Challenge-Based Acquisition: Stimulating Innovative Solutions Faster and Cheaper by Asking the Right Questions

Abstract

Budget reductions will require the Department of Defense (DoD) to make difficult decisions on how to invest limited resources and make current programs more affordable. Traditional acquisition methods are lengthy, serial, gate-like processes, built around stringent specifications and arms-length relationships. By contrast, Challenge-Based Acquisition (ChBA) utilizes transparent, accessible, concrete challenges to satisfy warfighter needs and stimulate industry innovation. Challenges enable DoD programs to assess actual performance against clearly defined mission objectives and create incentives for industry to innovate. ChBA thus offers a more transparent approach to fielding new capabilities, upgrades, and enhancements to existing systems.