Supporting Industry to Better Leverage Defence Procurement

Deputy Minister Panel, Western Innovation Forum, April 16, 2015

Presentation Outline

  1. Defence Procurement Strategy Objectives
  2. Defence Acquisition Guide and Enhanced Challenge Function
  3. Industrial and Technological Benefits Policy & Value Proposition
  4. Delivering on the Defence Procurement Strategy Internationally
  5. Moving Forward

1. Defence Procurement Strategy Objectives

Launched in February 2014, the Defence Procurement Strategy has three key objectives:

  1. Deliver the right equipment to the Canadian Armed Forces and the Canadian Coast Guard in a timely manner
    • Key Initiatives:
      • Early and Continuous Engagement
      • Defence Acquisition Guide
      • Enhanced Challenge Function
  2. Leverage purchases of defence equipment to create jobs and economic growth in Canada
    • Key Initiatives:
      • Industrial and Technological Benefits & Value Propositions
      • Defence Analytics Institute
      • Export Strategy 
  3. Streamline defence procurement processes
    • Key Initiatives:
      • New Governance Regime: Working Group of Ministers and Deputy Minister Governance Committee
      • New Procurement Defence Strategy Secretariat
      • Review National Defence Delegated Authority

2. Defence Acquisition Guide and Enhanced Challenge Functions

National Defence: Implementation of the Defence Procurement Strategy

Deliver the right equipment for the Canadian Armed Forces in a timely manner

Increased Contracting Authority

Objective: Streamline defence procurement process by lowering transaction costs for lower value / lower risk projects.

Defence Acquisition Guide

Objective: Provide industry with greater insight into Canadian Armed Forces' future needs

Enhanced Challenge Function

Objective: Strengthen National Defence challenge functions for military requirements

3. Industrial and Technological Benefits Policy & Value Proposition

Minister of Industry officially announced the Policy on December 19, 2014 with the release of the Value Proposition Guide.

The Policy:

Value Proposition is the key new element of the ITB Policy which will apply to far more procurements than under the former IRB Policy.

Value Proposition

Value Proposition Framework: Evaluation Criteria

4. Delivering on the Defence Procurement Strategy Internationally

Canada's Defence Industrial Base

For example… a procurement in practice

Exports Key to Defence and Security Sector's Sustainability

Creating a Winning International Environment for Canadian Companies

Delivering on the DPS in International Markets

5. Moving Forward

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