{"id":43053,"date":"2019-02-26T18:17:34","date_gmt":"2019-02-26T18:17:34","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2019\/02\/26\/heres-how-the-army-used-a-shark-tank-like-process-to-shift-31-billion-dollars-in-their-budget\/"},"modified":"2026-08-07T23:29:01","modified_gmt":"2026-08-07T23:29:01","slug":"heres-how-the-army-used-a-shark-tank-like-process-to-shift-31-billion-dollars-in-their-budget","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/land\/2019\/02\/26\/heres-how-the-army-used-a-shark-tank-like-process-to-shift-31-billion-dollars-in-their-budget\/","title":{"rendered":"Here\u2019s how the US Army used a \u2018Shark Tank\u2019 approach to shift $31 billion in the budget"},"content":{"rendered":"
<\/atype-video-jwplayer>
Undersecretary Ryan McCarthy lays out how the service will react to criticism of their $31 billion in budget changes, expected to be revealed next month.<\/figcaption><\/figure>\n\n\n

WASHINGTON \u2014 In a process reminiscent of what you might see on the TV show \u201cShark Tank,” U.S. Army leaders have been able to shift more than $31 billion in the Army\u2019s budget to its top priorities, according to Under Secretary Ryan McCarthy.<\/p>\n\n\n\n

The official shed light on the budget deliberations during a Feb. 26 breakfast sponsored by the Association of the U.S. Army\u2019s Institute of Land Warfare.<\/p>\n\n\n\n

\u201cYou went in there and tried to explain your program to the leadership, and if it didn\u2019t survive contact, it was out,\u201d McCarthy told the crowd, adding that he co-led a panel of Army senior leaders \u2014 alongside Army Secretary Mark Esper, Chief of Staff Gen. Mark Milley and Vice Chief of Staff Gen. James McConville \u2014 as part of a \u201cprincipals only\u201d series of discussions to reform the Army\u2019s budget.<\/p>\n\n\n\n

\u201cWe invested about just north of 60 hours for the entire senior leadership team,” he said, noting that the team ran through every program in the budget.<\/p>\n\n\n\n

So what did that process get the Army? McCarthy called it a radical transformation, saying it found more than $31 billion to realign with the service\u2019s six top priorities, which are long-range precision fires, future vertical lift, next-generation combat vehicles, air and missile defense, the network, and soldier lethality.<\/p>\n\n\n\n

Of that $31 billion, McCarthy told reporters more than $8 billion shifted will mean cuts to the costs of existing programs over the next five years, while the remaining $22 billion shifted means cuts to some programs and the termination of others. But because the fiscal 2020 defense budget has yet to be released, he wouldn\u2019t comment on what specific programs were cut. He did note the budget rollout is set for March 12, after having been pushed back from early February.<\/p>\n\n\n\n

\u201cAll six of the Army priorities will have vast increases. And you\u2019ll see a sustained push. We made hard choices inside of our budget,\u201d McCarthy said. \u201cWe wanted to do that so we can protect them in the out years if it\u2019s a flat fiscal environment.\u201d<\/p>\n\n\n\n

He also told reporters that the service is communicating with industry about budgetary changes, adding that working with industry is better than \u201cblindsiding\u201d companies. \u201cYou work with companies, and they\u2019ll adjust. But it\u2019s when you blindside them on a budget drop day, that\u2019s very different,\u201d he said.<\/p>\n\n\n\n

The undersecretary also acknowledged the need to explain its decisions to Congress, and that the service is prepared for pushback from lawmakers.<\/p>\n\n\n\n

\u201cIf a company in your particular state or district is impacted, there\u2019s also immense opportunity that will present itself as we proceed on the future year defense plan,\u201d he said.<\/p>\n\n\n\n

But the process described by McCarthy isn\u2019t unique. As the Army works through the FY21 budget request, Assistant Secretary of the Army Bruce Jette and Army Futures Command leader Gen. Mike Murray will lead a similar process \u2014 a more \u201csophisticated\u201d one, according to McCarthy.<\/p>\n\n\n\n

\u201cIt\u2019s a way to institutionalize this behavior,\u201d he said. \u201cThey\u2019re trying to change the fundamental behavior of the Army to do better with every dollar we spend.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

The Army’s undersecretary is shedding light on the “Shark Tank”-like process that moved $31 billion within the Army’s 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