Podcast Show Notes
2025-08-05 Federal Market Insights Episode 18 — Session Overview
WPI Podcast Episode 18 Summary
The articles discussed at the beginning of this podcast and today’s Podcast topic Artificial Intelligence and its role in DLA Contracting: What contractors need to know address the changing DoD environment. Each of the topics – the need for more ships and how to effectively implement drones is interesting. However, when taken together, and when viewed alongside today’s topic, these ideas can be seen as three of the many issues that must be addressed by today’s military and DIB.
An issue facing the Navy is the need to fund more ships. Ships are large, complex and costly. Their construction requires a workforce that is trained and skilled and shipyards with the space and tooling to support construction. These are all current issues. The not-so-visible issues are the efforts to reduce public shipyard staffing and the inability to plan based upon firm commitments. Not only does the lack of firm commitments impact public shipyards, it also impacts the yard’s subcontractors. Demand signals are needed to retain this vital workforce and the supplier base. Currently, there is an effort to obligate funds to purchase five submarines. If this decision were to be made, it would give the Secretary of the Navy the authority to enter into the required agreements. Locking in these agreements would provide a signal to the maritime industry and its subcontractors
Another article dealt with drones and how the Marine Corps has published a Drone Handbook.
Drones have been rapidly adopted by the different services. They have also seen significant use in current conflicts. It has also been recognized that drone usage may be changing how modern wars are fought.
The creation of a drone handbook implies recognition of the need to reduce variability in how drones are used. Creating a handbook provides a level of formalism with respect to their use. It also implies that drones will likely be a component of Marine Corps doctrine going forward. Currently, the handbook is relatively short. It will be interesting to see if it grows over time.
Based upon the information reviewed, DLA is actively engaged in a variety of efforts related to AI. These include Mentorship programs which address a variety of issues. These include a need to overcome resistance to AI and moving past fear and hesitation around AI. The session identifies Contracting Officers as “strategic partners” and referred to them as “Battlefield Enablers.” Without contracting officers, the warfighter cannot fight.
DLA is probably best known for its DIBBs program which facilitates purchasing materials that are required to support the warfighter. Currently, DLA manages over 7 million NSNs. The management includes a range of issues including procurement, quality determinations, pricing, duplication and identifying counterfeit items.
In addition to the automated tools DLA is currently using to support Automated Simplified Acquisition, DLA has approximately 55 AI initiatives. Some of these will focus on support procurement activities.
There are other AI initiatives to address financial audition issues.
A concern is the possibility of procurement of AI products that effectively duplicate efforts. There is a need to coordinate such efforts and to review activities.
It is interesting to note that in some ways, the federal government has been both slow and cautious in adopting and using AI products. AI is still new and like many companies, the federal government has not fully embraced AI. There are working groups and AI strategies.
Given the totality of DLA’s efforts it seems reasonable to expect these efforts to continue and over time to have AI based products included in workflows.
Defense Logistics Agency Is Working to Advance AI Adoption