Rockets fired by Palestinian militants from Gaza City are intercepted by the Israeli Iron Dome defence missile system in the early hours of October 8, 2023. (Photo by EYAD BABA / AFP) (Photo by EYAD BABA/AFP via Getty Images)
There is no leadership principle more universally recognized and validated than this: “You get what you reward.” Whether training service dogs at New Skete Monastery or deploying an “Iron Dome” missile defense system in orbit, the key to success is the same: Incentivize the right behaviors and, just as crucially, refuse to reward the wrong ones.
Yet, when it comes to urgent national security needs, Washington’s default response follows an all-too-familiar script. Bureaucrats dust off a sole-source, cost-plus contract, hand it to one of the usual defense primes, and rush out a press release touting their “responsiveness.” The result? Decades-long, bloated “space programs to nowhere” that consume billions without ever delivering an operational system. These no-bid, cost-reimbursed contracts primarily reward primes with well-connected lobbyists and overhead schemes designed to game the system — not those actually capable of solving the problem. Worse, they incentivize spending over results: As long as the program continues, so does the flow of money.
That challenge is no longer hypothetical. Last month, President Donald Trump signed an executive order launching “Iron Dome for America” — a bold initiative aimed at defending the US against ballistic, hypersonic, and cruise missile threats. On paper, it’s exactly the kind of forward-thinking defense program the nation needs; in practice, whether it delivers on its promise or becomes another expensive boondoggle depends entirely on the execution.
Defense Secretary Pete Hegseth has made it clear that this project is a priority, aligning with the administration’s broader push to modernize US military capabilities. To jumpstart the effort, the DoD has been given just 60 days to produce a comprehensive implementation plan — a breakneck pace for a government program of this scale.
But urgency alone isn’t enough. So how do we ensure that the Iron Dome for America doesn’t become another example of wasted billions and unmet promises? The answer lies in rewarding the right behaviors — those that drive results, not bureaucratic inertia that will turn it into a punchline at some future Space Symposium. That means structuring the program to incentivize speed, efficiency, accountability, and common-sense leadership from day one.
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For the engineers and technicians designing these capabilities to raise an Iron Dome, the challenge is immense. But for Washington bureaucrats who need only to structure the contracts properly, it’s not much harder than applying basic common sense. And that part is decidedly not rocket science. For America’s Iron Dome, that means sticking to these non-negotiable principles:
Is there an urgent need for an initial capability? Then make schedule your highest priority: Set a firm two-year delivery date if that’s what it takes, with additional incentives for early completion. Write performance specifications that encourage the use of proven, state-of-the-art, off-the-shelf systems and subsystems — no reinventing the wheel just to pad development contracts.
Want to further minimize schedule risk to the government? Demand proven technology: Select only companies with demonstrated flight heritage — those that have already put their satellites, rockets, and networks in orbit. These companies have either delivered for the government before or risked private capital to prove their capabilities. Unless absolutely necessary, do not fund the development of bespoke, military-unique technology that will become obsolete before it’s even deployed.
Want to prevent contractor buy-in without real commitment? Make payment contingent on delivery: If you pay for billable hours, you’ll get a lot of them. But if you want actual missile defense capability, pay only for delivery. Fixed-price contracts should be the rule, not the exception. The defense industry has been running on a law firm model for too long — where revenue is based on the hours billed, not the results produced.
Need to ensure long-term sustainability? Forget bureaucratic paper trails — lock in future support: Instead of buying endless reams of costing data and bills of materials that no one will ever read, bake in fixed-price options for maintenance and autonomous operations of on-orbit capabilities. If the government wants these systems to remain viable in the decades ahead, it needs to plan for that now — not scramble to figure it out later.
The sheer size and importance of the American Iron Dome effort means it will inevitably end as either a case study in success or one of failure. The difference comes down to common sense leadership — whether decision-makers have the discipline to reward what works and refuse to incentivize what doesn’t.
Of course, critics are already asking how we can afford a new program like this. But the real question isn’t how much we spend — it’s how well we spend it. Washington doesn’t necessarily need a top-line budget increase to make this happen. It needs better priorities.
Right now, this initiative is at a crossroads. Follow the familiar path of unchecked spending and bureaucratic inertia, and it will become just another cautionary tale. But if it stays fiscally disciplined, technologically adaptive, and relentlessly results-driven, it can set a new standard for national security programs.
Anything less, and America’s Iron Dome won’t be a breakthrough. It will be just another over-promised, under-delivered venture — one we can’t afford to repeat.
Charles Beames is the executive chairman of the SmallSat Alliance and chairman of York Space Systems.
