On Friday, Defense Secretary Pete Hegseth announced a significant shift in how the Pentagon approaches weapon procurement, revealing plans to restructure the Defense Acquisition System, now dubbed the Combat Acquisition System. The goal is to help the U.S. military access new technologies more swiftly.
Speaking to military officials and industry leaders at the National Military University in Washington, D.C., Hegseth laid out his vision for reforming procurement processes. “We need our acquisitions and industry to be as strong and fast as our warfighters,” he stated. The Combat Acquisition System aims to streamline schedules, enhance the defense industrial base, foster competition, and empower acquisition personnel to take calculated risks.
“We’re leaving behind outdated processes and embracing a more agile approach,” he continued. “We believe we can deliver results within a year, a stark contrast to the three to eight years it typically took.”
The reforms are a response to what officials from the Trump administration consider an overly slow procurement process, attributing the delays to bureaucracy and unbalanced incentives that hinder the military’s ability to acquire new technologies promptly.
This restructuring follows an executive order from President Trump issued in April, titled “Modernizing Defense Equipment and Accelerating Innovation in the Defense Industrial Base.” The order emphasizes the need to deliver advanced capabilities at a quicker pace.
“Sometimes we are too slow to react,” Hegseth noted about the arms purchasing process, highlighting that their current actions mark a new beginning in acquiring and delivering military capabilities. The focus will be on speed, flexibility, competition, and taking calculated risks.
A leaked six-page draft memo titled “Transforming the Combat Acquisition System” outlines changes that are intended to be implemented within a two-year timeframe. “Speed to capability delivery is now our guiding principle,” it remarks. “Every review and process must prove how it could expedite capabilities that align with warfighter needs.”
The plan seeks to evolve the current Program Executive Office into a new structure called the Portfolio Acquisition Executive (PAE), which would oversee major weapons programs without additional approval layers. Hegseth emphasized that the PAE will be accountable for its performance, possessing the authority to act swiftly without lengthy approval processes.
To improve tracking, he mentioned a new “portfolio scorecard” aimed at monitoring the time it takes to provide weapons to those who need them. Moreover, Hegseth disclosed that the Pentagon would form a Wartime Production Directorate to enhance the delivery of crucial capabilities, focusing on managing production priorities effectively.
One key update is that the Pentagon will no longer be restricted to prime contractors, addressing the issue of “vendor lock.” “We’re talking about meaningful choice where quality and speed matter, and prices can drop,” he said.
The memo indicates that “at least two authorized sources for critical program elements will be maintained during initial production, barring any waivers by service acquisition executives.”
Additionally, the proposal aims to streamline solicitations by making commercial products the standard choice and including contract incentives for timely deliveries while penalizing delays.
Hegseth remarked, “Our first priority is to buy solutions driven by industry that suit our needs quicker. This could mean accepting an 85 percent solution initially and fine-tuning it over time.”
The plan also includes the elimination of the Joint Capabilities Integrated Development System (JCIDS), a process for defining joint military capability requirements. Hegseth criticized JCIDS as a slow and inefficient system, stating that it’s time for a change.
In addressing technology delivery times, he also committed to expediting foreign military sales to allies and partners, emphasizing their preference for American products over others. “They’re looking for American, but they don’t want to wait a decade,” Hegseth pointed out.
Hegseth has set a tight schedule for executing these reforms, requiring the Pentagon’s acquisition chief to provide guidance on this overhaul within 45 days, with each service expected to submit their implementation plans within 60 days.
He stressed the importance of defense contractors investing in their capabilities rather than offloading costs onto taxpayers. “This is a chance for growth for those who collaborate with us,” he said. “However, for industries hesitant about taking risks with the military, their future might lie elsewhere. We plan to reinvigorate competition among defense contracts.”
