West Virginia Executive Fall 2022 | Page 42

2019 Defense Contracts By Type 1 % Research & Development
9 % Service
Source : Office of Local Defense Community Cooperation — Defense Spending by State , FY 2019 .
90 % Supplies & Equipment
2020 Defense Contracts By Type 3 % Research & Development
10 % Service
38 % Supplies & Equipment
49 % Construction
Opportunities for Growth
The defense industry supply chain is an important part of West Virginia ’ s economy in part because of its strong manufacturing sector . This creates a growth opportunity not just for defense contractors but also for existing and potential downstream suppliers .
“ There is an opportunity for downstream suppliers from multiple sectors — steel manufacturers , aluminum manufacturers , wiring , chemicals , IT services , engineering services — to participate ,” says Clark .
According to David Satterfield , director of asset development at WVU and WVNDIA board member , West Virginia has an important role to play in the resiliency and reshoring of the defense supply chain .
“ Because of our proximity , skilled labor , institutions of higher education and the quality of the manufacturers in our state , West Virginia has a unique opportunity to expand and enhance its contributions to this important sector ,” he says . “ Some of the largest contributing states to the defense industry are our contiguous neighbors . I am proud that West Virginia is actively pursuing this opportunity .”
The Azimuth team demonstrates their Diver 6 safety and tracking system in Panama . Photo by Azimuth , Inc .
Source : Office of Local Defense Community Cooperation — Defense Spending by State , FY 2020 .
Today , West Virginia leaders are checking these boxes and championing the defense industry in a myriad of ways , including the recent launch of the West Virginia chapter of the National Defense Industrial Association ( NDIA ). The NDIA is a nonpartisan , nonprofit organization that educates its members on all aspects of national security and provides a platform for government , industry and academia to collaborate on solutions that advance the country ’ s defense needs .
The NDIA has six strategic priorities , including promoting technological innovation , fostering small business success and strengthening the nation ’ s defense workforce , and these are the areas in which the West Virginia chapter will shine .
The West Virginia NDIA ( WVNDIA ) chapter was created to support national security by growing and enhancing the defense industry and federal contracting in West Virginia through networking and collaboration and by increasing opportunities for business development .
“ The NDIA is the place in West Virginia that everybody and every company interested in contributing to the defense industry can come to meet , share ideas and work to strengthen our industry ,” says Craig Hartzell , president , CEO and founder of Azimuth Inc . and president of the WVNDIA . “ It is a place we can have strategic discussions with state leaders and prime contractors about ensuring the sector is strong and growing in West Virginia . Finally , it is a place we can collaborate and coordinate our local efforts in the best interests of our nation ’ s defense industry needs .”
Overcoming Obstacles
In 2020 , West Virginia received $ 1 billion in DOD contracts . While this represents an exciting economic impact and growth opportunity , there are also significant barriers to entering the federal contracting arena .
Satterfield says that in addition to meeting the quality standards and performance aspects of its own industry , there are additional qualifications that must be met for a
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WEST VIRGINIA EXECUTIVE