Infrastructure Projects in Hostile Environments: NATO Utilizing In-House Resources Vis-à-Vis Multinational Businesses

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ABSTRACT

Over the past ten years, the Department of Defense (DOD) has become increasingly reliant on contractors to perform a myriad of functions, including logistics support and force protection, in support of contingency operations. These contractors are necessary for many reasons, often compensating for a decrease in force size or a lack of capability within the DOD. Due to this increased reliance on contractors, the DOD has encountered numerous issues during contingency operations in Iraq and Afghanistan, including increased scrutiny on the overall costs of these contracts. While the DOD has acknowledged these issues and made improvements, there is still significant work to be done. This paper will address historical uses of contractors in support of contingency operations, the reasons for the increased reliance on contractors, and the issues encountered. It will examine the improvements across the DOD and the Army, as well as recommendations for future actions to improve contingency contracting. Ultimately, the DOD will continue to rely on contractors in future contingency operations. By continuing to improve contingency contracting operations, the DOD will be better postured for success in future missions. This research examines the costs and benefits to NATO Infrastructure program in hostile environment. The paper focuses on the equitability of the cost-sharing formula and the distribution of the program's benefits. The analysis suggests that in both areas the United States is doing well. Moreover, the opportunities appear to be limited for reducing the U.S. share of the burden or for increasing its share of the benefits. For the discussion of the roles played by NATO in hostile environment we are using the case of Afghanistan and will discuss how NATO is partnering with Afghanistan and other countries and working for infrastructure projects. Since 2003, NATO's ISAF (International Security Assistance Force) mission in Afghanistan has relied on troop contributions, not only from NATO members but also from EAPC/PfP partners and so-called global partners-non-European states that have not been formally incorporated into NATO's formal partnership structures. The experience of working with these non-European allies, in particular, has been transformative as it has highlighted the need for cooperative relationships that extend beyond Europe if NATO is to function effectively in a world of increasingly global security challenges. This article explores the role of NATO partners in Afghanistan and their potential long term impact on NATO's future.

TABLE OF CONTENTS

ABSTRACT2

CHAPTER 1: INTRODUCTION5

1.1 NATO infrastructure program background6

1.2 Purpose and Scope of the Study8

1.3 Research Questions10

1.4 Limitations10

CHAPTER 2: LITERATURE REVIEW12

2.1 The Past - Historical Use of Contractors12

2.2 The Present - Increased Reliance on Contractors14

2.3 The Present - Force Cuts Drive Increased Reliance17

2.4 The Present - Privatization Leads to Increased Reliance19

2.5 The Present - Are Contractors Cheaper21

2.6 The Present - Cutting Edge Equipment Results in Increased Reliance23

2.7 The Present - Contracting and Contractor Issues24

2.8 The Present - Recent DOTMLPF Solutions26

2.9 The Future - To Contract or Not to Contract30

2.10 Nato Investment Security Program32

2.11 NATO contractors34

2.12 Issues of NATO34

CHAPTER 3: ...