Friday, January 3, 2025

Big plans meet NASA reality

Being administrator is a tough job
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The Trump administration will come into office this month with a lot of promises about overhauling the federal government. Bloomberg space reporter Loren Grush writes today about one example of how resistant agencies are to change. Plus: Protein-packed snacks in the latest Extra Salt column. If this email was forwarded to you, click here to sign up.

Speculation has abounded about how billionaire Jared Isaacman, President-elect Donald Trump's pick to lead NASA, might try to reshape the US space agency if he's confirmed by Congress. His close ties to SpaceX have sent that speculation into overdrive about what biases he might bring to the role, regarding certain companies and contractors.

But even if Isaacman is keen to overhaul NASA, the job of administrator is a tough one, set in a world that's slow and resistant to change, despite operating vehicles that zoom through the solar system at hundreds of thousands of miles per hour.

The role of NASA administrator is mostly twofold, requiring both a deep understanding of the programs the agency runs and a political mind that can keep those programs funded.

"Traditionally there are 'up and out' and then 'down and in' roles as the administrator, and some have been better at prioritizing" each job, says Garrett Reisman, a former NASA astronaut and SpaceX director.

"Down and in" refers to running and crafting the various missions that NASA operates at any given time, Reisman says. It entails making sure the programs are being run efficiently, stay on track financially and keep on schedule.

Isaacman in 2021. Photographer: Patrick T. Fallon/AFP

Isaacman's experience at SpaceX will likely help him with this role. He's flown to space twice on SpaceX missions, and he's helped to fund a development program with the company called Polaris, which aims to advance human spaceflight. He's also been very vocal on social media about his opinions on how NASA's various programs are run. 

The "up and out" role is probably less glamorous, but it's just as important. It entails maintaining a good relationship with the White House, particularly the Office of Management and Budget, as well as a strategic rapport with lawmakers on Capitol Hill.

"That's a huge portion of the administrator role that is often kind of neglected," Reisman says.

NASA's priorities are set by the administration, but Congress provides the funding. And plenty of lawmakers have strong opinions about its various programs, especially the legislators from states where NASA provides copious jobs to constituents.

The administrator's job is to find common ground and balance between the wants of the executive and legislative branches. It's not always easy, especially when one wants to cancel something the other wants to keep.

"The biggest issue that I found as a challenge was, how do you vector all these really bright people toward a common objective?" says Sean O'Keefe, a former NASA administrator who's now a professor at Syracuse University. "You've got a lot of enthusiasm and a lot of interest and a lot of energy. How do you channel everybody in the same direction to accomplish a mission?"

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In Brief

Snacking's Evolution Makes Cottage Cheese Hip

Photo Illustration: Rui Pu for Bloomberg Businessweek; Photos: Getty Images

Not too long ago, it looked like we were in the middle of a great American food revolution. No, I'm not talking about Make America Healthy Again. I'm talking about snacks. Ever since the pandemic, when stuck-at-home Americans found themselves noshing all day on comfort foods, snacking has looked like the future of the American diet.

It was that opportunity for even more snacking growth that led Kellogg, in 2023, to spin off its dragging North American cereal business. That allowed it to focus on its high-growth snack portfolio, including brands like Pringles, Cheez-It and Rice Krispies Treats, under the new name Kellanova. The strategy worked: In August, candy conglomerate Mars Inc. said it would buy the standalone snack company in a $36 billion deal. This same bet on snacking also pushed peanut butter and jelly maker JM Smucker Co. to scoop up Hostess in 2023 for $5.6 billion. And last month, Bloomberg News reported that Oreo maker Mondelez International Inc. was trying to buy out Hershey Co. to create a global snacking powerhouse. (The preliminary offer was turned down.) Not long after the Wall Street Journal reported on the junk-food-fueled "snack-ification" of US diets, PepsiCo Inc. told us that, yes, Doritos can be part of your dinner.

In some ways, Big Food's prediction of never-ending snacking was right. We are snacking more and more. About 86% of consumers surveyed by research group Mintel in November 2023 said they were snacking as much as or more than they did the year before. The group's 2024 report says 22% of consumers snack three or more times a day. "People are kind of eating nonstop," says Bloomberg Intelligence analyst Jennifer Bartashus.

You wouldn't know it from these companies' latest earnings reports.

In her latest Extra Salt column, Deena Shanker writes about how major food companies went all-in on junk food—but missed the new snacking trend right in front of them: Why Everyone's Obsessed With Meat Sticks and Cottage Cheese

Grocery Bills

7%
That's how much the cost of food rose last year, according to a United Nations index tracking raw commodity costs of food. It's the first annual gain in three years, and it could put a fresh squeeze on shoppers hit by broader inflationary pressures in recent years.

Faith-Friendly Funds

"As stewards of what we believe are God's dollars, it's our job to speak biblical truth to corporate power."
Robert Netzly
Founder of Inspire Investing
Faith-based investors are attracting more money and flexing their shareholder muscles for conservative causes. Read the full story here.

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