Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014 1

Systems Engineering Research Center

(SERC)

Alan Shaffer Principal Deputy Assistant Secretary of Defense

for Research and Engineering

04 December 2014

2 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

The Defense Strategic Guidance

• Ensure that we can confront and deter or

defeat aggression from any adversary –

anytime, anywhere.

• Protect key investments in technology and

new capabilities.

• Invest in the future.

• We will be smaller and leaner, but more agile, flexible, ready and

technologically advanced.

• We are rebalancing our global posture and presence to emphasize the Asia-

Pacific region.

• We are building partnerships and strengthening existing alliances and

partnerships.

3 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

DoD at Strategic Crossroads

Deputy Defense

Secretary Bob Work Council on Foreign Relations

Sep. 30, 2014

“Today, potential challengers are investing heavily in weapons to defeat our traditional ways of operating and our most advanced systems … Our technological dominance is no longer assured.” Compared to the closest competitors, DoD is under-investing in new weapon systems.

“What’s more, research and development funding is not a variable cost,” the deputy defense secretary said. “No matter how many weapons or systems of a particular type we intend to have in our inventory, one or one thousand, we still have to do the R&D.” DoD Research, Development Initiative, Nov. 21, 2014

DoD Technology Superiority Is At Risk

4 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

Strategic Guidance

Available at www.DefenseInnovationMarketplace.mil

“Our technological superiority is not assured, and in fact it is being challenged very

effectively right now.” -Frank Kendall, USD(AT&L) 19 Sec 2014

5 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

Defense R&E Strategy

1. Mitigate current and anticipated threat

capabilities

- Cyber - Electronic Warfare

- Counter Space - Counter-WMD

- Missile Defense

2. Affordably enable new or extended

capabilities in existing military systems

- Systems Engineering - Modeling and Simulation

- Capability Prototyping - Developmental Test & Evaluation

- Interoperability - Power & Energy

3. Develop technology surprise through

science and engineering

- Autonomy - Data Analytics

- Human Systems - Hypersonics

- Quantum Systems - Basic Sciences

Technology Needs

• Protection & Sustainment

• Advanced Machine Intelligence

• Anti-Access/Area Denial (A2/AD)

Technology to offset manpower

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4 DEC 2014

Eliminate Unproductive Processes and Bureaucracy

• Emphasize Acquisition Executive, Program Executive Office and Program Manager responsibility, authority, and accountability

• Reduce cycle times while ensuring sound investments

• Streamline documentation requirements and staff reviews

Promote Effective Competition

• Create and maintain competitive environments

• Improve technology search and outreach in global markets

Improve Tradecraft in Acquisition of Services

• Increase small business participation, including more effective use of market research

• Strengthen contract management outside the normal acquisition chain

• Improve requirements definition

• Improve the effectiveness and productivity of contracted engineering and technical services

Improve the Professionalism of the Total Acquisition Workforce

• Establish higher standards for key leadership positions

• Establish stronger professional qualification requirements for all acquisition specialties

• Strengthen organic engineering capabilities

• Ensure the DoD leadership for development programs is technically qualified to manage R&D activities

• Improve our leaders’ ability to understand and mitigate technical risk

• Increase DoD support for Science, Technology, Engineering and Mathematics (STEM) education

Continue Strengthening Our Culture of Cost Consciousness, Professionalism, and Technical Excellence

Better Buying Power 3.0 (Draft)

Achieving Dominant Capabilities Through Technical Excellence and Innovation

Achieve Affordable Programs

• Continue to set and enforce affordability caps

Achieve Dominant Capabilities While Controlling Lifecycle Costs

• Strengthen and expand “should cost” based cost management

• Build stronger partnerships between the acquisition, requirements, and intelligence communities

• Anticipate and plan for responsive and emerging threats

• Institutionalize stronger DoD level Long Range R&D Planning

Incentivize Productivity in Industry and Government

• Align profitability more tightly with Department goals

• Employ appropriate contract types, but increase the use of incentive type contracts

• Expand the superior supplier incentive program across DoD

• Increase effective use of Performance-Based Logistics

• Remove barriers to commercial technology utilization

• Improve the return on investment in DoD laboratories

• Increase the productivity of IR&D and CR&D

Incentivize Innovation in Industry and Government

• Increase the use of prototyping and experimentation

• Emphasize technology insertion and refresh in program planning

• Use Modular Open Systems Architecture to stimulate innovation

• Increase the return on Small Business Innovation Research (SBIR)

• Provide draft technical requirements to industry early and engage industry in funded concept definition to support requirements definition

• Provide clear “best value” definitions so industry can propose and DoD can choose wisely

7 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

Affordability

• Systems Engineering Impacts All Elements of

Affordability

• Engineered Resilient Systems – Model Based

Design

• Interoperability – Build Through Open Systems

• Prototyping

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4 DEC 2014

Engineered Resilient Systems Timeline and Growth

“We need to continually move forward with designing an acquisition system that responds

more efficiently, effectively, and quickly to the needs of troops and commanders in the field.”

Secretary of Defense Chuck Hagel - 3 April 2013

2014-2015 ERS DoD Joint Development Team Expansion, Focus on Products & Tools and Systems Design ERS DoD Generalized Capability

ROTORCRAFT SHIPS

2010-2011 ERS Priority Steering Council (PSC) formed Theoretical Foundations & Experiments USAF AIRFRAME

ANALYSIS

TRADESPACE TECHNOLOGY SURVEY & STUDY

ARCHITECTURE DESIGN

KNOWLEDGE HUB

8

TRADESPACE ANALYTICS

2012-2013 PSC Transition to ERS Community of Interest Demonstrated Proofs of Concepts, Acquisition Application Architecture, Tools & Infrastructure Development

9 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

Engineered Resilient Systems Application to Ships

Design Experiment

Point Design

Process

(spiral design)

Set-Based

Design Process

• Traditional AoA Process

• Few ship design points developed

• Difficulty answering complex cost vs. capability questions

• New AoA Process • Design space exploration approach

employed.

• 22,000 alternative designs

generated.

• Provided a robust design space exploration - used to perform cost vs. capability analysis

• Informed Navy’s decision on the next amphibious assault ship

• Design space exploration and set-

based design methods used to

perform a robust exploration of ship

and mission system alternatives

• Over 19 million ship designs

developed using ERS Cloud

Computing Environment

• Cost versus capability analysis used to

determine the affordable capability

space for a future surface combatant.

LX(R)

Surface Combatant

Demonstrated the ability to design a

ship through the application of

tradespace-informed set-based

design.

Point Design

Set-Based Design Traditional AoA New AoA

Set-based

design approach

for mission

systems

Design space

exploration

approach for

ship designs

10 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

Use Modular Open Systems Architecture to Stimulate Innovation

• Challenges

– DoD is challenged to affordably address emerging threats, component

obsolescence, and loss of critical suppliers, and to conduct planned

technology insertion/upgrades into tightly coupled, highly integrated

systems

– DoD seeks to drive innovative technology into platforms at the subsystem

level through competition – enabling affordable capability refresh and

engaging the largest possible competitive base

– Standardized, documented modular interfaces enable “plug-and-play”

insertion of new/upgraded capabilities on existing platforms – but current

standards are of limited utility in supporting definition of modular interfaces

in complex military systems

• BBP 3.0 Opportunity

– Support incorporation of modular design features in new DoD designs

– Develop common technical standards to support specification and interface

control of modular interfaces

11 Distribution Statement A: Approved for public release; distribution is unlimited SERC

4 DEC 2014

Modular Open Systems

Considerations in Development

Leverage and Exercise Data Rights

• Assess current and needed data rights

• Be a better customer: confirm that data

rights restrictions are correct and assert

data rights

• Use government purpose rights (GPR) for

next competition

• Create alternatives

• Inject MOSA through technical insertions

• Consider alternative integrations concepts

• Ensure incentives align with desired behaviors

• Reward reuse

Explore Business Architectures and Sound

Competition Approaches

Establish an Environment for Change

• Be clear about intent to compete/recompete

• Establish a flexible contracting approach

• Incentivize good behavior among contributing

contractors

Focus Systems Engineering for Openness

• Develop common architectures across a

product line or across related product families

• Functionally decompose legacy capabilities

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4 DEC 2014

Summary

• Systems Engineering Is Taking An Increasingly Significant

Role In DoD Acquisition

• Spans Life Cycle From Concept Definition To Sustainment

• Systems Engineering Should Focus On Cost – Capability

Trade

– How Much Is Enough?