Air Force Small Business Innovation Research (SBIR) Commercialization Pilot Program (CPP)

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1 Air Force Small Business Innovation Research (SBIR) Commercialization Pilot Program (CPP) A Strategy to Accelerate Technology Transition Richard Flake Partnering Division Plans and Programs Directorate Air Force Research Laboratory 1

2 Small Business Innovation Research/ Small Business Technology Transfer Federally Mandated Program requiring 25% (SBIR) and 3% (STTR) of Air Force Extramural RDT&E Budget $370M (2010) 2

3 SBIR/STTR Phased Approach PHASE I Feasibility Study $100K*, 9-month (SBIR) 9-month (STTR) Award PHASE II Full Research/R&D $750K*, 2-year Award (SBIR/STTR) Enhancement/extension as warranted PHASE III Commercialization Stage Use of non-sbir/sttr Funds SBIR/STTR Topics I II *Air Force will begin implementing new Ph I Award thresholds ($150K) in FY 2011 and new Ph II ($1M) thereafter 3

4 AF SBIR/STTR Process Overview Topic Generation Topic Solicitation Proposal Submission Evaluation Award Annual Averages Topics ~ 230 Proposals ~ 3500 Contracts ~ 500 I Proposals ~ 450 I Contracts ~ 270 Annual Workload Proposals Evaluated ~ 4000 New Contracts ~ 800 Continuing Contracts ~ 400 Total Active Contracts ~

5 SBIR/STTR s Role in Air Force Acquisition Concept Feasibility $100K, 9 months STTR I Concept Feasibility $100K, 9 months Concept Development $750K, 24 Months II SBIR Production Insertion (Non SBIR Funds) I Concept Development $750K, 24 Months 5

6 SBIR/STTR s Role in Air Force Acquisition Concept Feasibility $100K, 9 months STTR I Concept Feasibility $100K, 9 months SBIR Concept Development $750K, 24 Months II I Concept Development $750K, 24 Months 6

7 SBIR Participation Firms are typically small and new to the program About 1/3 are first-time awardees Small hi-tech firms from across the country 7

8 Commercialization Pilot Program (CPP) Created in Sec 252a of FY06 Nat l Defense Auth Act Promotes transition of SBIR-developed technologies Allows 1% of SBIR budget to administer CPP AFRL placed 2 Transition Agents in each PEO XR Build connections among PEO PMs & AFRL S&Es Facilitate SBIR topic generation & tech transition Supports Industry Technology Interchange Workshops Individual prime ktrs host workshops at their plants Transition agents mine data to ID SBIRS of interest Transition plans signed by prime/small ktrs, AFRL, PEO 8

9 AF SBIR Transition -- Root Cause of the Problem Symptoms SBIR is taxing acquisition programs with very little return on investment Program offices not fully engaged in SBIR processes AFRL executes SBIRs as tech development with insufficient center coordination AF not identifying major contractors or program office POCs to small businesses Major Contractors lack thorough SBIR internal management structure Stakeholders are not adequately aligned or connected 9

10 Establishing Connectivity -- SBIR CPP Core Transition Support Team Air Force CPP Manager Richard Flake Tech Assistant Kristy Westbrook Workshop Coordination Team Roxanne Summers (OAI) Don Williams MacB Program Manager Darryl Stimson Technical Director Dr William Seward Process Analyst & Strategic Communications Rich Jerdonek ESC PEO Support Joe Minior (Vacant) AAC PEO Support Gavin Tovrea Marsha Palmer ASC PEO Support Walt Fenstermacher Brett Miller SMC PEO Support Dr Martin Kampe Mike Bowker ALC Support Dr Lance Chenault Electronic Systems Center (ESC), Aeronautical Systems Center (ASC), Space & Missile Center (SMC), Air Armament Center (AAC), & Air Logistics Centers (ALCs) 10

11 Air Force SBIR CPP -- A Virtual Organization Core AF SBIR CPP Transition Support Team COLLABORATIVE ENVIRONMENT Industry Needs PEO Needs STTP STMP Total of 17 Major Contractors Participating RB RD RH RI RV RW RX RY RZ SBIR I Portfolio 11

12 SBIR Tech Transition Plan (STTP) Transition Agents (TAs) support SBIR managers in building an STTP which identifies: All critical stakeholders (roles & responsibilities) Current TRL/MRL of SBIR I Required TRL/MRL levels to transition Financial strategy Unfunded requirements TAs help identify needed funding mechanisms NOT a contractual document or an application for funds 12

13 STTP Funding Breakdown Example Source (PE/BPAC) Out Yrs Totals SBIR $474,969 $299, ,000 $1,524,898 Program Office $374,987 $374,987 Congressional Add $298,440 $298,440 Small Business $150, 000 $150,000 Major Contractor $150,000 $380,000 $530,000 AFRL TD $225,000 $100,000 $325,000 State Funding $75,000 $25,000 13

14 SBIR CPP Operating Construct SBIR Extension $$ I CPP II Technology Readiness Level (TRL) Industry Matching $$ Planned O&M $$ F-35 SMC AFNWC 14

15 Summary AF SBIR CPP is making a difference Establishing & implementing processes to align & connect stakeholders Establishing clear lines of communication Focusing SBIR program on Air Force & Major Ktr Tech- Based Needs Focusing attention on Major Contractor SBIR management construct Bottom Line The Air Force s new strategy is increasing the SBIR program s ROI 15

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