Secretary of the Navy John Phelan has established a new cross-departmental portfolio aimed at reinforcing a warrior ethos and improving the quality of service across the Navy and Marine Corps. The initiative will be led by Under Secretary of the Navy Hung Cao, whose mandate ties service member readiness, family well-being and institutional accountability directly to the fleet’s operational effectiveness.
Unified Focus on People and Performance
The portfolio consolidates major functions affecting sailors and Marines — from personnel policies and housing to audit oversight and digital infrastructure — under a single leadership framework. According to Phelan, the move is designed to eliminate bureaucratic barriers, accelerate problem-solving and ensure that improvements in quality of service translate into combat power.
“Readiness starts at home and shows up on target,” Phelan said. The new structure “puts one quarterback and one playbook on the field to execute my gameplan for upgrading how we recruit, train, equip and take care of our people, so the Fleet stays the world’s premier, most lethal maritime force,” he added.
Under Secretary Cao’s Appointment
Phelan welcomed Cao to the role following his swearing-in by Secretary of War Pete Hegseth, noting his record of leadership and prior service in uniform.
“It is my pleasure to welcome Hung Cao to my Navy team; I look forward to having this experienced patriot lead on the highest priorities of the Secretary of War,” Phelan said.
Core Areas of Responsibility
Cao’s portfolio integrates multiple lines of effort central to the Navy’s operational and organizational goals:
- Quality of service: Conduct rapid inspections and upgrades of housing, healthcare, education and recreation facilities; strengthen oversight of public-private ventures; and improve nutrition programs both ashore and afloat.
- Digital and business systems: Partner with the Navy chief information officer to modernize IT and business systems, reduce downtime and streamline digital tools across the enterprise.
- Audit readiness: Oversee the auditor general to advance clean audit opinions and improve accountability and resource transparency.
- Recruiting and personnel policy: Assess recruiting standards and practices to meet end-strength goals and ensure uniform, non-negotiable standards for all applicants. Update physical fitness requirements and policies related to the rescinded COVID-19 vaccine mandate.
- Reserve reform: Implement ongoing integration efforts between active and reserve components to strengthen force readiness and operational capability.
- Wellness and suicide prevention: Coordinate department-wide mental health initiatives and represent the Navy in interagency prevention and readiness bodies.
- Permanent change of station and family support: Oversee streamlining of PCS processes and improvement of educational options for military families, including homeschooling support.
- Guam infrastructure: Review and resolve energy and material challenges to position Guam as a key power-projection platform for Indo-Pacific operations.
- Standards and warrior ethos: Implement department-wide direction to eliminate divisive programs and maintain focus on combat-ready standards.
Strengthening Force Through Standards
Phelan emphasized that the initiative aligns with Secretary of War Hegseth’s recent directive on restoring uniform, high standards across the armed forces. “When Sailors and Marines know their families are supported, housing is right, chow is quality and systems work the first time, morale rises, performance sharpens and the force delivers,” he said.
He added that his department’s efforts are designed to translate daily improvements into measurable readiness outcomes. “Minutes saved are minutes gained in the fight,” Phelan stated. “With this move I am giving my Under Secretary the responsibility and the tools to fix what slows us down and to fuel what makes us unbeatable.”
