Editorial: Hurry up and wait | ADM Oct 2010
Katherine Ziesing | Canberra
ADM would like to welcome the new government into office.
Defence is a tough portfolio and this has been reflected by the high calibre of people appointed to steer it at the ministerial level.
The Strategic Reform Program, the implementation of numerous reviews and their recommendations alongside a substantial acquisition and sustainment program are a big ask given the high operational tempo of the Australian Defence Force (ADF).
The Defence Capability Plan (DCP) outlines an impressive list of projects to come to fruition over the coming years.
But it seems that many of these projects have a sense of hurry up and wait.
Decisions have, in effect, been made yet not announced.
And this incurs dollar and schedule costs.
Tender information ages and needs to be refreshed, workforce planning remains amorphous for both Defence and Industry and the end customer, the ADF, remains far behind the leading technology edge it claims to be on.
ADM understands that there are a few projects in this position, doing none of the players any favours.
The Force Protection measures announced by previous defence minister Senator John Faulkner have gone some way to addressing this issue but there are still projects on the books that could be sped up significantly.
The National Security Committee (NSC) of Cabinet has its work cut out in clearing the backlog of projects created by the political turmoil of the past few months.
At the 2010 ADM Congress, Mark Thomson of ASPI and then Capability Development Group chief Vice Admiral Matt Tripovich spoke of the number of projects that will need to pass through the NSC to keep the DCP on track.
This number was daunting to say the least.
These timelines were fudged somewhat in the June Budget papers thanks to the bracket system for various passes and in service dates.
For example, 2011-2013 gives government wiggle room to re-program or re-prioritise projects as needed.
But on who’s need?
Defence is a large and complex beast.
While there will be a grace period for the new ministers to get their heads around that complexity, it will not last long.
In the meantime, everyone, from industry to the ADF, waits.
But they are told to be ready, just in case they need to hurry up and wait.
There is an opportunity here for decisive action for a government brave enough to take it.
ADM hopes this is the time for that government to emerge.
Thanks Prime Minister, but what about...
Gregor Ferguson | Sydney
ADM is delighted to welcome the new Defence Ministerial team to office, and wishes its members well.
They will have their hands full dealing with the ongoing challenges of prosecuting the war in Afghanistan while simultaneously modernizing the ADF to meet the enduring and emerging challenges of the coming decade.
Any department which spends $11 billion a year buying goods and services from industry has a responsibility to ensure that money is spent wisely.
It must also recognise the impact it can have on the economy, particularly in the high-technology sector where the ADF seeks its combat advantage.
Project Land 121 Ph.4 highlights some of these industry issues.
On the face of its, Defence could simply buy a foreign design off the shelf to meet Army’s requirement for a Protected Mobility Vehicle (Light).
But Army needs around 1,300 of these vehicles, worth over $1 billion.
Outside the US, this is the biggest vehicle program of its kind in the world.
Even the British Army plans to buy only 200 such vehicles and estimates this small order alone will support or create some 750 British jobs.
A 1,300-vehicle program would justify establishing an assembly line in this country.
When Land 400 is taken into account, the argument for a strong, local armoured vehicle industry becomes compelling: Land 400 will see the replacement of 270 ASLAVs, 350 M113 armoured personnel carriers and over 700 Bushmasters.
That’s potentially another 1,200-1,300 armoured vehicles – a rough total of over 2,500 in round figures over the next 15-20 years, not including exports.
While much of the design effort will necessarily be borne overseas (especially in Land 400), Australian researchers, engineers and vehicle manufacturers are even now doing the R&D which will deliver stronger armoured steels, faster and cheaper welding and fabrication processes and the design tools to help Defence and Australian industry develop better protected, more efficient and, crucially, cost-competitive armoured vehicles.
Army’s experience in Afghanistan demonstrates Australian industry can deliver world-best performance and protection.
Industry now needs vision and leadership from defence to build sustainably on the successes it has already delivered.