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Public Private Partnerships

Thursday April 25, 2013

What is it?

The U.S. Army Materiel Command’s Public Private Partnership (P3) program is an agreement between an Army organization and one or more private industry entities to perform work or to use the Army’s facilities and equipment. While the program has existed for more than 16 years, it is growing in visibility and becoming a key strategy to sustain the industrial base. P3 allows industry to take advantage of the critical capabilities and skill sets developed by AMC’s Organic Industrial Base (OIB). By bringing in new opportunities and business for development, the Army can maintain support critical to the warfighter.

What has the Army done?

Army maintenance depots, manufacturing arsenals and ammunition plants lay at the heart of the OIB. Through the P3 program, Army master craftsmen and artisans who learned and honed their skills over generations work side-by-side with industry partners to manufacture, maintain and repair equipment, ranging from tactical vehicles and aircraft to ammunition.

As the command shifts from supporting an Army at war to refitting and sustaining that Army, production, storage and workload requirements at its OIB are expected to decrease. Preserving these 20-plus facilities and their workforces, considered a national treasure because they provide capabilities that in many cases do not exist elsewhere in the United States, is a top priority for AMC’s leadership. With this shift in AMC’s focus and industrial base workloads, an enormous opportunity exists for the private sector.

Why is this important to the Army?

As the command shifts from supporting an Army at war to refitting and sustaining that Army, production, storage and workload requirements at its OIB are expected to decrease. Preserving these 20-plus facilities and their workforces, considered a national treasure because they provide capabilities that in many cases do not exist elsewhere in the United States, is a top priority for AMC’s leadership. With this shift in AMC’s focus and industrial base workloads, an enormous opportunity exists for the private sector.

What continued efforts does the Army have planned for the future?

The goal of P3 is to fully leverage the power of partnerships to enhance and preserve AMC’s unique organic industrial facilities, processes, and personnel, while offering private industry access to those capabilities for mutual benefit.

In executing partnerships, the OIB provides services that are either not available in the private sector or not cost-effective for private industry to provide. Partnerships can take three forms, including:

  • -Teaming or work sharing, which incorporates a combination of Army depot and contractor facilities and employees to produce or repair systems, equipment, and components.

  • -Purchasing and direct sales, whereby private-sector firms purchase articles or services from an Army installation.

  • -Leasing, whereby firms lease facilities and install their own equipment, or lease facilities and depot-owned equipment, to produce goods and services for government or commercial customers.

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