Pentagon Acquisition Chief Announces Rewards For Efficient Contracts

In order to curb government inefficiency and spur friendly competition the Pentagon’s acquisition chief, Ashton Carter, announced the launch of the Superior Supplier Incentive Program. Through this program Carter plans to recognize defense contractors that excel in the government’s performance tracking system. Suppliers will not receive more contracts, but the program will designate better performance payments and compensation.

Carter is working to decrease, “non-productive processes and bureaucracy.” Program managers will now have to show a strategy that involves reducing costs and waste. Carter says that the Department of Defense is currently discussing how to best decrease overall contracting program costs; one example is to give companies the money back that they save from making their deals more efficient.

 

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