Defense and Space Manufacturing Business Guide
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All 50 Documented Cases
CAS-Nichtkonformität und Vertragsstrafen bei Rüstungsaufträgen
Contract termination risk (loss of 100% revenue stream); estimated audit remediation: €50,000–€200,000+ per contract; penalty fines under FAR 48 CFR Part 31; potential suspension from future US contractsGerman contractors serving US defense procurement face mandatory CAS compliance. Failure to maintain consistent cost accounting practices across contracts, properly allocate indirect costs, or timely update Disclosure Statements (Form CASB DS-1) results in DCAA audit findings, potential contract termination, and business relationship damage with US Government customers.
Verzögerte Vertragsabrechnung durch CAS Disclosure und Audit Compliance
Estimated 60–180 day payment delay on initial contract value; for €5M contract at 5% cost of capital: €41,667–€125,000 working capital cost; accounts receivable aging increases by 45–90 daysCAS-covered contracts require submission and ACO approval of Disclosure Statements before payments are released. DCAA audits the DS to verify compliance with CAS and FAR Part 31, issuing formal audit reports. The ACO then issues an adequacy determination. Until this determination is documented, interim payments or final invoices may be held, creating significant cash flow drag for German contractors with limited US government payment infrastructure.
Manuelle Exportkontroll-Compliance und Bottlenecks in der Lieferkettenabwicklung
5–15 business days delay per shipment; typical manufacturing facility idle time cost: €2,000–€5,000/day = €10,000–€75,000 per shipment in lost capacity. For a company shipping 10–20 defense products monthly: €100,000–€1,500,000 annual capacity lossITAR compliance requires formal documentation, licensing applications, and pre-shipment verification before any export can occur. Manual processes introduce 5-15 business day delays per export shipment. During this period, inventory is held, production slots remain blocked, and customer delivery commitments are at risk. The DDTC licensing process is explicitly described as 'generally more complex and time-consuming than EAR,' creating extended wait times. German companies must also track which products contain ITAR-controlled components, requiring engineering and supply chain cross-functional collaboration that is inefficient when manual.
Kapazitätsverluste durch Engpässe in Subunternehmer-Anforderungsflow
Multi-million € delays per program ramp-up; 10-20% capacity idle in supply chains[1][3]Geopolitical pressures demand rapid inflow but manual processes bottleneck Tier 2/3 coordination, as seen in German naval and Bundeswehr logistics contracts[1][3].