- Navy launches three new acquisition portfolio organizations
- Reforms aim to speed capability delivery and reduce oversight silos
- New structure expands focus on mission integration and munitions production
The Department of the Navy has advanced its acquisition reform effort with the creation of three new portfolio acquisition executive organizations focused on aviation, mission systems and munitions.
The Navy said Monday the new organizations — PAE Aviation, PAE Mission Systems and PAE Munitions — are part of a broader overhaul designed to streamline acquisition, reduce fragmented oversight and align authority across major capability portfolios.
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Who Will Lead the New PAEs?
Three senior acquisition leaders are named as interim PAEs:
- Vice Adm. John Dougherty will lead PAE Aviation
- Jim Day will oversee PAE Mission Systems
- Paul Mann will head PAE Munitions
The additions bring the Navy’s total number of PAEs to nine, joining organizations responsible for maritime systems, undersea systems, robotic and autonomous systems, industrial operations, Marine Corps programs, and strategic systems.
What Changes Under the PAE Model?
The PAE construct significantly expands the scope and authority previously held by program executive offices.
Under the new structure, PAEs are responsible for entire capability portfolios, including associated technical, contracting and sustainment functions.
Jason Potter, acting assistant secretary of the Navy for research, development and acquisition, said the reforms are intended to eliminate barriers slowing capability delivery and consolidate accountability under a single authority.
The changes are tied to the Navy’s broader warfighting acquisition system initiative and Secretary of War and Wash100 awardee Pete Hegseth’s directive to treat acquisition as a warfighting function focused on rapid adaptation and delivery speed.
How Will PAE Mission Systems Operate?
PAE Mission Systems will consolidate elements from several Navy acquisition and operational organizations, including Program Executive Office Command, Control, Communications, Computers and Intelligence; PEO Digital and Enterprise Services; PEO Integrated Warfare Systems; Naval Information Warfare Systems Command; Naval Air Systems Command; Naval Sea Systems Command; and Marine Corps Systems Command.
The organization will serve as a central mission integrator supporting kill chain integration, interoperability and operational efficiency and oversee initiatives such as Program Manager Overmatch and the Long Range Naval Fires Office.
The structure is intended to create a more streamlined pathway for commercial and nontraditional technology providers to work with the department through solutions-based acquisition models, with a focus on modular open systems approach technology.
What Will PAE Munitions Do?
PAE Munitions will consolidate Navy and Marine Corps weapons programs into a single enterprise-level structure to accelerate production capacity and align the industrial base.
The organization is divided into four areas: weapons industrial base, air weapons, surface weapons, and advanced capabilities and innovation.
Programs that will transition into the organization include Tomahawk weapons systems, precision strike weapons, air-to-air missiles, terminal defense systems and NATO Seasparrow initiatives.
Mann said the organization will focus on accelerating production of affordable, high-volume munitions while reducing acquisition bottlenecks and improving industrial coordination.
How Is PAE Aviation Structured?
PAE Aviation will oversee acquisition efforts for carrier strike and Marine Corps aviation, as well as maritime intelligence, surveillance and reconnaissance, and nuclear command, control and communications.
The organization includes a Rapid Capability Cell intended to accelerate adoption of commercial technologies, support rapid prototyping and accelerate fielding of urgent operational capabilities.
“Our acquisition workforce is critical to our warfighting capability and will demonstrate a fleet-first, warfighting ethos,” Dougherty said. “Together, we will operate with a digital first mindset, aligning around shared goals, measuring progress to plan and informing our decisions with data.”
