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Gloria Pualani, Corporate Director

Socio-Economic Business Programs/Government Relations

Northrop Grumman Corporation

Vicky Harper Hall, Manager, SEBP Integrated Systems Sector

Northrop Grumman Corporation

John Shannon, Manager, SEBP Space Technology Northrop Grumman Corporation

Date August 5, 2008

Time 10:45 – 11:45

Small Business Contracting

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Northrop Grumman Today• First tier defense contractor

– $32B sales (FY 07)– Over 120,000 employees– Operations in all 50 states and 25 countries– Largest military shipbuilder– Largest federal information technology provider– Premier aircraft, space and missile defense contractor– Premier airborne radar and electronic warfare systems provider

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Northrop Grumman

Radar Systems

C4ISR

Electronic Warfare

Naval & Marine Systems

Navigation & Guidance

Military Space

Government Systems

Enterprise Systems and Security

IT / Network Outsourcing

Defense & Intelligence

Federal, State/Local & Commercial

ISR, Homeland Security & Health

ISR Satellite Systems

Missile Defense Satellite Systems

MILSATCOM Systems

Environmental & Space Science Satellite

Systems

Software Defined Radios

Directed Energy Systems

Strategic Space Systems

Command, Control & Communications

Intelligence, Surveillance & Reconnaissance

Missile Systems

Ron Sugar

ELECTRONICSYSTEMS

INFORMATION

TECHNOLOGY

MISSION

SYSTEMS

SPACETECHNOLOG

Y

CHAIRMAN & CEO

Naval Systems Integrator

Surface Combatants

Expeditionary Warfare Ships

Auxiliary Ships

Marine Composite Technology

Coast Guard Cutters

Commercial Ships

Nuclear Aircraft Carriers

Nuclear Submarines

Fleet Maintenance

Aircraft Carrier Overhaul & Refueling

SHIPBUILDING

Northrop Grumman Corporation

TECHNICAL

SERVICES

Wes Bush

PRESIDENT & COO

INTEGRATED

SYSTEMS

Large Scale Systems Integration

C4ISR

Unmanned Systems

Airborne Ground Surveillance / C2

Naval BMC2

Global / Theater Strike Systems

Electronic Combat Operations

O P E R A T I N G S E C T O R S

ElectronicsInformation & Services Aerospace Shipbuilding

Systems Support

Base & Infrastructure Support

Range OperationsTraining & Simulations

Technical &Operational Support

Live, Virtual &Constructive Domains

Life Cycle Optimization

Performance Based LogisticsLead Support Integrator (LSI)

A Portfolio Positioned for the Future

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Gloria PualaniCorporate DirectorSocio-Economic

Business Programs

ELECTRONIC SYSTEMSValerie Narron

SBLO

SPACE TECHNOLOGYJohn Shannon

SBLO

SHIPBUILDING GCJoan Branson

SBLO

INFO. TECHNOLOGYJoni Blizzard

SBLO

INTEGRATED SYSTEMSVicky Harper-Hall

SBLO

MISSION SYSTEMSSharon Whittaker

SBLO

CORPORATE MANAGERSocio-Eco. Bus. Programs

Gwen Tillman

CORPORATE PROJECT MGR.Mentor-Protégé, SBIR, HBCUs/MIs

Tizoc Loza

SHIP BUILDING NNCharlie Mason

SBLO

TECHNOLOGY SERVICESFrank Beacham

SBLO

Socio-Economic Business Programs Organization

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Small Business Liaison Officers

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Approaches to Reach the Small Business Community

• Targeted outreach– Commodity-specific

• Product or service

• Could be tied to a program

– Small business category-specific• Service-disabled veterans

• Native Americans

• Women

• Minorities

– Regional or geopolitical specific– Internal outreach

• Procurement/technical/program management/contracts

– External outreach• Support or co-sponsor outreach hosted by government agencies and trade associations

• Annual marketplace

• Small Business Innovation Research/Small Business Technology Transfer Program (SBIR/STTR)

• Mentor-protégé program

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Small Business Advocacy and Influence

• Executive visibility and direction– Annual policy statement issued by chairman and CEO

• Flow down to executive team• Provides areas of focus and outlines his commitment to the program

– Small business performance is reviewed semi-annually at executive level; monthly at business unit level

• Continuous interface with procurement decision makers– Supply chain leadership council

• Reviews enterprise-wide procurement strategy and performance

– Procurement strategy council • Corporate SBLO is a member of council• Provides opportunities to influence small business utilization based on commodity forecasts

and trends

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Advocacy and Influence (Cont)

• Collaboration with procurement strategy council to leverage small business participation

• SBLOs are members of all value proposition commodity teams that have procurement opportunities

• SBLO’s role: develop enterprise-wide small business sourcing strategy by commodity

• Insure strategy implementation

• Training and awareness– Annual small business training is provided to all organizations that can

influence purchasing decisions• Engineering• Program management• Quality assurance• Procurement

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The Importance of Small Business as a Strategic Partner

• Flexible and agile• Innovative• Critical to Northrop Grumman’s strategy for winning new business• Produces quality products that are competitively priced with on time delivery • Important teaming partners

– Small business as prime contractor / Northrop Grumman as subcontractor

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Where to Get Help• Socio-Economic Business Program Offices

– Can provide information and materials to potential suppliers– https://oasis.northgrum.com

• Small Business Administration (SBA)– www.sba.gov

• Minority Business Development Agency (MBDA)– www.mbda.gov

• National Contract Management Association– www.ncmahq.org

• Regional Minority Supplier Development (MSDC) Councils • Industry associations i.e., Aerospace Industries Association (AIA)

– www.aia-aerospace.org

• Business associations i.e., National Minority Supplier Development Council (NMSDC) – www.nmsdcus.org

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Contact Information

• For background information about Northrop Grumman Corporation:– www.northropgrumman.com

• Small business program contacts

– https://oasis.northgrum.com

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Summary

Northrop Grumman’s Procurement Strategy Is Designed to Insure That Capable Small Businesses Receive the Maximum Practicable Subcontracting Opportunities On

Our Programs

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