{"id":22469,"date":"2022-06-08T13:49:16","date_gmt":"2022-06-08T13:49:16","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2022\/06\/08\/how-space-development-agency-contractors-are-mitigating-supply-chain-issues\/"},"modified":"2026-08-08T17:56:57","modified_gmt":"2026-08-08T17:56:57","slug":"how-space-development-agency-contractors-are-mitigating-supply-chain-issues","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/space\/2022\/06\/08\/how-space-development-agency-contractors-are-mitigating-supply-chain-issues\/","title":{"rendered":"How Space Development Agency contractors are mitigating supply chain issues"},"content":{"rendered":"\n

WASHINGTON \u2014 Long before the Space Development Agency awarded its first contract, officials knew that building a diverse, strong supply base would be an important part of its plan to produce and field constellations of hundreds of small satellites.<\/p>\n\n\n\n

The agency\u2019s vision for using these proliferated constellations to augment and boost the resilience of traditional U.S. Department of Defense systems required a more flexible approach from the government and industry, officials told C4ISRNET. And so, from the beginning, SDA leadership challenged its prime contractors to find ways to foster competition among their supplier base and build redundancy into their strategies.<\/p>\n\n\n\n

Although that approach hasn\u2019t entirely shielded SDA from supply problems, it has helped the agency and its prime contractors mitigate major COVID-19 supply chain setbacks seen across the space industry. In some cases, companies have shared parts to help ease bottlenecks.<\/p>\n\n\n\n

\u201cOne vendor had radios that they had ahead of schedule that they didn\u2019t need until the second launch, the other vendor had optical crosslinks come in ahead of schedule,\u201d SDA Director Derek Tournear said during a May 17 Space Industry Summit<\/a>, held virtually. \u201cThey were short on radios or short on optical crosslinks and they were willing to actually share those with each other so that we hit our launch on time.\u201d<\/p>\n\n\n\n

That sort of teammate camaraderie is \u201ckind of rare,\u201d he said.<\/p>\n\n\n\n

Concerns remain, and Tournear said that slow-downs for some items put pressure on the agency\u2019s schedule to launch its first batch of satellites this fall. And despite efforts to diversify their supply bases, there are still dependencies among the agency\u2019s major contractors<\/a>.<\/p>\n\n\n\n

Supply Strategies<\/h1>\n\n\n\n

Over the next few years, SDA plans to launch at least 182 satellites across two capability areas, known as layers: a transport layer that will provide networked communications and serve as the backbone for the Pentagon\u2019s Joint All-Domain Command and Control concept; and a missile-tracking layer that can detect and track hypersonic weapons and advanced missile threats from space.<\/p>\n\n\n\n

The list of companies on contract to build those satellites includes Lockheed Martin and Northrop Grumman, traditional primes that have developed many of the large, expensive satellites that have made up the Defense Department\u2019s space architecture for years. It also includes companies less known for being major satellite manufacturers — SpaceX, L3Harris and Colorado-based York Space Systems.<\/p>\n\n\n\n

In both cases, whether large and established or less seasoned at satellite production, companies had to adjust their supplier base in order to respond to SDA\u2019s call for significant quantities of small satellites.<\/p>\n\n\n\n

Lockheed Martin\u2019s approach to the problem has been to establish what it calls the \u201cAgility Partners Marketplace,\u201d which is essentially a pool of suppliers whose parts and technology are vetted and mature. The company is on contract to build 10 satellites for the first round of transport layer satellites, dubbed \u201cTranche 0,\u201d and 42 for Tranche 1.<\/p>\n\n\n\n

Though Lockheed has an established, proven supply base for its other programs, 96% of its Tranche 1 vendors are non-traditional suppliers, according to Erik Daehler, the company\u2019s lead for the protected communications mission area. Daehler told C4ISRNET the marketplace offers the company a base of suppliers who can compete for future work and serve as a backup source if supply issues arise with any of its vendors. It will also help in the future as Lockheed looks to ramp up production rates for larger tranches of SDA satellites.<\/p>\n\n\n\n

\u201cWe now have a network of suppliers to provide our hardware,\u201d he said in an April 6 interview. \u201cWe\u2019ve given each of our suppliers areas where they can focus on improving their products and then we\u2019ve given specific actions to some of them to say, \u2018Here\u2019s a way we could work on partnerships.\u2019\u201d<\/p>\n\n\n\n

For the partnership piece, Daehler said Lockheed has been able to tailor its support for suppliers based on their needs. For example, one supplier was having to choose between investing in the equipment it needed to develop a certain piece of hardware or focusing on making other parts of its production system more efficient. Because Lockheed had that equipment available, the company could use its system and then shift its investments toward improving production efficiency.<\/p>\n\n\n\n

L3Harris, a Melbourne, Florida- based space technology company that in recent years has been growing its satellite manufacturing capacity, has taken a \u201cdesign-for-procurement\u201d mentality to its piece of SDA\u2019s architecture. The company is on contract to deliver four Tranche 0 missile tracking satellites.<\/p>\n\n\n\n

According to Rob Mitrevski, the company\u2019s vice president and general manager for spectral solutions, that mentality means that when his team develops satellite designs, it ensures that the parts those designs rely on are easy to buy.<\/p>\n\n\n\n

\u201cSome primes choose to go with multiple suppliers, which is sort of an easy approach,\u201d Mitrevski told C4ISRNET in an interview. \u201cThe harder approach is to modify your designs and develop things that are easier and more producible.\u201d<\/p>\n\n\n\n

The company has also done what its vice president for space and airborne systems, Tim Lynch, calls \u201ccrowdsourcing procurement.\u201d<\/p>\n\n\n\n

\u201cWhat we typically do is we look at the marketplace and who\u2019s buying what and how much and say, \u2018Can I get on that production line?\u2019\u201d Lynch said.<\/p>\n\n\n\n

If it works, he said, L3Harris doesn\u2019t have to start its own production line for a small quantity of a component but can instead take advantage of economies of scale on a line that is already producing large amounts of that part.<\/p>\n\n\n\n

Mitrevski said that if the company\u2019s work with SDA expands into additional production, the strategy can grow with it.<\/p>\n\n\n\n

\u201cIt\u2019s all extensible,\u201d he said. \u201cWe took the long-term view, which was, we have to design for producibility, manufacturability, scale and volume. Because the prize isn\u2019t this phase. The prize is being participants on the programs of record and the constellations that exist beyond that.\u201d<\/p>\n\n\n\n

Future Supply<\/h1>\n\n\n\n

While SDA and its industry partners were able to stave off supply chain problems with many of the high-end satellite components, Tournear said the agency has been caught off guard by issues with some of the lower-level parts including resistors, cables and connectors.<\/p>\n\n\n\n

Along with the radios that are putting pressure on SDA\u2019s Tranche 0 launch timeline, the agency has had to change vendors for its optical crosslinks, which provide direct communications between satellites and are a key enabler for the transport layer.<\/p>\n\n\n\n

Tournear said he expects the Tranche 0 launch schedule will stay on track despite these concerns, but he anticipates the agency will face similar issues as it looks to launch satellites in larger quantities in the future.<\/p>\n\n\n\n

\u201cWe anticipate the same difficulties,\u201d he said. \u201cThe advantages are that the suppliers know it\u2019s coming. They know it\u2019s real.\u201d<\/p>\n\n\n\n

He added that while industry will be more prepared for unexpected issues, it\u2019s not possible to predict what components might cause problems.<\/p>\n\n\n\n

\u201cIt\u2019s one of those things where we have to play \u2018Whack-a-Mole\u2019 as we build these satellites out,\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":"

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