1. Secretary of Defense Corporate Fellows Secretary of Defense Corporate Fellows Program

2. Secretary of Defense Corporate Fellows 2 SDCFP Background SECDEF concerns for future Service leaders ‒ Open to organizational and operational change ‒ Recognize opportunities made possible by info tech ‒ Appreciate resulting revolutionary changes underway Affecting society and business now Affecting culture and operations of DoD in future Businesses outside DoD successful in: ‒ Adapting to changing global environment ‒ Exploiting information revolution ‒ Structural reshaping/reorganizing ‒ Developing innovative processes DoDI 1322.23 ‒ Deputy Chief Management Officer (DCMO) for oversight & supervision

3. Secretary of Defense Corporate Fellows 3 SDCFP Background DoD needs effective access to best executive level business practices applicable to operations & support ‒ Strategic Planning ‒ Organization ‒ Change Management ‒ Human Resources ‒ Information Technology ‒ Supply Chain ‒ Outsourcing Infrastructure majority of Defense Budget ‒ Reforms generate savings ‒ Savings applicable to operational shortfalls

4. Secretary of Defense Corporate Fellows 4 SDCFP Organization Two or more officers from each Service – Flag/general officer potential – O-6 or O-5 – Senior Service College credit only Initial Group Education – Current political/military issues; leading edge technologies – Meetings with senior DoD officials, business executives, Members of Congress, the press, former sponsors, alumni – Graduate business school executive education Eleven months at Sponsoring Company ‒ 2-3 days of group training with corporate execs at each sponsor Admin ‒ WHS HRD for direct oversight & support ‒ http://dcmo.defense.gov/ProductsandServices/SecDefCorporateFellow sProgram http://dcmo.defense.gov/ProductsandServices/SecDefCorporateFellow sProgram

5. Secretary of Defense Corporate Fellows Corporate Sponsors Prior Years 3M, ABB Group, Accenture, Agilent Technologies, American Management Systems, Amgen, Andersen Consulting, Apple, Boeing, Booz Allen, CACI, Caterpillar, Cisco, Citigroup, CNN, Deutsche Bank, DirecTV, DuPont, EADS, Enron, ExxonMobil, FedEx, General Dynamics, Georgia Power, Google, Hewlett-Packard, Honeywell, Human Genome Sciences, IBM, Insitu, iRobot, JPMorgan Chase, Johnson & Johnson, Lockheed Martin, Loral, McKinsey, McDonnell Douglas, Merck, Microsoft, Mobil, Morgan Stanley, Netscape, NCR, Norfolk Southern, Northrop Grumman, Oracle, Pfizer, Pratt & Whitney, PricewaterhouseCoopers, Raytheon, SRI/Sarnoff Labs, Sears, Shell Oil, Sikorsky, Southern Company, SpaceX, SRA International, Sun Microsystems, Symbol Technologies, Union Pacific, United Technologies, Vertex Aerospace Current AY (2014-2015) Autodesk, Booz Allen, CACI, Cisco Systems, Dynamic Aviation, FedEx, General Dynamics, Georgia Power, JPMorgan Chase, Lockheed Martin, McAfee, Oracle, Hewlett-Packard, SAP, Sikorsky, Union Pacific Next AY (2015-2016) Accenture, Alaska Air, Amazon, Boeing, Caterpillar, Deutsche Bank, EMC, Intel, Merck, Pratt & Whitney, Raytheon, Shell Oil, SpaceX, SRI 5

6. Secretary of Defense Corporate Fellows 6 SDCFP Results Program objectives fulfilled ‒ Education 3 DoD, individual officers, Sponsors ‒ More Sponsors than Fellows available ‒ Intra-group experience sharing Group visits with sponsor CEO’s and senior leadership Unique corporate experience ‒ Strong corporate support ‒ Executive/operational level duty mix ‒ Mergers/restructuring Unexpected challenges, valuable insights

7. Secretary of Defense Corporate Fellows 7 SDCFP Products Build a cadre of future leaders who: ‒ Understand more than the profession of arms ‒ Understand adaptive and innovative business culture ‒ Recognize organizational and operational opportunities ‒ Understand skills required to implement change ‒ Will motivate innovative changes throughout career Briefings directly to 25+ Senior DoD civilian/military leaders ‒ DEPSECDEF, VCJCS, Service Secretaries/Chiefs ‒ Deputies for Programs, Budgets, Acquisitions, T&E, Pers, IT, Mgmt ‒ Business insights relevant to DoD culture/operations ‒ Recommended process/organization changes Individual Written Reports

8. Secretary of Defense Corporate Fellows 8 “ And we must transform not only our own forces, but also the department that serves them by encouraging a culture of Creativity and intelligent risk taking. We need to promote a more entrepreneurial approach to developing military capabilities, one that encourages people, all people, to be more proactive and not reactive. We need to behave somewhat less like bureaucrats and more like venture capitalists… “ Secretary of Defense Remarks to The National Defense University