US Department of Defense Contract Spending and the Supporting ...
Defense Contract Trends: U.S. Department of Defense Contract Spending and the Supporting Industrial Base May 6, 2011 Defense-Industrial Initiatives Group Center for Strategic & International Studies 202-775-3183 www.csis.org/diig [email protected]
Methodology •
The Federal Procurement Data System (FPDS) was the primary source for this report.
• FPDS data are constantly being updated, including those for back years. As a consequence, the dollar totals for a given year can vary between reports.
• Contract classifications sometimes differ between FPDS and individual companies, resulting in some contracts that a company considers as services being labeled as products by FPDS and vice versa. • Reporting regulations only require that unclassified contracts be included in FPDS. • Supplementals are not separately classified in FPDS. • All dollar figures are in constant 2010 dollars.
• Data available at: http://csis.org/publication/defense-contract-trends
2
Top Line DoD Contract Spending, 1990-2010 70%
$700
604
Constant 2010 Billions
$600 $500
499 446 457
$400 $300
287 295
396
281 254
373 354 356 338 340 334 334 352
224
215
257 296
194
40%
235 206
30%
195 179 241 198 180 185 181 178 185
20%
$200 $100
60% 50%
213
400
664
548 524 535
456 421
640
158 163 140 142 132 156 158 155 153 157 166 177
205
250 264
300 319
390 383 368 354
$0
Percentage of DoD Outlays
$800
10%
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year
DoD Contract Spending (4.3% 21-year CAGR)
Non-Contract DoD Outlays (0.2% 21-year CAGR)
Contracts as a percent of DoD Outlays Disclaimer: This chart was originally printed with an error resulting in a higher percentage line. This error has been corrected. Note: Dollar figures may not sum to total due to rounding. Source: DD350 and FPDS; CSIS analysis
3
Organization of the Presentation
• Overall DoD Contract Spending o Products
o Services o R&D
• Contract Spending by DoD Component o Army o Navy o Air Force o Other DoD
• DoD Contract Characteristics o Competition o Funding Mechanism o Vehicle
• The Industrial Base Supporting DoD o Top 20 Companies o Market share of small, medium and large companies
4
DoD Contract Spending for Products, 1990-2010 $400
60%
$350
Constant 2010 Billions
$300 40% $250 $200
30%
$150 20% 167 196
$100 $50
86
87
69
69
60
67
69
65
62
65
76
79
91
175 166
138 149 110 117
$0
% of DoD Contract Spending
50%
10%
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Products (3.3% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
% Products
5
DoD Contract Spending for Services, 1990-2010 $400
60%
$350
Constant 2010 Billions
$300 40% $250
$200
30%
$150 150
161 161
20%
126 140
$100
% of DoD Contract Spending
50%
104 109 120
$50 49
54
50
51
53
62
64
62
64
67
67
71
10%
82
$0
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Services (6.1% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
% Services
6
DoD Contract Spending for R&D, 1990-2010 $400
60%
$350
Constant 2010 Billions
$300 40% $250 $200
30%
$150 20% $100
% of DoD Contract Spending
50%
10% $50
$0
23
21
22
22
19
27
26
28
26
23
23
25
31
34
36
40
42
44
42
43
41
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year R&D (3.0% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% R&D
7
DoD Contract Spending by Category in Percentage Terms, 1990-2010 60%
Percentage of DoD Contract Spending
50%
40%
30%
20%
10%
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year % Products
% R&D
% Services
Note: The “unlabeled” category, which accounts for less than 0.1% of DoD contract spending, was excluded from this chart. Source: DD350 and FPDS; CSIS analysis
8
DoD Contract Spending by Component, 1990-2010 $450 $400 71
$350
72
Constant 2010 billions
62
$300 59
$250 42
$150 $100 $50 $0
35 20
24
43
49
58
52
20 37 49
20 40 47
20
26
21
19
20
22
49
50
49
43
42
47
49
52
49
47
49
50
50
51
38 43
23
19
39
36
37
34
34
31
35
'90
'91
'92
'93
'94
'95 '96
98
46
49
55
'97 '98
'99
'00
'01
'02
95
65
88
80
69
57
42
67
88 72
66
67
62
56
40
41
65
64 73
45 61
$200
65
74
105 106
75
86
'03
'04 '05
129
'06 '07
154 146 140
'08
'09
'10
Fiscal Year
Source: DD350 and FPDS; CSIS analysis
Army (7.0% 21-year CAGR)
Navy (2.1% 21-year CAGR)
Air Force (2.0% 21-year CAGR)
Other DOD (6.7% 21-year CAGR) 9
DoD spending on Products by Component, 1990-2010 $200
$180
43
$160
45
Constant 2010 billions
37
$140
42
26 41
$120
37
$100
23
25
24
$80 $60
14 21
19
17 26
11 16
$40
31
27
12 19
26
$20
24
12
12
22
24
20
12 19 18
14
11
23
19
20
11
11
17
17
20
22
23
22
22
19
20
'01
'02
17
15
14
10
12
14
14
13
15
17
'90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
42
36
32
75
23
24
45
42 31
25
52
28
29
28 28
19
$0
30
15
25
32
29
31
'03
'04
46
44
'05
'06
57
'07
'08
60
57
'09
'10
Fiscal Year Army Products (5.7% 21-year CAGR)
Navy Products (1.5% 21-year CAGR)
Air Force Products (0.7% 21-year CAGR)
Other DOD Products (5.5% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
10
DoD spending on Services by Component, 1990-2010 $200 $180 $160 Constant 2010 billions
21
$140
22
19
$120 18
$100
15
$80
12
$60 $40 $20 $0
26
4 13
5 15
7 13
6 12
6 13
7
8
16
15 22
6 15 21
8
15
6 16
16
22
21
22
7
8
15 20
25
18
20 29
15 23 26
26
29 26
28
27
36
34
33 31
26
28
27 24
19
19
17
17
19
22
13
15
13
15
15
17
18
20
21
22
23
24
28
'90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
'01
'02
37
'03
46
50
50
'04
'05
'06
62
69
75
74
'07
'08
'09
'10
Fiscal Year
Army Services (9.1% 21-year CAGR)
Navy Services (2.8% 21-year CAGR)
Air Force Services (3.8% 21-year CAGR)
Other DOD Services (9.5% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
11
DoD spending on R&D by Component, 1990-2010 $200 $180
Constant 2010 billions
$160 $140 $120 $100 $80 $60
4 10 12 8
4 11 12 9
5 11
4 11
6 12
6 12
6 14
6 13
15
16
16
13
13
9
11
11
11
10
12 9
'03
'04
'05
'06
'07
'08
'09
'10
$40 $20
$0
2 9 7 5
2 9 5 5
2 8 6 6
2 9 6 5
1 7 6 5
2 11 8 7
1 10 8 6
1 15 6 6
2 10 8 6
2 10 6 5
3 9 6 5
3 10 7 6
4 10 10 7
'90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
'01
'02
Fiscal Year Army R&D (3.4% 21-year CAGR)
Navy R&D (2.7% 21-year CAGR)
Air Force R&D (1.9% 21-year CAGR)
Other DOD R&D (6.5% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
12
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50 36
$0
37
34
34
31
35
39
41
40
42
46
49
55
75
86
105 106
129
Percentage of DoD Contract Spending
Constant 2010 Billions
Army Contract Spending, 1990-2010
154 146 140 5%
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Army (7.0% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Army of total DoD contract spending 13
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50 58
52
49
47
43
52
49
47
49
50
50
51
57
66
69
72
80
88
98
95
88
$0
Percentage of DoD Contract Spending
Constant 2010 Billions
Navy Contract Spending, 1990-2010
5%
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Navy (2.1% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Navy of total DoD contract spending 14
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50
Percentage of DoD Contract Spending
Constant 2010 Billions
Air Force Contract Spending, 1990-2010
5%
43
49
37
40
38
49
50
49
43
42
47
49
56
65
62
61
67
73
64
67
65
$0
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Air Force (2.0% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Air Force of total DoD contract spending 15
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50 $0
20
24
20
20
20
19
21
19
20
22
23
26
35
42
45
59
65
62
71
72
74
Percentage of DoD Contract Spending
Constnat 2010 Billions
Other DoD Contract Spending, 1990-2010
5%
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Other DOD (6.7% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Other DoD 16
DoD Contract Spending by Component in Percentage Terms, 1990-2010 45%
Percentage of DoD Contract Spending
40% 35% 30%
25% 20% 15%
10% 5% 0% '90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
'01
'02
'03
'04
'05
'06
'07
'08
'09
'10
Fiscal Year % Army of total DoD contract spending
% Navy of total DoD contract spending
% Air Force of total DoD contract spending
% Other DoD
Source: DD350 and FPDS; CSIS analysis
17
Army Spending by Category, 1990-2010
$180 $160
11
Constant 2010 Billions
$140
10
9
11
$120
69
$100
9
11
75
74
62 9
$80
50
8
50
$60 $40 $20
5
5
13
15
19
$0
17
6
5
13
15
15
14
5
15
10
7 17
12
6
6
18
20
14
14
6
5
5
21
22
23
13
15
17
6 24
7
46
37
75
28
46 19
20
29
44
57
60
57
31
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Army Products (5.7% 21-year CAGR)
Army Services (9.1% 21-year CAGR)
Army R&D (3.4% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
18
Navy Spending by Category, 1990-2010
$180 $160
Constant 2010 Billions
$140 $120 $100 13
$80 16
$60
12 7
$40 $20
13
12
16
19
31
5
19
27
6
6
17
17
26
24
8
6 22 19
18
23
8
6
8
6
6
22
21
20
22
21
19
20
20
22
7
24
22
26
26
33
36
31
10 27
22
12
15
34
28
24
23
28
32
31
36
42
52
45
42
$0 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Navy Products (1.5% 21-year CAGR)
Navy Services (2.8% 21-year CAGR)
Navy R&D (2.7% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
19
Air Force Spending by Category, 1990-2010
$180 $160
Constant 2010Billions
$140
$120 $100 $80
$60
10
11
25
23
30
29
10
$40
9 9 13
15
$20 22
26
8
9
7
13
13
13
16
19
19
11
10
16
16
22
24
15
10
15
16
20
18
9
10
16
16
22
24
10
18
11
12
11 26
28
12
14
13
26
29
27
26
25
25
29
15
17
29
24
28
32
$0 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10
Fiscal Year Air Force Products (0.7% 21-year CAGR)
Air Force Services (4.1% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
Air Force R&D (1.9% 21-year CAGR)
20
Other DoD Spending by Category, 1990-2010
$180 $160
Constant 2010 Billions
$140 $120 $100 $80 $60
5
$40 $20 $0
2 4
14
2 5
17
2 7
2 6
1 6
2 7
1 8
1 6
2 7
2 8
3 6
3 8
11
12
12
11
12
12
11
11
14
15
4 12
19
4
4
15
15
23
25
18
37
4 20
41
6
6
6
6
22
21
26
43
45
42
19
37
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Other DOD Products (5.5% 21-year CAGR)
Other DOD Services (9.5% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
Other DOD R&D (6.5% 21-year CAGR)
21
Defense Contract Spending by Competition, 1999-2010 $450
Competition Category (11-year CAGR)
$400
5
7
4 2
$350
Unlabelled (-15.1%)
Constant 2010 Billions
3 146
4
$300
110 11
46
103 8
103
9
34 71
10
19
53
Competition with single offer (20.4%)
22
15
8
67
54
38
15
61
$50
55
81
20
66
$100
No Competition (7.9%)
120
13
$200 $150
130
131
13
$250
134
83
83
'00
'01
98
115
126
'03
'04
152
160
168
184
188
180
Competition with multiple offers (10.4%)
$0 '99
'02
'05
'06
'07
'08
'09
'10
Fiscal Year Source: DD350 and FPDS; CSIS analysis
22
Defense Contract Spending by Funding Mechanism, 1999-2010 $450 $400
6
$350
Constant 2010 Billions
5 8
$300
13 1 11 10
$250 10 7
$200 $150
7 6 52
8 0 7 51
8 6 0 58 0
0 71
0
11 11
33
23 4 16
17
Unlabelled (-29.0%)
104
Combination (n/a)
16 93
91
93
1
45
0 6 15
98 87
Time And Materials (9.3%)
83
53 241
$100 $50
15
1
5
Funding Mechanism Category (11-year CAGR)
190
92
100
111
'99
'00
'01
158
158
'03
'04 '05 Fiscal Year
199
214
227
241
Cost Reimbursement (7.3%) Fixed Price (10.1%)
130
$0 '02
'06
'07
'08
'09
Note: The “other” category, which totals less than 20 million a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
'10
23
Defense Contract Spending by Contract Vehicle, 1999-2010 $450 $400 12
$350 14
Constant 2010 Billions
14
$300
$150
5 10
45
40
$100 $50
98
99
102
116
'99
'00
'01
'02
9
9
7
5
4
3
3
6
146 135
11
58
50
131
128
136
'03
'04
'05
Indefinite Delivery Vehicle
FSS or other (6.9%) Multiple Award IDC (18.3%) Single Award IDC (12.8%) Purchase Order (13.7%)
90
79
56
120
119
17
7 14
6 13
11
132
10
$200
51
152
26
22
45
37
12
$250
11
34
33
13
11
Contract Vehicle Category (11-year CAGR)
11
10
144
155
'06
'07
10
171
172
'08
'09
Definitive Contract (4.6%)
154
$0 '10
Fiscal Year
Note: The “unlabelled IDV” category, which totals less than 3 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
24
Top 20 DoD Contractors,1999 and 2009 Rank Top 20 Contractors in 1999 1 Lockheed Martin 2 Boeing 3 Raytheon 4 General Dynamics 5 Northrop Grumman Subtotal for Top 5 6 United Technologies 7 General Electric 8 Textron 9 TRW 10 SAIC 11 Litton 12 United Defense Industries 13 Computer Sciences Corp. 14 ITT 15 Halliburton 16 Humana 17 Dyncorp 18 Bechtel 19 Honeywell 20 Anthem Total for Top 20 Total for DoD *Joint Venture Source: DD350 and FPDS; CSIS analysis
Contract Value in 2010 Millions 15,980 12,180 7,900 5,560 3,740 45,360 2,910 1,930 1,810 1,760 1,730 1,530 1,190 1,140 860 830 790 700 690 680 650 64,570 156,520
Top 20 Contractors in 2009 Lockheed Martin Boeing Northrop Grumman General Dynamics Raytheon BAE Systems L3 Communications United Technologies Oshkosh KBR SAIC ITT Humana General Electric Computer Sciences Corp. Health Net TriWest Healthcare Bell-Boeing Joint Project Office* MacAndrews & Forbes Holdings Bechtel
Contract Value in 2010 Millions 31,900 21,020 19,180 16,000 14,930 103,040 7,230 7,050 6,790 6,210 4,660 4,540 3,800 3,460 3,030 2,980 2,860 2,700 2,570 2,460 2,440 165,830 383,420 25
Top 20 DoD Contractors for Products,1999 and 2009 Rank Top 20 Contractors in 1999 1 Boeing 2 Lockheed Martin 3 General Dynamics 4 Raytheon 5 United Technologies Subtotal for Top 5 6 Northrop Grumman 7 General Electric 8 Litton 9 Textron 10 Honeywell 11 United Defense Industries 12 Longbow LLC 13 Avondale Industries 14 Javelin Joint Venture* 15 ATK 16 Stewart & Stevenson 17 Westinghouse 18 Motorola 19 Newport News Shipbuilding 20 Dell Total for Top 20 Total for Products *Joint Venture Source: DD350 and FPDS; CSIS analysis
Contract Value in 2010 Millions 7,080 6,930 4,330 4,010 2,050 24,390 1,990 1,750 1,440 1,430 680 670 540 530 500 450 410 380 340 340 330 36,150 65,350
Top 20 Contractors in 2009 Lockheed Martin Boeing General Dynamics Raytheon Northrop Grumman Oshkosh United Technologies BAE Systems L3 Communications General Electric Bell-Boeing Joint Project Office* MacAndrews & Forbes Holdings Agility Shell Oil BP ITT Bahrain Petroleum Company ATK Textron Navistar
Contract Value in 2010 Millions 16,480 11,720 11,220 8,540 8,360 56,320 6,210 5,000 4,570 2,580 2,570 2,570 2,460 1,980 1,910 1,900 1,790 1,770 1,620 1,470 1,330 96,030 177,070 26
Top 20 DoD Contractors for Services,1999 and 2009 Contract Value in 2010 Rank Top 20 Contractors in 1999 Millions 1 Lockheed Martin 3,220 2 Raytheon 2,930 3 Boeing 2,090 4 SAIC 1,280 5 Computer Sciences Corp. 1,000 Subtotal for Top 5 10,510 6 TRW 840 7 Halliburton 830 8 Humana 790 9 General Dynamics 750 10 Dyncorp 700 11 Bechtel 690 12 Anthem 650 13 Northrop Grumman 580 14 TriWest Healthcare 530 15 Foundation Health Federal Services 500 16 Jacobs Engineering Group 470 17 ITT 450 18 Fedex 440 19 Booz Allen Hamilton 420 20 Ocean Shipholdings 410 Total for Top 20 19,580 Total for Services 67,660 *Joint Venture Source: DD350 and FPDS; CSIS analysis
Top 20 Contractors in 2009 Lockheed Martin Northrop Grumman KBR L3 Communications Humana General Dynamics Raytheon Health Net SAIC Computer Sciences Corp. TriWest Healthcare Boeing BAE Systems URS ITT Booz Allen Hamilton Hensel Phelps Hewlett-Packard CACI Bechtel
Contract Value in 2010 Millions 7,040 6,050 4,660 3,710 3,460 24,920 3,370 3,130 2,860 2,840 2,800 2,700 2,650 2,120 1,810 1,670 1,540 1,420 1,410 1,390 1,270 57,890 162,460 27
Top 20 DoD Contractors for R&D, 1999 and 2009 Rank Top 20 Contractors in 1999 1 Lockheed Martin 2 Boeing 3 Northrop Grumman 4 Raytheon 5 TRW Subtotal for Top 5 6 United Technologies 7 MITRE 8 United Defense Industries 9 General Dynamics 10 Aerospace Corp. 11 SAIC 12 MIT 13 Johns Hopkins APL 14 ITT 15 General Electric 16 Computer Sciences Corp. 17 Nichols Research 18 Textron 19 GenCorp 20 Orbital Sciences Total for Top 20 Total for R&D *Joint Venture Source: DD350 and FPDS; CSIS analysis
Contract Value in 2010 Millions 5,830 3,020 1,160 960 750 11,720 720 530 510 480 470 460 450 360 180 180 150 140 120 120 120 16,700 23,500
Top 20 Contractors in 2009 Lockheed Martin Boeing Northrop Grumman Raytheon MIT General Dynamics United Technologies Aerospace Corp. SAIC L3 Communications Booz Allen Hamilton BAE Systems Johns Hopkins APL GE Rolls-Royce Fighter Engine Team* MITRE ITT JVYS* Battelle CACI Computer Sciences Corp.
Contract Value in 2010 Millions 8,380 6,650 4,710 3,270 1,760 24,780 1,410 1,080 800 790 760 720 530 420 410 330 320 290 260 250 180 33,340 43,880 28
DoD Contract Spending by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (10.8%)
73.6 205.7
Medium Contractors (7.0%)
56.3 110.9
Small Contractors (9.6%)
26.7 66.8
$0
$50
$100
$150
$200
$250
Constant 2010 Billions 1999 2009 Source: DD350 and FPDS; CSIS analysis
29
DoD Contract Spending for Products by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (11.4%)
37.2 109.1
Medium Contractors (8.1%)
20.0 43.7
Small Contractors (11.6%)
8.1 24.3
$0
$20
$40
$60
$80
$100
$120
Constant 2010 Billions
1999 Products Source: DD350 and FPDS; CSIS analysis
2009 Products 30
DoD Contract Spending for Services by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (11.7%)
21.5 64.8
Medium Contractors (7.0%)
30.7 60.0
Small Contractors (9.3%)
15.5 37.6
$0
$20
$40
$60
$80
$100
$120
Constant 2010 Billions
1999 Services Source: DD350 and FPDS; CSIS analysis
2009 Services 31
DoD Contract Spending for R&D by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (7.8%)
15.3 32.6
Medium Contractors (2.3%)
5.1 6.4
Small Contractors (4.8%)
3.1 4.9
$0
$20
$40
$60
$80
$100
$120
Constant 2010 Billions
1999 R&D Source: DD350 and FPDS; CSIS analysis
2009 R&D 32
Questions or Comments? Please email David Berteau at: [email protected]
Download the data tables at: http://csis.org/publication/defense-contract-trends
33
About CSIS At a time of new global opportunities and challenges, the Center for Strategic and International Studies (CSIS) provides strategic insights and policy solutions to decisionmakers in government, international institutions, the private sector, and civil society. A bipartisan, nonprofit organization headquartered in Washington, DC, CSIS conducts research and analysis and develops policy initiatives that look into the future and anticipate change. Founded by David M. Abshire and Admiral Arleigh Burke at the height of the Cold War, CSIS was dedicated to finding ways for America to sustain its prominence and prosperity as a force for good in the world. Since 1962, CSIS has grown to become one of the world’s preeminent international policy institutions, with more than 220 full-time staff and a large network of affiliated scholars focused on defense and security, regional stability, and transnational challenges ranging from energy and climate to global development and economic integration. Former U.S. senator Sam Nunn became chairman of the CSIS Board of Trustees in 1999, and John J. Hamre has led CSIS as its president and chief executive officer since April 2000 CSIS does not take specific policy positions; accordingly, all views expressed in this presentation should be understood to be solely those of the author(s).
34
Methodology •
The Federal Procurement Data System (FPDS) was the primary source for this report.
• FPDS data are constantly being updated, including those for back years. As a consequence, the dollar totals for a given year can vary between reports.
• Contract classifications sometimes differ between FPDS and individual companies, resulting in some contracts that a company considers as services being labeled as products by FPDS and vice versa. • Reporting regulations only require that unclassified contracts be included in FPDS. • Supplementals are not separately classified in FPDS. • All dollar figures are in constant 2010 dollars.
• Data available at: http://csis.org/publication/defense-contract-trends
2
Top Line DoD Contract Spending, 1990-2010 70%
$700
604
Constant 2010 Billions
$600 $500
499 446 457
$400 $300
287 295
396
281 254
373 354 356 338 340 334 334 352
224
215
257 296
194
40%
235 206
30%
195 179 241 198 180 185 181 178 185
20%
$200 $100
60% 50%
213
400
664
548 524 535
456 421
640
158 163 140 142 132 156 158 155 153 157 166 177
205
250 264
300 319
390 383 368 354
$0
Percentage of DoD Outlays
$800
10%
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year
DoD Contract Spending (4.3% 21-year CAGR)
Non-Contract DoD Outlays (0.2% 21-year CAGR)
Contracts as a percent of DoD Outlays Disclaimer: This chart was originally printed with an error resulting in a higher percentage line. This error has been corrected. Note: Dollar figures may not sum to total due to rounding. Source: DD350 and FPDS; CSIS analysis
3
Organization of the Presentation
• Overall DoD Contract Spending o Products
o Services o R&D
• Contract Spending by DoD Component o Army o Navy o Air Force o Other DoD
• DoD Contract Characteristics o Competition o Funding Mechanism o Vehicle
• The Industrial Base Supporting DoD o Top 20 Companies o Market share of small, medium and large companies
4
DoD Contract Spending for Products, 1990-2010 $400
60%
$350
Constant 2010 Billions
$300 40% $250 $200
30%
$150 20% 167 196
$100 $50
86
87
69
69
60
67
69
65
62
65
76
79
91
175 166
138 149 110 117
$0
% of DoD Contract Spending
50%
10%
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Products (3.3% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
% Products
5
DoD Contract Spending for Services, 1990-2010 $400
60%
$350
Constant 2010 Billions
$300 40% $250
$200
30%
$150 150
161 161
20%
126 140
$100
% of DoD Contract Spending
50%
104 109 120
$50 49
54
50
51
53
62
64
62
64
67
67
71
10%
82
$0
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Services (6.1% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
% Services
6
DoD Contract Spending for R&D, 1990-2010 $400
60%
$350
Constant 2010 Billions
$300 40% $250 $200
30%
$150 20% $100
% of DoD Contract Spending
50%
10% $50
$0
23
21
22
22
19
27
26
28
26
23
23
25
31
34
36
40
42
44
42
43
41
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year R&D (3.0% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% R&D
7
DoD Contract Spending by Category in Percentage Terms, 1990-2010 60%
Percentage of DoD Contract Spending
50%
40%
30%
20%
10%
0% '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year % Products
% R&D
% Services
Note: The “unlabeled” category, which accounts for less than 0.1% of DoD contract spending, was excluded from this chart. Source: DD350 and FPDS; CSIS analysis
8
DoD Contract Spending by Component, 1990-2010 $450 $400 71
$350
72
Constant 2010 billions
62
$300 59
$250 42
$150 $100 $50 $0
35 20
24
43
49
58
52
20 37 49
20 40 47
20
26
21
19
20
22
49
50
49
43
42
47
49
52
49
47
49
50
50
51
38 43
23
19
39
36
37
34
34
31
35
'90
'91
'92
'93
'94
'95 '96
98
46
49
55
'97 '98
'99
'00
'01
'02
95
65
88
80
69
57
42
67
88 72
66
67
62
56
40
41
65
64 73
45 61
$200
65
74
105 106
75
86
'03
'04 '05
129
'06 '07
154 146 140
'08
'09
'10
Fiscal Year
Source: DD350 and FPDS; CSIS analysis
Army (7.0% 21-year CAGR)
Navy (2.1% 21-year CAGR)
Air Force (2.0% 21-year CAGR)
Other DOD (6.7% 21-year CAGR) 9
DoD spending on Products by Component, 1990-2010 $200
$180
43
$160
45
Constant 2010 billions
37
$140
42
26 41
$120
37
$100
23
25
24
$80 $60
14 21
19
17 26
11 16
$40
31
27
12 19
26
$20
24
12
12
22
24
20
12 19 18
14
11
23
19
20
11
11
17
17
20
22
23
22
22
19
20
'01
'02
17
15
14
10
12
14
14
13
15
17
'90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
42
36
32
75
23
24
45
42 31
25
52
28
29
28 28
19
$0
30
15
25
32
29
31
'03
'04
46
44
'05
'06
57
'07
'08
60
57
'09
'10
Fiscal Year Army Products (5.7% 21-year CAGR)
Navy Products (1.5% 21-year CAGR)
Air Force Products (0.7% 21-year CAGR)
Other DOD Products (5.5% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
10
DoD spending on Services by Component, 1990-2010 $200 $180 $160 Constant 2010 billions
21
$140
22
19
$120 18
$100
15
$80
12
$60 $40 $20 $0
26
4 13
5 15
7 13
6 12
6 13
7
8
16
15 22
6 15 21
8
15
6 16
16
22
21
22
7
8
15 20
25
18
20 29
15 23 26
26
29 26
28
27
36
34
33 31
26
28
27 24
19
19
17
17
19
22
13
15
13
15
15
17
18
20
21
22
23
24
28
'90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
'01
'02
37
'03
46
50
50
'04
'05
'06
62
69
75
74
'07
'08
'09
'10
Fiscal Year
Army Services (9.1% 21-year CAGR)
Navy Services (2.8% 21-year CAGR)
Air Force Services (3.8% 21-year CAGR)
Other DOD Services (9.5% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
11
DoD spending on R&D by Component, 1990-2010 $200 $180
Constant 2010 billions
$160 $140 $120 $100 $80 $60
4 10 12 8
4 11 12 9
5 11
4 11
6 12
6 12
6 14
6 13
15
16
16
13
13
9
11
11
11
10
12 9
'03
'04
'05
'06
'07
'08
'09
'10
$40 $20
$0
2 9 7 5
2 9 5 5
2 8 6 6
2 9 6 5
1 7 6 5
2 11 8 7
1 10 8 6
1 15 6 6
2 10 8 6
2 10 6 5
3 9 6 5
3 10 7 6
4 10 10 7
'90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
'01
'02
Fiscal Year Army R&D (3.4% 21-year CAGR)
Navy R&D (2.7% 21-year CAGR)
Air Force R&D (1.9% 21-year CAGR)
Other DOD R&D (6.5% 21-year CAGR)
Source: DD350 and FPDS; CSIS analysis
12
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50 36
$0
37
34
34
31
35
39
41
40
42
46
49
55
75
86
105 106
129
Percentage of DoD Contract Spending
Constant 2010 Billions
Army Contract Spending, 1990-2010
154 146 140 5%
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Army (7.0% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Army of total DoD contract spending 13
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50 58
52
49
47
43
52
49
47
49
50
50
51
57
66
69
72
80
88
98
95
88
$0
Percentage of DoD Contract Spending
Constant 2010 Billions
Navy Contract Spending, 1990-2010
5%
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Navy (2.1% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Navy of total DoD contract spending 14
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50
Percentage of DoD Contract Spending
Constant 2010 Billions
Air Force Contract Spending, 1990-2010
5%
43
49
37
40
38
49
50
49
43
42
47
49
56
65
62
61
67
73
64
67
65
$0
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Air Force (2.0% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Air Force of total DoD contract spending 15
$450
45%
$400
40%
$350
35%
$300
30%
$250
25%
$200
20%
$150
15%
$100
10%
$50 $0
20
24
20
20
20
19
21
19
20
22
23
26
35
42
45
59
65
62
71
72
74
Percentage of DoD Contract Spending
Constnat 2010 Billions
Other DoD Contract Spending, 1990-2010
5%
0%
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Other DOD (6.7% 21-year CAGR) Source: DD350 and FPDS; CSIS analysis
% Other DoD 16
DoD Contract Spending by Component in Percentage Terms, 1990-2010 45%
Percentage of DoD Contract Spending
40% 35% 30%
25% 20% 15%
10% 5% 0% '90
'91
'92
'93
'94
'95
'96
'97
'98
'99
'00
'01
'02
'03
'04
'05
'06
'07
'08
'09
'10
Fiscal Year % Army of total DoD contract spending
% Navy of total DoD contract spending
% Air Force of total DoD contract spending
% Other DoD
Source: DD350 and FPDS; CSIS analysis
17
Army Spending by Category, 1990-2010
$180 $160
11
Constant 2010 Billions
$140
10
9
11
$120
69
$100
9
11
75
74
62 9
$80
50
8
50
$60 $40 $20
5
5
13
15
19
$0
17
6
5
13
15
15
14
5
15
10
7 17
12
6
6
18
20
14
14
6
5
5
21
22
23
13
15
17
6 24
7
46
37
75
28
46 19
20
29
44
57
60
57
31
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Army Products (5.7% 21-year CAGR)
Army Services (9.1% 21-year CAGR)
Army R&D (3.4% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
18
Navy Spending by Category, 1990-2010
$180 $160
Constant 2010 Billions
$140 $120 $100 13
$80 16
$60
12 7
$40 $20
13
12
16
19
31
5
19
27
6
6
17
17
26
24
8
6 22 19
18
23
8
6
8
6
6
22
21
20
22
21
19
20
20
22
7
24
22
26
26
33
36
31
10 27
22
12
15
34
28
24
23
28
32
31
36
42
52
45
42
$0 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Navy Products (1.5% 21-year CAGR)
Navy Services (2.8% 21-year CAGR)
Navy R&D (2.7% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
19
Air Force Spending by Category, 1990-2010
$180 $160
Constant 2010Billions
$140
$120 $100 $80
$60
10
11
25
23
30
29
10
$40
9 9 13
15
$20 22
26
8
9
7
13
13
13
16
19
19
11
10
16
16
22
24
15
10
15
16
20
18
9
10
16
16
22
24
10
18
11
12
11 26
28
12
14
13
26
29
27
26
25
25
29
15
17
29
24
28
32
$0 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10
Fiscal Year Air Force Products (0.7% 21-year CAGR)
Air Force Services (4.1% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
Air Force R&D (1.9% 21-year CAGR)
20
Other DoD Spending by Category, 1990-2010
$180 $160
Constant 2010 Billions
$140 $120 $100 $80 $60
5
$40 $20 $0
2 4
14
2 5
17
2 7
2 6
1 6
2 7
1 8
1 6
2 7
2 8
3 6
3 8
11
12
12
11
12
12
11
11
14
15
4 12
19
4
4
15
15
23
25
18
37
4 20
41
6
6
6
6
22
21
26
43
45
42
19
37
'90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 Fiscal Year Other DOD Products (5.5% 21-year CAGR)
Other DOD Services (9.5% 21-year CAGR)
Note: The “unlabelled” category, which totals less than 1 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
Other DOD R&D (6.5% 21-year CAGR)
21
Defense Contract Spending by Competition, 1999-2010 $450
Competition Category (11-year CAGR)
$400
5
7
4 2
$350
Unlabelled (-15.1%)
Constant 2010 Billions
3 146
4
$300
110 11
46
103 8
103
9
34 71
10
19
53
Competition with single offer (20.4%)
22
15
8
67
54
38
15
61
$50
55
81
20
66
$100
No Competition (7.9%)
120
13
$200 $150
130
131
13
$250
134
83
83
'00
'01
98
115
126
'03
'04
152
160
168
184
188
180
Competition with multiple offers (10.4%)
$0 '99
'02
'05
'06
'07
'08
'09
'10
Fiscal Year Source: DD350 and FPDS; CSIS analysis
22
Defense Contract Spending by Funding Mechanism, 1999-2010 $450 $400
6
$350
Constant 2010 Billions
5 8
$300
13 1 11 10
$250 10 7
$200 $150
7 6 52
8 0 7 51
8 6 0 58 0
0 71
0
11 11
33
23 4 16
17
Unlabelled (-29.0%)
104
Combination (n/a)
16 93
91
93
1
45
0 6 15
98 87
Time And Materials (9.3%)
83
53 241
$100 $50
15
1
5
Funding Mechanism Category (11-year CAGR)
190
92
100
111
'99
'00
'01
158
158
'03
'04 '05 Fiscal Year
199
214
227
241
Cost Reimbursement (7.3%) Fixed Price (10.1%)
130
$0 '02
'06
'07
'08
'09
Note: The “other” category, which totals less than 20 million a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
'10
23
Defense Contract Spending by Contract Vehicle, 1999-2010 $450 $400 12
$350 14
Constant 2010 Billions
14
$300
$150
5 10
45
40
$100 $50
98
99
102
116
'99
'00
'01
'02
9
9
7
5
4
3
3
6
146 135
11
58
50
131
128
136
'03
'04
'05
Indefinite Delivery Vehicle
FSS or other (6.9%) Multiple Award IDC (18.3%) Single Award IDC (12.8%) Purchase Order (13.7%)
90
79
56
120
119
17
7 14
6 13
11
132
10
$200
51
152
26
22
45
37
12
$250
11
34
33
13
11
Contract Vehicle Category (11-year CAGR)
11
10
144
155
'06
'07
10
171
172
'08
'09
Definitive Contract (4.6%)
154
$0 '10
Fiscal Year
Note: The “unlabelled IDV” category, which totals less than 3 billion a year, was excluded from the figure. Source: DD350 and FPDS; CSIS analysis
24
Top 20 DoD Contractors,1999 and 2009 Rank Top 20 Contractors in 1999 1 Lockheed Martin 2 Boeing 3 Raytheon 4 General Dynamics 5 Northrop Grumman Subtotal for Top 5 6 United Technologies 7 General Electric 8 Textron 9 TRW 10 SAIC 11 Litton 12 United Defense Industries 13 Computer Sciences Corp. 14 ITT 15 Halliburton 16 Humana 17 Dyncorp 18 Bechtel 19 Honeywell 20 Anthem Total for Top 20 Total for DoD *Joint Venture Source: DD350 and FPDS; CSIS analysis
Contract Value in 2010 Millions 15,980 12,180 7,900 5,560 3,740 45,360 2,910 1,930 1,810 1,760 1,730 1,530 1,190 1,140 860 830 790 700 690 680 650 64,570 156,520
Top 20 Contractors in 2009 Lockheed Martin Boeing Northrop Grumman General Dynamics Raytheon BAE Systems L3 Communications United Technologies Oshkosh KBR SAIC ITT Humana General Electric Computer Sciences Corp. Health Net TriWest Healthcare Bell-Boeing Joint Project Office* MacAndrews & Forbes Holdings Bechtel
Contract Value in 2010 Millions 31,900 21,020 19,180 16,000 14,930 103,040 7,230 7,050 6,790 6,210 4,660 4,540 3,800 3,460 3,030 2,980 2,860 2,700 2,570 2,460 2,440 165,830 383,420 25
Top 20 DoD Contractors for Products,1999 and 2009 Rank Top 20 Contractors in 1999 1 Boeing 2 Lockheed Martin 3 General Dynamics 4 Raytheon 5 United Technologies Subtotal for Top 5 6 Northrop Grumman 7 General Electric 8 Litton 9 Textron 10 Honeywell 11 United Defense Industries 12 Longbow LLC 13 Avondale Industries 14 Javelin Joint Venture* 15 ATK 16 Stewart & Stevenson 17 Westinghouse 18 Motorola 19 Newport News Shipbuilding 20 Dell Total for Top 20 Total for Products *Joint Venture Source: DD350 and FPDS; CSIS analysis
Contract Value in 2010 Millions 7,080 6,930 4,330 4,010 2,050 24,390 1,990 1,750 1,440 1,430 680 670 540 530 500 450 410 380 340 340 330 36,150 65,350
Top 20 Contractors in 2009 Lockheed Martin Boeing General Dynamics Raytheon Northrop Grumman Oshkosh United Technologies BAE Systems L3 Communications General Electric Bell-Boeing Joint Project Office* MacAndrews & Forbes Holdings Agility Shell Oil BP ITT Bahrain Petroleum Company ATK Textron Navistar
Contract Value in 2010 Millions 16,480 11,720 11,220 8,540 8,360 56,320 6,210 5,000 4,570 2,580 2,570 2,570 2,460 1,980 1,910 1,900 1,790 1,770 1,620 1,470 1,330 96,030 177,070 26
Top 20 DoD Contractors for Services,1999 and 2009 Contract Value in 2010 Rank Top 20 Contractors in 1999 Millions 1 Lockheed Martin 3,220 2 Raytheon 2,930 3 Boeing 2,090 4 SAIC 1,280 5 Computer Sciences Corp. 1,000 Subtotal for Top 5 10,510 6 TRW 840 7 Halliburton 830 8 Humana 790 9 General Dynamics 750 10 Dyncorp 700 11 Bechtel 690 12 Anthem 650 13 Northrop Grumman 580 14 TriWest Healthcare 530 15 Foundation Health Federal Services 500 16 Jacobs Engineering Group 470 17 ITT 450 18 Fedex 440 19 Booz Allen Hamilton 420 20 Ocean Shipholdings 410 Total for Top 20 19,580 Total for Services 67,660 *Joint Venture Source: DD350 and FPDS; CSIS analysis
Top 20 Contractors in 2009 Lockheed Martin Northrop Grumman KBR L3 Communications Humana General Dynamics Raytheon Health Net SAIC Computer Sciences Corp. TriWest Healthcare Boeing BAE Systems URS ITT Booz Allen Hamilton Hensel Phelps Hewlett-Packard CACI Bechtel
Contract Value in 2010 Millions 7,040 6,050 4,660 3,710 3,460 24,920 3,370 3,130 2,860 2,840 2,800 2,700 2,650 2,120 1,810 1,670 1,540 1,420 1,410 1,390 1,270 57,890 162,460 27
Top 20 DoD Contractors for R&D, 1999 and 2009 Rank Top 20 Contractors in 1999 1 Lockheed Martin 2 Boeing 3 Northrop Grumman 4 Raytheon 5 TRW Subtotal for Top 5 6 United Technologies 7 MITRE 8 United Defense Industries 9 General Dynamics 10 Aerospace Corp. 11 SAIC 12 MIT 13 Johns Hopkins APL 14 ITT 15 General Electric 16 Computer Sciences Corp. 17 Nichols Research 18 Textron 19 GenCorp 20 Orbital Sciences Total for Top 20 Total for R&D *Joint Venture Source: DD350 and FPDS; CSIS analysis
Contract Value in 2010 Millions 5,830 3,020 1,160 960 750 11,720 720 530 510 480 470 460 450 360 180 180 150 140 120 120 120 16,700 23,500
Top 20 Contractors in 2009 Lockheed Martin Boeing Northrop Grumman Raytheon MIT General Dynamics United Technologies Aerospace Corp. SAIC L3 Communications Booz Allen Hamilton BAE Systems Johns Hopkins APL GE Rolls-Royce Fighter Engine Team* MITRE ITT JVYS* Battelle CACI Computer Sciences Corp.
Contract Value in 2010 Millions 8,380 6,650 4,710 3,270 1,760 24,780 1,410 1,080 800 790 760 720 530 420 410 330 320 290 260 250 180 33,340 43,880 28
DoD Contract Spending by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (10.8%)
73.6 205.7
Medium Contractors (7.0%)
56.3 110.9
Small Contractors (9.6%)
26.7 66.8
$0
$50
$100
$150
$200
$250
Constant 2010 Billions 1999 2009 Source: DD350 and FPDS; CSIS analysis
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DoD Contract Spending for Products by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (11.4%)
37.2 109.1
Medium Contractors (8.1%)
20.0 43.7
Small Contractors (11.6%)
8.1 24.3
$0
$20
$40
$60
$80
$100
$120
Constant 2010 Billions
1999 Products Source: DD350 and FPDS; CSIS analysis
2009 Products 30
DoD Contract Spending for Services by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (11.7%)
21.5 64.8
Medium Contractors (7.0%)
30.7 60.0
Small Contractors (9.3%)
15.5 37.6
$0
$20
$40
$60
$80
$100
$120
Constant 2010 Billions
1999 Services Source: DD350 and FPDS; CSIS analysis
2009 Services 31
DoD Contract Spending for R&D by Contractor Size, 1999 and 2010 Contractor Size Category (11-year CAGR) Large Contractors [$3B+] (7.8%)
15.3 32.6
Medium Contractors (2.3%)
5.1 6.4
Small Contractors (4.8%)
3.1 4.9
$0
$20
$40
$60
$80
$100
$120
Constant 2010 Billions
1999 R&D Source: DD350 and FPDS; CSIS analysis
2009 R&D 32
Questions or Comments? Please email David Berteau at: [email protected]
Download the data tables at: http://csis.org/publication/defense-contract-trends
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About CSIS At a time of new global opportunities and challenges, the Center for Strategic and International Studies (CSIS) provides strategic insights and policy solutions to decisionmakers in government, international institutions, the private sector, and civil society. A bipartisan, nonprofit organization headquartered in Washington, DC, CSIS conducts research and analysis and develops policy initiatives that look into the future and anticipate change. Founded by David M. Abshire and Admiral Arleigh Burke at the height of the Cold War, CSIS was dedicated to finding ways for America to sustain its prominence and prosperity as a force for good in the world. Since 1962, CSIS has grown to become one of the world’s preeminent international policy institutions, with more than 220 full-time staff and a large network of affiliated scholars focused on defense and security, regional stability, and transnational challenges ranging from energy and climate to global development and economic integration. Former U.S. senator Sam Nunn became chairman of the CSIS Board of Trustees in 1999, and John J. Hamre has led CSIS as its president and chief executive officer since April 2000 CSIS does not take specific policy positions; accordingly, all views expressed in this presentation should be understood to be solely those of the author(s).
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