Installations 2030Where We Are Headed and Why

June 13, 2013

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Our Questions

What is the installation of the future? How will policy priorities (e.g., Asia

rebalance, cyber security, budget realities) affect installations?

What will installations look like and how will that impact the members of the military services and defense communities?

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Our Panel

Ms Beth Lachman, Senior Operations Research Analyst, The RAND Corporation

Mr Pete Potochney, Director, Basing, ODUSD(Installations & Environment)

Ms Anne Davis, Deputy Commander, Commander Navy Installations Command, Department of the Navy

Mr Timothy Bridges, DASAF (Installations), Department of the Air Force

Mr Mike Immler, Chief Strategy Officer, AAFES Dr Craig College, Senior Vice President Strategy

Development, CALIBRE Systems

Actions Needed to Address Key Trends that Will Shape Military Installations of TomorrowBeth Lachman

RAND Corporation

June 13, 2013

See Lachman, Beth, et al, “Key Trends That Will Shape Army Installations of Tomorrow,” at: http://www.rand.org/pubs/monographs/MG1255.html

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Key Trends Fall Into Six Main Categories

Treat strategically now to avoid high future costs Treat strategically now to avoid future harm to military operations Treat strategically now to improve capability to meet future

regulations and installation requirements Treat sooner because of the opportunity to get some benefits,

including• Save money over the long term• Improve Soldier and Family quality of life (QOL)• Improve installation operations• Improve environmental quality

Trend requires additional research to better understand its impact on Army installations

Trend requires tracking, but not immediate action

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To Avoid Future Harm to Military Operations and High Future Costs, Strategically Address Encroachment

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To Avoid High Future Costs, Proactively Implement Sustainable Building Practices and Energy Technologies

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To Improve Soldier and Family QOL, Consider Societal and Online Community Trends

ODUSD(I&E)Peter PotochneyDirector, Basing

13 June 2013

OASAF (IE&L)Timothy BridgesDeputy Assistant Secretary of the Air Force (Installations)

13 June 2013

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Four Priorities

• AF Need for BRAC and European Infrastructure Consolidation

• Fewer bases, smaller bases

• P4…doing installations support activities differently• Shared services supports long term vitality

• Encroachment….a bad 12 letter word for everyone…

• Energy Security

Commander, Navy Installations CommandAnne DavisDeputy Commander, CNIC

13 June 2013

Military Resale SupportMike Immler, Chief Strategy Officer and SVP, AAFES

13 June 2013

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Serving Soldiers, Airmen and Families in all 50 states and 30 countries Helping Soldiers, Airmen and their Families thrive in

these economic times

Will the services we provide today be relevant in 5 years? 20 years?

Military Community Partner

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Support Services

4,300 Exchange Associates Deployed to Combat Zones

Dividend to Soldiers, Airmen and Families

$224 Million

School Lunches Served Every Year

4.2Million

Combat Uniforms Outfittedin Last 12 Months

2Million

Exchange Associates Connected to the Military

Nearly50% 24%

Exchange Associates Who Are Military Spouses and Family Members

Wounded Warriors Hired Since March 2010

325 Exchanges in Afghanistan and Iraq44

Provider of Bakery Goods/Bottled Water Supporting U.S. Military Overseas

ONLY

Going above and beyond in the recruitment, retention, readiness and resiliency of America’s fighting force

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Preparation for Future

Demographics 80% of patrons live off the installation 40% live more than 20 miles

The next generation will be more attached to technology, more fragmented and more culturally diverse

Consumers will expect a seamless experience across shopping channels

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Preparation for Future

Commercial activities Integrated master planning (retail, food, entertainment) Build on lessons from Lifestyle Centers

Create destination for families Pilot military “outlet” concept

Likely to be

self-sufficient by 2025

Installations 2030Where We Are Headed and Why

June 13, 2013

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