WASHINGTON (July 25, 2016) The U.S. Army released its fiscal year 2016 Superior Supplier Incentive Program (SSIP) list today, commending the performance of top defense suppliers across fiscal years 2013-2015. In a joint rollout with the Navy and the Air Force, the Army's fiscal year 2016 SSIP list identifies the highest-performing individual business units within top vendor corporations. The SSIP list also rewards business units' performance by affording enhanced opportunities to interact with government clients to discuss opportunities and improvements.
SSIP began as a Department of the Navy initiative in support of the Department of Defense Better Buying Power program. As part of the Better Buying Power initiative, Frank Kendall, Under Secretary of Defense for acquisition, technology and logistics, expanded SSIP to the Army and the Air Force. SSIP provides an incentive to major suppliers by recognizing the best performing business units within parent companies receiving the highest contract obligations in the designated period of three preceding fiscal years.
This is the third SSIP release from the Army. In March 2015, the Army participated in a joint rollout of the fiscal year 2014 SSIP in concert with the Navy and the Air Force to rank contractor performance during fiscal years 2011-2013. In July 2015, the Army released its fiscal year 2015 SSIP list covering fiscal years 2012-2014.
The SSIP list features a three-tiered ranking system, with the "Tier I" level signifying highest performance. The Army evaluated three years of data from the Contractor Performance Assessment Reporting System (CPARS), which appraises contractors' work at the end of the period of performance, with supplier performance weighted in favor of more recent and higher dollar value contracts. Contractors meeting "Tier I" status consistently received a "very good" or "exceptional" rating in CPARS assessment categories, including performance measurement criteria, fulfilling contractual requirements and responsiveness to U.S. government questions or concerns.
Katrina McFarland, acting assistant secretary of the Army for acquisition, logistics and technology, said that the SSIP program is "a multipurpose approach," assisting both the Army and the parent companies of ranked business units.
"SSIP helps the Army understand which contracts and programs are consistently attaining superior performance levels while also incentivizing contractor performance by highlighting areas where parent companies can improve," McFarland said. "Ultimately, this win-win helps provide soldiers with the solutions they need to maintain their advantage on the battlefield."
Harry Hallock, deputy assistant secretary of the Army for procurement, called the SSIP program an "important communication tool." By looking at trends throughout a three-year period, SSIP "provides a professional, holistic look at data that starts a dialogue on past performance," he said.
The Army's Tier I business units for fiscal year 2016 are as follows:
- Boeing - Boeing Military Aircraft
- Booz Allen Hamilton, Inc. - Booz Allen Hamilton
- CACI International, Inc. - CACI International
- General Electric - Aviation
- Hellfire Systems, LLC - Hellfire Systems
- Lockheed Martin - Missiles & Fire Control
- Lockheed Martin - Mission Systems & Training
- Northrop Grumman - Technical Services
- Raytheon - Integrated Defense Systems
- Raytheon/ Lockheed Martin - Javelin Joint Venture
The Army's Tier II business units for fiscal year 2016 are as follows:
- Aerovironment, Inc. - Aerovironment
- BAE Systems, Inc. - Electronic Systems
- Bechtel Group
- Flir Systems, Inc. - Flir Systems
- General Dynamics - Information Systems & Technology
- Leidos Corp. - National Security Solutions
- Northrop Grumman - Information Systems
- Oshkosh Corporation - Oshkosh Defense
- Raytheon - Space & Airborne Systems
- Rockwell Collins - Government Systems
- Sierra Nevada Corp.
The Army's Tier III business units for fiscal year 2016 are as follows:
- AM General LLC - AM General
- General Atomics Technology Corp. - Aeronautical Systems
- General Dynamics - Combat Systems
- Harris Corp. - Communications Systems
- Honeywell International - Aerospace
- L-3 - Electronic Systems
- Navistar International
- Northrop Grumman - Electronic Systems
- Raytheon - Missile Systems
- Textron - Textron Systems
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