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John Johnson: Defense Community Should Take “˜Tangible Action’ to Support Lower-Tier Suppliers

John Johnson: Defense Community Should Take “˜Tangible Action' to Support Lower-Tier Suppliers - top government contractors - best government contracting event

John Johnson: Defense Community Should Take “˜Tangible Action' to Support Lower-Tier Suppliers - top government contractors - best government contracting event

John Johnson, former vice president and general manager of the electronic systems sector at Northrop Grumman, wrote in a commentary published Wednesday on National Defense that the number of lower-tiered defense suppliers has been declining due to defense budget instability associated with the changing political climate.

He discussed the financial struggle facing small defense suppliers and explained how defense spending as a discretionary line item in the federal budget contributes to the volatility in the supplier base.

Johnson, a retired Air Force colonel, called on major contractors to take a “tangible action“ to address the issue.

“We must take a sincere look at: providing longer-term contracts; fulfilling offset requirements in areas outside the limited domestic base; exercising cooperative research and development to facilitate niche market expertise; and lessening pressure to reduce cost year after year because suppliers need to self-invest in their future,“ Johnson wrote.

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