Specifically, ODUSD(IP) is responsible to ensure that DoD policies, procedures, and actions: (1) stimulate and support vigorous competition and innovation in the industrial base supporting defense; and (2) establish and sustain cost-effective industrial and technological capabilities that assure military readiness and superiority.

ODUSD(IP) does so by: (1) monitoring industry readiness, competitiveness, ability to innovate, and financial stability as the Department moves to capabilities-based acquisitions in an era of network-centric warfare; (2) leveraging DoD research and development, acquisition, and logistics decisions to promote innovation, competition, military readiness, and national security; and (3) leveraging statutory processes (for example, the Defense Priorities and Allocations System, Hart-Scott-Rodino antitrust evaluations, Exon-Florio Committee on Foreign Investment in the United States evaluations) also to promote innovation, competition, military readiness, and national security.