In securing our future, innovation is imperative.

• Author: Farrell, Lawrence P., Jr.
• Position: PRESIDENT'SPERSPECTIVE - Company overview

Throughout U.S. history, advances in military capability have been fueled by innovation. The military services consistently have managed to use technology in new and creative ways to improve battlefield effectiveness.

The application of existing technology is a quick and effective way of enabling U.S. forces to out-think enemies by penetrating the adversary's decision-making cycle, known as the OODA loop (Observe, Orient, Decide and Act).

The nation also has turned to invention for military capability. This is how the Defense Department has acquired many of its major systems and platforms, with long and costly development timelines, and pushing state of the art so vigorously that schedule and cost overruns have become common.

But the era of big invention is coming to a close, at least for the foreseeable future. Even today's generous budgets cannot support existing acquisition plans in the context of the nation's unsustainable economic circumstances.

So where do we go now? One answer may be found in a quote from an old British flag officer. "We are now out of money, so we must begin to think." The financial problems we face are truly staggering. The numbers are so big as to be incomprehensible. The scientist Richard Feynman put it well: "There are 10 ^ 11 stars in the galaxy. That used to be a large number. But it's only a hundred billion. It's less than the national deficit. We used to call them astronomical numbers. Now we should call them economical numbers."

In the defense business, it is clear that things must change. Perhaps we should return to the basics of innovation.

The Coast Guard recently hosted its 10th Innovation Exposition. Its leaders celebrated a decade of pursuing novel ways of doing business, while applying existing technology to create efficiencies and new capabilities. One could argue that the Coast Guard is ahead of the other services in valuing and using innovation. According to one official, "A productivity boom has transformed how private enterprises react to the customer and changing markets while the federal government remains largely unchanged and lagging behind in terms of efficiency, agility and service quality."

Senior vice president of FedEx David Zanca spoke at the conference on this issue. He asserted that real innovation does not equal invention, but arises from creative application of existing technology. He cited several examples from his own company: an iPhone app for FedEx services, a shipping app on...