Secretary White memorandum on Army outsourcing initiative
October 4, 2002
Memorandum for See Distribution
Subject: Non-Core Competencies Working Group and The Third Wave
The Army must focus its energies and talents on our core competencies -- functions we perform better than anyone else -- as core competencies, and seek to obtain other needed products or services from the private sector where it makes sense. We must also aggressively support the Competitive Sourcing Initiative of the President's Management Agenda. Moreover, the Army must quickly free up resources for the global war on terrorism, and do so in a way that avoids disruptions to our core operations.
This Army initiative will differ from the previous two "waves" of public-private competitions in several key respects. The third wave will be bigger and faster. It may involve "alternatives to A-76" as well as traditional OMB Circular No. A-76 competitions. And it will involve, for the first time, functions other than base operations.
You will develop and present to me your Implementation Plans for privatizing, divesting, competing using A-76, outsourcing using "alternatives to A-76," converting military spaces to civilian or contract, or transferring to other government agencies, non-core functions that fall under your purview. Your plans must include all non-core spaces (i.e., spaces potentially eligible for private sector performance) unless an exemption, based on disruption to core missions, is approved in writing by the ASA(M&RA). Non-core functions, although important to the Army mission, must be reviewed for the best mix and provider, focusing on the total workforce (military, civilian, contract) in the operating forces and infrastructure. Enclosure 1 provides guidance on requesting an exemption. Enclosure 2 provides guidance for developing your plans.
You will develop your plan in conjunction with the Non-Core Competencies Working Group (NCCWG) (Enclosure 3). The Non-Core Competencies Executive Steering Committee and the DUSA will oversee the NCCWG and will resolve all issues.
Request you identify your NCCWG member to Mr. Jim Wakefield (james.wakefield@hqda.army.mil) by October 9 2002. The NCCWG will develop the schedule for Implementation Plan presentations. Enclosure 4 provides the timeline.
(signed)
Thomas E. White
Enclosures
Distribution:
Principal Officials:
Headquarters, Department of the Army
Commanders:
US Army Europe & 7th Army
Eighth US Army
US Army South
US Army Forces Command
US Army Training & Doctrine Command
US Army Materiel Command
US Army Corps of Engineers
US Army Special Operations Command
US Army Pacific
Military Traffic Management Command
US Army Criminal Investigation Command
US Army Medical Command/The Surgeon General
US Army Intelligence and Security Command
US Army Military District of Washington
US Army Space and Missile Defense Command
US Army Reserve Command
US Army Military Entrance Processing Command
US Total Army Personnel Command
US Army Test and Evaluation Command
Superintendent, US Military Academy