Military Budgets and Defense Spending

The portion of the national budget that is allocated to defense covers salaries, training, and health care; maintains and purchases arms, equipment, and facilities; funds military operations; and funds the development of new technologies. RAND analyzes defense expenditures and advises military and civilian decisionmakers on options to maximize the effectiveness, continuity, and innovation of the nation's military force.

Research conducted by: RAND Arroyo Center; RAND Project AIR FORCE; RAND National Security Research Division; RAND Europe

All Items (130)

COMMENTARY

DoD Renewable Fuels Investment Premature — May 23, 2012

Technological development challenges suggest that it is highly unlikely that advanced approaches for producing hydrotreated renewable oils suitable for military applications will constitute an important fraction of the commercial fuel market until well beyond the next decade, writes Keith Crane.

REPORT

Supplier Relationship Management at Army Life Cycle Management Commands: Gap Analysis of Best Practices — May 23, 2012

This document examines current supplier relationship management (SRM) practices in the Army, identifies SRM best practices the Army may wish to consider, and focuses on how the Army can gain better performance and reduce total costs by improving its management of and partnering with large defense suppliers.

COMMENTARY

NATO's Shrinking Resources — May 16, 2012

At a time when the European Union faces mounting economic and political challenges, maintaining a strong, vibrant Atlantic alliance is more important than ever, write F. Stephen Larrabee and Peter A. Wilson.

REPORT

Funding Ammunition Ports — May 9, 2012

The U.S. Army's two ammunition ports — Military Ocean Terminal Concord (MOTCO) and Military Ocean Terminal Sunny Point (MOTSU) — have different funding approaches; a central question in this research is what the most appropriate financial structure should be. To help answer this question, the authors develop two variations of an ammunition port funding policy, both featuring customers paying marginal costs for port services.

REPORT

Toward Affordable Systems III: Portfolio Management for Army Engineering and Manufacturing Development Programs — May 8, 2012

Together this and two companion monographs demonstrate a method, model, and simulation that the U.S. Army can use to analyze and manage portfolios at any stage of the research and development process. This monograph expands and applies RAND's portfolio analysis and management (PortMan) method to address the problem of selecting Army engineering and manufacturing development projects in order to develop affordable systems.

REPORT

Improving Army Basic Research: Report of an Expert Panel on the Future of Army Laboratories — Apr 18, 2012

This report describes the result of an expert panel assembled to consider how the Army can get the best long-term value from its investments in basic research. The panel examined trends in basic research and R&D and profiled several top-quality research laboratories, to gain insight into how the Army might better structure and fund its own labs. The report offers a number of recommendations for improving the Army research effort.

COMMENTARY

The Path to the Right Active/Reserve Mix: You Need to Understand Cost Per Output — Apr 16, 2012

The cost of providing ready aircrews, maintainers, and aircraft is one measure. But the cost of generating flying hours and satisfying ongoing operational demands must also be considered, writes Albert A. Robbert.

MULTIMEDIA

Defense Spending Efficiencies — Mar 29, 2012

On March 29, Congressman Adam Smith, Ranking Member of the House Armed Services Committee, discussed the federal budget deficit and its likely impact on national security programs.

REPORT

Best Practices in Supplier Relationship Management and Their Early Implementation in the Air Force Materiel Command — Feb 29, 2012

In 2002, the Air Force initiated a program called Supplier Relationship Management (SRM), which seeks to manage relationships with suppliers to reduce the total cost of logistics operations and improve their performance. This report reviews the literature on best practices in SRM, assesses how the Air Force has implemented SRM, and recommends actions, based on lessons from the private sector, that the Air Force could take to improve its…

REPORT

Options for and Costs of Retaining C-17 Aircraft Production-Only Tooling — Feb 23, 2012

When a weapon system ceases production, the tooling not needed for sustainment that cannot be repurposed must either be disposed of or stored. Storage is not free, but system-specific tooling might become necessary for a restart, and starting from scratch can be expensive, although some tools cost more to store than they are worth. The authors examine these tooling retention issues for the C-17 cargo aircraft.

REPORT

Saving the Government Money: Examples from RAND's Federally Funded Research and Development Centers — Jan 12, 2012

RAND's three federally funded research and development centers apply research capital they have developed over the years to help decisionmakers solve problems and often save money as well. This publication lists and briefly summarizes some RAND projects undertaken over the past ten years that have helped save the government money or that have identified ways to do so. Amounts saved are estimated.

REPORT

Reshaping the Army's Active and Reserve Components — Dec 15, 2011

To analyze policy options that would improve utilization of reserve forces, the authors assess how Army active and reserve forces are used. Converting billets from low-use to high-use career fields within a component could partially, but not completely, rebalance the reserve components. Converting billets from a low-use career field in one component to a high-use career field in another is unlikely in the near term, but an option in the…

RESEARCH BRIEF

What Should Be Stocked in War Reserve? A New Method for Allocating Resources — Dec 15, 2011

Describes the methodology used to develop resource allocation and forward positioning recommendations for the sustainment stock portion of Army pre-positioned stocks, given a specific scenario and budget.

COMMENTARY

History Shows Danger of Arbitrary Defense Cuts — Nov 23, 2011

As America embarks on a tough strategic journey in the aftermath of Iraq, and contends with an ailing economy, it is wise to be mindful of the difference between hope and fact, writes Paula G. Thornhill.

RESEARCH BRIEF

Could a Rotational Equipping Strategy Save the Army Money? — Nov 22, 2011

Analyzes how the Army might use a rotational strategy to reduce equipment in early phases of the Army Force Generation cycle, how changes might be applied to units and equipment, and how changes might affect near- and far-term budgets.

RESEARCH BRIEF

Reducing Costs, Increasing Capability: A New Equipping Strategy for Combat Support Hospitals — Nov 21, 2011

Describes a new equipping strategy for the Army's Combat Support Hospitals.

REPORT

Where Might the U.S. Army Budget Go, and How Might It Get There? — Nov 15, 2011

Since 1950, the U.S. Army's budget has waxed and waned on a roughly 20-year cycle. As the Army's role in Iraq and Afghanistan diminishes over the next decade, it will enter the waning phase of this budget cycle. The authors examine historic trends in the Army's largest budget accounts to provide a context for decisions of future spending. They also explore recent public discourse on cuts in military spending and discuss potential…

REPORT

Root Cause Analyses of Nunn-McCurdy Breaches, Volume 1: Zumwalt-Class Destroyer, Joint Strike Fighter, Longbow Apache, and Wideband Global Satellite — Nov 7, 2011

Congressional concern with cost overruns, or breaches, in several major defense acquisition programs led the authors, in a partnership with the Performance Assessments and Root Cause Analysis Office in the Office of the Secretary of Defense, Acquisition, Technology, and Logistics, to investigate root causes by examining program reviews, analyzing data, participating in contractor briefings, and holding meetings with diverse stakeholders.

REPORT

Targets for Marine Corps Purchasing and Supply Management Initiatives: Spend Analysis Findings — Oct 13, 2011

Moore et al. provide a first-order analysis of Marine Corps (USMC) DD350 purchases and Defense Logistics Agency purchases on behalf of the USMC, revealing many indicators of opportunities and challenges for purchasing and supply management initiatives. Data on purchases indicate corporate contracts grouping several individual sole-source contracts may allow the USMC to leverage its purchasing power for more favorable terms and conditions.

REPORT

Paying for War: Funding U.S. Military Operations Since 2001 — Sep 29, 2011

Analyzes the outcomes from using separate budgets for military operations.

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