ODAI Advancing Michigan’s Defense

Governor Gretchen Whitmer and the Michigan Economic Development Corporation (MEDC) recently launched the Office of Defense and Aerospace Innovation (ODAI) to help grow the state’s defense and aerospace industries.

Col. John Gutierrez, U.S. Marine Corps (Ret.) leads the ODAI as its executive director, but knows he’s coming into a state that’s been part of the Arsenal of Democracy since World War II. Michigan’s defense industry currently contributes $30 billion in economic activity, supporting more than 166,000 jobs with more than 4,000 businesses engaged in defense and aerospace work.

A big reason behind Michigan’s standing in the defense industry is the auto industry. Thanks to the strong ties to the city of Detroit, they’re the largest producer of military vehicles in the U.S. That, however, isn’t the only side effect of the auto industry on Michigan’s defense industry according to Gutierrez.

“Detroit’s roots provide that robust supply chain, advanced manufacturing capabilities, innovation, and engineering, which are very crucial for advanced developments in vehicles, tactical wheeled vehicles, and combat vehicles,” Gutierrez says. “And don’t forget the workforce. When I was stationed at the Joint Program Office Joint Light Tactical Vehicles, much of the civilian personnel within that office had previously worked in the auto industry and came over to the government, and it would rotate back and forth to get a lot of cross pollination, which is very powerful. That enables Michigan to be home to that highly skilled talent pool. We’re the sixth largest advanced manufacturing workforce. Together, that forms a large backbone of our defense industrial capabilities.”

Michigan’s advanced manufacturing workforce now has more help when it comes to getting into defense manufacturing as the ODAI is looking for nontraditional companies to enter the market. To help clear some of the technical hurdles of entry, the ODAI has set up a proposal writing program that pairs possible defense suppliers with professional proposal capture companies to increase their odds of being selected for government contracts. They also have an international trade team helping companies expand beyond domestic defense contracts, along with teaching and complying with International Traffic in Arms Regulations (ITAR) requirements. The ODAI has also worked closely with the Department of Defense’s (DOD) Office of Small Business Programs APEX Accelerators, and Mark Ignash, the Strategic Initiatives & Ecosystem Development Director at the ODAI, knows the importance of the partnership.

“It’s designed with states and other entities to ferry companies through and educate them from the basics of what it takes to be a defense contractor and here’s what you need to be bidding on, helping them find the resources to go after that first contract award,” Ignash says. “That’s the concierge service to walk companies through the process. It’s not just, ‘Here, read a guide, and figure it out.’”

Higher education plays a role too

The ODAI has also kept a closer eye on Michigan colleges and universities as they’ve spoken about getting defense research and development (R&D) into the Michigan Translational Research and Commercialization (MTRAC) program. The University of Michigan is the 2nd largest university spender of DOD grant dollars in the nation according to Ignash, and he expects that kind of testing and R&D opportunity to grow for students in the state.

“There’s been a realization that defense can touch every single technology MTRAC touches with these universities,” Ignash says. “Many universities are forward leaning, saying, ‘Yes, we’re in full support,’ and even those that aren’t necessarily saying that specifically, are all in on these dual use technology opportunities, the ability to get their research into the hands of the different end users, whether that be commercial work or defense.”

“there’s been a relization that defense can touch every single technology MTRAC touches with these universities”

The ODAI is also looking to students to help tackle a massive cybersecurity hurdle for companies to clear for entry into defense manufacturing. College students in Michigan can participate in cyber challenges where they practice hacking into different platforms so defense companies can learn vulnerabilities – whether they’re drone-based, maritime-based, or vehicle-based cybersecurity platforms. The state also created the CyberSmart Program to help defense manufacturers understand and comply with the latest Cybersecurity Maturity Model Certification (CMMC) certifications as the grant program cost matches companies to address gaps in cybersecurity so they can remain competitive for defense contracts. The investment in new technologies is a targeted effort by the ODAI as they look to stay ahead of evolving military needs. “The nature of warfare is continuous, it’s always evolving so I think Michigan is at the forefront of producing several new defense technologies, leveraging the industrial manufacturing base and expertise,” Gutierrez notes. “Some of the new technologies being developed and manufactured in the state are in the autonomous sphere, which we’re seeing to great extent within the Ukrainian conflict on both sides.

Unmanned air, ground, and maritime vehicles, which enhance military operations in different ways. Also, the core strength of manufacturing within the state leads to producing advanced combat vehicles and tactical wheeled vehicles, and the associated next generation armor, propulsion systems, and application technologies.”

Way Up North

While the Motor City is doing its part along with the rest of the “Mitten,” the furthest reaches of the Upper Peninsula (UP) of Michigan are also getting into the defense market. Calumet Electronics in Calumet produces printed circuit boards and other microelectronic products for defense applications. Northern Wings in Newberry does maintenance, repair, and overhaul work on defense and commercial aircraft. Creative Composites in Rapid River uses composites and advanced materials to make lightweight land vehicles and body armor. They are a few of the many companies in the UP investing heavily in the defense industry.

“Manufacturing shops are often rated by how much you have on your dock out the door, if there’s product moving something good is happening,” Ignash explains. “Loading dock after loading dock in the UP, the inbound dock has millions of dollars’ worth of advanced manufacturing equipment, not even installed yet. They’re funding it because if they believe this is what they must do to perform what’s required in a contract, they’re going to get it done. Rarely do you see this much equipment coming in. There’s a grit, a resilience, and a true passion for the defense market in the UP that’s part of what makes Michigan great within this sector.”

With the launch of ODAI to grow the state’s defense and aerospace industries, whether a company is in the UP or the Mitten, support, advice, and guidance is available to lead manufacturers working in a state known for the Ford Model T into successful defense and aerospace producers.

Michigan Office of Defense and Aerospace Innovation www.michiganbusiness.org/industries/defense

About the author: Jake Kauffman is managing editor for GIE Media’s Manufacturing Group of magazines. He can be reached at JKauffman@gie.net or 216.393.0217.