Advocacy / CADSI News
February 4, 2014

CADSI Calls For Systemic Reform of The Current Procurement Process

Ottawa, December 20, 2013 – The following comments can be attributed to Tim Page, CADSI President, in light of today’s announcement regarding the decision not to proceed with the Close Combat Vehicle acquisition.

“It must be a difficult day for the companies directly affected. They’ve spent a considerable amount of money to position their products to win the competition on the basis of a stated need that now is no longer required. The situation is evidence of a compelling need for urgent consideration and articulation of a renewed and affordable Canada First Defence Strategy, as committed to by the Government in the throne speech.

Canada’s sovereign and economic interests are best met with stable, predictable funding for a defence program that is fiscally sustainable. The nation needs an operationally capable Canadian Armed Forces that are balanced amongst the Services in addition to being responsive to the ‘newer’ requirements in critical enablers like cyber, space, and joint forces. The best military advice on what constitutes the right balance and mix of forces needs to remain the purview of the senior leadership of the CAF.

Recent public discussions around failed, delayed or cancelled major procurements point to the urgent requirement for a publicly available medium-term capital acquisition plan, derived from a renewed and affordable CFDS. This predictability is a necessary condition for better procurement outcomes for the Canadian Armed Forces, for the Government, and for industry.

It is better that the military spend money on equipment they need, than on equipment they don’t need. Today’s announcement is evidence of a compelling need to change how this country procures major equipment for its armed forces. In Budget 2013, the Government committed to “…reform the current procurement process to improve outcomes. This will include thorough and rigorous option analyses, a challenge function for military requirements, early and frequent industry engagement, and strengthened oversight with the use of third-party expertise.” This systemic reform can’t come soon enough.”

About CADSI

The Canadian Association of Defence and Security Industries (CADSI) is the national industry voice of more than 650 Canadian defence, security and cybersecurity companies that produce world-class goods, services and technologies made across Canada and sought the world over. The industries contribute to the employment of more than 78,000 Canadians and generate $12.6 billion in annual revenues, roughly half of which come from exports. To learn more, visit defenceandsecurity.ca and follow us on Twitter at @CadsiCanada .

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