Section 809 Panel - Recommendation #43 - Revise Acquisition Regulations to Enable More Flexible and Effective Procurement of Consumption-based Solutions

Abstract

The Department of Defense's current system forces information technology (IT) into one of two outdated purchasing categories, supplies or services, while ignoring the fact that IT is increasingly a combination of supplies and services that are sold on a consumption basis. This recommendation addresses the problem of buying today's solutions with yesterday's rules. The recommendation includes exempting purchases of consumption-based solutions from traditional service contracting rules, and creates a new contract type optimized for these types of purchases. This recommendation provides a standardized approach to buying cloud-based, telecommunications-related, and other solutions that tend to be sold via consumption-based models.