Approaches to the establishment and management of the defence procurement (acquisition) system. the example of the USA department of defense and the UK Ministry of Defence
Abstract
The article provides a comparative analysis of the establishment and operation of the systems of defence procurement (acquisition) for the United States` Department of Defense (DoD of the USA) and the United Kingdom's Ministry of Defenсe (MoD of the UK) by analysis of regulatory frameworks and approaches managing of the defence procurement (acquisition) systems. With the help of the structural-functional method, a hierarchy of key participants of the defence procurement system (acquisition), their functional interconnections, roles and functions are identified. By using a systematic approach, it was determined that the establishment and operation of a public procurement (acquisition) system for the defence needs of the USA and the UK is a complex process that is significantly affected by financial and time constraints, strategic vision and priorities for the development of the industry. The main principles for the most efficient organization and operation of the procurement (acquisition) systems of the DoD of the USA and the MoD of the UK are: the application of a procedural framework, the definition of rules and models for the interaction of participants, transparency, the presence of competition, professional development, periodic assessment and verification.
Downloads
References
Tkachenko N.B. (2007). Public Procurement Management: Monograph. Kyiv: Book. 296 p.
Pinkas G.I. (2008). Features of Classification of Public Procurement. “Achieving Higher Education - 2008”: Coll. of abstracts on the materials of the 4th International Scientific and Practical Conference "Achievement in Higher Education - 2008", vol. 4. Economics. Sofia: White City-BG, S. 88–91.
Zubar V.V. Formation of the mechanism of management of the public procurement system in Ukraine: diss. Cand. of sciences from the state. 25.00.02 / Zubar Vladislav Vladimirovich. H., 2010. 222 p.
Konashchuk N.E. Theoretical principles of public procurement / NE Konashuk // Economics and Entrepreneurship: Coll. Sciences. pr / M-in education and science of Ukraine, State Higher Educational Institution “Kyiv. nat. econom. them. Vadim Hetman ”. Kyiv: KNEU, 2017. № 39. P. 88–97.
Global Firepower 2019. Available from: https://www.globalfirepower.com/countries-listing.asp
Global Firepower 2019. Available from: https://www.globalfirepower.com/countries-listing-europe.asp
Defence Expenditure of NATO Countries (2012-2019). Available from: https://www.nato.int/nato_static_fl2014/assets/pdf/pdf_2019_06/20190625_PR2019-069-EN.pdf
Sudibye A.O. Experience of foreign countries in the field of public procurement management. The genesis of genius. 2017. № 3 (8). S. 64–65
Hunter, Mary Kate. ‟GW Law Library: Library Guides: U.S. Defense Procurement Resources: Historical Research”. Available from: law.gwu.libguides.com.
Kausal, Tony; Humily, Gertrud; Taylor, Trevor; Roller, Peter. A Comparison of the Defense Acquisition Systems of France, Great Britain, Germany and the United States. Defense Systems Management College Press, Fort Belvoir, Virginia, USA, 1999. 302 P. Available from: https://apps.dtic.mil/dtic/tr/fulltext/u2/a369794.pdf
Federal Acquisition Regulation. Available from: https://www.in.gov/indiana-ptac/files/FAR.pdf
Defense Federal Acquisition Regulation Supplement. Available from: https://www.acq.osd.mil/dpap/dars/dfarspgi/current/
Karanatova LG Rules and features of the organization of the state order in the USA. Business in law. 2010. № 3. S. 311–315.
The Competition in Contracting Act (CICA) Available from: https://interact.gsa.gov›blog›competition-contracting-act-cic
Centralized and decentralized system of state procurement. Procedures for checking the performance of the state. The theory and practice of public administration. The SIGMA program. Resource. center communities. org. "Group". K.: Publisher. House ‟KM Akad.”, 2002. 76 p. Available from: http://www.sigmaweb.org/publications/39610399.pdf
DAU. ‘Glossary of Defense Acquisition Acronyms and Terms’. Available from: https://www.dau.mil/glossary/Pages/Glossary.aspx#!term|A|26772
DoD Directive 7045.14. January 25. 2013. Incorporating Change 1, August 29, 2017, The Planning, Programming, Budgeting, and Execution (PPBE). Available from: https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/ dodd/704514p.pdf?ver=2017-08-29-132032-353
DoDD 5000.01. May 12. 2003. Incorporating Change 2, August 31, 2018. Available from: https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/dodd/500001p.pdf
DoDI 5000.02. January 7. 2015. Incorporating Change 4, August 10. 2017. Available from: https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/dodi/500002_dodi_2015.pdf
Martin Auger. Defence Procurement Organizations: A Global Comparison (Background Paper). Library of Parliament, Ottawa, Canada, 2014. 15 p. Available from: https://lop.parl.ca/staticfiles/PublicWebsite/Home/ResearchPublications/BackgroundPapers/PDF/2014-82-e.pdf
Office of the Under Secretary of Defense for Acquisition and Sustainment, “Welcome To A&S”. Available from: https://www.acq.osd.mil/index.html
DoD Organizational Structure. Available from: https://virginiaptap.org/wp-content/uploads/2018/03/DoD-Face-Chart-20180222.pdf
Office of the Under Secretary of Defense for Research and Engineering. Available from: https://www.cto.mil/enterprise/
Inspector General. Available from: https://www.dodig.mil/About/Mission/
Under Secretary of Defense (Comptroller). Available from: https://comptroller.defense.gov/About-OUSD-C/functionalStatements/
Office of General Counsel. Available from: https://www.dodig.mil/Offices/General-Counsel/
Defense Legal Services Agency. Available from: https://www.usgovernmentmanual.gov/Agency.aspx?EntityId=9S5YAQs+/ag=&ParentEId=M3vb5MwoEgA=&EType=F2blCKa+e1g=
EvElyn layton. The Defense Acquisition University: Training Professionals for the Acquisition Workforce 1992–2003. Defense Acquisition University Press, Fort Belvoir, Virginia, USA, 2007. 156 p. Available from: https://www.dau.edu/about/_layouts/15/WopiFrame.aspx?sourcedoc=/about/Documents/DAU%20History%20Book.pdf&action=default&DefaultItemOpen=1
Defense Acquisition University. About DAU. Available from: https://www.dau.edu/about
Office of the Assistant Secretary of the Navy for Research, Development & Acquisition. Available from: https://www.secnav.navy.mil/rda/Pages/default.aspx
Office of the Assistant Secretary of the Army (Acquisition, Logistics and Technology). Available from: https://www.army.mil/asaalt/#org-about
Air Force Acquisition. Available from: https://ww3.safaq.hq.af.mil/
Acquisition Directorate of United States Coast Guard. Available from: https://www.dcms.uscg.mil/Our-Organization/Assistant-Commandant-for-Acquisitions-CG-9/About-Us/
Defense Logistics Agency. Available from: https://www.dla.mil/AtaGlance/
Defense Advanced Research Projects Agency. Available from: https://www.darpa.mil/
National Security Agency. Available from: https://www.nsa.gov/
DAU. Defense Acquisition Guidebook. Available from: https://www.dau.mil/guidebooks/Shared%20Documents%20HTML/Chapter%201%20Program%20Management.aspx
DAU, ‘Glossary of Defense Acquisition Acronyms and Terms’. Available from: https://www.dau.mil/glossary/Pages/Glossary.aspx#!term|M|27937
DAU, ‘Glossary of Defense Acquisition Acronyms and Terms’. Available from: https://www.dau.mil/glossary/Pages/Glossary.aspx#!both|A|26773
Small Business Innovation Research та Small Business Technology Transfer. Available from: https://www.sbir.gov/about
Defence Acquisition: Seventh Report of Session 2012 - 13 / House of Commons: Defence Committee. Vol. 1: Report, Together with Formal Minutes, Oral and Written Evidence. London: The Stationery Office, 2013. P. 54.
Defence Equipment and Support Organization. Available from: https://www.gov.uk/government/organisations/defence-equipment-and-support
Ellinor R. MI5 is recruiting for purchases - ever wondered what it might be like to work where? // Supply management. 2008. May, 8
Mathieson S. The spy who procured from me: GCHQ seeks SMEs // The Information Daily.com. 2014. June, 21. Available from: http://dodigital.theinformationdaily.com/2014/06/21/the-spy-who-procured-from-me-gchq-seeks-smes
The Public Contracts Regulations 2015. Available from: http://www.legislation.gov.uk/uksi/2015/102/contents/made
The Public Contracts (Scotland) Regulations 2015. Available from: http://www.legislation.gov.uk/ssi/2015/446/contents/made
Directive 2014/24/EU of the European Parliament and of the Council of 26 February 2014 on public procurement and repealing Directive 2004/18/ECURL. Available from: https://eur-lex.europa.eu/legal-content/en/TXT/?uri=CELEX:32014L0024
2018 Procurement Thresholds. Available from: https://www.contracts.mod.uk/supplying-defenceojeu-procurement-thresholds-2018/
The Public Contracts (Amendment etc.) (EU Exit) Regulations 2019. Available from: https://www.legislation.gov.uk/ukdsi/2019/9780111176788/contents
The Defence and Security Public Contracts Regulations 2011. Available from: http://www.legislation.gov.uk/uksi/2011/1848/made
The Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2019. Available from: http://www.legislation.gov.uk/ukdsi/2019/9780111176764
The Single Source Contract (Amendment) (No. 2) Regulations 2018. Available from: http://www.legislation.gov.uk/uksi/2018/1350/made
Ministry of Defence, “An Overview: Single Source Procurement Framework”, June 2014. Available from: http://www.metasums.co.uk/uploads/asset_file/Overview%20%20-%20single%20source%20procurementof%20Framework.pdf
An introduction to defence procurement. Commons Library Briefing, 28 January 2019. Available from: https://researchbriefings.parliament.uk/ResearchBriefing/Summary/CBP-8486#fullreport
Bribery Act 2010. Available from: https://www.legislation.gov.uk/ukpga/2010/23/contents
Procurement at MOD. Available from: https://www.gov.uk/government/organisations/ministry-of-defence/about/procurement
Below Threshold Procurement under PCR 2015. MOD Commercial. An Essential Guide for Commercial Staff. September 2019. Available from: https://www.aof.mod.uk/aofcontent/tactical/toolkit/downloads/eupcr2015/eupcr2015_below_threshold_guide.pdf
Low Value Requirements < £1M. Available from: https://www.aof.mod.uk/aofcontent/tactical/toolkit/downloads/lovare/lovare_cps.pdf?zoom_highlight=%22procurement+of+low+value%22#search=%22procurement%20of%20low%20value%22
The defence equipment plan 2018. Available from: https://www.gov.uk/government/publications/the-defence-equipment-plan-2018
How Defence Works (2015), website of the Government of the UK. Available from: https://www.gov.uk/government/publications/how-defence-works-the-defence-operating-model
Acquisition System Operating Model (2017), Knowledge in Defence website of Ministry of Defence of UK www.aof.mod.uk. Available from: https://www.aof.mod.uk/aofcontent/asg/downloads/no-index/20170929-ASOM_ Master-Version_5.pdf
Small and Medium-sized Enterprise Action Plan. Available from: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/793101/20190405_SME_Action_Plan_2019.pdf
What Defence and Security Accelerator does. Available from: https://www.gov.uk/government/organisations/defence-and-security-accelerator
jHub. Available from: https://www.gov.uk/government/organisations/jhub-defence-innovation
Abstract views: 938 PDF Downloads: 668
Copyright (c) 2019 Olena Holota

This work is licensed under a Creative Commons Attribution 4.0 International License.
The authors agree with the following conditions:
1. Authors retain copyright and grant the journal right of first publication (Download agreement) with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this journal.
2. Authors have the right to complete individual additional agreements for the non-exclusive spreading of the journal’s published version of the work (for example, to post work in the electronic repository of the institution or to publish it as part of a monograph), with the reference to the first publication of the work in this journal.
3. Journal’s politics allows and encourages the placement on the Internet (for example, in the repositories of institutions, personal websites, SSRN, ResearchGate, MPRA, SSOAR, etc.) manuscript of the work by the authors, before and during the process of viewing it by this journal, because it can lead to a productive research discussion and positively affect the efficiency and dynamics of citing the published work (see The Effect of Open Access).