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Shipbuilding at the Speed of Mission: How nGAP Inc.’s Tools Meet SECNAV’s Demands

  • nGAP Inc
  • Aug 8
  • 3 min read

Updated: Sep 3


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The U.S. Navy’s shipbuilding enterprise is facing serious challenges—ranging from budget overruns and delayed schedules to workforce gaps and strained supplier networks. In his August 2025 interview with USNI News, Secretary of the Navy John Phelan was candid: “Fifty-eight of 59 of our programs are behind schedule and over budget. We have problems across the shipbuilding arena” (LaGrone). To address these issues, Phelan emphasized the need for systemic change, including smarter contracting, better workforce incentives, and a unified, strategic approach to shipbuilding.


The solution? Tools that deliver real-time visibility, streamline federal procurement, and integrate performance management—capabilities at the heart of nGAP Inc.’s Open Acquisition System (OAS) and Open Concurrent Contract Modification (OCCM) software. These systems are purpose-built to resolve the inefficiencies plaguing U.S. shipbuilding and to support the level of coordination and agility SECNAV Phelan demands.


Key Takeaways from SECNAV Phelan’s Assessment

Phelan’s remarks during his visit to Hanwha Philly Shipyard paint a sobering picture:

  • Schedule and Budget Failures: Nearly all Navy shipbuilding programs are “behind schedule and over budget” (LaGrone).

  • Urgency and Strategic Focus: “We have to get urgency into the system,” Phelan declared, advocating for smarter, performance-based incentives (LaGrone).

  • Dual-Use Strategy and Industrial Base: He stressed that “commercial shipbuilding supports military shipbuilding,” advocating a stronger U.S. industrial base and dual-use shipyards (LaGrone).

  • Lifecycle Cost Awareness: Phelan called for improved planning that includes total ownership cost—not just ship price but also support infrastructure like dry docks (LaGrone).

  • Smarter Contracting: He urged that “we are going to force some more investment. We are going to force some more sharing and performance with workers,” suggesting performance-based bonuses and worker incentives (LaGrone).


How OAS and OCCM Directly Address These Challenges

1. Contracting with Performance-Based Incentives

OAS enables configurable contracting structures that include delivery milestones, performance bonuses, and shared risk clauses—all backed by real-time progress tracking. This directly supports SECNAV’s push: “If you get it done in two and a half years, I’ll pay a little more and you give X amount to the workers” (LaGrone).

2. Urgency Through Digital Workflow and Real-Time Oversight

With OCCM’s real-time dashboards and alerting systems, contracting officers, program managers, and senior leadership receive immediate updates when schedules slip or supplier delays threaten key milestones—helping to deliver the urgency Phelan demands.

3. Bridging Government and Commercial Shipbuilding

By integrating legacy financial systems with modern acquisition dashboards, OAS makes it possible to manage both commercial and defense programs in the same ecosystem. This aligns with Phelan’s vision that “dual-use commercial is going to be an important strategy for the Navy going forward” (LaGrone).

4. Total Lifecycle Visibility and Industrial Base Management

Phelan warned that costs extend beyond the hull: “It’s very easy for me to tell you, we’ll build another Ford carrier... but I’m going to need to go spend another $3-4 billion for another dry dock” (LaGrone). OCCM helps anticipate and account for these secondary infrastructure and workforce needs through cost modeling and scenario planning.


Digital Tools for Strategic Supremacy


OMB Director Russ Vought, who toured the shipyard with Phelan, added, “Just giving it an additional billion dollars is not going to give you a ship anytime sooner” (LaGrone). He emphasized that success requires strategy, transparency, and smart funding coordination—exactly what nGAP’s digital tools are designed to support.


With nGAP Inc.’s OAS and OCCM systems, the Navy gains:

  • A shared platform for all acquisition stakeholders.

  • Lifecycle insights for better cost and capacity forecasting.

  • Tools to reward timely delivery and hold suppliers accountable.

Shipbuilding at the speed of mission requires more than funding—it requires real-time, enterprise-wide agility. OAS and OCCM are ready to deliver just that.

 

Works Cited

LaGrone, Sam. “SECNAV Phelan on Shipbuilding: ‘We Have to Get Urgency into the System.’” USNI News, 1 Aug. 2025, https://news.usni.org/2025/08/01/secnav-phelan-on-shipbuilding-we-have-to-get-urgency-into-the-system.

 

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