The MITRE Corporation Annual Report 2013“Dr. James R. Schlesinger, Chairman of the Board of Trustees, passed away in March 2014 after 29 years of service to MITRE. He was a remarkable

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In Memoriam1929-2014

The MITRE Corporation

“Dr. James R. Schlesinger, Chairman of the Board of Trustees, passed away in March 2014 after 29 years of service to MITRE. He was a remarkable man, a visionary leader, and a dedicated public servant. His leadership and guidance will be deeply missed.”

– Alfred Grasso President and Chief Executive Officer


2013 Annual Report

TM

MITRE is a not-for-profit corporation that operates six federally funded research and development centers (FFRDCs):

• National Security Engineering Center• Center for Advanced Aviation System Development• Center for Enterprise Modernization• Homeland Security Systems Engineering

and Development Institute • Judiciary Engineering and Modernization Center• CMS Alliance to Modernize Healthcare

If you’ve ever flown in a jet, used GPS, or performed many other everyday activities involving technology, you’ve benefited from ideas with roots in an FFRDC.


Mission Statement

As a public interest company, MITRE works in partnership with the government applying science and advanced technology to engineer systems of critical national importance.

MITRE

2013 Annual Report

6 10 16 22 26Advancing Cybersecurity

Securing Our Homeland

Strengthening National Defense

Letter from the President andChief Executive Officer

Improving Healthcare

Table of Contents

The MITRE Corporation 4

34 38 42 4830 Ensuring Aviation Safety

Protecting Financial Integrity

Transforming Government Missions

Performing Critical Research

Serving as a Good Corporate Citizen

2013 Annual Report 5

of-magnitude improvements in efficiency, effectiveness, and affordability for our sponsors. And we are succeeding.

Our breakthrough innovations in bistatic radar now offer more affordable, durable tools for surveillance operations. Whether defeating improvised explosive devices in Afghanistan or detecting suspicious aircraft in mountain passages, bistatic radar is revolutionizing ground, naval, and air surveillance. Similarly, our multi-satellite, multi-sensor approach to positioning, navigation, and timing offers a more resilient capability that will benefit both military and civilian users.

New flight separation and wake turbulence standards are already improving airport capacity, and technology that enables pilots of unmanned aircraft systems to sense and avoid other aircraft is on a fast track for approval by the Federal Aviation Administration.

By any measure, 2013 was a difficult year for our nation.

From acts of violence across the country to the continuing global threat from terrorism, from sequestration and a government shutdown to the difficulties surrounding the rollout of Healthcare.gov, from cyber attacks on major retailers to natural disasters, our country faced diverse and challenging problems.

At MITRE, we are deeply committed to addressing these and other complex challenges with innovative thinking. We not only explore what is currently possible but also what may be possible. Our philosophy is best captured in words attributed to Michelangelo: “The greater danger for most of us lies not in setting our aim too high and falling short, but in setting our aim too low and achieving our mark.” We believe in setting ambitious goals and challenging our staff to deliver game-changing solutions that can produce order-

We have applied decades of experience in sensor technology to support the development of an early warning system to protect the nation’s electric power grid; developed a situational awareness application that has already improved emergency response times for disaster relief; and designed a tool to improve detection of unidentified aircraft crossing our borders.

Thousands of hospitals and providers are using a MITRE-developed tool to test and certify electronic health records. Our open source approach for easily and securely sharing health information, including diagnostic images, has been piloted and is being adopted by independent providers across Maine to support the state Health Information Exchange.

We are proud to see that our ground-breaking methods and research in cutting-edge technologies have been broadly recognized.

Letter from the President and Chief Executive Officer


Alfred Grasso President and Chief Executive Officer

The American Council for Technology and Industry Advisory Council’s Institute for Innovation recently awarded a 2014 Igniting Innovation Award to the MITRE team that developed software to improve targeting activities by military unmanned aircraft systems, identifying this as a disruptive new technology.

IDG’s Computerworld Honors Program named MITRE a 2013 Laureate for our role in developing a computational model to eliminate veterans’ homelessness, and our agent-based modeling techniques are providing a more accurate analysis of market dynamics and helping to safeguard the nation’s financial systems.

InformationWeek, Computerworld, and other publications have showcased a variety of MITRE methods for detecting and sharing cyber threat information—tools that hundreds of organizations are currently using.

Moreover, in 2013, MITRE was proud to receive the James S. Cogswell Outstanding Industrial Security Achievement Award, the Department of Defense’s highest honor in security management.

In a research paper published earlier this year in the Proceedings of the National Academy of Sciences, an interdisciplinary team of scientists and engineers from MITRE and Harvard University described how they designed and assembled a functioning, ultra-tiny control computer that is the densest nanoelectronic system ever built.

And in February, The Economist published a story about a highly rewarding collaboration between MITRE and the University of Virginia that produced an experi-mental unmanned aircraft by using 3D printers, with controls supplied by an Android smartphone using freely available apps—all at a cost of approximately $2,000.

A Final Note As this report was nearing completion, we were saddened to learn of the passing of our long-time Chairman of the Board, Dr. James R. Schlesinger. His wise counsel guided us for nearly three decades, and he will be sorely missed. The Honorable Charles S. Robb, who was serving as Vice Chair, has succeeded him as Chairman.

From our inception, MITRE has been committed to working for the betterment of our country and the public good—and no one has provided a richer example of that spirit of service than our late Chairman. We will continue to honor that commitment—and his memory—as we drive for ways to increase the safety, the security, and the economic prosperity of our great nation.


Lots of organizations get involved in complex and challenging problems, but only a handful have the opportunity to make the type of impact that MITRE does.

We have no commercial interests, and we have no owners or shareholders. This lack of a commercial conflict of interest forms the basis for our objectivity.



In the following pages, we invite you to see how MITRE addresses critical national problems.

A New Way of Detecting Threats

Smaller, Less Expensive, and More Durable Radar Systems

Traditional radar has drawbacks in some surveillance appli-

cations because it relies on large platforms and sensors, which can be costly and present potential targets for attack. Bistatic radar, on the other hand, opens the door to radar systems that are smaller, less expensive, and more durable. But, for many reasons, these systems have not been put into use—until recently.

Research at MITRE has challenged previous assumptions about bistatic radar in a number of key areas. Through advanced algorithms and processing, we have solved many of the issues formerly associated with bistatic radar. As a result, these

Today’s adversaries use asymmetric and other unconventional attack methods that constantly threaten U.S. land, sea, air, and space operations. From an intelligence, surveillance, and reconnaissance perspective, it’s extremely hard to field a system that can affordably and effectively detect asymmetric threats across all of these environments.

Strengthening National Defense

The MITRE Corporation 10 Strengthening National Defense

types of radar systems now provide operational support for ground surveillance.

Following recent breakthroughs, MITRE has been researching ways that bistatic radar can go beyond ground surveillance to provide solutions for other challenges our government sponsors face. Two new areas of focus include mari-time and air surveillance, including a sophisticated monitoring system that enables officials to find, track, and potentially interdict unidenti-fied aircraft in U.S. airspace (see page 18).

Bistatic radar offers a more affordable tool for many surveillance operations, and the smaller, dispersed bistatic components lead to more durable systems.


MITRE has served as the government’s partner in strengthening our national defense for more than 50 years.

A Strategic Vision Known as the “Three R’s”

Two trends have emerged in this decade that will bring changes

to military and civilian use of PNT. First, multiple satellite navigation systems are being developed, providing more systems, satellites, and signals for use. Second, an increasing number of threats poses problems for military and civilian users of GPS and other PNT services.

To address these trends, MITRE is working with our sponsors in shifting toward a more resilient PNT capability based on a multi-satellite system, multi-sensor approach. This strategic vision is referred to as the

Positioning, Navigation, and TimingPositioning, navigation, and timing (PNT) resources play a vital role in military, intelligence, homeland infrastructure, and aviation operations. To protect these strategic resources, it’s imperative that we meet the evolving needs of government users and also address emerging threats.

“three R’s”: increase the robustness of GPS, develop redundant/diverse PNT capabilities, and advance the removal of threats.

By making PNT resources more resilient, MITRE is helping to safeguard and expand this strategic capability.


As a result of this effort, the team received the Missile Defense Agency’s highest award for systems engineering excellence. CENTCOM leadership described the increase in performance as a “game changer” for their region.

Implementation of the new fire control radar has enhanced CENTCOM’s ability to counteract a missile strike.

New and Improved Missile Defense U.S. Central Command (CENTCOM) faced significant challenges in integrating an important new radar into its existing Ballistic Missile Defense System.

The Highest Award for Systems Engineering Excellence

MITRE led an integrated multi-disciplinary team

of government, industry, and academic experts. The team completed an in-depth technical analysis, allowing for the rapid deployment of a new missile defense fire control radar in the CENTCOM area of operations. Our technical analysis helped reduce the original deployment time frame from a year to four months, which made it possible to deliver the technology in record time.


Investing Wisely in the Military Our government leaders face challenges about how best to invest in the military; those challenges are driven by increasingly tight budgets and adversaries taking advantage of new technologies.

A National Security Strategy for the Coming Decades

MITRE develops a National Security Framework briefing

every four years. This briefing is intended to stimulate and inform discussion on national security strategy over the next 10–25 years. MITRE’s National Security Engineering Center, in its role as a federally funded research and development center for systems engineering, produces the briefing for the Department of Defense.

In the latest briefing, MITRE forecasts that the national security community must fundamentally change strategy and investments in the near future. MITRE points to two trends underlying that forecast: an era of constrained

budgets and the shrinking cost of advanced technology, which puts new capabilities in the hands of our adversaries. In response to the National Security Framework, the Department of Defense has charged MITRE to build on its analysis and suggest strategic changes to the agency’s ground, maritime, and aerospace forces.

Recognizing its value, Dr. Ashton Carter, then Deputy Secretary of Defense, requested that the National Security Framework be presented to the leadership of each military service. This is an important first step for the joint services in developing a new framework for ensuring U.S. security in the decades to come.


Coming to a Sky Near You: Unmanned Aircraft Systems Unmanned aircraft systems (UAS) operations in the National Airspace System hold great promise for military training as well as border security, law enforcement, and other non-military roles, yet no policies or standards currently exist for these operations.

Keeping Unmanned Aircraft Systems Safely Separated

team of engineers from MITRE, MIT Lincoln Laboratory,

Raytheon, Volpe, and the U.S. Air Force developed a situational awareness display that makes it possible for a UAS crew to “sense and avoid” other aircraft.

The engineering team collaborated at Cannon AFB near Clovis, New Mexico, in support of the Air Force Special Operations Command. Their mission focused on developing a capability that would eliminate the need for the observers on the ground currently required for UAS training operations.

Building on earlier tests at Cannon AFB and at Gray Butte Field Airport in southern California, the team created a system architecture based on existing ground radar and automation systems. In addition to keeping UAS safely separated from other aircraft and eliminating the

need for ground observers, their Ground-Based Sense and Avoid system made it possible to fly UAS missions at night.

MITRE’s work in radar analysis, airspace characterization, hazard analysis, software auditing, and human factors analysis contributed significantly to this effort. The technology is on track for FAA approval in 2014.

Costs have been reduced because a team of ground observers is no longer required. Ultimately, the enhanced capability will hasten more routine operations of UAS in our nation’s airspace.


Protecting the Grid

A Thousand Times Faster than the Current Monitoring System

MITRE researchers studying options for protecting the

country’s infrastructure discovered that the current monitoring system for the electric power grid is too slow to alert operators to problems before they escalate. The team experimented with using fewer sensors, but ones that are a thousand times faster than the monitoring system currently in use.

This approach resulted in more detailed information about when and where small faults occur. For example, our Sentinel network, consisting of nine sensors reporting from sites across the country, detects electro-magnetic transients

More than 3,000 utilities, thousands of generators, and nearly 200 entities make up the country’s electric grid and help ensure that, at the flip of a switch, our homes and businesses have the power they need. But the grid itself is aging, and it is vulnerable to the forces of nature and to attacks by cyber adversaries, even terrorists.

Securing Our Homeland

The MITRE Corporation 16 Securing Our Homeland

such as fault-related over-voltages not detected by existing monitors.

We demonstrated that using a faster sampling rate can reduce the number of sensors needed to monitor the grid and provide better information about local faults that could lead to damaging regional outages. Our findings will help utilities make decisions about the next generation of sensors needed to support the smart grid, helping to contain both natural and intentional interruptions and ensure the grid’s security.

The Sentinel network enables utilities to sense faults on the network exponentially faster than the current monitoring system. Our work supports the development of an early warning system that could give utilities and government agencies more time to respond to outages before they become widespread.


MITRE works with a wide range of government organizations to ensure that the nation is safe.

Real-Time Detection, Tracking, and Classification

MITRE has led a three-year effort with the Department

of Homeland Security to design, integrate, and evaluate a new monitoring system that will enable officials to detect and track unidentified aircraft entering U.S. airspace. With sponsorship from U.S. Customs and Border Protection and the DHS Science and Technology Directorate, we oversaw systems engineering, integration, and testing of the project, which is based on our recent breakthroughs in bistatic radar (see page 10).

MITRE is leading the operational testing of these technologies in the Cascade Range in the Pacific Northwest. The 2,000-mile stretch between the Pacific Ocean and the Great Lakes is especially challenging for detecting aircraft because of its mountains, valleys,

Bringing Covert Aircraft Out of the Shadows Every day along remote stretches of our borders with Canada and Mexico, “small dark aircraft” attempt to fly into the United States carrying contraband. Existing technology currently isn’t able to detect these piloted aircraft at all altitudes.

and thick forests and the limitations of traditional monitoring technology. A diverse array of sensor technologies, which were developed by MITRE, the Stevens Institute of Technology, and the National Renewable Energy Laboratory, have been deployed to evaluate their ability to withstand the climate and provide real-time detection, tracking, and classification.

The new monitoring system is expected to offer U.S. Border Patrol agents new detection capabilities that will contribute to the work of the Department of Homeland Security and its mission of preventing smuggling across our borders.


Developing Technology Solutions More Rapidly

MITRE worked with the USCIS Office of Information

Technology to assess the agency’s current methods of delivering technology solutions. Together we created a new enterprise operating model for developing their technology solutions more rapidly based on agile methods, an approach that enables collaborative teams to build software incrementally in response to changing requirements.

Our team worked with other experts in agile transformation to tailor private industry best practices for USCIS. We provided guidance on agile principles and practices,

A More Agile Approach for Immigration Challenges The U.S. Citizenship and Immigration Services (USCIS) currently processes millions of benefit and employment verification requests annually. Potential changes to our nation’s immigration policy will only drive this demand higher.

coached senior managers and contractor teams on implementing these practices, and evaluated the organizational culture and structure for changes necessary to adopt the enterprise change. Through these efforts, we helped USCIS provide a more rapid technology response to address key mission needs.

MITRE’s collaboration with USCIS demonstrated that agile methods could help USCIS deliver capabilities in half the time, allowing them to absorb increased workloads more efficiently and cost effectively.


A Lab to Investigate, Develop, and Deploy Secure Mobile Solutions

In determining what product to adopt, the Department of

Homeland Security had to contend with a variety of competing and often immature mobile solutions, rapidly evolving technology, and even more rapidly advancing security concerns. These challenges drove up costs by delaying the deployment of a new technology. All the while, the agency faced an increasingly pressing need to replace its current enterprise mobile communications device—the BlackBerry.

MITRE hosts the DHS Advanced Network Integration and Experimentation Lab (DANIEL) to investigate, develop, and deploy secure mobile solutions. During their initial investigation, MITRE engineers enabled smartphones to operate securely over an innovative and commercially available private cellular network, where data remains protected. By removing the device from the Internet, our

Finding Savings–and Security–for Mobile Data The Department of Homeland Security needed a less expensive way of connecting their mobile workforce with OneNet—the secure enterprise network that serves the agency’s component organizations.

engineers enhanced device and data security, simplified device management, cut overall risk, and reduced potential costs.

Subsequent DANIEL investigations have provided similar critical insights with other major mobility component technologies, such as mobile device managers and authentication solutions. Other research led to a “virtual smartphone”—the Secure Virtual Mobile Platform—that resides in an environment of enterprise data centers and clouds, where sensitive data and applications can be hosted securely (see page 45).

In 2014, we expect to test similar solutions for classified mobility. One of our goals is to replace the current $7,000 classified handheld device with a commercial-based device for less than $800.

The Department of Homeland Security reduced the time and cost required to deploy sophisticated and secure mobile communications.


Up-to-the-Minute Situational Awareness for First Responders

MITRE developed a computer application for the National

Geospatial-Intelligence Agency (NGA) that provides a better way to get up-to-the-minute situational

awareness to first responders. The app—called GeoQ—allows analysts to compare publicly available images with satellite images and share information describing the disaster with emergency officials.

NGA recognized the need to share geospatial intelligence analysis after a review of the emergency response during Hurricane Sandy. GeoQ enables first responders to view maps of disaster areas and related images on their smartphones or desktops. This helps them search for survivors and obtain a real-world view of what to expect before they arrive. Those on scene can also use smartphones to take photos or video and instantly upload this content for others to see on shared maps. Analysts can

Emergency Response in Real Time A disaster site’s chaotic environment makes it difficult to obtain accurate information. Inefficient methods of communication, like field radios and paper maps, only make the situation worse.

deliver emergency information to first responders with data updating every few seconds.

GeoQ sits behind a firewall on an NGA website that contains unclassified material. MITRE designers used commercially

available tools and technologies to design the app and integrate it with existing NGA tools. MITRE partnered with NGA and White House fellows to open-source the application and methods, which allows anyone to better manage their geospatial data.

Seven months after Hurricane Sandy, GeoQ enabled emergency management officials to save lives by providing rapid assistance to residents of Moore, Oklahoma, following a devastating tornado. The app was also used during relief support in the Philippines for Typhoon Haiyan.


An Effective Cyber Defense

A Standard Way to Share Cyber Threat Information

In 2011, the Department of Homeland Security created

an open source, community-developed language to facilitate sharing cyber threat indicators. These threat indicators provide technical information about cyber attacks. Organizations that have experienced attacks can disclose this information without revealing the outcomes of known or suspected intrusions.

In partnership with the Department of Homeland Security, MITRE created the Structured Threat Information eXpression (STIX) tool for sharing threat indicators in the cyber defense community. We also developed another tool—the

Experts have identified a new strategy—cyber threat information sharing—that contributes to a more effective cyber defense. However, only a limited number of organizations currently have the means to share this information effectively.

Advancing Cybersecurity

The MITRE Corporation 22 Advancing Cybersecurity

Trusted Automated eXchange of Indicator Information (TAXII)—to define a set of protocols for the secure, real-time exchange of cyber threat information. Together, STIX

and TAXII provide a standard way for organizations to communicate cyber threat information in a secure and automated manner.

STIX and TAXII have catalyzed the cyber defense community to move swiftly from manual human-to-human sharing (phone calls, email, or text messaging) of threat indicators to larger scale, faster, and more automated sharing, without sacrificing the fundamental trust by which partners share the valuable contextual information needed to make the threat indicators useful.

Hundreds of organizations currently use STIX and TAXII specifications as well as supporting software available through open source licenses, and this number continues to grow.


Cybersecurity is a core capability at MITRE that extends across all of our work for the federal government.

A Small, Simple, and Single-Purpose Tool

MITRE researchers created Copernicus—the first

widely deployed software tool to perform integrity checks and detect vulnerabilities in the BIOS, which is the code that runs during a computer’s initial start-up in advance of the operating system. A small, simple, and single-purpose tool, Copernicus collects the raw content of a computer’s BIOS and generates situational awareness reports that highlight problems that can be solved with simple fixes.

Copernicus can indicate whether a computer’s BIOS is locked properly or if it’s vulnerable to known exploits. It alerts IT administrators when it’s time to install a vendor’s updated and secure BIOS. Copernicus is easily deployed through an organization’s normal patch-management

Copernicus to the Rescue Recent news reports have described specific plans for a cyber attack targeting vulnerabilities in the Basic Input/Output System (BIOS) of large numbers of computers, which could pose a serious threat to our nation’s economy and security.

system, including McAfee’s HBSS (the security suite used by the Department of Defense).

Having run Copernicus on all of our corporate Windows 7 PCs, MITRE is currently piloting this software tool on thousands of computers at sponsor sites. To support further research, MITRE continues to seek organizations interested in piloting Copernicus.

Copernicus at this early stage has provided real insight to chief information officers and system administrators and enabled them to address BIOS vulnerabilities on a large scale.

The MITRE Corporation 24 Advancing Cybersecurity

Sharing Threat Information Across the Public and Private Sectors

The nation’s cyber and communications networks serve

as the “central nervous system” behind the delivery of most of our nation’s critical goods and services. Because these networks are owned and operated by many private industries and government agencies, effectively addressing threats to this digital infrastructure requires a new level of cross-sector collaboration.

MITRE worked with the Depart-ment of Homeland Security to de-velop a strategy that outlines ways for government to collaborate with

Protecting Our Digital Infrastructure Our economic prosperity, public safety, and security increasingly depend on our digital infrastructure, which is at risk from a variety of threats. A key challenge involves coordinating the ways in which government and industry address these threats.

industry and enhance the security and resilience of these networks. We identified critical areas—cul-ture, liability, privacy and classifi-cation, and technology—in which barriers could hinder consistent threat information sharing across the private and public sectors. The goal is to enable a continual under-standing of the threat environment and to enhance agile action across organizations.

The Department of Homeland Security is now better positioned for improving coordination between government and private industry to protect our nation’s digital infrastructure.


Verifying Electronic Health Records

An Official Testing Tool for Electronic Health Records Certification

Responding to a request from the Department of Health and

Human Services, MITRE developed an automated testing tool for clinical quality measures known as Cypress. Cypress is sponsored by the HHS Office of the National Coordinator for Health Information Technology.

To design and develop the software algorithms that accurately capture, calculate, and report standard quality measures, we drew on our own internally funded research. As an open source tool, Cypress is freely available for use or adoption by the health IT community. For example, EHR software vendors use Cypress to test their products

Unless electronic health records (EHRs) can accurately calculate and report measures of healthcare quality to the Centers for Medicare & Medicaid Services, the agency will not be able to reimburse providers for achieving higher quality healthcare.

Improving Healthcare

The MITRE Corporation 26 Improving Healthcare

during development, and accredited software certification organizations use the testing tool to certify that finished products conform to standards established by the Department of Health and Human Services.

Cypress is now an official testing tool for EHR certification. By providing the framework and tools for standardizing EHRs, MITRE is contributing to healthcare modernization in the United States while at the same time helping to combat rising costs.

.

Since January 2013, Cypress has been used to test and certify EHR systems according to standards established by the Department of Health and Human Services. More than 3,000 hospitals and 192,000 providers use these certified systems today.


MITRE is helping to transform the health sector into a health system.

Applying Web Technology to Move Health Information Between Physicians and Patients

To enable a simple and secure approach for sharing health

information, MITRE adapted work from its own internal research program to create RESTful Health Exchange (RHEx). This open source project, which we developed in support of the Office of the National Coordinator for Health IT and other federal agencies through the Federal Health Architecture program, enables easy access to health data while ensuring patient privacy.

RHEx applies Web technology to move health information between physicians and patients. To test the concept, MITRE built pilots with the Telemedicine and Advanced Technology Research Center, an organization that conducts research for the Military Health System. Physicians participating in the pilot were able to easily share information with out-of-network physicians. The pilot also demonstrated that RHEx offers a scalable method for sharing diagnostic images with out-of-network providers.

In 2013, the Nationwide Health Information Network Power Team recognized RHEx for its success in transmitting large healthcare data objects, such as diagnostic images. In 2014, MITRE plans to broaden pilot testing to include the implementation of RHEx technology to support home healthcare for veterans in rural areas. In addition, RHEx technology is being implemented at small independent providers across Maine by HealthInfoNet to support the state Health Information Exchange.

Easy Access to Health Data Today a patient’s health records are spread across multiple healthcare providers, which makes it difficult for providers and patients to access the information necessary to manage a patient’s health.

Last year, RHEx demonstrated that it can share large diagnostic images between in-network and out-of-network providers in a simple, secure, and scalable fashion. This is an important precursor to patients having the ability to access their own health records.

The MITRE Corporation 28 Improving Healthcare

New Programs Provide Incentives for Healthcare Quality

Medicare and other public health insurance programs

have traditionally reimbursed providers using a fee-for-service payment model that rewards volume. However, the Centers for Medicare & Medicaid Services (CMS) is developing new programs that will reward healthcare quality. MITRE assisted the Center for Clinical Standards and Quality, which is part of CMS, in designing and implementing several programs to provide incentives for healthcare quality.

The End-Stage Renal Disease Quality Incentive Program and the Hospital Value-Based Purchasing Program, for example, are designed to adjust provider payments to encourage better quality. Both programs have confirmed that relatively small

Defining Healthcare Quality The United States is moving toward paying healthcare providers based on outcome rather than volume, which calls for new programs that better define the desired quality outcome, thresholds for achievement, and associated financial incentives or penalties.

incentive adjustments can spur improvements.

To expand the impact of the value-based payment models, we are working with CMS to evolve existing program designs to align with the CMS Quality Strategy and introduce more outcome-based measures across the six domains of measurement: clinical quality of care, care coordination, population and community health, person- and caregiver-centered experience and outcomes, safety, and efficiency and cost reduction.

Two CMS value-based purchasing programs have demonstrated that quality measures linked to payment for healthcare providers can be implemented nationally. These initial results offer great promise for significant improvements in patient care.


Aviation Safety, Homegrown

A Portal to Quickly Identify and Mitigate Hazards

In 2010, the FAA and the National Air Traffic Controllers Association

launched the Partnership for Safety, an initiative to provide facilities across the country with data and tools to enable the proactive corrections at the heart of the FAA’s safety management system. As a first step, the partnership created local safety councils—teams of controllers and managers—to track, identify, and resolve aviation safety issues.

To help provide measures of aviation safety that can be computed regularly and delivered securely to facilities for analysis and action, MITRE developed the Safety Data Portal. The portal pulls

To take full advantage of local air traffic controllers and their expertise in correcting and mitigating safety risks before incidents occur, the FAA needed to provide its air traffic control facilities with better data and tools for identifying hazards.

“MITRE has done an excellent job of taking a complex idea requiring the merging of multiple data sources and turning it into an easy-to-use functional safety tool.”—Steve Hansen National Air Traffic Controllers Association

Ensuring Aviation Safety

The MITRE Corporation 30 Ensuring Aviation Safety

data from automated tools and reporting systems, integrates it to provide a comprehensive picture of safety risks and their possible causes, and—for the first time—offers this data and a set of analytic capabilities to local facilities.

With the portal, safety councils can view their own safety metrics, compare them to those of other facilities, and track the effectiveness of their mitigation strategies. They can now quickly identify and mitigate hazards that may not have come to light until a more serious incident occurred.

In January 2013, the FAA began implementing the Safety Data Portal across the country, and air traffic control facilities immediately began reporting positive results.

By the end of 2014, the FAA hopes to have the portal operational at more than 300 air traffic control facilities around the country.

In one example, the safety council at the Atlanta Terminal Radar Approach Control Facility used the portal in March 2013 to determine that aircraft were occasionally overshooting their final approach courses—and why. They implemented the necessary fixes, and the average overshoot distance has now been reduced by 40 percent.


MITRE supports the Federal Aviation Administration in providing the safest, most efficient aerospace system in the world.

Updated Standards to Benefit Airports Across the Country

MITRE is part of an FAA-led team that sought to determine

where and how these separation standards could be safely revised to improve airport capacity. Using newly available data and updated analytic techniques, the team confirmed that some existing wake turbulence standards are too conservative.

In response, the FAA launched a project to establish new wake turbulence standards based on revised aircraft weight categories. The FAA has implemented these new standards at Memphis International Airport and Louisville International Airport, which resulted in improved capacity and decreased delays for arrivals, departures, and ground operations.

A second project amended wake turbulence standards for arrival operations into airports with closely spaced parallel runways. Existing standards call for the use of only one runway for landings during

Improving Airport Capacity Separation standards put in place decades ago to protect aircraft from wake turbulence unnecessarily reduce airport capacity.

reduced visibility conditions. With certain combinations of aircraft, the updated standards allow for safe use of both runways for landing, significantly increasing airport throughput. This project was implemented at San Francisco International Airport in September 2013. The benefits of these projects will encourage implementation of the new standards at airports across the country.

At Memphis International Airport, peak departure throughput increased 12 percent, peak arrival separations were reduced 26 percent in poor weather, and taxi queue delays dropped at least 37 percent. At San Francisco International Airport, standards changes are estimated to improve arrival capacity 13 to 20 percent in poor weather.

The MITRE Corporation 32 Ensuring Aviation Safety

State-of-the-Art Aviation Modeling and Simulation

Responding to a request from the Airports Authority of India,

MITRE created a plan that will support India’s aviation growth—as well as the economic growth of the country—and establish India as a leader in air traffic management in the Asia-Pacific region.

Building on proven U.S. capabilities and best practices, combined with

Flying High on the Subcontinent As the ninth largest aviation market in the world, India needs to upgrade and manage its aviation infrastructure to meet rapidly growing demand.

MITRE is also defining the functional capabilities of the Technical Center’s laboratory, and plans are under way to transfer a MITRE technology that will give controllers and pilots the capability to assess India’s air traffic management procedures in a realistic environment. As an initial step in the technology transfer process, MITRE provided training on the capability to selected Technical Center staff.

Based on a master plan by MITRE, India is building a high-tech aviation research, development, operations and maintenance, and training facility that will meet their long-term R&D and testing needs.

India’s engineering expertise, the plan outlines the specifications for a Technical Center at Begumpet Airport in Hyderabad that will perform state-of-the-art aviation modeling and simulation activities. Similar to the FAA William J. Hughes Technical Center, this new facility will support daily air traffic management operations and maintenance, perform research and development, and evaluate capabilities before they are implemented in the field.


Modernizing Federal Financial Management Systems

Defining New Requirements and a New Compliance Framework

The Treasury Department, the White House Office of

Management and Budget, and MITRE worked together to streamline how federal agencies modernize their financial management systems. To better achieve the objectives of the 1996 Federal Financial Management Improvement Act, they worked to define new requirements and a new compliance framework.

MITRE engaged broadly with CFOs, CIOs, auditors, and other stakeholders. The previous 550 financial management system requirements that drove complexity and cost were replaced by 60 requirements that focus on

Federal financial system modernization projects cost too much, take longer than necessary to deploy, and deliver solutions that don’t meet business needs.

Protecting Financial Integrity

The MITRE Corporation 34 Protecting Financial Integrity

business and information needs. Requirements that could only be met through implementing a single technology product were eliminated. Because agency financial managers can now select a combination of solutions— processes, services, or technology —most appropriate for supporting their operations, vendors in the federal market now can offer more cost-effective options.

MITRE helped set in motion a significant change in how agencies select, implement, and operate their financial management systems. These changes will reduce the cost, risk, and complexity of financial system modernizations.

For the first time, a series of financial management goals common to all federal agencies has been established, and agency financial managers can select the most cost-effective combination of solutions to achieve those goals.


MITRE plays a unique role in helping maintain the fiscal and economic stability of the nation.

Safeguarding the Nation’s Financial System Traditional methods of testing for financial stress that could send the U.S. economy into crisis have failed to identify potential systemic risks.

Developing New Ways to Evaluate Market Dynamics

The Office of Financial Research, an independent agency housed

in the Treasury Department, is responsible for developing analytical methods for assessing risks to the nation’s financial system and sharing its knowledge with the financial community. Recently they asked MITRE to develop new ways to evaluate market

MITRE developed a prototype based on “agent-based modeling” techniques that simulate the actions of autonomous agents—both individual and collective entities—during periods of financial instability. Classical models of financial risk, which rely on historical patterns, are not able to incorporate human behavior as part of their predictions.

Although still at an early stage, agent-based modeling techniques offer government financial regulators powerful new analytical and policy simulation tools to counter financial market crises that could cripple the U.S. economy.

dynamics in response to real and hypothetical shocks, as well as to assess the impact of new policies. The goal is to identify indicators of a looming crisis well in advance in order to implement appropriate countermeasures.

Tapping into new advances in computing power and simulation capabilities, MITRE has shown how it’s now possible to obtain a much more accurate analysis of market dynamics. For example, models can now more realistically explore the results of a chain reaction in a financial market.

The MITRE Corporation 36 Protecting Financial Integrity

Creating a Map of Systems that Support the Filing Season

Historically, the IRS has engaged MITRE to perform a yearly

post-filing season assessment with the goal of refining its processes for the subsequent tax year. Given the growing complexity of tax laws, the agency in 2012 stepped up our role in an effort to help with the increased number of electronically filed returns and system redesigns that have resulted from frequent legislative changes.

Our team began the year with a 365-day rolling activity of observation, recommendation, delivery process enhancement, and decision-support tool development. We focused on the agency’s planning and readiness for the filing season, improved incident and problem management, and reduction of the risk of system disruptions.

By creating a map of the technology systems that support filing season, the team monitored potential IT problems. Several new applications

Celebrating a Tax Filing Season One of the principal goals of the IRS is to deliver a successful tax filing season; however, the agency is challenged by an increasing number of new technologies, functions, and legislative changes in processing the more than 200 million returns it receives annually.

assisted with assessment and planning efforts, including a predictive modeling tool that enables contingency planning for events that might cause processing delays or system disruptions. A risk and readiness assessment tool, which was used twice during the tax season, helped evaluate the readiness of the implemented changes.

IRS leaders report that changes in the 2013 processing year resulted in one of the smoothest tax filing seasons since electronic filing began in 1986. Serious disruptions to 50 critical filing season systems were down 65 percent from 2012.


Customer Data Integration for Our Veterans

Delivering Benefits and Services with a Veteran-Centric Focus

MITRE is contracted with the VA to develop a

comprehensive Customer Data Integration initiative that will enable the delivery of benefits and services with a veteran-centric focus. The initiative addresses three critical needs: a department-wide policy for how information should be managed; authoritative sources of customer data; and a single entity that is accountable for a veteran’s overall experience with the VA.

To help the VA achieve the objectives of this initiative, which launched in 2013, MITRE is providing enterprise planning and systems engineering capabilities. One focus involves enterprise

Fragmentation of systems and data across the VA leads to inconsistent benefits and services, which places an extra burden on our veterans.

Transforming Government Missions

The MITRE Corporation 38 Transforming Government Missions

information management policy to guide all VA organizations in managing information (not just customer data), which will ensure that all information is treated as an enterprise asset.

Another focus involves establishing authoritative sources for customer data to enable the right decision makers to work with the right data. The goal is to share information seamlessly and securely across the VA enterprise and to maintain accurate, reliable customer data.

A third focus of the initiative is to establish an entity to represent the veterans and the enterprise as a whole and to prioritize business requirements across the VA.

Customer Data Integration will fundamentally transform how the VA manages business requirements, information, and customer data, enabling comprehensive delivery of benefits and services to our veterans.


MITRE serves as a partner with federal agencies as they evolve the way they do business with the public.

Developing Analytical and Processing Models for Nuclear Waste Disposal

12-person MITRE team met with Department of Energy

staff from the Savannah River site in Aiken, South Carolina, to learn how the facility operates. The site was built in the 1950s to refine materials for use in nuclear weapons.

After studying the complex process of nuclear waste disposal, the team focused on developing new analytical and processing models to inform the planning decisions. Using input from the site staff and a software simulation package called AnyLogic, the team created a series of scenarios that focus on complex system interdependencies as well as factors like construction delays that might affect operation costs.

Based on emerging technology that will make handling and disposing

Saving Millions in Nuclear Waste Disposal Cleaning up nuclear waste left over from Cold War–era weapons costs the Department of Energy millions of dollars annually.

of nuclear waste safer and more efficient, the research team created the Systems Flow Model. The model makes it possible to complete analyses, which previously took at least three months, in four to six weeks. More important, it significantly improves the financial analysis in determining the cost of planned solutions.

The Systems Flow Model produced cost analyses that identify potential savings of up to $200 million per year and up to $1 billion over the 10-year program.

The MITRE Corporation 40 Transforming Government Missions

New Controls to Counter the Advanced Persistent Threat

In collaboration with the National Institute of Standards and

Technology, MITRE worked with representatives of numerous agencies to analyze security controls for the federal government. The group recommended new controls to counter the advanced persistent threat (continuous, sophisticated attacks on an organization’s IT infrastructure).

These recommendations became part of Security and Privacy Controls for Federal Information Systems and Organizations (Revision 4), a document published and updated every few years by the National Institute of Standards and Technology. MITRE drew on its knowledge in information system resiliency and experience in working across government agencies to help shape the recommendations.

Defending Federal Information SystemsMore sophisticated attacks and an increasing number of potential targets underscore the need for defending the federal government’s IT infrastructure by using a standard approach for all military, intelligence, and civilian agencies.

Security and Privacy Controls for Federal Information Systems and Organizations (Revision 4) marks a shift in the federal government’s IT protection posture by providing a common set of security controls that can be applied across all military, intelligence, and civilian agencies.


Global sociocultural change happens quickly, and the United States and its allies need to be better prepared to anticipate and respond.

Anticipating, Measuring, and Understanding Dynamic Events

Social media provides a wealth of information to researchers

studying a cultural environment. To examine social media and online data, analysts use an integrated set of MITRE, industry, and academic capabilities known as Social Radar, which can help them anticipate, measure, and understand dynamic events around the world. MITRE created the Social Radar vision and has been a leader in showing the potential of that vision through research, development, and demonstration of tools and systems. MITRE innovations include automated author identification through lexical forensics, breakpoint detection, sentiment analysis, and detection of deception.

Developing Sociocultural Indicators

Performing Critical Research

The MITRE Corporation 42 Performing Critical Research

Our major area of focus for Social Radar is national security as it relates to countering the influence of malevolent nations, proliferation of weapons of mass destruction, and violent extremism, as well as to monitoring and detecting instability. We are also working in healthcare to improve surveillance of potential biological threats and in infrastructure security to detect major power outages.

Emergency response and law enforcement organizations currently use social media to engage the public to gather vital leads and information, as happened following the Boston Marathon bombings. The government also continues to seek more effective ways to detect the outbreak of disease. In addition, widespread interest

exists in developing tools that can provide a more dynamic understanding of how the public reacts to health events, which could help improve public understanding and acceptance of healthcare recommendations.

Last year we collaborated with government analysts in seven different exercises or demonstrations. We have already transitioned Social Radar tools to the government. Licensing to industry is also under way, which will integrate these tools into systems used by our government sponsors and other organizations.

A range of government organizations appreciate the operational value of Social Radar and are now acquiring and integrating these capabilities. This trend is expected to grow.


MITRE’s scientific research and analysis support a wide range of government organizations.

The Most Complex Nanosystem Ever Built

In collaboration with Harvard University, MITRE researchers

last year achieved two milestones in the design, fabrication, and demonstration of ultra-tiny, ultra-dense, and ultra-low-power nano-electronic computers.

First, our research team built and demonstrated a 3-tile nanowire nanoprocessor—about the size of a human nerve cell—that functions as a primitive control system. This technological breakthrough was announced in a research paper in the Proceedings of the National Academy of Sciences.

Next, we fabricated a more sophisticated 16-tile nanoprocessor that should be capable of a full range of control functions. This 16-tile nanoprocessor consists of a 4x4 array of cell-sized tiles, each containing up to 20 programmable nanowires that implement 200 transistor switches and 500 resistive switches. The 4x4 array is the most complex nanosystem ever built using bottom-up fabrication. Because it is so small and uses so little power, the nanoprocessor could significantly enhance a wide variety of devices—from sensors to biomedical tools.

Each of the transistor switches is nonvolatile—meaning the switches stay in their selected on or off state even when no power is being applied to them—and can store a computer bit or route a signal around the nanoprocessor. As a result, the ultra-tiny nanowire circuit promises to greatly reduce the power footprint and size of information systems.

To further demonstrate its value, we are integrating the 16-tile nanoprocessor with a small sensor system of the type that might be used by the military. Ultimately, we expect that nanoprocessor-controlled devices will have much lower SWaP than anything available today.

Although much more work needs to be done on this technology, MITRE’s research and prototypes are demonstrating the potential to reduce the size and power footprint of electronic systems for the military.

Ultra-TinyThe size, weight, and power (SWaP) requirements of electronic components within a communication device can greatly limit its usability—whether the device is carried on a soldier’s back or on an unmanned aerial vehicle.


A New “Virtual Smartphone” to Better Protect Sensitive Data

To protect data on mobile devices, MITRE researchers

focused on the “always-on” network and cloud connections of these devices. These environments offer new security architectures that can better protect sensitive data.

The team created a “virtual smartphone”—the Secure Virtual Mobile Platform—by modifying the open source Android mobile operating system to run in the cloud. This platform resides in an environment of enterprise data centers and clouds, where sensitive data and applications can be hosted securely.

Mobile device users can access these applications through a custom thin-client application (which enables a mobile device to access any Web browser) and a protocol

Mobile and SecureMobile devices offer new applications and greater productivity for government workers. However, any sensitive data is put at risk if the device is lost, stolen, or compromised by malware.

developed by MITRE that provides a user experience comparable to a regular mobile phone. Our researchers are now working to grow an open source community to extend the use of the platform into more organizations and to continue the development of its security features. For the Department of Homeland Security, we also enhanced device and data security, simplified device management, cut overall risk, and reduced potential costs (see page 20).

Mobile workers can now have access to mobile applications without the risk of compromising sensitive data. No less important, the Secure Virtual Mobile Platform doesn’t sacrifice the usability and productivity advantages of mobile computing.


Smartphone Technology and 3D Printing Help Reduce Costs

MITRE has developed a new approach that packages a

variety of capabilities needed by our military at a fraction of the current cost and construction time. Called commercial off-the-shelf intelligence, surveillance, and reconnaissance, or C-ISR, this new concept deploys readily available technology in innovative ways.

A case in point: Unmanned aircraft systems (UAS) offer advantages in the battlefield, but they also present challenges. Upgrades are costly and time consuming, and replacement parts must be stored or shipped. MITRE is successfully applying C-ISR to these challenges.

To reduce the cost of UAS upgrades and put them in the field more

A Platform that Flies on a Wing and a Phone Asymmetric and other unconventional types of warfare present challenges to U.S. forces, especially the need for a quick response to an adversary’s tactics.

quickly, MITRE uses smartphone technology as the core of an open, mobile ISR system. To reduce the storage and shipping costs of replacement parts, MITRE is taking advantage of advanced manufacturing methods. For example, 3D printing makes it possible to build sensor components and aerial platforms suited to changing operational environments.

In August 2013, MITRE successfully flew a completely 3D-printed aerial platform based on C-ISR technology. An onboard Android device performed mission logic, while a commercial off-the-shelf autopilot controlled the plane’s surfaces. The system’s total fielded cost was less than $2,000.


Integrating Sparse, but High-Fidelity, Pieces of the Puzzle

To better support our sponsors and protect U.S. interests,

MITRE is helping to develop new intelligence methods based on identifying opponent activities. Because opponents often “hide in plain sight,” Activity-Based Intelligence (ABI) focuses on studying patterns of activity to isolate localized behaviors, discover entities of interest, and develop patterns of life typical of specific adversaries.

ABI concentrates on exploiting individual sources that may lack resolution, but which have a high degree of spatial and temporal diversity. These sources become the foundation for integrating other sparse, but high-fidelity, pieces of the puzzle. By aggregating information from diverse intelligence sources and increasing integration time on discrete locations, activities, or entities, ABI methods can effectively drive down the signal-to-noise ratio. This enables analysts to infer

Novel Intelligence Methods Our adversaries use sophisticated techniques to obscure their activities and avoid detection. In seeking to understand these adversaries, analysts must contend with limited opportunities to collect information, high levels of misleading or irrelevant data, and the lack of established patterns.

characteristics unique to a location, activity, or entity of interest.

Our researchers are extending ABI methods into new areas to generate near-real-time activity alerts, provide decision support, and create analytics for select mission scenarios. MITRE uses its research prototype, ABI Explorer, to process, interact with, and visualize large data collections.

By developing AB I tools for our sponsors, MITRE has decreased the human effort involved in correlating multi-source, multi-format intelligence, which contributes to significant cost reductions. Ultimately, these new capabilities advance the state of the art in intelligence analysis and help mitigate threats to U.S. interests.


Nurturing Careers in Science, Technology, Engineering, and Math

A Chance to Roll Up Their Sleeves and Solve Real-World Technical Problems

MITRE participates in a wide range of activities to help

develop the next generation of scientists, engineers, and innovators. For example, we host workshops for students, including a “Young Women in Engineering” program for middle-school girls, a national cybersecurity competition for high school and college students known as “Capture the Flag,” and many others.

For nearly three decades, MITRE has supported exemplary students pursuing graduate degrees as part of the National GEM Consortium, a non-profit organization that promotes the participation of

The number of American students pursuing degrees in science, technology, engineering, and math (STEM) continues to decline, which threatens the nation’s global competitiveness.

Serving as a Good Corporate Citizen

The MITRE Corporation 48 Serving as a Good Corporate Citizen

underrepresented groups in the STEM fields; the company has sponsored more than 70 GEM interns. We provide young people with job opportunities before and after graduation, giving them the chance to roll up their sleeves in solving real-world

Last year MITRE hired more than 200 high school and college students, enabling them to gain hands-on experience in software engineering, robotics, nanotechnology, and other STEM-related areas.

technical problems. In addition to encouraging students, MITRE sponsors STEM-related activities for teachers and also supports the STEM initiatives of government agencies and other organizations.

This ongoing commitment has earned MITRE widespread recognition. Recently Hispanic Network Magazine named MITRE as a top STEM employer for Hispanics. STEMconnector® named MITRE President and CEO Al Grasso to its list of “100 CEO Leaders in STEM.”


Social responsibility is important to MITRE.

Helping Veterans Start a New Career

MITRE helps veterans find jobs. As a charter member of

the Northern Virginia Technology Council’s Veterans Employment Initiative, we connect veterans to employment opportunities in the local technology community. This initiative assists both veterans (by providing them with an array of tools to find jobs, internships, and professional training programs) and their prospective employers (by helping them hire, train, and retain qualified applicants).

MITRE’s Veterans Employment Training program offers internships to help severely wounded service members re-enter civilian life. The program strives to translate military capabilities and experience into

Finding Jobs for Our Nation’s Veterans Former members of the armed forces often face daunting challenges in returning to the workforce.

skills that can be applied to civilian employment. To help veterans make informed decisions about their careers, the program allows them to explore different types of work.

In addition, employee volunteers annually support the Suits for Vets donation program, which has helped provide business attire for job interviews to more than 160 veterans.

MITRE currently employs some 1,800 veterans—about 25 percent of our workforce—and approximately 20 percent of the company’s hires last year were veterans.

The MITRE Corporation 50 Serving as a Good Corporate Citizen Serving as a Good Corporate Citizen

Environmental Design) program. By 2016, 24 percent of MITRE’s real estate portfolio will be LEED certified. As part of that effort, we are committed to using native landscaping that offers myriad ecological benefits, including minimizing the use of pesticides and fertilizers. Where possible, onsite wells ease the strain on the local water supply. We also use low volatile organic compound paint and environmentally friendly products for cleaning buildings and clearing snow from pavement.

Because we rely on extensive data centers to perform our work, we have adopted green IT practices to keep computer energy use as low as possible. Under the principle that many small steps can have a large impact, we have implemented procedures that range from using paperless employee reimbursements to providing paper products instead of Styrofoam in our cafeterias.

In the last two years, our efforts have reduced greenhouse gas emissions per employee by 8.6 percent, energy consumption by 6.9 percent, and paper use by 4.2 percent.

Sustainability in ActionToday’s society is putting unprecedented stress on the environment. Future generations may not have the opportunity to share the natural resources we enjoy today.

Many Small Steps Can Have a Large Impact

MITRE—our employees and the corporation—works

daily to reduce our impact on the environment. Our efforts focus on five main objectives: increased recycling, a smaller carbon footprint, greater energy efficiency, eco-friendly buildings, and minimizing waste.

We strongly encourage employee involvement in our environmental efforts. Employee participation in a five-year recycling program diverted 973 tons of material from landfills, which earned the company a regional Business Recycling Excellence Award.

MITRE also promotes a variety of commuting alternatives to help reduce auto emissions. We offer employees carpooling and public transit support, a shuttle to our McLean campus, and services that reinforce electric and energy-efficient vehicle use.

We also strive to meet the building standards set by the LEED (Leadership in Energy and


• MITRE received the 2013 James S. Cogswell Outstanding Industrial Security Achievement Award, the Department of Defense’s highest honor in security management.

• The InformationWeek 500, an annual ranking of the country’s leading technology innovators, selected MITRE for the third consecutive year.

• IDG’s Computerworld Honors Program named MITRE a 2013 Laureate for our role in developing a computational model to eliminate veterans’ homelessness.

• The Boston Globe named MITRE to its list of 2013 Top Places to Work, which marks our fifth appearance on the list.

• STEMconnector named MITRE President and CEO Al Grasso to its list of “100 CEO Leaders in STEM.”

• Hispanic Network Magazine named MITRE to its 2013 list of “Best of the Best” as one of the nation’s top STEM (science, tech-nology, engineering, and mathe-matics) employers for Hispanics.

Notable News

• MITRE’s Technology Transfer Office announced that the com-pany filed 12 patent applications with the U.S. Patent and Trade-mark Office, was granted 11 new patents for our technologies, and executed 85 licenses and one option agreement. In addition, 51 new inventions were disclosed by staff.

• MITRE launched FastLicense™, an accelerated licensing process that offers U.S. commercial entities the opportunity to quickly access select MITRE technologies.

• A new MITRE site on Princeton’s Forrestal Campus includes the Quantum Information Science Laboratory, which will address some of the most complex nation-al challenges in diverse areas, including cybersecurity, financial engineering, and data mining.

• Elizabeth Rindskopf Parker, nationally recognized for her scholarly and legal work in national security and terrorism, international relations, technolo-gy development and transfer, and civil rights litigation, joined the MITRE Board of Trustees.

• The Institute of Navigation’s Satellite Division awarded Dr. John W. Betz, a MITRE Fellow, the Johannes Kepler Award for his contributions to the Global Navigation Satellite System signal modernization and to the compatibility and interopera-bility of global navigation satellite systems.


Total Staff

Total Assets($ in millions)

Total Revenue($ in millions)

MITRE’s revenue from operations decreased 2.7% from $1,421 million in fiscal year 2012 to $1,383 million in fiscal year 2013. Year-over-year decrease in demand was driven primarily by sequestration and the subsequent impacts on MITRE’s sponsors’ budgets. Assets increased by $74M, driven primarily by increased Accounts Receivable (the result of sequestration-related process issues), as well as an increase in cash resulting from a drawdown in borrowings in anticipation of increased cash flow needs for planned activities. Staff population decreased year over year, which reflects shifts in the work program.

7,1907,178 7,544 7,887 7,613

20132009 2010 2011 2012

$750

$0

$1,500

$0

Financial and Staffing Data

2009 2010 2011 2012 2013

2009 2010 2011 2012 2013

$1,263

$1,310$1,389 $1,421

$1,383

$534$556 $558

$586$660


Leadership

Mr. Alfred GrassoPresident and Chief Executive Officer

Mr. Richard ByrneSenior Vice President, Programs and Technology, Center for Connected Government

Ms. Julie BowenVice President, General Counsel, and Corporate Secretary

Mr. James CookVice President and Director, Center for Enterprise Modernization

Mr. Raymond HallerSenior Vice President and General Manager, Center for National Security

Mr. Sol Glasner(Retired early 2014)

Vice President, General Counsel, and Corporate Secretary

Mr. Gary GagnonSenior Vice President and Chief Security Officer, National Security Engineering Center

Dr. Gregory CrawfordVice President, Programs and Technology, Center for National Security

Mr. Joel JacobsVice President and Chief Information Officer

Mr. Mark KontosSenior Vice President, Chief Financial Officer, and Treasurer

Dr. Stephen HuffmanVice President, Joint and Service Programs, National Security Engineering Center

Mr. Robert JensenVice President and Director, CMS Alliance to Modernize Healthcare


Mr. David Lehman(Retired early 2014)

Senior Vice President and Chief Operations Officer

Ms. Sarah MacConduibhVice President, Air Force Portfolio, National Security Engineering Center

Dr. Mark MayburyVice President and Chief Technology Officer

Dr. Louis Metzger(Retired early 2014)

Corporate Chief Engineer and MITRE Fellow

Dr. Jason ProvidakesSenior Vice President and General Manager, Center for Connected Government

Ms. Lillian Zarrelli RyalsDirector, Senior Vice President, and General Manager, Center for Advanced Aviation System Development

Mr. Peter SherlockSenior Vice President, Programs and Technology, Center for National Security

Ms. Karen Quinn-QuintinVice President and Chief Human Resources Officer

Ms. Barbara ToohillVice President and Director, Homeland Security Systems Engineering and Development Institute


Board of Trustees

Dr. George Campbell, Jr.Previous positions: President, The Cooper Union for the Advancement of Science and Art

President and CEO, National Action Council for Minorities in Engineering, Inc.

U.S. Delegate, International Telecommunications Union

General Ronald R. Fogleman, U.S. Air Force (Ret. )Founding Principal, The Durango Group, LLC

Previous position: Chief of Staff, U.S. Air Force

Admiral Edmund P. Giambastiani, Jr., U.S. Navy (Ret. )Previous positions: Seventh Vice Chairman of the Joint Chiefs of Staff

NATO Supreme Allied Commander Transformation

Commander, U.S. Joint Forces Command

Senator Charles S. Robb ChairmanDistinguished Professor of Law and Public Policy, George Mason University, School of Law

Previous positions: U.S. Senator

Governor of Virginia

Mr. Nicholas M. Donofrio Previous position: IBM Executive Vice President, Innovation and Technology

Ms. Michèle FlournoySenior Adviser, Boston Consulting Group

Previous positions: Undersecretary of Defense for Policy

Co-Founder and President, Center for a New American Security

Senior Adviser, Center for Strategic and International Studies

Ms. Jane F. GarveyNorth America Chairman, Meridiam Infrastructure

Previous positions: Executive Director, JP Morgan Securities, Infrastructure Advisory Group

Administrator, Federal Aviation Administration

Acting Administrator, Federal Highway Administration

Mr. Alfred GrassoPresident and Chief Executive Officer, The MITRE Corporation

Dr. John J. HamrePresident and Chief Executive Officer, Center for Strategic and International Studies

Previous position: Deputy Secretary of Defense

Dr. James SchlesingerChairman(Deceased 2014)

Previous positions: Counselor, Center for Strategic and International Studies

Secretary of Defense

Secretary of Energy

Director of Central Intelligence


Mr. Robert R. EverettHonorary MemberPrevious position: President, The MITRE Corporation

Dr. Donald M. KerrPrevious positions: Principal Deputy Director of National Intelligence

Director, National Reconnaissance Office

Deputy Director for Science and Technology, Central Intelligence Agency

Mr. John P. StenbitPrevious positions: Assistant Secretary of Defense for Command, Control, Communications and Intelligence

Executive Vice President, TRW

General Robert T. Marsh, U.S. Air Force (Ret. )Honorary MemberPrevious positions: Executive Director, Air Force Aid Society

Commander, Air Force Systems Command

Dean Elizabeth Rindskopf ParkerDean Emerita of the McGeorge School of Law at the University of the Pacific

Previous positions: General Counsel, National Security Agency

Principal Deputy Legal Adviser, U.S. Department of State

General Counsel, Central Intelligence Agency

General C. Robert Kehler, U.S. Air Force (Ret. )Previous positions: Commander, U.S. Strategic Command

Commander, Air Force Space Command

General Montgomery C. Meigs, U.S. Army (Ret. )Visiting Professor in the Lyndon B. Johnson School of Public Affairs, University of Texas

Previous positions: President and Chief Executive Officer, Business Executives for National Security

Visiting Professor of Strategy and Military Operations, Georgetown University

Director, Joint IED Defeat Organization, Office of the Secretary of Defense

Mr. Cleve L. KillingsworthPrevious positions: Chairman and Chief Executive Officer, Blue Cross Blue Shield of Massachusetts

President and Chief Executive Officer, Health Alliance Plan

Dr. Jack P. RuinaHonorary MemberProfessor Emeritus of Electrical Engineering, Massachusetts Institute of Technology


Corporate headquartersMcLean, Virginia

Corporate headquartersBedford, Massachusetts

KANSAS Kansas City Air Route Traffic Control CenterLeavenworth MARYLAND Aberdeen Annapolis Junction Baltimore Lexington Park New CarrolltonRockledge Silver Spring Suitland

MICHIGAN Ann Arbor

NEBRASKA Omaha

NEVADA Nellis AFB

LocationsCorporate Offices202 Burlington Road Bedford, MA 01730-1420(781) 271-2000

7515 Colshire Drive McLean, VA 22102-7539 (703) 983-6000

Domestic LocationsALABAMA Huntsville Montgomery

ARIZONA Fort Huachuca

CALIFORNIA El Segundo La Jolla San Diego Vandenberg

COLORADO Boulder Colorado Springs

DISTRICT OF COLUMBIA

FLORIDA Eglin-HurlburtKey West Miami Orlando Tampa

GEORGIA Fort Gordon

HAWAII Honolulu

ILLINOIS Scott AFB

INDIANA Indianapolis Air Route Traffic Control Center


VERMONT Burlington

VIRGINIA Arlington Chantilly CharlottesvilleClarendon Dahlgren Fort Belvoir Hampton Roads Quantico Walney Warrenton

WASHINGTON Seattle

WEST VIRGINIAClarksburg

NEW JERSEY Eatontown Picatinny Princeton

NEW YORK Rome

NORTH CAROLINA Fort Bragg

OHIO Wright-Patterson AFB OKLAHOMA Oklahoma City

SOUTH CAROLINA Shaw AFB

TEXAS Fort Hood San Antonio

International LocationsBELGIUM Brussels

GERMANY Darmstadt Heidelberg Ramstein Air Base Stuttgart Wiesbaden

JAPAN Tokyo

NETHERLANDS The Hague

REPUBLIC OF KOREASeoul

UNITED KINGDOMRAF Molesworth


SustainabilityThe MITRE Corporation is committed to the development of a sustainable environment. The printing company is certified by the Forest Stewardship Council™.

The 2013 MITRE Annual Report was printed using paper with 10% post-consumer recycled fiber on McCoy Gloss, manufactured by Sappi Fine Paper North America, in the USA.

www.mitre.org

© 2014 The MITRE Corporation. All rights reserved.

Approved for Public Release. Distribution unlimited. Case number 14-0749.

Photos and illustrations by MITRE Corporate Communications and Public Affairs. Additional photos courtesy of af.mil, defense.gov, navy.mil, nga.mil, Thinkstock.com, and MITRE staff.

Produced by MITRE Corporate Communications and Public Affairs.

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The MITRE Corporation Annual Report 2013“Dr. James R. Schlesinger, Chairman of the Board of Trustees, passed away in March 2014 after 29 years of service to MITRE. He was a remarkable

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