Gen. Herbert “Hawk” Carlisle (USAF, Ret.), president of the National Defense Industrial Association, details the latest Defense Department report on their supply chain, and why keeping the mid-tier contractors afloat is key to national security.
Last week, the Department of Defense released a review of the Defense Industrial Base. The report found that funding fluctuations create a “bullwhip effect” across the whole defense supply chain, and that money needs to be secured for the middle and low tier defense contractors. Gen. Herbert “Hawk” Carlisle (USAF, Ret.), president of the National Defense Industrial Association says that keeping this group of contractors afloat is incredibly important. “There’s a thing called the Defense Production Act Title 3 that allows you to secure your supply chain and that innovative spirit in the middle and lower tier. That’s what the Department of Defense is talking about doing; making sure we support those companies so they are not driven out of business, especially in critical areas where their things, capabilities, or raw materials are necessary for the defense industry,” Carlisle told Government Matters. “If they are driven out of business and we are relying on a less than friendly country to supply them to us, then that’s a threat to national security.”