Leveraging Open Innovation to Transform Defense Contracting Practices
Consultant: Erwin Godoy – Exponential Scout
Problem Statement
A large U.S. Department of Defense agency was preparing to award a large and costly contract to a traditional defense contractor for a capability that commercial technology startups were already advancing faster and more cost-effectively.
Resolution
To address this challenge, the team launched the Disparate Data Challenge via Challenge.gov, seeking intuitive and innovative capabilities to discover, retrieve, and analyze data across disparate formats, schemas, interfaces, and locations. The team worked closely with the agency's contracting office to design a novel competition that leveraged AI and intentionally engaged the commercial technology ecosystem.
The challenge was conducted in two phases:
Phase 1
Participants submitted functioning capabilities demonstrating access to and retrieval of representative datasets. From hundreds of submissions, 15 winners were selected, each receiving a $10,000 award.
Phase 2
Phase 1 winners participated in a "Dem-o-thon" in Washington, D.C., presenting white papers, videos, and live demonstrations to a panel of judges.
The grand prize winner received $25,000 for a solution that integrated big data search and discovery with intuitive tools for analysts and was easily compatible with commonly used software.
Impact
This initiative demonstrated the effectiveness of engaging startups and commercial technology innovators, delivering transformative solutions at a fraction of the cost of traditional approaches. It also prompted the agency to reconsider established defense contracting practices, creating momentum toward more agile and cost-effective innovation models.