Army concurred with our recommendation. In February 2024, the Army noted that it plans to update guidance to ensure processes required under MTA policy for use on the MTA pathway are fully established and documented by July 2024. We will continue to track Army's progress in this area.
|
| Department of the Navy | The Secretary of the Navy should ensure that processes required under MTA policy for use of the MTA pathway are fully established and documented. (Recommendation 4) |
The Navy concurred with our recommendation. In February 2024, the Navy noted that it plans to update guidance to ensure processes required under MTA policy for use on the MTA pathway are fully established and documented by July 2024. We will continue to track Navy's progress in this area.
|
| Department of Defense | The Secretary of Defense should ensure that the Commander of Special Operations Command fully establishes and documents processes required under MTA policy for use of the MTA pathway. (Recommendation 5) |
DOD concurred with our recommendation. In October 2023, DOD reported that the Special Operations Command (SOCOM) updated its acquisition policy to establish and document processes under MTA policy for use of the pathway. As of April 2024, we are coordinating with DOD officials in our review of SOCOM's documentation to substantiate this progress.
|
| Department of Defense | The Secretary of Defense should ensure that the Under Secretary of Defense for Acquisition and Sustainment improve its MTA data framework and reporting guidance to better capture program structure and changes in MTA program scope. (Recommendation 6) |
DOD partially concurred with our recommendation. In September 2023, officials from the Office of the Under Secretary of Defense for Acquisition and Sustainment (USD(A&S)) stated that they reviewed the MTA data metrics and identified several new metrics to track the health of MTA programs. OUSD(A&S) officials reported that they are working to update MTA reporting guidance. We will continue to track OUSD(A&S)'s progress in this area.
|
| Department of the Air Force | The Secretary of the Air Force should identify and implement additional actions needed to improve the reliability of MTA program data the Air Force submits to the Under Secretary of Defense for Acquisition and Sustainment. (Recommendation 7) |
The Air Force concurred with our recommendation. The Air Force noted that in January 2023, it also identified MTA data issues. The Air Force subsequently implemented a process to conduct additional data reliability checks to improve the quality of data submitted to the Under Secretary of Defense for Acquisition and Sustainment. In October 2023 and February 2024, the Air Force also issued guidance that provided an overview of MTA data submission process. These actions meet the intent of this recommendation.
|
| Department of the Army | The Secretary of the Army should identify and implement additional actions needed to improve the reliability of MTA program data the Army submits to the Under Secretary of Defense for Acquisition and Sustainment. (Recommendation 8) |
The Army concurred with our recommendation. In February 2024, the Army noted that it plans to implement additional guidance by July 2024 to address the reliability of data submitted to the Under Secretary of Defense for Acquisition and Sustainment over an MTA program's lifecycle. We will continue to track Army's progress in this area.
|
| Department of the Navy | The Secretary of the Navy should identify and implement additional actions needed to improve the reliability of MTA program data the Navy submits to the Under Secretary of Defense for Acquisition and Sustainment. (Recommendation 9) |
The Navy concurred with our recommendation. In February 2024, the Navy noted that it plans to implement measures to address data reliability, including updating guidance to include roles and responsibilities, data entry and the validation process. The Navy is working with the Office of the Under Secretary of Defense for Acquisition and Sustainment to address the Navy's challenges with data reliability by July 2024. We will continue to track Navy's progress in this area.
|
| Department of Defense | The Secretary of Defense should ensure that the Commander of Special Operations Command identify and implement additional actions needed to improve the reliability of MTA program data the Command submits to the Under Secretary of Defense for Acquisition and Sustainment. (Recommendation 10) |
DOD concurred with our recommendation. In October 2023, DOD reported that officials from Special Operations Command (SOCOM) are working with officials from the Office of the Under Secretary of Defense for Acquisition and Sustainment (OUSD(A&S)) to replace SOCOM specific data tools with a new solution that will allow direct integration of data into the existing data repository of OUSDA&S, the Defense Acquisition Visibility Environment. SOCOM officials expect to complete these efforts by September 2024. We will continue to track SOCOM's progress in this area.
|
| Department of the Air Force | The Secretary of the Air Force should update component MTA policies to fully implement the following principle throughout development: attaining a sound business case. (Recommendation 11) |
The Air Force concurred with our recommendation. In February 2024, the Air Force noted that it plans to update guidance to implement the attainment of a sound business case throughout development. The Air Force noted that it plans to complete these updates by October 2024. We will continue to track Air Force's progress in this area.
|
| Department of the Air Force | The Secretary of the Air Force should update component MTA policies to fully implement the following principle throughout development: applying iterative design approaches. (Recommendation 12) |
The Air Force concurred with our recommendation. In February 2024, the Air Force noted that it plans to update guidance to implement the application of iterative design approaches throughout development. The Air Force noted that it plans to complete these updates by October 2024. We will continue to track Air Force's progress in this area.
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| Department of the Air Force | The Secretary of the Air Force should update component MTA policies to fully implement the following principle throughout development: off-ramping capabilities when needed to maintain schedule. (Recommendation 13) |
The Air Force concurred with our recommendation. In February 2024, the Air Force noted that it plans to update guidance to implement the ability to off-ramp capabilities when needed to maintain schedule throughout development. The Air Force noted that it plans to complete these updates by October 2024. We will continue to track Air Force's progress in this area.
|
| Department of the Air Force | The Secretary of the Air Force should update component MTA policies to fully implement the following principle throughout development: incorporating feedback from users of initial capabilities. (Recommendation 14) |
The Air Force concurred with our recommendation. In February 2024, the Air Force noted that it plans to update guidance to implement the incorporation of feedback from users of initial capabilities throughout development. The Air Force noted that it plans to complete these updates by October 2024. We will continue to track Air Force's progress in this area.
|
| Department of the Army | The Secretary of the Army should update component MTA policies to fully implement the following principle throughout development: attaining a sound business case. (Recommendation 15) |
The Army concurred with our recommendation. In February 2024, the Army noted that it plans to update guidance to implement the attainment of a sound business case throughout development. The Army noted that it plans to complete these updates by July 2024. We will continue to track Army's progress in this area.
|
| Department of the Army | The Secretary of the Army should update component MTA policies to fully implement the following principle throughout development: applying iterative design approaches. (Recommendation 16) |
The Army concurred with our recommendation. In February 2024, the Army noted that it plans to update guidance to implement the application of iterative design approaches throughout development. The Army noted that it plans to complete these updates by July 2024. We will continue to track Army's progress in this area.
|
| Department of the Army | The Secretary of the Army should update component MTA policies to fully implement the following principle throughout development: off-ramping capabilities when needed to maintain schedule. (Recommendation 17) |
The Army concurred with our recommendation. In February 2024, the Army noted that it plans to update guidance to implement the ability to off-ramp capabilities when needed to maintain schedule throughout development. The Army noted that it plans to complete these updates by July 2024. We will continue to track Army's progress in this area.
|
| Department of the Army | The Secretary of the Army should update component MTA policies to fully implement the following principle throughout development: incorporating feedback from users of initial capabilities. (Recommendation 18) |
The Army concurred with our recommendation. In February 2024, the Army noted that it plans to update guidance to implement the incorporation of feedback from users of initial capabilities throughout development. The Army noted that it plans to complete these updates by July 2024. We will continue to track Army's progress in this area.
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| Department of the Navy | The Secretary of Navy should update component MTA policies to fully implement the following principle throughout development: attaining a sound business case. (Recommendation 19) |
The Navy concurred with our recommendation. In February 2024, the Navy noted that it plans to update guidance to implement the attainment of a sound business case throughout development. The Navy noted that it plans to complete these updates by July 2024. We will continue to track Navy's progress in this area.
|
| Department of the Navy | The Secretary of Navy should update component MTA policies to fully implement the following principle throughout development: applying iterative design approaches. (Recommendation 20) |
The Navy concurred with our recommendation. In February 2024, the Navy noted that it plans to update guidance to implement the application of iterative design approaches throughout development. The Navy noted that it plans to complete these updates by July 2024. We will continue to track Navy's progress in this area.
|
| Department of the Navy | The Secretary of Navy should update component MTA policies to fully implement the following principle throughout development: off-ramping capabilities when needed to maintain schedule. (Recommendation 21) |
The Navy concurred with our recommendation. In August 2023, the Navy noted that it plans to update guidance to implement the ability to off-ramp capabilities when needed to maintain schedule throughout development. We will continue to track Navy's progress in this area.
|
| Department of the Navy | The Secretary of Navy should update component MTA policies to fully implement the following principle throughout development: incorporating feedback from users of initial capabilities. (Recommendation 22) |
The Navy concurred with our recommendation. In February 2024, the Navy noted that it plans to develop guidance to implement the incorporation of feedback from users of initial capabilities throughout development. The Navy noted that it plans to complete these updates by July 2024. We will continue to track Navy's progress in this area.
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| Department of Defense | The Secretary of Defense should ensure that the Commander of Special Operations Command update component MTA policies to fully implement the following principle throughout development: attaining a sound business case. (Recommendation 23) |
DOD concurred with our recommendation. In October 2023, DOD reported that the Special Operations Command (SOCOM) updated its acquisition policy to establish and document processes under MTA policy for use of the pathway. As of April 2024, we are coordinating with DOD officials in our review of SOCOM's documentation to substantiate this progress.
|
| Department of Defense | The Secretary of Defense should ensure that the Commander of Special Operations Command update component MTA policies to fully implement the following principle throughout development: applying iterative design approaches. (Recommendation 24) |
DOD concurred with our recommendation. In October 2023, DOD reported that the Special Operations Command (SOCOM) updated its acquisition policy to establish and document processes under MTA policy for use of the pathway. As of April 2024, we are coordinating with DOD officials in our review of SOCOM's documentation to substantiate this progress.
|
| Department of Defense | The Secretary of Defense should ensure that the Commander of Special Operations Command update component MTA policies to fully implement the following principle throughout development: off-ramping capabilities when needed to maintain schedule. (Recommendation 25) |
DOD concurred with our recommendation. In October 2023, DOD reported that the Special Operations Command (SOCOM) updated its acquisition policy to establish and document processes under MTA policy for use of the pathway. As of April 2024, we are coordinating with DOD officials in our review of SOCOM's documentation to substantiate this progress.
|
| Department of Defense | The Secretary of Defense should ensure that the Commander of Special Operations Command update component MTA policies to fully implement the following principle throughout development: incorporating feedback from users of initial capabilities. (Recommendation 26) |
DOD concurred with our recommendation. In October 2023, DOD reported that the Special Operations Command (SOCOM) updated its acquisition policy to establish and document processes under MTA policy for use of the pathway. As of April 2024, we are coordinating with DOD officials in our review of SOCOM's documentation to substantiate this progress.
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