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Another Look at Counterfeiting Trends

June 28, 2016.

Fred Schipp


Fred Schipp is an electrical engineer with the Naval Surface Warfare Center in Crane, IN. Over the past 8 years he has spent the majority of his time addressing counterfeit electronic parts prevention for Navy and Missile Defense Agency programs, including broker and contractor audits, authentication of suspect parts, policy development, and training. He has also supported the development of various DoD procedures and industry standards. Fred also enjoys sunset walks, a good micro-brew, and short biographies - not in that order.


The counterfeit part threat continues to evolve. GIDEP and ERAI reports reveal trends over the past few years that are discussed in this presentation, such as resale of counterfeit parts, most effective detection methods, quality of reports, preferred industry standards, etc.


The Naval Sea Systems Command is comprised of command staff, headquarters directorates, affiliated Program Executive Offices (PEOs) and numerous field activities. Together, we engineer, build, buy and maintain ships, submarines and combat systems that meet the Fleet's current and future operational requirements. Naval Sea Systems Command (NAVSEA) is the largest of the Navy's five system commands. With a fiscal year budget of nearly $30 billion, NAVSEA accounts for one quarter of the Navy's entire budget. With a force of 70,000 civilian, military and contract support personnel, NAVSEA engineers, builds, buys and maintains the Navy's ships and submarines and their combat systems. To accomplish this, NAVSEA manages 150 acquisition programs and manages foreign military sales cases that include billions of dollars in annual military sales to partner nations. The origin of NAVSEA dates to 1794, when Commodore John Barry was charged to oversee the construction of a 44-gun frigate and ensure that all business "harmonized and conformed" to the public's interest.

Today, the NAVSEA organization has 33 activities in 16 states. NAVSEA strives to be an efficient provider of defense resources for the nation, and it plays an important role in the Navy Enterprise. As a Provider Command, it has the responsibility of directing resource sponsors into the proper mix of manpower and resources to properly equip the fleet. NAVSEA has the further responsibility of establishing and enforcing technical authority in combat system design and operation. These technical standards use the organization's technical expertise to ensure systems are engineered effectively, and that they operate safely and reliably.