An Interview with Marion C. Blakey

An Interview with Marion C. Blakey, Aerospace Industries Association President and CEO.

How will the industry meet the challenge to defense spending posed by the Pentagon's Efficiency Initiative and various proposals from deficit-reduction commissions?

Our industry has long championed efficiency, so we endorse the DOD drive to become more efficient and use the savings to modernize and reset our equipment and fund operations. However, the pursuit of efficiency cannot be just an assault on industry profits and cash flow. To be meaningful and to achieve the vision that Secretary Gates outlined for the initiative, efficiency must change the way we all work. Unfortunately, we have not yet seen the kinds of changes reflected in the department's proposals that would result in true cost savings. We will continue to work with DOD to suggest areas where true efficiencies can be gained. The savings from any efficiencies should not automatically be shifted into deficit reductions, as some have championed. Providing for the common defense is job one for the federal government. Any reductions that diminish our capability against the very real threats we face in a dangerous world will have a negative effect on our national security. So, we need to tread very carefully in this area.

The Obama administration has made a pitch for an infrastructure bank to stimulate investment in NextGen. In the current economic environment on the Hill, how would you argue for greater infrastructure investment?

First, the U.S. government should invest in projects that produce the greatest good for the public. Improvements to transportation infrastructure benefit a wide swath of American life, from business and tourism to law enforcement, crisis response, freight shipment and family cohesion. Second, consider the return on investment. What is the benefit and how quickly does it pay off? For example, acceleration of NextGen implementation pays off relatively quickly in improvements to efficiency of travel, productivity and reductions in fuel costs and greenhouse gas emissions. In a tight economy, the best investments will benefit the largest number of people and produce a quick return on that investment. NextGen does both.

The space industry has experienced a good degree of turbulence recently with major changes at NASA and efforts to reduce costs at the Pentagon. What steps are needed to maintain our industrial base while ensuring continued innovation and competitiveness?

Without a new push to prioritize national leadership, integrated strategy and funding stability, we face a "tipping point" where critical U.S. space capabilities are lost. Unfortunately, there doesn't seem to be a widely shared sense of urgency on the need to maintain a strong and robust national security space industrial base. The first step is to establish leadership and program stability. We need coordinated White House leadership for the space sector that provides a long-term space investment strategy in the critical areas of our industrial base. We also need multi-system procurement strategies that help smooth out the acquisition process, help stabilize the space industrial base and reduce the cost of some of our most important space programs. Science and technology funding, as well as investments in Operationally Responsive Space, need to be robust and sustained. Finally, we also must reform our export control policies, which AIA has long championed.