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• Air Force purchases differ from those of other services; purchases should be compared to the Navy and perhaps the Army, not the Department of Defense as a whole.
• Considering budget categories, as well as industry and Product or Service codes, helps identify possible small-business contracts.
• Extant data is useful but limited. A larger amount of data (two to three financial years) would refine accuracy.
• Changing certain market definitions to identify areas with more or less small-business saturation would improve the methodology.

The Air Force is trying to increase small-business use and identify industries that have the most potential for increasing small-business utilization. This report examines the Air Force Small-Business Performance Expectations Methodology with the goal of improving it to identify small-business opportunities. The report recommends that efforts to increase small-business spending should take into account differences between the Air Force's and other services' buying requirements as well as the importance of budget categories, using industry/Product or Service code/budget-category combinations to identify small businesses. Changing certain market definitions to identify areas with more or less small-business saturation would improve the methodology. Additionally, industry small-business size standards should be considered. A larger amount of data, including the last two to three years of data, would help monitor and refine accuracy.

• Chapter One

  Introduction

• Chapter Two

  Current Performance Expectations Methodology

• Chapter Three

  Air Force Small-Business Spending by MAJCOM and PEO

• Chapter Four

  Air Force Small-Business Spending by Budget Category and Industry

• Chapter Five

  Refining the Performance Expectations Methodology

• Chapter Six

  Conclusions