Rewriting the Rules of War: Inside the Pentagon’s Bold Plan to Fix Defense Acquisition—For Real This Time

 

November 11th, 2025

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Major General Arnold Punaro, USMC (Ret.), believes the Pentagon may finally be on the verge of real, lasting reform in defense acquisition—but only if the Department of Defense, Congress, and industry are willing to change together. In a new episode of Fed Gov Today with Francis Rose, Punaro says the sweeping Acquisition Transformation Strategy unveiled by Secretary of Defense Pete Hegseth is the most promising shift he’s seen in decades.

Punaro explains that the challenge isn’t just about creating new policies—it’s about retraining the entire acquisition workforce, both military and civilian. “They’ve not been trained in the way the Secretary wants,” he says. “It’s not their fault. They’re doing exactly what they’ve been told to do, and what they’ve been trained to do.” He compares this moment to the sweeping changes of the Goldwater-Nichols Act of 1986, which took nearly a decade to take hold. While he doesn’t expect reform to take that long this time, he emphasizes that genuine transformation requires patience, persistence, and leadership.

For the first time in many years, Punaro sees alignment among the three parts of what he calls the “iron triangle”—the Department of Defense, Congress, and industry. Congress is advancing legislation like the Forge Act and Speed Act, while the Office of Arnold Punaro.jpgManagement and Budget and the Pentagon are working to streamline the Federal Acquisition Regulation (FAR). Industry, too, is showing a willingness to innovate and adapt. “All three legs of that triangle are working on reform,” Punaro says. “That’s why I’m optimistic.”

But optimism doesn’t erase the obstacles. Punaro points out that the acquisition workforce is massive—nearly 187,000 people, including 35,000 contracting officers—and that entrenched bureaucracy can slow progress. The government’s risk-averse culture, he adds, remains one of the biggest barriers. “The government has very little concept of the value of time or money,” he says. “Industry would love to take risks, but you don’t get rewarded for risk—you get punished for it.”

Punaro argues that the key to success lies in changing the requirements process. For too long, the services have set unrealistic or overly complex requirements that don’t align with actual warfighter needs. He praises Secretary Hegseth’s decision to simplify this process and eliminate unnecessary bureaucracy, calling it one of the most significant reforms in decades.

Another major priority, he says, is creating a true partnership between government and industry. Rather than waiting until a request for proposal is released, Punaro urges the Pentagon to engage industry early in the process. “It can’t be a one-way street,” he stresses. “If they just hand out report cards and criticize, it won’t work. There has to be open dialogue and trust.”

Looking ahead, Punaro says the success of these reforms will depend on whether leaders in all three sectors can “tame the bureaucracy” and sustain the effort beyond any single administration. He praises the overhaul of the FAR as one of the most consequential changes underway—calling it “the Bible” that governs how taxpayer money is spent.

Punaro closes the conversation on a deeply personal note, reflecting on his service in Vietnam and honoring Corporal Roy Hammonds, a Marine who gave his life protecting him. His story serves as a powerful reminder of why reforming defense acquisition isn’t just about efficiency—it’s about ensuring that America’s warfighters have the tools, technology, and support they need to succeed and survive.



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