Dynamics Research Corporation
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|Traded as||NASDAQ: DRCO|
|Industry||Publicly held contractor|
|Founded||1955 (Cambridge, Massachusetts, USA)|
|Headquarters||Andover, Massachusetts, USA|
|Revenue||USD 317 million (2012, Dec)|
|Net income||USD (24.2) million (2012, Dec)|
|Employees||1,250 (2012, Dec)|
Dynamics Research Corporation (DRC®) is a United States-based, publicly held technology and management consulting contractor headquartered in Andover, Massachusetts. With multiple offices and client locations across the United States, the majority of employees work within the Washington, D.C. metro area. DRC delivers science and technology; information technology; and management consulting services, primarily for federal and state government. Over 70 percent of its business is concentrated in healthcare; research and development; homeland security; intelligence surveillance and reconnaissance; and financial/regulatory target markets.
- 1 Significant contracts
- 2 Industry awards of note
- 3 Contract vehicles
- 3.1 Government-wide acquisition contracts:
- 3.2 GSA federal supply schedules:
- 3.3 Agency-specific ID/IQ task order contracts:
- 4 Community outreach and people programs
- 5 History
- 6 References
- 7 External links
Science and technology
- DRC enhances code and delivers computational insight[clarification needed] at the National Oceanic and Atmospheric Administration’s Geophysical Fluid Dynamics Laboratory (GFDL) to help prepare objective assessments of climate change for the Intergovernmental Panel on Climate Change (IPCC).
- DRC designed and implemented the backend and interface of the DCGS-A SIPR Cloud (Secure cloud solution used by the Army in battle zones).
- DRC has worked with the Department of Defense High Performance Computing Modernization Program for over a decade to advance technologies and high performance computing.
- DRC is a FedRAMP Accredited 3PAO. This means the company is one of a few government-approved assessors who can verify cloud providers meet the requirements to offer cloud services to the federal government.
- At the U.S. Treasury, DRC developed the Secure Payment System (SPS) architecture and application to allow the Financial Management Service to distribute software globally via the Internet and receive payment schedules in the same manner (one billion transactions with values exceeding $2.5 trillion annually).
- The Federal Deposit Insurance Corporation (FDIC) Money Smart for adults, young adults, and small business was designed and developed by a team of DRC instructional system designers and programmer. The game-based learning design provides training modules on borrowing basics, financial recovery, and homeownership to mention a few. The courses are free and available online.
- DRC’s largest contract (as of the 2012 DRC annual report) was the Veterans Relationship Management Program for the Department of Veterans Affairs (VA). DRC helps the VA create a one-stop system providing veterans with access to education, benefits, and healthcare information.
- Since the fall of 2008, DRC has served with a team of contractors, active duty, reserve, and Air National Guard officers to at the Air Force’s Air Mobility Command (AMC) Fuel Efficiency Office (FEO). Through a series of over 75 separate initiatives, DRC and its partners have directly shaped a program with a combined savings or cost avoidance impact of over $275 million (between 2011 and 2013). The team has been recognized twice previously by the Department of Energy for outstanding accomplishments in energy management and conservation.
- Under the Systems Assurance and Program Protection contract DRC conducts program reviews, requirements assessments, system assurance, and risk identification and assessment services for the Department of Defense's 200 largest programs.
Industry awards of note
Federal Computer Week’s Federal 100 Awards recognize government and industry leaders who have played pivotal roles in the federal government IT community—individuals who have gone above and beyond their daily responsibilities and have made a difference in the way technology has transformed their agency or accelerated their agency's mission. Executives that have received a Federal 100 award for their contributions to the federal government while at DRC include:
- James Regan, CEO (2006)
- Paul Strasser, Vice President and General Manager, High Performance Technologies Group (2013)
- Kathy (Perras) Baird, Vice President, State and Local Solutions (2008)
- Listed annually on the Washington Technology Top 100 Government Contractors.
- Listed annually on Washington Business Journal’s Big Book of Lists “Top Government Contractors.”
- Listed annually on Military Training Technology’s list of “Top Simulation and Training Companies.” 
American business awards (Stevie Awards)
- Technical Professional of the Year: 2008, 2009, 2010, 2011, 2012
- Support Staffer of the Year: 2007, 2010, 2012, 2013 (silver)
- New Product or Service of the Year (Cloud Platform)– 2012
- New Product or Service of the Year (Financial)– 2012 (silver)
- Support Team of the Year- Computer Software and Services: 2012 (bronze), 2013
- Information Technology Executive of the Year: 2012 (silver)
- Executive of the Year in Computer Services: 2007, 2012 (silver)
- Communications Program of the Year- Internal Communications: 2013 (silver)
- Internal Recognition/Motivational Event of the Year: 2012 (bronze)
- U.S. Senate Productivity and Quality Award for Virginia – Medallion of Excellence 2008
- Tech America—Louis Chabot, Chair, Big Data Subcommittee (2013)
- Tech America—Jim Regan, Public Sector Board of Directors
- Massachusetts High Tech Council—Jim Regan, Chairman
- ACT-IAC—Paul Strasser, Industry Chair, Executive Leadership Conference (2013)
- Alliant prime
- CIO-SP3 prime
- OPM TMA HC (Training & Management: Human Capital) prime
- OPM TMA T/L (Training & Management: Training & Learning) prime
- IT (Information Technology Professional Services Schedule 70) prime
- GSA Risk Management Framework (Risk Management Framework Services (Certification & Accreditation) Blanket Purchase Agreement (BPA))
- DLA J6 PMSS (Defense Logistics Agency (DLA) Program Management Support Services (PMSS) Blanket Purchase Agreement (BPA))
- LOGWORLD (Logistics Worldwide Schedule 874 V) prime
- MOBIS (Management, Organizational and Business Improvement Services, Federal Supply Class 874) prime
- PES (Professional Engineering Services Schedule 871) prime
- DESP-III (Design and Engineering Support Program III) prime
- NETCENTS EISM (Network Centric Solutions) prime
- MDA SETA (Missile Defense Agency Systems Engineering and Technical Assistance for Systems Engineering and Integration Support) prime
- Picatinny Omnibus (Core Competency Omnibus) prime
- STOC II (Simulation, Training and Instrumentation Omnibus Contract II) prime
- TRAIN II (Support for Training Directorate Combat Development) prime
Defense Health Support
- TEAMS (TRICARE Evaluation, Analysis, and Management Support) prime
- EAGLE (Enterprise Acquisition Gateway for Leading Edge Solutions) prime
- LMSS (Logistics, Maintenance and Supply Support) prime
- DOJ BPA (Department of Justice Blanket Purchase Agreement) prime
- FBI IT Triple S (Federal Bureau of Investigation Information Technology Supplies and Support Services) prime
- SeaPort-e (System Engineering and Analysis Advanced Technology Support - Enhanced) prime
- NAWCTSD Training Data Products Contract (TDPC) - prime
- TIPSS-4 (Information Technology Services) prime
- California Multiple Award Schedule for IT Services
- California Multiple Award Schedule for Management Services
- Maine Contract Information Technology Services
- Maryland Consulting and Technical Services (CATS) +
- Massachusetts ITS43 Solution Provider
- Massachusetts PRF51 Training Development & Delivery
- Minnesota Master IT Contract 902TS
- Mississippi IT Services Master Agreement
- Montana Master Contract for IT Services
- North Dakota Human Services IT Services Pool
Community outreach and people programs
DRC is active in various community outreach programs. Of note, the company has been a sponsor and major participant in the Jimmy Fund, which supports the Dana-Farber Cancer Institute; Relay for Life, which benefits the American Cancer Society; and Walk Now For Autism Speaks, which raises funds for autism awareness and research. In 2011, the company’s fundraising for the Jimmy Fund resulted in a site visit by Boston Red Sox pitcher Clay Buchholz.
DRC has relationships with the technology departments of several universities. They host an annual algorithm competition at James Madison University. They also run a problem solving competition at Penn State University.
Additionally the company is active with the Herndon Middle School near its Reston, VA office. Volunteers help with various events and even lead classes on subjects like cryptology in an effort to spark interest in STEM subjects.
The company has also received national attention for its employee programs. The Employer of Choice (EOC) Team allows volunteers within the company to identify ways to improve company culture and benefits. The program was recently awarded a Silver American Business Award at the 2013 Stevies for best Internal Communication Campaign. The EOC Team is composed of volunteers from all levels and groups of DRC who are interested in improving the company. The members meet every two weeks to collaborate, discuss recent corporate events, and capture suggestions for corporate improvement. These ideas for improvement are vetted and developed by focus groups, presented to advisers, and either approved for immediate implementation or presented to senior management to incorporate into the process-improvement agenda of the firm.
DRC was founded in 1955 by five engineers (Jack Anderegg, James Andersen, Malcolm Douglas, Alan Friedman, and Howard Whitman) from the Massachusetts Institute of Technology's Instrumentation Lab (now called the Charles Stark Draper Lab) and their friend, attorney Joseph Weingarten. They each chipped in $100 and incorporated the company on paper. The first DRC office was in founder Jack Anderegg's Bedford, Massachusetts apartment.
The five engineers continued to work at the Instrumentation Lab until DRC won its first contract for $50,000 in 1956 – providing design assistance for a combination Doppler radar-inertial navigation system. By the late 1950s times were tight, and defense contracts had come to a standstill. The USSR's launch of Sputnik I on October 4, 1957, changed everything. The race for space was on, and inertial guidance played a key role. In 1958 the company won two more contracts for inertial navigation work: $50,000 from General Electric's military arm to work on a Doppler inertial system for aircraft and a $50,000 contract from the US Navy's Special Projects Office to analyze the inertial navigation system for the new Polaris ballistic missile submarine. This began DRC's relationship with the Navy that continues to this day.
Also in 1958, DRC licensed the rights to make and sell the Optisyn encoder, a device that converted shaft rotation into computer-readable digital information. By 1968, the encoder earned half of the company's $1.44 million net worth.
Space race and the 1960s
As a key inertial navigation component, encoders led DRC's growth through the 1960s. DRC manufactured encoders and components for critical defense systems such as the Titan II Intercontinental Ballistic Missile, Polaris Submarine, Minuteman ICBM, Saturn Rocket, and the Visual Airborne Target Location System. DRC was also involved in evaluation and data systems support for NASA's Manned Spacecraft Center. In 1963 DRC acquired Metrigraphics. The company manufactured gold-plated disks, a key component of DRC's encoder product line. Today Metrigraphics is a supplier of custom components for Original Equipment Manufacturers.
DRC went public in 1965.
Cold War defense and the 1970s
The US Navy's Fleet Ballistic Missile Program continued to be DRC's biggest customer in the 1970s. DRC enhanced the navigation system by introducing the breakthrough idea of matching a sub's location to an external reference. The company became involved with a new, longer-range navigation system for the Navy's Trident I. When the Brooklyn Navy Yard shut down in 1973, the Navy transferred its gyro lab to DRC. In 1974, the Navy suggested that DRC acquire LORAD, a 15-person company that had been building gyro test equipment for missile guidance systems for 14 years. This became DRC’s Test Equipment Division located in West Newton, Massachusetts.
As the Cold War intensified, defense client needs evolved. DRC responded with new lines of business and expertise, including software development, logistics, and precision manufacturing.
In 1979, DRC began securing information from the base where the F-16 fighters were stationed, to provide a daily flight status briefing for the General at Wright-Patterson AFB. The base would send a computer tape detailing how many aircraft had flown that day, what broke, and whether they were still mission-capable afterwards. From the tapes, DRC's computer generated color slides for the briefings.
DRC's Metrigraphics division thrived despite economic times characterized by stagflation, a combination of business stagnation and monetary inflation. It was no longer a boutique job shop, but a full-blown manufacturing operation. Reticles for the eyepieces of optical instruments accounted for fully half its sales volume at the beginning of the decade, and the high-resolution electroformed mesh for cathode ray tubes and other image display units was expanded into a full product line.
Information age and the 1980s
DRC entered the 1980s in a strong position. Sales were over $27 million by 1980. By the end of the decade, DRC had broadened its customer base from the Department of Defense (DoD) into other government agencies. The need for usable information grew as computers became more available. Core engineering and logistics services were expanded to include systems engineering and technical assistance to complex programs, information technology, and training.
The company's Air Force work continued to grow. DRC's design of a system for managing F-16 test equipment led to work on the Top Secret Stealth Fighter program in 1985 and to creation of worldwide databases for both the F-16 and F-15 by 1988.
Internet and the 1990s
The 1990s introduced the Internet boom. DRC branched out again – exploiting the Internet to automate child welfare and family services for state governments.
DRC continues to provide automated case management services in New Hampshire, Colorado, and Ohio. DRC used this same information technology to develop Web applications that provide veterans worldwide with access to benefits.
Homeland initiatives and the 2000s
With a new century came new challenges. As DRC moved past its 50th anniversary, the company began supporting key national priorities: National Defense, Citizen Security, and Citizen Services. The company gained an SEI Capability Maturity Model Software Level 3 rating in 2003 and an SEI Capability Maturity Model Integration Level 2 rating in 2004.
DRC’s High Performance Technologies Group (HPTG) developed a Linux-based supercomputer for the National Oceanic and Atmospheric Administration (NOAA) that ranked as the 8th fastest supercomputer in the world in 2002. HPTG also developed the Secure Payment System for the Department of the Treasury - a system that processes payments totaling $1.5 trillion annually.
DRC is the prime contractor on the Department of Defense's (DoD) premier applied research contracts—the User Productivity Enhancement, Technology Transfer and Training (PETTT) contract for the DoD's High Performance Computing Modernization Office (HPCMO). DRC collaborates with government labs and coordinates research universities and private companies of the PETTT team. The team includes Texas Advanced Computing Center, Pittsburgh Supercomputing Center, and 19 other university and industry partners. The contract's objectives include collaboration, HPC tool development, and enhanced productivity.
In 2002 DRC purchased HJFord, which remains a wholly owned subsidiary, offering the company a more dominant role in the Wright Patterson AFB market and more leverage at NAVAIR. Acquisition of Andrulis in 2002 strengthened the company's presence in DoD and civilian Federal agencies. In 2004 DRC acquired Impact Innovations Group, Government Systems Division. IIG strengthened the C4ISR and logistics capabilities and brought DRC into new markets in national intelligence. In 2008, DRC acquired Kadix Systems. Their high-end management consulting service complements IT infrastructure, business intelligence, business transformation, and training capabilities. Most recently, in 2011, High Performance Technologies, Inc. (HPTi) joined DRC. The acquisition expanded DRC’s capabilities within the federal health care and military technology spaces. In 2012, DRC's merger with High Performance Technologies, Inc. was awarded by Washington Technology magazine as the top mid-size 'Deal of the year'.
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