Arms purchases are among the most expensive, technologically challenging and politically controversial decisions made by modern-day governments. Superpower spending on weapons systems is widely analysed and discussed. But defence procurement in smaller industrial countries involves different issues which receive less attention. This volume presents a general framework for understanding smaller country defence procurement supported by country, industry and project studies.
Part I provides a general framework for analysing smaller country defence procurement, focusing on the formation of national defence capabilities. The framework is then used to analyse issues around the development of procurement demand, the characteristics of defence industry supply, contracts and relationships between buyers and sellers, and government policy for defence procurement and industry development. Part II focuses on defence procurement in seven smaller industrial nations with widely varying historical and political settings (Australia, Canada, Israel, Singapore, Spain, Sweden and The Netherlands). Part III consists of two Australian case studies of the procurement issues raised in, respectively, the naval shipbuilding industry and in a major, complex defence project.
The book addresses the needs of public and private sector managers, military planners, procurement specialists, industry policy-makers, and defence procurement and industry educators. It presents general principles in an accessible manner and points to real-world experience to illustrate the principles at work. Therefore it will be of interest to scholars and practitioners in defence economics, strategic procurement, public sector procurement, and defence industry policy.
Stefan Markowski is an Associate Professor of the University of New South Wales in the School of Business at The Australian Defence Force Academy, Canberra, Australia. Peter Hall is an Emeritus Professor at the University of New South Wales at The Australian Defence Force Academy. Robert Wylie is a Lecturer in the School of Business at the University of New South Wales at The Australian Defence Force Academy.
PART 1. AN OVERVIEW AND CONCEPTUAL FOUNDATIONS 1. Procurement and the chain of supply: A general framework Stefan Markowski, Peter Hall and Robert Wylie 2. Demand: Military products, user requirements, and the organisation of procurement Stefan Markowski, Peter Hall and Robert Wylie 3. Supply: Defence industry Stefan Markowski, Peter Hall and Robert Wylie 4. Buyer-seller interaction in defence procurement Stefan Markowski, Peter Hall and Robert Wylie 5. Government policy: Defence procurement and defence industry Stefan Markowski, Peter Hall and Robert Wylie PART 2. NATIONAL PERSPECTIVES 6. The Australian defence value adding chain: Evolution and experimentation Stefan Markowski, Peter Hall and Robert Wylie 7. Canadian defence procurement Ugurhan Berkok 8. Defence structure, procurement and industry: The case of Israel K. Kagan, O. Setter, Y. Shefi and A. Tishler 9. Small country `total defence': A case study of Singapore Ron Matthews and Nellie Zhang Yan 10. Importing defence technologies: Why have Spanish policies changed? Jordi Molas-Gallart 11. From certainty to uncertainty: Sweden's armament policy in transition Bjoern Hagelin 12. National Defence Organisation and defence procurement in The Netherlands Erik Dirksen PART 3. INDUSTRY CASE STUDIES 13. Industry case study: Australian naval shipbuilding Stefan Markowski and Robert Wylie 14. Managing the defence value adding chain: Australian procurement of over-the-horizon radar Robert Wylie and Stefan Markowski Conclusion