The ‘Shrinking’ Defense Industrial Base
(recoding “Other” responses and creating additional categories) for the follow-on question. Five new categories were created: 1. Small business issues (including small business-specific policies) 2. DoD acquisition/contracting policy issues 3. Staff-related issues (e.g., expertise, racism, communication) 4. Payment issues 5. Not profitable or generally “worth it”
TABLE 10. REASONS FOR NO LONGER BIDDING FOR WORK WITH DOD Response Number
Percent
DoD bureaucracy
81
28%
Cumbersome solicitation process
74
26%
Small business issues (including small business- specific policies) *
34
12%
Not profitable or generally “worth it” *
28
10%
Cost and pricing issues (e.g., Truth in Negotiations Act)
23
8%
Accounting requirements (Defense Contract Audit Agency, Cost Accounting Standards, etc.) Defense Federal Acquisition Regulation Supplement (DFARS) rules Cybersecurity requirements (Cybersecurity Maturity Model Certification)
22
8%
19
7%
18
6%
Other (please specify)
15
5%
Security or facility clearance processes
13
5%
DoD profit policies
11
4%
DoD financing policies
10
3%
Payment issues *
8
3%
DoD acquisition/contracting policy issues *
5
2%
Staff-related issues (e.g., expertise, racism, communication) *
5
2%
Intellectual Property (IP) issues
1
0%
Total 100% Note. * denotes categories created by researchers during post-hoc analysis (not included in the original survey as an answer choice). 286 Table 10 displays the results for the reason(s) that contractors stopped bidding for work with DoD or were still bidding but had identified an unfavorable characteristic of working with DoD. Note that the totals shown are greater than the 179 respondents included in this question
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Defense ARJ, Summer 2025, Vol. 32 No. 2: 194—223
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