In a time when defense officials are hunting everywhere for savings, a new study has found what might be the missing element that could save the Defense Department billions of dollars: Trust.
DOD’s distrust of defense contractors has led to the creation of a significant bureaucracy, according to several university researchers, who released a report in May. DOD currently spends $400 billion each year acquiring products and services from its contractors. About $100 billion of the money is spent on administrative costs, according to the study, based on interviews with 80 defense contractor executives.
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