Author Description

Outsourcing of commercial activities in the Department of Defense (DoD) occurs within a well-defined legal & policy framework. This framework creates a predisposition toward outsourcing but also imposes an evolving set of exclusions & restrictions. Within this framework, DoD outsourcing has occurred on a relatively modest scale. However, DoD has recently given outsourcing renewed attention, & momentum is building for a potentially significant expansion of outsourcing. If that expansion occurs, DoD civilian personnel managers will benefit from having a greater understanding of how the process affects civil service employees. In this report, the authors review executive & legislative policy related to DoD outsourcing; present results from site visits to Army & Air Force installations where activities have been outsourced recently; & develop models useful for predicting the number of employee displacements likely to result from outsourcing studies. The authors develop recommendations for improving the productivity of the civil service workforce (making it more competitive in outsourcing cost-comparison studies) & making the cost-comparison process fairer to government employees.