Overcoming Barriers to Technology Adoption in Small Manufacturing Enterprises (SMEs)

Small manufacturing enterprises (SMEs) are critical to the defense industry of the United States. SMEs account for an average of 20% of the prime contracts and 40% of the subcontracts awarded by, or on behalf of the Department of Defense. Suppliers, especially small businesses, also generate 80% or more of the manufacturing value-added of some weapon systems. Nevertheless, data from the National Coalition for Advanced Manufacturing (NACFAM) and other organizations indicate that many SMEs are unable to support the defense industry because they lack the required technologies. This report summarizes technology demonstrations, workforce development activities, and technology development efforts of the Technology Insertion Demonstration and Evaluation Program. The knowledge gained from these activities can help SMEs to overcome technology adoption barriers and acquire the capabilities that the defense industry requires.