Defence Industrial Strategy

This strategy document sets out the Government's analysis of the UK's defence industrial capabilities requirement, and is divided into three parts: i) a strategic overview including information on the principles and processes that underpin procurement and industrial decisions, the need for transparency, the evolving defence industry environment, developments and innovation in defence research technology; ii) a review of different industrial sectors and cross-cutting industrial capabilities; and iii) how the strategy will be implemented and an assessment of implications for the Ministry of Defence and industry as a whole.

The Defence Industrial Strategy (DIS) is structured in three parts: Part A, providing the strategic context; Part B, reviewing different industrial sectors and cross-cutting industrial capabilities; and Part C, outlining the implications for MOD and industry as a whole, and how the DIS will be implemented.

The relationship between government and the businesses that contribute towards the defence and security of the state is a critical one; it often underscores a modern state’s foreign policy and sense of place in the world. Yet, despite its clear importance, this subject is underexplored and rarely analysed in a rigorous manner. As a consequence, government defence industrial policies, if they exist at all, often seem somewhat contrived, ill-considered and contradictory. The Defence Industrial Triptych systematically analyses the components and drivers of the relationships that bind a government to its defence industrial base by examining three major case studies: the UK, US and Germany, who between them account for over three quarters of NATO defence spending. The features of their defence industrial relationships –whether common or unique – provide vital lessons for policy-makers, industrialists and the taxpayer. As defence cuts bite across NATO and as the UK approaches the 2015 Strategic Defence and Security Review, the relationships this Whitehall Paper considers are more important than ever.

The defence industrial strategy published in December 2005 (Command paper Cm. 6697, ISBN 0101669720). Its aim was to provide greater transparency on the UK's future defence requirements and to set out those industrial capabilities the UK needs to maintain appropriate sovereignty and operate equipment independently. The Committee praises the production of the strategy to a tight timetable and with wide consultation. The strategy has been well received by industry. In the future there will be more focus on upgrading and maintaining platforms rather than designing and building new equipment. The Committee wants the Ministry of Defence (MoD) to continue improvements in the procurement process, and to give more information about future requirements. Investment in research and technology needs to increase, or the result will be lower quality defence equipment. The MoD also needs to develop a greater understanding of the vital role of small and medium-sized enterprises in the supply chain. Competitive procurement will not always be possible in some areas, where there is only a single company with the capacity and capability to deliver the MoD's requirements. The Committee expresses concerns about the planned use of long-term partnering arrangements, seeing the risk of possible monopoly supply and lack of access of other companies to sub-contract work.

The Government's Defence Industrial Strategy (DIS) was published in December 2005 (Cm. 6697, ISBN 9780101669726) with the aim of providing greater transparency to the UK's future defence requirements and, for the first time, setting out those industrial capabilities the UK needs to maintain appropriate sovereignty and operate equipment independently. Following on from its previous report on the strategy (HCP 824, session 2005-06; ISBN 9780215028594), the Committee has examined the progress made in implementing the strategy during its first year and remaining challenges. Findings include: progress in restructuring the maritime sector, both surface ships and submarines, has been disappointing and it needs to be pushed forward to avoid delays to when the new carriers and associated aircraft come into operational service; there are some practical concerns over operation of the Joint Strike Fighter (JSF) programme; the Ministry of Defence needs to improve the arrangements for long-term partnering arrangements as an alternative to competitive procurement; and adequate funding needs to be provided in the Comprehensive Spending Review if the full benefits and improvements offered by the DIS are to be realised.

Government reply to the 7th report (HC 824, ISBN 0215028597). The Defence industrial strategy published in December 2005 (Cm. 6697, ISBN 0101669720).

Government response to the 6th report (HC 177, session 2006-07, ISBN 9780215032454)

Military and defense organizations are a vital component to any nation. In order to maintain the standards of these sectors, new procedures and practices must be implemented. Emerging Strategies in Defense Acquisitions and Military Procurement is a pivotal reference source for the latest scholarly research on the present state of defense organizations, examining reforms and solutions necessary to overcome current limitations and make vast improvements to their infrastructure. Highlighting methodologies and theoretical foundations that promote more effective practices in defense acquisition, this book is ideally designed for academicians, practitioners, researchers, upper-level students, and professionals engaged in defense industries.