Course Description

The course objective is to explore ways to improve (from a public policy perspective) the efficiency and effectiveness with which the government goes about doing its business (of acquiring over $300 Billion of goods and services). As an “example case”, this course will look at the public/private interrelationships (the so-called “military/industrial complex”) from the perspective of national security, public policy, industrial management and politics in the early 21^st century environment. Topics covered include: military requirements; budgeting; Congress; science and technology; weapons development, production and support (management and costs); competition; public/private partnerships; privatization; small business innovation; role of non-profits; government oversight; the press; the defense industry (structure, conduct, performance – actual and desired); and international considerations (military, industrial and trade). The course will be primarily case-study based with selected complimentary readings (including two short, classic books).

Course Requirements

The course will typically focus on the analysis and discussion of particular cases during half of our meetings. During the other half of the meeting, we will discuss assigned readings and their applicability to the cases being discussed. We will also frequently refer to the material in Kuhn and Morrison.

There will be a final examination; very strong emphasis on class participation (reflecting mastery of the readings, analytical thinking - - particularly with regard to the cases - - and grasp of the subject matter) and a term paper.

You should prepare for the case discussions each week by identifying, and being prepared to lead the class discussion, on: 1) the issues raised, 2) the relevant theory and practice (from readings, experience, etc.), and 3) your recommended actions and rationale. (You are encouraged to discuss these items with one or more of your classmates prior to the class discussion of the case.)

The term paper will be due at the beginning of class 12 (April 27^th). It should be written with a professional frame of mind and attitude. Therefore, it should be clearly written, well documented with references and statistical information where appropriate and presented in a typewritten (double-spaced) format. It should not exceed 15 pages (excluding appendix and endnotes). Remember that a good, short paper takes longer and is harder to do than a long paper - - but it will be read by policy makers. If the paper is late, there will be a reduction in the grade for each day it has not been received by the instructor. (In the “real world”, late material is often simply of no value.)

For the term paper, each student should select a significant national security issue relevant to the course content. Once you have selected a viable topic, you should develop a policy paper by first clearly stating “the issue”, then describing the background of the issue or subject upon which you intend to focus. Subsequently, you should then draw out the various options for addressing the issue and moving forward successfully. Lastly, develop a recommended course of action and defend it.

During class 7 (March 16^th) each student will be required to give a brief oral overview of their term paper (less than 3 minutes each). This should focus on the problem to be addressed and the approach that will be taken to “solve” it.

As each of you think about papers you would like to write, I encourage you to talk with me (or e-mail me) about them before you get too far down stream. The paper topics are due by the 5^th class (March 2^nd). Moreover, students are encouraged to discuss topics or any other issues or questions related to this course with me. My nominal office hours are Tuesdays, 1:00 - 3:00 p.m., please make an appt. by phone or by e-mail.

The grade for the course will be calculated as follows:

Final Exam 35

Term Paper 40

Class Participation 25

Readings

You should purchase the two paperback books (see below), as we will assign most of the material in these. They are true classics, and worth owning. The case studies can be purchased at the Copy Center located in 1406 Van Munching Hall. Finally, the additional readings will be available on line at http://www.cpppe.umd.edu/Gansler/puaf698b.html. The readings are also available in 2211 Van Munching Hall if you wish to make a copy.

Thomas Kuhn, “The Structure of Scientific Revolutions”, University of Chicago Press, 1962

Elting E. Morrison “Men, Machines, and Modern Times”, MIT Press 1966

Schedule of Classes and Weekly Assignments

Class #1 January 30:

· Government/Industry Interfaces (Overview)

· Discussion of the Appropriate Role of the Government in Research and Development

Readings: - “DARPA and High Definition Systems: For

Home and War” case

Class #2 February 6:

· Discussion of the “desired” industrial structure (from

Government and Industry perspectives)

Readings: - “Industrial Policy and Competition in the U.S. Navy” case

- “The Defense Industrial Structure in the 21^st Century” (speech to

AIAA, January 27, 2000)

- Kuhn - Chapters I-IV (Pages 1-42)

Class #3 February 13:

· Discussion of Competition in the environment of a monopsony buyer and two or three oligopoly suppliers

Readings: - “The Great Engine War” case

- “Competition” (Pages 179-189 from “Affording Defense”)

- Kuhn - Chapters V – VIII (Pages 43-91)

Class #4 February 20:

· Discussion of outsourcing, privatization, and government/industry partnerships and/or competitions

· PAPER TOPIC DUE

Readings: - “Contracting for Management Services” case

- “Moving Toward Market-Based Government: The Changing Role

of Government as the Provider”(IBM)

- “Award-Winning Acquisition” - - on drug delivery, housing

privatization, and household goods moving (as examples) (Pages

10-15, 28-30, 36- 38 from “Government Executives” Procurement

Review)

- “U.S.A.’s Military Base Turning Into Slums”, Andrea Stone, USA

Today, September 6, 2001

- “Lessons Learned from Capital A-76 Protests”, Shirl Nelson,

Acquisition Solutions, December 2001.

- Kuhn - Chapters IX – XI (Pages 92-143)

Class #5 February 27:

· Discussion of the Government’s “Requirements” process for new systems or services (include costs vs. benefits)

Readings: - “Trident: Setting the Requirements” case

- “Arsenal Ship” Military Analysis Network

- “Arsenal Ship Lessons Learned Report”

- “Plans for a Small Ship Pose Big Questions for the U.S. Navy,”

Greg Jaffe, Wall Street Journal, July 11, 2001

- Kuhn - Chapters XII – XIII (Pages 144-173)

Class #6 March 6:

· Discussion of overcoming tradition (achieving change)

Readings: - “Multiple Launch Rocket System: On time and Under

Budget” case

- “Unmanned Aerial Vehicles” case

- Laser Weapons (video in class)

- “Look, No Pilot” The Economist, November 11, 2000

- “Langley Controls ISR Aircraft – Over Iraq,” Newport News Daily Press, December 12, 2003

- “Disruptive Technologies: Catching the Wave” HBR, January -

February 1999

- Morrison – Chapter II (Pages 17-44)

Class #7 March 13:

· Discussion of the Congress’ role and impact

· Brief (<3min.) Student oral presentations on their term paper

Readings: - “Aspin and Defense Budgets” case

- “Buying the Beretta (A) and (B)” case

- “Congress and the Weapons Acquisition Process”

(Chapter VII, Pages 114-151 of “Arming America”)

- “Pentagon Choking on Congressional Pork” Wilson, National

Journal, February 16, 2002

- “Alaskan Ventures Land Big Technology Contract” Washington

Post, June 14, 2001

- Morrison - Chapter III (Pages 45-66)

Class #8 March 27:

· Discussion of the Government buying commercial items and services

Readings: - “Commercial Utility Cargo Vehicle” case

- “Buying commercial Items” (Pages 189 – 195 from

“Affording Defense”)

- “The Wired Warrior” (Pages 184-185 from Fortune,

Dec. 21, 1998)

- “Silicon Valley techies Suit up Army with Sleeker gear” USA

Today, February 7, 2002

- “What Makes the Army’s Land Warrior Strategy

Unique” (Article, Sept. 24, 1999)

- Land Warrior Video (in class)

- “Land Warrior: Managing A Military Program Like a Commercial

Company” (Article, March – April 2002)

Class #9 April 3:

· Discussion of Introducing Modern Logistics (“Just in Time” vs. “Just in Case”)

Readings: - “Reorganizing the Defense Logistics Agency” case

- “Managing The Real-Time Supply Chain” article by Boyson and

Corsi (“Supply Chain Mgmt. Review”, Jan/Feb 2001

Pages 45 – 50)

- “Roadblock” (Article from Government Executive)

- “Modernizing Defense Logistics” (Article from the

Washington Post, Nov. 27, 2000)

- “Logistics in Kosovo” (Article, Sept. 24, 1999)

- “Logistics Technology 2010 Implications of the DoD” Logistics

Management Institute, December 2000

- “ ‘Quantum Leap’ In Wartime Logistics”, Federal Computer

Week, April 1, 2003

Class #10 April 10:

· Discussion of the Press’ role, impact, and “impartiality”

Readings: - “Breaking the Bad News: DIVAD” case

- Article on press coverage of National Missile Defense

- “60 Minutes” coverage of Illinois Power Company

(video in class)

- Kuhn – Postscript (pages 174-210)

- Morrison – Chapters IV and V (pages 67-97)

Class #11 April 17:

· Discussion of Ethics (from Government and Industry perspectives)

Readings: - “Tony Santino” case

- “The Space Shuttle Challenger” case

- “Waste, Fraud, and Abuse” (Pages 195-207 from

“Affording Defense”)

- “U.S. Alleges Firm Sold Unsafe Parts” Philadelphia Inquirer,

April 12, 2002

Class #12 April 24:

· Discussion of International aspects of government/industry relations in defense

· PAPER DUE

Readings: - “Rolling Airframe Missile” case

- International Defense Procurement: Challenge and

Opportunities” (speech to “Financial Times

Conference”, London, July 20, 2000)

- “The Transatlantic Defence Market and “Fortress

America’: Obstacles and Opportunities”, Gordon

Adams, November 22, 2000

Class #13 May 1:

· Discussion of 21^st Century National Security Needs and the implications thereof

Readings: - “Revolutions in Military Affairs” (Article from

JFQ, Spring 1994)

- “The Revolution in Military Affairs” (Chapter 3

from “Battlefield of the Future: 21^st Century

Warfare Issues”)

- “Military Revolution”, M. Williams & A. Madden, Red

Herring, August 1, 2001

- “A Revolution in Warfare” Dao & Revkin, N.Y.

Times, April 16, 2002

- Morrison - Chapter VI (Pages 98-122)

- “Definitions of Transformation”

Class #14 May 8:

· Discussion of Leadership for Change (how one person can make a difference)

· Human Resource Challenge

· Course Review

Readings: - “Joint Direct Attack Munitions” case

- “Army Flying Machine” case

- “A Vision of the Government as a World-Class Buyer: Major

Procurement Issues for the Coming Decade” J. Gansler

- “A Drag on our National Security”

- “The Loud Crisis” (p70 & Top half of 71)

Class #15 DATE TO BE DETERMINED (tentatively May 15):

· FINAL EXAM