- The Navy has introduced the AI Efficiency Challenge to measure productivity gains
- The challenge uses a four-step methodology to document AI-enabled efficiency gains
- The 2026 Navy Summit will explore AI, digital engineering, network modernization and more
Navy Chief Technology Officer Justin Fanelli said the Department of the Navy’s AI Efficiency Challenge is “an ROI contest,” adding that the initiative encourages personnel to demonstrate how better artificial intelligence tools can deliver greater outcomes through measurable productivity gains, GovCIO Media & Research reported Tuesday.
Attend the Potomac Officers Club’s 2026 Navy Summit on Aug. 27 to hear firsthand how the service and its partners are accelerating innovation across the maritime domain. The event will feature panel discussions about AI, digital engineering, autonomous systems, network modernization, the hybrid fleet and other priorities shaping the future of naval operations. Register now!
What Is the DON AI Efficiency Challenge?
The challenge invites service personnel and civilian employees to submit measurable, repeatable AI use cases supported by verified time-saving data. It uses a departmentwide scoreboard and transparent metrics to showcase productivity gains and encourage broader participation.
The effort stems from a March memorandum co-authored by Fanelli outlining the Navy’s approach to accelerating generative AI adoption in response to a Department of War directive calling for the transition to the GenAI.mil platform.
How Will the Challenge Measure Productivity?
The DON memo established a four-step methodology for documenting AI-enabled productivity improvements across Navy and Marine Corps organizations:
- Establish baselines by measuring the time required to complete routine workflows without AI assistance
- Measure AI-assisted performance by tracking the time required to complete the same tasks using AI tools
- Evaluate output quality to ensure AI-generated work remains effective
- Record efficiency data through a centralized Navy portal
Why Is the Navy Highlighting “Mavericks”?
Fanelli, a 2026 Wash100 awardee, told GovCIO in an interview that the department is seeking to identify decentralized innovation already taking place across the workforce by recognizing what he called “high-achieving mavericks.”
“We found the mavericks who were leaning farthest forward, and we wanted to share their work with the rest of the workforce so that we can get as many people on the lean forward boat as possible quickly,” Fanelli said. “We see that happening now. We want to make sure that it is institutionalized and that we are able to document the success stories.”
What’s Next for the Navy’s AI Efforts?
According to Fanelli, DON plans to expand the initiative through rolling challenges, localized competitions and hackathons.
He said the department sees AI as an opportunity to achieve savings while improving mission delivery across the service. Fanelli added that AI also has the potential to eliminate low-value work and improve overall workflows as adoption continues to expand.
The challenge aligns with DON’s recent efforts, including the launch of a national talent search to recruit top commercial technology professionals into the Navy Reserve’s Navy Innovation Unit to help address national security challenges.
In 2025, Fanelli, then acting CTO, issued a memo outlining his office’s priority technology areas to help guide modernization efforts.
