DIIG - Defense-Industrial Initiatives Group

Who We Are

CSIS's Defense-Industrial Initiatives Group (DIIG) is dedicated to generating fact-based analyses and practical policy recommendations on issues affecting the global defense-industrial base. Our research is organized around four major areas: top-down analyses of the defense industry; bottom-up investigations of various industry sectors; initiatives on particular policy topics; and issues related to globalization.

In FY2004, DIIG completed one project on alternative futures for the defense industry, hosted a workshop on the impact of globalization on U.S. national security with CSIS's Technology and Public Policy Program, and published a monograph on the NATO AGS program and its potential symbolic and practical usefulness in mending trans-Atlantic relationships.

In FY2005, DIIG completed its involvement in two major CSIS projects. DIIG staff co-chaired the DoD Acquisition Reform working group of the Beyond Goldwater-Nichols Phase Two project and contributed to the final report. DIIG staff researched and co-authored a chapter on European defense industry issues for the European Defense Integration Project. The group held a conference on Capitol Hill focused on defense trade and cooperation issues, and hosted a one-day conference in Washington D.C. on the health of the global defense-industrial base. Furthermore, DIIG launched a study of the professional services industry in FY2005 and continued to undertake its major study on the U.S. defense-industrial base, "Strengthening the Core". Throughout the year, DIIG staff made over 40 presentations at conferences and to corporate, Congressional, government and academic audiences. DIIG staff also published monographs on European network-based operations/doctrines and on the impact of globalization on the defense industry.

In FY2006, DIIG continued its work on acquisition reform. DIIG staff researched and wrote a chapter for the Beyond Goldwater-Nichols Phase Three report and Mr. Chao testified before the House Armed Services Committee on the topic of acquisition reform. In addition, Mr. Chao was a member of the Defense Science Board Summer Study Assessment of Transformation acquisition task panel and was a reviewer of the DoD's Defense Acquisition Performance Assessment report. In the area of globalization, the group launched a project with the CSIS Europe group on US-UK Technology Sharing and published a working paper on the topic. Furthermore, DIIG staff participated in the roll-out of the European Defense Integration project report, continued to co-host the Forum on Transatlantic Defense Cooperation with the CSIS Europe group, continued to host the Facts and Myths of Defense Cooperation and Trade Congressional Roundtable, and co-hosted a Bilateral Polish-American Defense Cooperation conference in FY2006. As for industry studies, DIIG rolled out its study on the Federal government professional services base, undertook an assessment of the national security software industrial base for the Department of Defense, and an assessment of DoD systems engineering. DIIG also hosted/co-hosted one-day workshops on open-source software and on "Spiral Development, Real Options and Other Development Methodologies". Furthermore, DIIG launched a major project titled, "Organizing for Complexity", which is looking at the management of large, complex system-of-systems projects, and continued to undertake its major study on the U.S. defense-industrial base, "Strengthening the Core". Throughout the year, DIIG staff made over 50 presentations at conferences and to corporate, Congressional, government and academic audiences.

In FY2007, DIIG staff focused significant resources on the topic of export control reform. The US-UK Technology Sharing project, launched in 2006 continued and took on new life once the US-UK technology sharing treaty was signed by President Bush and Prime Minister Blair. In addition, the Working Group on the Health of the Space Industrial Base and Impact of Export Controls was launched and met throughout the year. Finally, CSIS was commissioned by the Department of Defense to undertake an independent study of the export control system. Aside from CSIS export control studies, Mr. Chao participated in other export control reform projects - including the Atlantic Council's seminar on US defense export controls, the Hudson Institute's conference on the global defense industry, NATO Industry Advisory Group's workshop on export control reform, the National Research Council's study on Science Security and Prosperity. Other FY2007 efforts at DIIG included a continuation of the "Organizing for Complexity" project, which is looking at the management of large, complex system-of-systems projects. The group delivered an update to its Evolution and Structure of the Professional Services Industry study and continued the Logistics for the 21st Century Dinner Series. Throughout the last year, DIIG staff made over 40 presentations at conferences and to corporate, Congressional, government and academic audiences.

Major DIIG efforts currently under way:

Study on Export Controls Regulations and National Security study
"Organizing for Complexity" is a look at the organizational strategies and analytical tools needed to undertake large, complex, system-of-systems development projects
A third annual update to our study of the structure and dynamics of the U.S. professional services base.
We are also hosting the Forum on Transatlantic Defense Cooperation, in partnership with the CSIS Europe Program

For more information, please contact Guy Ben-Ari at gbenari@csis.org

Our Staff

>> David J. Berteau

David J. Berteau is Senior Adviser and Director of the Defense Industrial Initiatives Group for the Center for Strategic and International Studies in Washington, DC. He directs CSIS on issues related to the health and management of the defense industrial base, including projects on defense acquisition reform, export controls, contracts for federal services, the U.S. defense software industrial base, and complex program management. Mr. Berteau serves on Defense Science Board task forces on the defense industrial structure and on integrating commercial systems into defense. He also serves on the Secretary of the Army’s Commission on Army Acquisition and Program Management in Expeditionary Operations. Prior to coming to CSIS, he was Director of National Defense and Homeland Security for Clark & Weinstock, with state governments, academic institutions, associations, and private firms as clients. The former Director of Syracuse University’s National Security Studies Program, Mr. Berteau is an Adjunct Professor at Georgetown University, a member of the Defense Acquisition University Board of Visitors, and a Director of the Procurement Round Table. He is a Fellow of the National Academy of Public Administration, a member of the Federal Outreach Advisory Committee of the Association of Defense Communities, and chair of the National Research Council’s 2005 study of printed circuit boards for national security. Previously, Mr. Berteau was a Senior Vice President at Science Applications International Corporation (SAIC) for seven years, and he served in the Defense Department for 12 years under four Defense Secretaries, including four years as Principal Deputy Assistant Secretary of Defense for Production and Logistics. Mr. Berteau graduated with a B.A. from Tulane University in 1971 and received his Master’s degree in 1981 from the LBJ School of Public Affairs at the University of Texas.

>> Pierre Chao

Senior Associate
Phone: (202) 775-3128
E-mail: pchao@csis.org

Pierre Chao is a Senior Associate with the Defense Industrial Initiatives Group at CSIS. He is also the co-founder and Managing Partner of Renaissance Strategic Advisors..

From 2003-2007, Pierre was a Senior Fellow and Director of the Defense-Industrial Initiatives Group. Before joining CSIS in 2003 and founding DIIG, Pierre was a managing director and senior aerospace/defense analyst at Credit Suisse First Boston from 1999-2003, where he was responsible for following the U.S. and global aerospace/defense industry. He remained a CSFB independent senior adviser from 2003-2006.

Prior to joining CSFB, Pierre was the senior aerospace/defense analyst at Morgan Stanley Dean Witter from 1995-1999. He served as the senior aerospace/defense industry analyst at Smith Barney during 1994 and as a director at JSA International, a Boston/Paris-based management-consulting firm that focused on the aerospace/defense industry (1986-88, 1990-93). Pierre was also a co-founder of JSA Research, an equity research boutique specializing in the aerospace/defense industry. Before signing on with JSA, he worked in the New York and London offices of Prudential-Bache Capital Funding as a mergers and acquisitions banker focusing on aerospace/defense (1988-90).

Pierre garnered numerous awards while working on Wall Street. Institutional Investor ranked Pierre's team the number one global aerospace/defense group every year eligible from 2000-02 and he was on the Institutional Investor All-America Research Team every year eligible from 1996-2002. He was ranked the number one aerospace/defense analyst by corporations in the 1998-2000 Reuters Polls, the number one aerospace/defense analyst in the 1995-99 Greenwich Associates polls, and appeared on the Wall Street Journal All-Star list in four of seven eligible years.

In 2000, Pierre was appointed to the Presidential Commission on Offsets in International Trade. He was a member of the 2005 Defense Science Board Summer Study (Assessment of Transformation), 2006 DSB Summer Study (Strategic Technology Vectors), and the 2006/2007 DSB Task Force on the Health of the Defense Industry. He is also a guest lecturer at the National Defense University and the Defense Acquisition University. Pierre has been sought out as an expert analyst of the defense and aerospace industry by the Senate Armed Services Committee, the House Science Committee, Office of the Secretary of Defense, DoD Defense Science Board, Army Science Board, NASA, DGA (France), NATO and the Aerospace Industries Association Board of Governors.

Pierre earned dual Bachelor of Science degrees in Political Science and Management Science from M.I.T.

>> David Scruggs

Senior Associate
Phone: (202) 775-3255
E-mail: dscruggs@csis.org

David Scruggs is a Senior Associate, International Security Program, Defense-Industrial Initiatives group. From 2004-2007, David was a Senior Fellow with DIIG. Prior to joining CSIS, David was the director of Washington D.C. operations for JSA Partners, a Boston-based management consulting firm serving aerospace, defense and telecommunications clients in the U.S. and Europe. He advised Global 500 companies on market and competitive strategies at the division, group and corporate levels. He also worked closely with the Department of Defense's Office of the Secretary of Defense.

Before joining JSA, he was a manager with A.T. Kearney's Global Aerospace and Telecommunications Practices (1994-1999) based in Boston and Washington D.C. While at Kearney, major assignments included technical due-diligence on commercial satellite programs, analyzing aerospace and defense opportunities in emerging and post-communist countries, and performing market and strategy analyses for aerospace and defense primes. Positions prior to A.T. Kearney include: Vice President of Security Pacific Realty Ventures (1990-1992), Vice President of Security Pacific National Bank (1986-1990) and Assistant Vice President of Lloyd's Bank California (1982-1986).

David holds a MA degree in International Law & Diplomacy from the Fletcher School, Tufts University and BA degrees in Economics and History from the University of California, Santa Barbara.

>> Guy Ben-Ari

Fellow
Phone: (202) 775-3206
E-mail: gbenari@csis.org

Guy Ben-Ari is a Fellow with the Defense Industrial Initiatives group at CSIS, where he specializes in U.S. and European defense technology policies. Prior to joining CSIS he was a research associate at the George Washington University's Center for International Science and Technology Policy and a consultant for the European Commission and the World Bank focusing on innovation policy and evaluation. He holds a BA in political science from Tel Aviv University and a Master's degree in Science, Technology and Public Policy from The George Washington University. He is co-author of "Bridging the Gap: European C4ISR Capabilities and Transatlantic Interoperability" (National Defense University, 2004).

>> Greg Sanders

Research Associate
Phone: (202) 741-3916
E-mail: gsanders@csis.org

Greg Sanders is a Research Associate with the Defense Industrial Initiative Group (DIIG) at CSIS where he gathers and analyzes data on American defense policy issues. In addition to this report, he has worked on DIIG's Software Industrial Base study and Complexity Series. He previously worked as an intern for CSIS's Global Strategy Institute where he focused on studying long term global trends. Mr. Sanders holds a M.A. in International Relations from the University of Denver and a B.A. in Government and Politics and a B.S. in Computer Science from the University of Maryland.

>> Alumni:

Rachel Baguley, Visiting Fellow 2003-04, U.K. Ministry of Defense
Ronnie Eng, Research Associate 2004
F. Michael Donohue, Research Associate 2004-2005
Linda Brandt, Visiting Fellow 2005, Professor in the Department of Acquisition at the Industrial College of the Armed Forces (ICAF), National Defense University.
Seth Seifman, Research Associate 2004-2006, subsequently joined JPMorgan Aerospace & Defense Equity Research team
Jeremiah Gertler, Senior Fellow, 2006, subsequently joined the Aerospace Industries Association as Assistant Vice President of Defense Policy

>> Interns:

Ryan Purnell, Intern Summer 2003, George Washington University graduate student
Ronnie Eng, Intern Fall 2003, former Morgan Stanley Equity Research
Eric Kwiatowski, Intern Spring 2004, Georgetown University graduate student
Elizabeth Streiff, Intern Summer/Fall 2004, Georgetown University graduate student
Emily A. Martin, Intern Summer 2005, Villanova University student
Matthew Ritchie, Fall and Summer intern 2006, UNC Chapel Hill
Katie Abbott, Summer intern 2006, College of Charleston