[HN Gopher] DoD Increases Efforts to Bring Small Businesses into...
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       DoD Increases Efforts to Bring Small Businesses into Defense
       Industrial Base
        
       Author : jdmark
       Score  : 11 points
       Date   : 2023-05-14 19:21 UTC (3 hours ago)
        
 (HTM) web link (www.defense.gov)
 (TXT) w3m dump (www.defense.gov)
        
       | andrewstuart wrote:
       | Won't succeed.
       | 
       | Risk averse purchasers always tend towards buying from big
       | business.
        
       | ganoushoreilly wrote:
       | This is just a farming exercise for existing primes to either
       | take you on and absorb you or steal your IP and crush you.
       | 
       | So many of the _small_ business and other protected status
       | contracts end up with shell companies and do a dis-service to the
       | intent of the programs.  "
       | 
       | Instead we need to break up primes and manage contract needs more
       | realistically.
        
         | MilStdJunkie wrote:
         | Yeah, it's an open secret that apex is just a way for the
         | primes to squeeze out another drop from their current
         | suppliers. Who themselves are basically stuck with the prime
         | they're servicing because of the surreal[1] business and
         | product requirements.
         | 
         | The IIP is, so far as I can tell, just plain exploitive. A good
         | way to hire techs for 15 bucks an hour. But I haven't been
         | under them directly.
         | 
         | I am gonna switch hats here, which is weird, because I am
         | almost always on the side of suppliers and maintainers in this
         | frickin' monkey farm. But devil's advocate. You might ask
         | yourself, "what kind of small supplier is going to sign up for
         | some cockamamie requirement that forces them to change all
         | their business systems for a single customer?" The answer to
         | that question is, "a desperate one", and maybe sometimes
         | following that, "a supplier that maybe isn't really that good".
         | Porque no los dos?
         | 
         | I'm specifically thinking of a anti-IED-thing that got
         | attention around 2005. Some poor Marine started buying this off
         | the shelf widget to save his and his buddies' lives. A big
         | prime got wind of this, screamed and yelled, and immediately
         | sourced their version of this thing from some supplier who
         | turned out to be a Turkish-Russian-Singapore manufacturer. The
         | DoD slapped the Prime playfully on their taint, then the prime
         | turned right around and literally BOXED THE RUSSIAN BOX INSIDE
         | THEIR BOX. Ship it! I swear I am not kidding. And yeah, it
         | didn't work either. Meanwhile the original widget maker had
         | gone on to other things - something to do with cell tech, I
         | think. Good call.
         | 
         | Another small supplier, right around the same time frame, again
         | bought directly by desperate Marines, this time it lasted for
         | maybe a few months before a prime went up the Hill and cried
         | hard enough for it to get pulled out of the line. The supplier
         | got hoovered up for some cash. Well, very neat tool, right? Now
         | it's got some capital to grow! Do you know how that tool's
         | doing today, after making the prime well in excess of a billion
         | dollars? It's EXACTLY THE SAME. The prime bought this cool
         | doodad, and then they sat on it for nigh-on twenty years,
         | sucking down that cash, still selling the same box of parts
         | kludged up by hacker kids twenty years ago. Now with a few
         | extra semi trucks of paperwork.
         | 
         | Anyway. The ones that go the distance with the primes maybe are
         | not the creme de la creme, is what I'm saying. If you're lucky
         | you'll get a tiny crew of burnout cases and retirees. If you're
         | unlucky you get the Matrioshka Box of ITAR Violations and 20
         | year old software bugs. And if you're REALLY unlucky the prime
         | buys you and you get to watch your product die slow from a
         | prime latched onto its arteries.
         | 
         | [1] I'm not sure I can describe some of these requirements
         | without sounding like a crazy person to those outside the
         | industry. Stuff like switching your entire ERP - for s single
         | contract - a single _five year_ contract. Anyway, crazy. So let
         | 's leave it there: folks who are inside, you know what I'm
         | saying; folks outside, take my word for it, it's absolutely
         | crazy.
        
         | kjellsbells wrote:
         | I definitely see the shell company problem, eg some tiny
         | company that only exists to check a box and pass through the
         | contract to a big prime...but what would you propose here? A
         | two or three person company is going to be crushed by the DoD.
         | Just think what it takes to get, say, FedRAMP approved or write
         | up your STIGs or to get the magic FIPS certification. The
         | asymmetry between DoD and a smallco is so vast that I feel the
         | latter has no choice but to seek a big brother who can act as
         | prime. But I agree, that is very risky for the smallco.
        
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       (page generated 2023-05-14 23:01 UTC)