Issue 3, 2010

m a g a z i n e ›

Building begins on AWDspage 14

The Strategic Reform and Governance team is now in a position to provide advice on the specifics of the Strategic Reform Program, following the Government’s endorsement of the implementation plan.

Pictured above are Strategic Reform and Governance team members (L-R): Administration Officer Ms Gabrielle Burrell, the then Deputy Head Strategic Reform and Governance Rear Admiral Ray Griggs, Deputy Secretary Strategic Reform and Governance Mr Brendan Sargeant and Administration Officer Mr Troy Dickie. Photo: Bryan Doherty.

Full details from page 16.

Reform tabled

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CONTENTS

i n s i d e t h i s e d i t i o n

Columns

secretary: SRP: the opportunity to create and innovate 10

Chief of the Defence Force: Real reform can now begin 11

News

Snapshot 4

Pictorial: Anzac Day 2010 12

AWD update: what it takes to build a warship 14

More than words mark International Women’s Day 15

Cover story

Reform: a program for the people 16

The strategic Reform Program: what you need to know 18

Features

Freedom of Information: Information uncovered 20

Air Force: Deep reform keeps Air Force at cutting edge 22

Navy: Continuous improvement thrives in Navy conscience 24

Army: Reforming for a better fight 26

Chief Information Officer: New generation of reforms for ICT 28

Defence support: Joint action on payroll remediation 29

Defence Imagery and Geospatial Organisation: The warfighting edge 30

Defence security Authority: New governance bodies secure the risk 32

Capability Development Group: Reinforcing skills and procedures 33

People strategies and Policy: Shared services a model for all 34

science and Technology: Future-proofing Defence 35

Defence support: Leadership changes but business as usual 36

Defence Materiel Organisation: OTHR smart reforms 38

The Last Word: Head Acquisition and Reform in DMO, Michelle Kelly 39

Defence magazine

editor: Michael Weaver

Phone: 02 6265 7117

Deputy editor: Jack Foster

Phone: 02 6265 1949

Imagery support: Public Affairs Branch

Defence Magazine is produced by the Directorate of Internal Communication,

Public Affairs Branch.

ISSN 1446-229X

Design and layout: Graphics Services

Defence Publishing Service DPS: APR009/10

How to contribute to DeFeNCe MAGAzINe

Contact Michael Weaveror defence.magazine@defence.gov.au

Phone: 02 6265 7117http://www.defence.gov.au/defencemagazine/

editorialThe story of the Strategic Reform Program (SRP) began last year with the unveiling of the Defence White Paper in the form of a document titled Defending Australia in the Asia Pacific Century: Force 2030.

With the planning phase now complete and Defence’s vision for implementation of the SRP endorsed by Government, the real work begins.

There are many chapters to this next phase and we have documented the very significant efforts of each Group and Service, many of which have worked together to achieve projected efficiencies for us all.

Indeed, the SRP is still only in its infancy and in many ways, is yet to reach its rebellious teenage years. However, as we all know, the peer pressure of being a teenager is something long forgotten upon maturity, and those in charge with implementing reform will hope the SRP traverses a similar trajectory – to reach a point where we don’t need to talk about reform programs, efficiencies and cost-consciousness – because they are a part of everyday business.

Suffice to say, this edition spells out in the plainest of English how each Group and Service is doing its bit to do its job more efficiently.

A line in the sand has been marked. There is a common goal. Yet the eventual success of this reform program rests with one more crucial element – the efforts of every person in Defence.

So, while there is little more to say here that has not already been said inside, you will definitely gain an insight into what the other areas of Defence have done and are planning to do, and how your workplace will look in the next few years.

An insight that makes your job easier may well be within.

- Michael Weaver, editor

PHOTO OF THe MONTH:Seaman CIS Bhup Inder salutes

upon raising the Australian National Flag during proceedings before the

annual Anzac Day AFL clash between Collingwood and Essendon at the

Melbourne Cricket Ground. Further images from Anzac Day appear on P12.

Photo: ABIS Andrew Black

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24

39

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Remote Indigenous Australians answer the callMore than 40 indigenous applicants from remote communities across the Northern Territory and Kimberley region have travelled to Darwin for a week of assessments on their suitability to join NORFORCE, and further study on the Defence Indigenous Development Program (DIDP) in Katherine.Travelling from communities as far as Ramingining in Arnhem Land and Amoonguna down in the desert country near Alice Springs, indigenous mentor Lance Corporal James Woods from Maningrida aptly described the gathering of

applicants on Larrakeyah Barracks as “a call to protect our land”.

“Serving in NORFORCE is a big thing out in the communities. Most of the applicants here have a brother, uncle, or mate who served, so they understand what it’s about,” Lance Corporal Woods said.

“Coming into Darwin and staying on the barracks for a week of Army testing is a big worry for some of the remote boys. That’s why mentors like me are here, to explain some things and relax them.”

Commanding Officer of NORFORCE Lieutenant Colonel Chris Goldston said Defence Force Recruiting (DFR) and his unit’s training squadron were working well together, with the assistance

BeLOW: Indigenous mentor Lance Corporal James Woods with some of the applicants in the latest round of assessments to join NORFORCE.

of indigenous mentors from some of the remote communities.

“For most of the applicants this is their first exposure to the military, and coming to Larrakeyah Barracks in the middle of Darwin can be a little overwhelming,” LTCOL Goldston said.

The week-long testing period conducted by Defence Force Recruiting and Training Squadron includes fitness tests, health checks, and interviews.

In the coming month, successful applicants will be invited back to Darwin to attend their recruit induction course for service as a NORFORCE soldier.

One-stop-shop for vetting enquiriesBeginning operations in late February, the Client Service Centre in the Defence Security Authority (DSA) has been established to process all calls and emails relating to security clearances and vetting.This single point of contact will improve engagement with Defence clients on vetting matters. The Client Service Centre can be contacted on 1800 640 450 (freecall), or by email to securityclearances@defence.gov.au.

All other security enquiries should be submitted to your local regional DSA office, details of which can be found on the DSA Intranet site, http://intranet.defence.gov.au/dsa

Another feature of the DSA Intranet site is the Security Newsroom, containing important updates and topical articles relating to security issues in Defence. Security Officers in particular should frequently visit the Security Newsroom, as updates to security programs, policy, forms and training are provided on a regular basis.

Lost sons returned homeThe remains of two soldiers lost in Indonesia for 43 years have finally been returned to Australian soil.

Lieutenant Kenneth Hudson and Private Robert

Moncrieff – members of the Special Air Service

Regiment (SASR) – were conducting border

security operations in West Kalimantan, during the

Indonesia Confrontation between the Federation

of Malaysia and Indonesia. The men were swept

away during a river crossing on 21 March 1966.

An Army investigation to find their remains began

in late 2008 and received Indonesian military

support soon thereafter.

Remains were recovered from two burial sites

in West Kalimantan in October 2009 and were

formally handed over by the Indonesian National

Defence Force at the Australian Embassy in

Jakarta on 12 April 2010.

ABOVe: The Bearer Party carry the coffins of Lieutenant Kenneth Hudson and Private Robert Moncrieff from the C-130 Hercules aircraft at RAAF Base Pearce in Perth. Photo: Corporal Melina Mancuso

A ramp ceremony was held in Perth, where an SAS

bearer party received the remains and delivered

them to the soldiers’ families for burial.

Special Operations Commander Major General

Tim McOwan said the men were proud, diligent

soldiers, dedicated to their role in the SAS and

their families.

“I thank the families of Lieutenant Hudson

and Private Moncrieff for their patience in an

understandably difficult time,” MAJGEN McOwan

said.

Lieutenant Hudson and Private Moncrieff are

the last SASR soldiers missing in action to be

found and brought home. Private Moncrieff was

buried following a private service in Perth, while

Lieutenant Hudson was buried in Brisbane.

ADF joins regional security exerciseWarships, combat aircraft and soldiers from the Australian Defence Force (ADF) will join the armed forces of Malaysia, New Zealand, Singapore and the United Kingdom in a major military exercise focussed on enhancing regional security.

Exercise Bersama Shield 2010 will be conducted under the auspices of the Five Power Defence Arrangement (FPDA) in various locations on the Malaysian Peninsula and in the South China Sea between 26 April and 7 May 2010.

About 240 personnel, 19 ships, 59 aircraft and various support elements are involved in the exercise that will enhance the interoperability of the combined air, ground and naval forces of the FPDA countries.

The ADF assets involved in this exercise include HMA ships Anzac and Success, eight F/A-18 combat aircraft from 75 Squadron and an AP-3C Orion maritime patrol aircraft from 92 Squadron.

Republic of Korea joins IsAFThe Chief of the Defence Force, Air Chief Marshal Angus Houston, has acknowledged that the NATO Secretary General has formally welcomed the Republic of Korea (ROK) as the 46th contributor to the International Security Assistance Force (ISAF) in Afghanistan.

Following an offer by the South Korean Government in November 2009 to deploy a Provincial Reconstruction Team (PRT) to Parwan province, the relevant certification processes have been completed and the ROK has been officially recognised as a non-NATO ISAF Contributing Nation.

"We warmly welcome the Republic of Korea as a non-NATO ISAF Contributing Nation and look forward to assisting the ROK PRT prepare for its deployment,” Air Chief Marshal Houston said.

"The ROK team will comprise 50-70 civilians, 30-50 police officers and 200-400 infantry troops. The troops will be tasked with protection of the PRT and will not play a combat role."

Australia is the largest non-NATO contributor to the ISAF mission in Afghanistan.

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Ocean whisperers NORFORCE patrolmen from Kimberley Squadron in Broome, Western Australia have returned from a patrol exercise in remote northern Australia to hone their surveillance and bush craft skills. The exercise focused on water operations where its soldiers were practicing clandestine insertion, manoeuvre and surveillance techniques.Patrolmen from communities within Kimberley Squadron’s area of operations including Kununurra, Derby, and Noonkanbah travelled to the Broome depot for the two-week training concentration period.

Private Navarone Salerno, 19, from Kununurra, said

it was a great experience to train alongside other

patrol members he’s known all his life, including

his uncle and cousin.

“It makes the team so much stronger because

everyone easily compensates for one another’s

strengths and weaknesses, and the result is an

efficient patrol that has a good time,” Private

Salerno said.

“I would never have had this opportunity anywhere

else.”

The courses Private Salerno has completed include

his induction course, patrolmen’s course, patrol

watercraft operator course, and the advanced

combat first aid course which provides the soldier

the training to administer first aid in a medivac

situation out on patrol.

LeFT: Mr Neville Tomkins shows his medal for making his 200th plasma donation to the Australian Red Cross Blood Service.

Rewarding 200 plasma donationsThe First Assistant Secretary Defence People Solutions in Defence Support Group, Neville Tomkins, visited the Canberra Australian Red Cross Blood Service in Woden to make his 200th plasma donation in late March.

During his donation the Australian Red Cross

Blood Service thanked Neville for the valuable

contribution he regularly makes to saving lives, and

awarded him with a medal recognising his efforts.

With full blood donation you can donate every

three months, though as a plasma donor, you can

donate every two to four weeks. Plasma is critical

in saving lives and can be used to treat medical

conditions such as leukaemia, severe burns and

kidney diseases.

Neville makes the trip to the Blood Bank at Woden

every second Monday where he is connected to a

specialised machine to separate the blood, take

out the plasma and return the red cells back to the

body.

If you would like more information on becoming a

donor, you can call 13 14 95 or visit donateblood.

com.au.

ABOVe: The Governor-General, Her Excellency Ms Quentin Bryce meets Captain Karina Cann at the Coalition Base in Tarin Kowt, during a surprise visit to Australian troops in the lead-up to Anzac Day. Photo: SGT Brett Tero

Governor-General surprises troops in AfghanistanAustralian troops in Afghanistan had a surprise pre-Anzac day visit from the Governor-General, Her Excellency Ms Quentin Bryce AC.

The Governor-General visited both Tarin Kowt and

Kandahar Airfield. She spent time having lunch

with the troops and was shown an equipment

display.

“I want you to know how much it means for me to

Funeral of senor Rufino Alves CorreiaAustralian Defence Force troops deployed to East Timor have attended the funeral of Senor Rufino Alves Correia, one of the last known surviving East Timorese to have supported 2/2nd Independent Company during World War II.

Together with hundreds of mourners in Dili, Australian Defence Force personnel honoured Senor Correia, with members of the Australian Joint Task Force carrying the casket through a guard of honour, before family, friends and colleagues sang hymns and offered prayer.

Commander International Stabilisation Force (ISF) COL Simon Stuart said attending the procession was a privilege.

"We were a part of something special and I think it is appropriate, as Australian soldiers, to remember the commitment of Rufino Correia and his many colleagues who supported Australian soldiers in East Timor during World War II,” Colonel Stuart said.

It was Senor Correia's special request to be draped with the Australian flag and slouch hat upon his passing, typifying an everlasting bond between Australian and Timorese soldiers.

CD marches to ANzAC tuneThe Australian Army Band Sydney and Canberra-based singer/songwriter Pete Gervasoni have joined forces to create a CD that is designed to encourage young Australians to understand and appreciate Anzac Day.

“This package is the definitive collection of music required for schools and community groups to conduct their own commemorative service and is a constant reminder of our veterans and what they are marching for,” Pete said.

“The video is a fitting tribute to the Australian Defence Force and provides a visual interpretation of the ANZAC spirit and the courage shown by the men and women that serve their country.”

The package features Pete Gervasoni’s commemorative song, What are they marching for performed by the Australian Army Band Sydney.

be here today as we approach Anzac Day,”

Ms Bryce said.

“To have this opportunity to express to you my

admiration and respect for what you do and what

you stand for – I want you to know that you are so

often in my thoughts.

“I see in you so much that makes me feel proud

of you, of our country, of our great traditions in

military service, in defending freedom, democracy,

the dignity and worth of every human being.”

Australian troops deployed to Afghanistan held a

traditional dawn service and gun-fire breakfast this

Anzac Day. Ms Bryce also travelled to Gallipoli for

the 95th Anzac Day commemorations in Turkey.

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Soldiers return homeThe second rotation of the ADF Force Support Unit (FSU-2) has successfully completed operations in the Middle East and returned to Australia.The Force Support Unit provides vital operational

logistic support to deployed forces in Afghanistan

and the Middle East, including warehousing and

distribution, as well as induction training for

deploying personnel.

Commander of Australian Forces in the Middle

East, Major General John Cantwell said that

the Second Force Support Unit did an absolutely

outstanding job in a demanding operational

environment.

“I want to thank you for a thoroughly professional

and excellent period of service,” Major General

Cantwell said.

“Every sailor, soldier and airman can go home

proud with their heads held high.”

FSU-2 comprised approximately 140 soldiers,

sailors and airmen from a multitude of bases

around Australia. The majority of the force was

an Army contingent from the 10th Force Support

Battalion in Townsville.

Commander of FSU-2 Lieutenant Colonel Craig

Dobson said that as the unit was a joint unit,

it was able to utilise the combined skills and

experience of Navy, Army and Air Force personnel

to deliver the right support at the right time.

“Our motto is ‘anything, anywhere, anytime,

bar nothing’, and I could not have asked for a

better group of men and women to achieve that

commitment to those we supported.”

The Second Force Support Unit officially handed

over control to the Third Force Support Unit (FSU-3)

on 11 April, with a transfer of authority parade and

ceremony before returning to Australia.

Sea rescuers commended The ADF has begun presenting commendations to 51 Service men and women who helped rescue, treat and evacuate those injured from the explosion onboard Suspected Irregular Entry Vessel (SIEV) 36 on 16 April 2009.

The Chief of Joint Operations, Lieutenant General

Mark Evans, said the commendations were

awarded for the outstanding service, courage,

drive, dedication and compassion shown by those

involved in the rescue, treatment and evacuation of

people involved in the SIEV 36 incident.

“Our people worked professionally and with

empathy under severe pressure to ensure those

involved in the SIEV 36 incident were rescued,

treated and evacuated quickly,” LTGEN Evans said.

“Superior levels of teamwork and cohesion were

shown in developing pragmatic solutions to

extraordinarily complex and challenging problems.

“Special mention also needs to be made of the

exemplary performance of the Headquarters

Northern Command staff in Darwin who provided

coordination and support during the rescue and

evacuation of the critically injured. The Augmented

Operations Branch provided support to the

rescue and evacuation operation that was highly

complex.”

Further presentations will be made to Darwin-

based personnel in May due to crew availability

and at the first available opportunity for other

personnel who have since moved to postings in

other localities in Australia and overseas.

RIGHT: Two of the many ADF personnel involved in the rescue and treatment of those injured on SIEV 36, Leading Seaman Boatswains Mate Matt Keogh and Petty Officer Marine Technician Thomas Dawe of Ardent Four aboard HMAS Childers. Photo: ABIS James Whittle

The full story of the SIEV 36 incident can be found

on the Defence Internet at: http://www.defence.

gov.au/siev36/fullstory.htm.

Defence says goodbye to Traci hamiltonTraci Hamilton from the Defence Intelligence Training Centre (DIntTC) passed away in April while on a Mobile Training Team (MTT) in Bogor, Indonesia.

Traci was one of four members in the MTT that

was conducting an Intelligence Research and

Analysis Course for the Indonesian Army.

Towards the end of the course, Traci fell ill.

Indonesian health professionals, Australian

Embassy medical staff and contract emergency

medical personnel arranged by the Australian

Defence Staff in Jakarta did all that was possible

Quick-thinking cadet lands stricken aircraftAustralian Defence Force Academy Officer Cadet Patrick Humphries successfully landed his light aircraft on a Hobart highway after it suffered engine failure on 6 April.

Eighteen-year-old Officer Cadet Humphries was in his home state of Tasmania, visiting family during the Easter break. A private pilot, he was practicing aerobatic manoeuvres in a flying club-owned Victa Airtourer over Ralphs Bay when the engine failed.

Responding calmly and confidently, he determined the nearby Brooker Highway was the safest place to put the aircraft down.

“I considered several football fields and had a look at a couple of roads but quickly ruled them out because of the cars on them,” he told the Hobart Mercury.

OCDT Humphries manoeuvred the aircraft beneath an overpass before his right wing hit a concrete road divider. The aircraft then clipped a tree and spun before coming to rest on an embankment.

Unhurt, but concerned at the risk of causing a car accident, OCDT Humphries ran down the road and signalled cars to slow down, redirecting traffic until police arrived on the scene.

OCDT Humphries is studying for a Bachelor of Arts degree at ADFA in Canberra, with the goal of becoming a pilot in the Royal Australian Air Force.

Defence Magazine will publish an article with OCDT Humphries and another Officer Cadet who saved a member of the public from drowning in the next edition.

Aussie soldiers lend a hand Australian soldiers in Afghanistan have medically assisted two Afghan civilians after they were injured in a suspected unexploded ordnance incident.

The injured father and son were believed to have been scavenging material from an area used as a firing range by Afghan and coalition troops in the Baluchi Valley, Oruzgan Province when the incident occurred.

Personnel with the First Mentoring Task Force heard the explosion and responded at the scene. They provided immediate medical assistance before the two injured Afghans were airlifted for further treatment.

The Afghan pair was taken to a coalition medical facility in Tarin Kowt, Southern Afghanistan, where they were treated by Australian Defence Force personnel and later released.

during an 18-hour period to keep Traci alive. Sadly,

on Good Friday morning Traci lost the fight and

passed away.

Traci’s career in Defence started when she enlisted

in the Royal Australian Air Force (RAAF) to work in

the field of Signals Intelligence. She left the RAAF

after 10 years service and joined the Australian

Federal Police.

She then spent time with the National Antarctic

Research Expedition as a radio operator and

medic, before working with the Australian

Fisheries Management Authority, and later with

the Department of Immigration and Multi-Cultural

Affairs.

In 2002 Traci transferred to the Department

of Defence as an Instructor at DIntTC, Kokoda

Barracks, Canungra in Southeast Queensland.

Traci was a person who showed enormous passion

and dedication to her work, with an extraordinary

attention to detail and an enormous appetite for

work. She will be sorely missed by her friends and

work colleagues at DIntTC.

ABOVe: Traci Hamilton, along with work colleague Mr Steve Wiskar (far right), with some of the students who were taking part in the Intelligence Analysis Course.

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SECRETARY’S COLUMN

Strategic reform. It’s an all-pervasive phrase in Defence at the moment.

SRP: the opportunity to create and innovate

As most of you are now aware, the Strategic Reform Program (SRP) package was agreed by Government in late March, and was subsequently announced by the Minister for Defence on 7 April. Since then, the CDF, other members of the Defence Committee and I have been, through the last several months, discussing the SRP with members of Defence wherever possible – something we will continue to do.

The Government wants us to live within our budget, deliver on the SRP and deliver on Force 2030.

the Government has committed $2.4 billion during the term of the SRP to invest in reform activities.

At the time of the White Paper, the early reforms had very clear and implementable initiatives. DSTO has rolled out most of its initiatives, and we have already seen several improvements to the capability development process. We have changed the way we approach strategic planning, and are revising the way we undertake the White Paper process. We are increasing the role of our capability managers, and we have seen DMO become more commercial in its approach to business.

There will be benefits for all of us as members of Defence from SRP. The cost reductions from SRP are to be reinvested in current and future capabilities as outlined in the White Paper and in the Defence organisation itself.

The Information and Communication Technology reforms will significantly improve ICT services across Defence. Across the next decade, Defence will invest around $1.2 billion in its ICT systems. By 2012, we will have a single desktop environment using multi-level security technology that will allow unclassified, restricted and secret domains to be accessed from a single box, and will simplify software delivery and updating.

Reforms to the acquisition process of non-military goods and services will see us deliver cost reductions of about $4 billion across 10 years.

The Smart Sustainment stream is about sustaining ADF capability while ensuring it remains safe, effective and affordable. This represents the largest SRP stream in financial terms and combines more than 100 smaller reform projects, generating about $5.5 billion in savings for the next 10 years.

But the SRP is not about slash and burn. We have the opportunity to be creative and innovative.

We are taking the next step toward a more centralised shared services model. Defence will

convert around 700 contractor positions to APS jobs; during this financial year we have already converted 245 positions. Between 500 and 600 uniformed military support positions will be civilianised between 2010 and 2014, resulting in a benefit of around $400 million during the life of the program.

We understand that changes to an organisation’s workforce are not easy. However, as a result of previously planned growth and White Paper initiatives, Defence will see a net growth of its workforce including approximately 3800 additional ADF positions and 1500 APS positions during the decade (which is a larger number than previously advised).

So while the overall workforce will grow throughout the next decade, it will also have to handle much greater activity. As we move toward a leaner business model, the workforce mix will need to be re-balanced. Some areas, such as administrative processing and office functions, will see a reduction in workforce numbers, but changes in these areas will be carefully managed and reductions will be managed primarily through the attraction, re-training and relocation of staff.

Planning is one of Defence’s strengths, and the planning effort for the SRP has been meticulous, which means we are well-positioned for its implementation. However, to effectively implement a program of this scale, we all need to think and work smarter. For the organisation to change, the people must be prepared to change with it.

To support the implementation of the SRP, a set

of reform behaviours has been developed in

consultation with staff across the organisation,

which aligns with the Defence values and Code

of Conduct. I encourage you to spend some time

familiarising yourself with these behaviours, and

to consider how they relate to the way you work

each day.

“The SRP provides Defence with the chance to deliver its future force and to shape its own future, and we intend to grasp it.”

- Secretary of Defence Dr Ian Watt

The SRP provides Defence with the chance to deliver its future force and to shape its own future, and we intend to grasp it.

While the SRP presents us with a great opportunity, it also brings with it an even greater responsibility of using our resources wisely. We must make everything we do count – every minute, every dollar, every round.

Many of you will already be familiar with the origins and development of the SRP package, starting with the Defence White Paper, Force 2030, released in May last year.

In order to fund Force 2030, the Defence funding model needed to be enhanced. Our implicit agreement with Government is that the cost-reductions stipulated by the SRP will provide $20 billion in funding to help deliver Force 2030, and

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ChIEF OF ThE DEFENCE FORCE’S COLUMN

It is difficult to believe that it has already been 10 months since the concept of the Strategic Reform Program (SRP) was introduced to everyone. At that time, we established the SRP’s importance in achieving a more effective and efficient Defence organisation.

Real reform can now begin

The Government has now endorsed our

implementation plan and we are able to begin the

real work of the SRP. The Secretary and I are really

pleased to have reached this stage because we

can get down to the work of truly embarking on the

implementation phase of the SRP.

The strategic environment we face is ambiguous

and challenging, and we need to ensure our ADF

has the capability required to respond effectively in

such an uncertain environment. What the SRP does

is to deliver a stronger, more agile, harder-hitting

and muscular defence force for Australia.

The SRP will deliver gross cost reductions of

around $20 billion, to be re-invested into the

delivery of stronger military capabilities. It will also

go towards remediating areas where there has

not been enough funding in the past; and it will

modernise the Defence enterprise – all of which is

absolutely essential to support the ADF.

As an organisation, Defence must actively

minimise waste, improve processes, and ensure

that our time and money is being invested wisely.

Of course, the reforms required by the SRP are

not going to be easy, however there is a level of

senior leadership commitment to this program that

I have not seen in this organisation before. It is this

united leadership that I believe will take Defence

forward to ensure we can deliver Force 2030.

Cost reduction is vitally important to the Program,

but it has to be reform-led. I can assure you that

the success and safety of ADF operations, training

and people has stayed at the forefront of my mind

during the planning phase of the SRP. The ADF

has a hard-earned reputation for excellence on

operations and it is not one that I am prepared to

jeopardise – our people are first-class and deserve

to be supported in the best possible way.

The Prime Minister has made it very clear that he

regards Australia’s security as a key Government

objective. We need to be able to defend Australia

by having the ability to deter and defeat armed

attack. We also need to have the adaptability to

move into the South-Pacific – whether on natural

disaster missions, relief operations or stabilisation

and security operations. Similarly, we need the

option to be able to provide tailored Defence

contributions in the Asia-Pacific or further afield if

required. These capabilities constitute the essence

of our military strategy.

When each of the Services’ individual reform

programs are complete, I believe Force 2030 will

truly be a joint force that can excel on joint and

inter-agency operations and make a meaningful

contribution to coalition operations.

Now that the SRP has been endorsed by

Government, Defence is accountable for this

reform. I am very satisfied that we have developed

a robust and comprehensive performance

monitoring system with a very strong emphasis on

ensuring that reforms are not only implemented

but that Defence capability will not be adversely

affected.

The Government, the Defence Strategic Reform

Advisory Board, the Secretary and I believe we are

well-positioned for success, but the reform plan

is long-term and each step is vitally important.

Further, the SRP crucially relies on cultural and

behavioural change across the organisation;

indeed, it is paramount to its success. It is

therefore up to each and every one of us to

contribute and commit to this program of reform.

For that reason, I am encouraging everyone in

Defence to be innovative; to have confidence in

themselves, their team and our organisation; to be

resourceful; to collaborate across boundaries; to

take ownership of the reform and the plan; and to

challenge themselves and each other – and to start

today. Because we are building Force 2030 today

and every day from now on.

In closing, I would like to thank everyone who was

instrumental in developing the implementation

plan. The high levels of collaboration and

consultation have been evident throughout this

whole process, and your enthusiasm and careful

analysis have been particularly impressive.

“I am encouraging everyone in Defence to be innovative; to have confidence in themselves, their team and our organisation; to be resourceful; to collaborate across boundaries; to take ownership of the reform and the plan; and to challenge themselves and each other – and to start today.”

- Chief of the Defence Force, Air Chief Marshal Angus Houston

PICTORIAL: ANZAC DAY 2010

The Australian Defence Force paused on 25 April to remember those who have contributed to all Australian military operations past and present during the 95th anniversary of Australia's first significant military action.

"We remember not only the original Anzac’s who died on 25 April 1915, but every one of our service men and women who have served and died in all wars, conflicts, peacekeeping operations, disaster relief and humanitarian assistance missions," Chief of the Defence Force, Air Chief Marshal Angus Houston said.

Across all Australian military campaigns, more than 1.8 million Australians have enlisted into the Services to serve their country in times of need. Of these, more than 102,000 have died as a result of their service, more than 225,000 have been wounded, and more than 34,000 held as prisoners of war.

Approximately 3800 ADF members are currently deployed on operations in Afghanistan, other areas of the Middle East, East Timor, Solomon Islands and off Australia's northern coast line conducting border protection operations. Smaller numbers are deployed in Iraq, Egypt, Sudan and Darfur.

"On Anzac Day, we acknowledge the bravery and sacrifice of those who have contributed so much in shaping the identity of our nation,” Air Chief Marshal Angus Houston said.

"Anzac Day is also a time to remember the families of our deployed service men and women.

"We salute ADF families for their love, encouragement and support. Without this, our people would not be able to perform as well as they do."

1. A member of HMAS Sydney's ship’s company provides the Catafalque party for the HMAS Sydney II inaugural commemorative AFL match between the Sydney Swans and West Coast Eagles at the Sydney Cricket Ground. Photo: LSIS Phillip Cullinan

2. Australian Diggers mount the Catafalque guard as assembled Australian and Coalition Service men and women pay their respects at the Dawn Service in Tarin Kowt, which included the Minister for Defence, Senator John Faulkner, as a special guest. Photo: SGT Brent Tero

3. Members of the Turkish Defence Force stand in formation at the Çanakkale Martyrs' Memorial during the Turkish International Service. Photo: CPL Hamish Paterson

4. Ship’s company of HMAS Parramatta during a Dawn Service while conducting maritime security operations on patrol in the Middle East in support of Operation Slipper. Photo: ABET Nathan Jeal

5. The Governor-General of Australia, Her Excellency Ms Quentin Bryce, meets explosive detection dog Sarbi at Tarin Kowt in the lead-up to Anzac Day during a surprise visit to Australian troops deployed to Southern Afghanistan. Photo: SGT Brent Tero

6. A couple of proud ex-Service men catch up during the 2010 Anzac Day parade in Canberra. Photo: Mark Brennan

7. Australian Defence Force personnel serving in the International Stabilisation Force in Dili, East Timor wear autographed AFL jerseys donated by the Fremantle and Richmond clubs. Photo: CPL Scott Smedley

8. Aircraftwoman Nadia Benedetto meets with Sergeant (Ret’d) John Brown, who served with No. 4 and No. 5 Squadrons, as past and present personnel gathered for the Anzac Day march through Sydney. Photo: AC Chris Hall

9. Private Matthew Krause tossess the coins for a round of two-up on Anzac Day at Camp Holland in Afghanistan. The games extended for most of the morning with some troops heading into Poppy’s to watch the AFL at the MCG. After lunch, it was business as usual with most of the troops back on the job. Photo: SGT Mick Davis

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NEwS

More than 500 workers have begun shaping, welding and grinding steel to make the hull blocks for the ADf’s new Air Warfare Destroyers (AWD), marking the start of full shipyard production in one the biggest defence procurements ever attempted in Australia.

By Jack Foster

Built out of shipyards in Adelaide, Melbourne and Newcastle, the hull blocks will evolve into three of the world’s most advanced warships, capable of engaging with enemy aircraft and missiles at ranges in excess of 150 kilometres.

Minister for Defence Materiel and Science Greg Combet said the workforce number would increase to more than 3000 as the project moved to deliver the first completed AWD, HMAS Hobart, in December 2014.

The two remaining ships – HMAS Brisbane and HMAS Sydney – will be completed in 2016 and 2017 respectively.

“This is an important milestone for this national project, and I wish to congratulate everyone involved in helping us reach this point,” Mr Combet said.

Mr Combet said that the AWD capability supported the recent Defence White Paper’s emphasis on a strong maritime force.

Mr Combet also talked of the broader aspects of the AWD Project, saying that benefits would be realised outside of the three main shipyards. He added that the project would attract many young people as well as skilled workers.

“Each of you has an important part to play in the success of the project,” Mr Combet said.

Mr Combet said AWDs were being built under an alliance strategy that integrated Defence and industry to ensure best-for-project outcomes based upon shared outcomes.

“The AWD project is currently on budget and schedule, and I thank everyone involved with the AWD Alliance for their commitment and hard work,” he said.

Alliance CEO Rod Equid said: “With this model,

you can bring the best people together, working as

a unified team to deliver complex projects like the

Air Warfare Destroyer”.

Mr Equid said the AWD Program would also

maximise Australian defence industry involvement

wherever possible.

“The sonar technology for example is from a global

company, yet we have an agreement to carry

out at least 50 per cent of the sonar work within

Australia,” he said.

The completed hull blocks will begin to arrive

in Adelaide for consolidation into the complete

warship by mid-2011.

A feature article on the AWD Project will appear in

Issue 5/2010 of Defence Magazine.

14 www.defence.gov.au/defencemagazine

What makes an Air Warfare Destroyer?› 4770 tonnes of steel

› 137,839 litres of paint

› More than 150 kilometres of steel piping

› Almost 500 kilometres of electrical cable

› Nearly 5000 mechanical valves

› About six kilometres of rope, and

› More than one-and-a-half million nuts, bolts and other fasteners.

15www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

NEwS

International Women’s Day

By Rose Hays

LefT: Professor Kerryn Phelps addresses the conference. cenTRe: Sophie Hunter (left) explains what Defence Housing can provide to Shannon Frazer at the Defence International Women’s Day celebrations. RIgHT: Deputy Secretary People Strategies and Policy Mr Phil Minns addresses the guests at the Defence International Women’s Day celebrations at Adams Hall, ADFA.

Photos: Mark Brennan

What is Defence doing for women?In 2009, the Chief of the Defence Force launched the Defence Women’s Action Plan, which is a step in the right direction to improve the recruitment and participation rates of women. The Action Plan aims to improve workplace flexibility, career management, accountability, mentoring and communication across Defence, while raising retention and Defence’s profile as an employer.

This will be achieved by supporting both women and men and includes supporting members to access existing flexible work practices such as career breaks, job sharing, allowing the purchase of additional annual leave and the right to work part-time within two years after the birth or adoption of a child.

It is vital the Action Plan not be seen to isolate men. It is intended that women and men have equal access to support mechanisms. Defence values the experience, talent and professionalism of everyone, and by getting a few things right, Defence can retain these people through all the phases of their lives.

More than words mark

More than 1000 Defence personnel across Australia have celebrated International Women’s Day, with breakfasts, morning teas, lunches and words of wisdom.

In Canberra on 12 March, Defence held an event at the Australian Defence Force Academy (ADFA), with celebrations also held regionally at a range of Defence sites and establishments.

The Canberra event was opened by Deputy Secretary People Strategies and Policy Mr Phil Minns and officially launched by Vice Chief of Defence Force Lieutenant General David Hurley, who said that International Women’s Day is not about affirmative action, tokenism or setting women up on a pedestal.

“It’s about celebrating how far Australian society and Defence in particular has come in providing equality for women and engaging women in the workforce,” LTGEN Hurley said.

“This day also provides an opportunity to highlight the ongoing work Defence is undertaking to actively and creatively engage women in rewarding and enduring careers”.

The keynote speaker for the event was Adjunct Professor at Sydney University and medical practitioner Kerryn Phelps, who spoke about women’s identity, the history of women in the ADF and of her personal career journey.

Air Force Officer and ADFA PhD candidate, Wing Commander Deanne Gibbon, presented her research regarding the recruitment and retention of women in the ADF, particularly in aviation and engineering.

Director General Defence Community Organisation

Mr Michael Callan gave a presentation on the Defence Community Organisation and its relevance to both genders.

The day had a festival ambience with internal and external stalls providing information and advice about their services throughout the day including: Defence Community Organisation, Defence Housing Australia, Chaplains, Defence Force Recruiting, Women’s Information Referral Service and YWCA.

In conjunction with the seminar, the New Generation Navy My Mentor program for women was launched by Professor Kerryn Phelps and Head Navy People and Reputation Rear Admiral Trevor Jones. My Mentor provides a structured program of support and development for women in Navy. Further information is available at www.navy.gov.au/Navy_launches_mentoring_program_for_women.

Director General Fairness and Resolution John Diercks said he was proud of Defence’s Rights and Responsibilities directorate for its effort in coordinating the events, which he described as a major step towards gender equality in Defence, celebrating the achievements of women in Defence.

Mr Diercks envisages the 100-year anniversary of International Women’s Day in 2011 will be celebrated even more broadly and enthusiastically across Defence.

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REFORM: A PROGRAM FOR ThE PEOPLEAnd the implementers want your inputBy Michael Weaver

COVER STORY

“Reform of any sort really relies on what people

actually do in the workplace and their vision of

what their workplace will look like as a result of

the reform and the desire that they have to bring it

into reality,” Mr Sargeant said.

“My experience is that reforms tend to succeed or

fail at that level. So it is really how individuals in

their workplaces perceive the opportunities that

reform creates and then take advantage of this to

make something better.

“Reforms always unleash a lot of energy in an

organisation. The leadership challenge, which

everyone shares, is to allow that energy to result in

genuine and sustainable change and improvement.

The worst thing that can happen is that a reform

unleashes energy, people start to do things and

then the organisation, for whatever reason, loses

its nerve or gets anxious.

“So it is a real balance between ensuring that the

reforms achieve their strategic purpose as well as

providing people with the capacity to innovate and

make changes that are real in the context of their

workplace.

“One feature of the SRP’s design that is very

important and a real driver of change, is that

it comprises hundreds of specific projects and

activities that give people lots of opportunities to

create better ways of doing their work where they

work.

Mr Sargeant admits that there is a long road ahead

to achieve meaningful and lasting reform, and

there will be some changes to the structure of the

workforce. However, he said the real question is

how Defence manages its impending growth to

ensure that people are able to take advantage of

the opportunities available.

“We have to recognise that this is a 10-year

program that requires us to start thinking about

what sort of organisation we need to have and

how we need to work in order to deliver and

sustain Force 2030,” Mr Sargeant said.

A prime example is the reforms to Defence’s

information and communication technology (ICT).

There will be some big investments in this area,

but the result, a more integrated ICT system, will

create many opportunities for further innovation.

“What we want to do is develop a culture where

the reform process effectively creates its own

momentum and people are confident of taking

the benefits that have come from various reform

activities and then to build on them,” Mr Sargeant

said.

“To me, that’s the really big measure of success.

It is easy to get cost reductions; it is much harder

to ensure they are sustainable, and that you get

long-term sustainable performance improvements

as a result of that.”

“The biggest hurdle is that change is always

difficult, even for people who embrace it.

“In periods of change, a lot of energy is released

and we can see that energy express itself in

innovation and good ideas and commitment, but

we can also see it expressed in frustration and

irritation. So, the challenge is keeping focussed

on what we want to be. We need to be talking

about that vision all the time, and then to take that

energy and use it to create a better organisation

and a more capable defence force.

“The challenge is not to lose focus and not be

overwhelmed by the difficulties of seeing the

SRP through. The emotion and energy released is

normal. It shows that what is being done matters.”

“The SRP is not something that’s going to flash through on Monday and be gone by Wednesday. It is real, it is here and it is going to stay.”

- Deputy Secretary of Strategic Reform and Governance, Mr Brendan Sargeant

The new sRP booklet is now available on the sRP website.

DEFWEB http://www.defence.gov.au/srp/index.htm

SRP intranet http://intranet.defence.gov.au/SRG/sites/SRP/comweb.asp?page=38679.

For breaking news on the SRP check out the Headlines and DEFGRAMS on the DEFWEB homepage or your Group, Service or Unit newsletters.

Hear about the SRP from the members of the Defence Committee, who will provide briefings at Defence establishments during the coming months to speak about the SRP. They will be speaking specifically about how SRP may impact your particular work environment and what you can do to contribute to it.

The recently-appointed Deputy secretary of strategic Reform and Governance, Mr Brendan sargeant, has some very clear advice for those concerned about how their day-to-day work will be affected by the strategic Reform Program (sRP).

“Let me say that the Defence budget is not being

cut,” Mr Sargeant told Defence Magazine.

“It is growing by three per cent in real terms to

2017-18 and then 2.2 per cent thereafter. The SRP

is a means by which we achieve cost reductions

in some areas to support our ability to build Force

2030. The SRP reallocates resources within the

budget. It does not reduce resources for Defence.”

This key message also walks hand-in-hand with

another equally key philosophy that Mr Sargeant

holds true: organisations are all about people.

“The SRP really needs to live in each individual; it’s

not something that’s outside the organisation.”

And if there are questions to be asked, the team

tasked with helping make the SRP a reality will

support anyone, anywhere.

“I am very interested in what people have to say.

I am happy for people to contact me or the team

directly, and we will also communicate through our

website,” Mr Sargeant said.

“We are here to support people as they work

through this change. I want to listen and I want to

help, and I am happy to talk to anyone anywhere

about the SRP.

“The program is right at its beginning stage. It

has been planned very deliberately because it is

large, complex and will have a long life. It is not

something that’s going to flash through on Monday

and be gone by Wednesday. It is real, it is here and

it is going to stay.”

Mr Sargeant returns to Defence following his most

recent tenure at the Department of Finance and

Deregulation.

Mr Sargeant began his career in Defence in 1983

as an assistant research officer, and has since

worked in a wide range of policy and management

appointments, both in Defence and other

Government departments.

He is also no stranger to reform programs, having

worked on similar programs in Defence and other

Government departments. Mr Sargeant said that

previous reform initiatives in Defence have been

successful in allowing the organisation to take

stock of itself, and put its structures and processes

under the spotlight. The extent to which these

programs sought to achieve sustainable change

has varied. One of the strengths of the SRP has

been its very comprehensive planning and the

effort to learn the important lessons from previous

reform activity.

“In the future we need to build into our DNA the

ability to make reform part of everyday business,”

Mr Sargeant said.

“There are many parts of Defence that already do

this, and they do it well. The issue is how do we

spread that capacity and just make it our normal

way of business.

“In my view, this ability to sustain ongoing reform

will be what the world will demand of us in the

future. You already see that in other parts of

government and you see it in other countries as

well.”

Mr Sargeant said that there are some important

lessons from past experience.

Copies of the SRP booklet will be distributed through your Group or Service coordination point. If you have not received a copy and would like one, please email us at strategicreformprogram @defence.gov.au.

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By the Strategic Reform and Governance Executive

At the Senior Leadership Group meeting on 31 March 2010, the Minister for Defence announced the Government’s endorsement of the Strategic Reform Program, culminating six months of dedicated scoping, diagnostics and planning across the entire Defence organisation.

The Defence White Paper, Defending Australia

in the Asia Pacific Century: Force 2030, was

released in April 2009. It sets out the Government’s

plan for Defence to the year 2030 and describes

what Government, on behalf of the Australian

people, expects from Defence. The Strategic

Reform Program (SRP), established to ensure the

Defence organisation could deliver Force 2030,

will comprehensively transform the organisation,

making it more efficient and effective, and creating

significant cost reductions which will be redirected

towards building a stronger Defence organisation.

Prior to the White Paper, the broader perception

in Canberra was that Defence was a little

overfunded, which in some areas was actually

true, rather accident prone and not at all cost-

conscious. More profoundly, there was also a

recognition that the world is changing and that the

task of ensuring Australia’s security will get more

demanding in the future. This led to the need to

rethink policy, which was undertaken through the

White Paper process.

The result is a very ambitious vision of the future

ADF that Australia will need. It is a vision grounded

in the reality of hard-headed assessments of our

strategic circumstances in a changing world.

In agreeing to Force 2030, the Government

endorsed a more capable, muscular and hard-

hitting defence force. This includes everything

from now to 2030 outlined in the White Paper

– from the Cyber Security Operations Centre to

building air power with the Super Hornets and

the Joint Strike Fighter; to Air Warfare Destroyers

and Offshore Combatant Vessels; from the Light

Armoured Vehicle replacement and self-propelled

artillery; to remediation of infrastructure and ICT as

part of repairing the backbone of Defence.

Government also recognised that in order to

build and sustain this future force, we needed to

create a very different Defence organisation. This

meant repairing what had been neglected, and

STRATEGIC REFORM AND GOVERNANCE EXECUTIVE

Government endorses plan for Force 2030

building a new organisation for the future. These

requirements, along with the Defence Budget

Audit, which helped inform the White Paper, has

provided the foundation for the SRP.

The SRP is one of the largest change programs

ever undertaken by a Government agency,

unmatched in complexity and size. It consists

of more than 300 individual reform initiatives,

grouped into 15 reform streams. The arrangements

for implementing it are designed to integrate

the reforms and maximise our opportunities for

success. Overall, each reform is aimed at one or

more of the following:

› simplifying our internal processes to reduce time

and/or waste

› consolidating where process work is conducted

so it is not duplicated in other parts of the

organisation

› aligning some of our more complex processes,

like the acquisition of new capability, so there is

a clear linkage between the identified need and

the final product

› ensuring our policies reflect contemporary

standards

› improving our decision-making around expending

resources

› reducing our demand for goods and services, and

› building a cost-conscious culture in Defence.

Many of the SRP reforms will not directly

reduce costs but will improve planning, strategic

alignment and improve overall efficiency.

The SRP is a 10-year reform program. During that

time, Defence will achieve a range of reforms that

will permit around $20 billion in cost reductions

which will be reinvested in Defence capability.

The SRP will also deliver a significant cultural shift

in our organisation so that Defence becomes an

organisation that is cost conscious, accountable

and agile in its business processes. Ultimately,

SRP roll-out begins in earnest

It’s the morning of the Government’s announcement that it has considered and endorsed the implementation plan for the Strategic Reform Program (SRP), and the man tasked with making it happen is calmly making the usual last-minute changes, as the flow of information to both the Defence workforce and the public begins in earnest.

The then Deputy Head of Strategic Reform

and Governance, Rear Admiral Ray Griggs first

introduced his ‘we can if’ attitude to the SRP last

year.

Now, he is aiming to get to a stage where,

ideally, people stop talking about reform because

everything the SRP aims to achieve has been

embedded into everyday business.

“The key now really is cost-consciousness,” RADM

Griggs said.

“Our focus is to ensure we live within our means

as we improve the organisation.”

Across Defence however, RADM Griggs said there

has been a real eagerness for information, but

he is quick to reiterate that despite the reforms

already underway, the SRP is still in its infancy and

there are still enormous opportunities for people in

Defence to contribute to the reform process.

“From the hundreds of people we’ve been

dealing with, there is still very much a ‘we can if’

approach, and now we are seeing an acceptance

of the Program more broadly as people understand

the crucial link between the SRP, the delivery of

Force 2030 and the future of our organisation,”

RADM Griggs said.

With Defence already on track to deliver $797

million in cost reductions scheduled for 2009-10,

the Government likewise is impressed with the

commitment to making the planned reforms

sustainable and successful.

When Minister for Defence Senator John Faulkner

addressed Defence’s Senior Leadership Group on

31 March, he acknowledged the work Defence had

put into developing the full implementation plan.

“The detailed planning work that has been

underway since May 2009 is critical to the success

of the SRP,” Senator Faulkner said.

“I congratulate and thank all those Defence

personnel who have worked so hard to develop the

implementation plan.

“To be blunt, while we have already started to

build Force 2030 through decisions over the past

year, achieving it in its full potential will not

be possible without achieving the SRP in all its

dimensions.”

ABOVe: Minister for Defence Senator John Faulkner addresses Defence’s Senior Leadership Group to announce the Government’s endorsement of the implementation plan for the Strategic Reform Program. Photo: Steve Dent

the SRP is focused on delivering an organisation that will be sustainable long into the future and an organisation that will be able to fulfil the vision of Force 2030.

Defence will not succeed in delivering the SRP, and therefore Force 2030, without the commitment, creativity and collaboration of everyone in the organisation. We have embarked on one of the most significant periods of change for decades as we build Force 2030.

As you become more familiar with the SRP and begin to see its impacts, it will be important that you ask yourself how you can play your part in making this program a success. Some key questions to keep in mind as the SRP gains momentum are:

› How can I play a role in making Defence a better organisation?

› How can I apply the reforms in my workplace?

› How can I make improvements in the way I do my job?

› How can I ensure I am spending dollars and time on the right things?

› How can I communicate my ideas on reform?

The planning that has gone into the SRP represents only the start of our task. SRP will, over time, touch every part of Defence and challenge all of us to consider how we do our work. It will challenge us to innovate, to think differently about what we do and how we achieve our purpose. It will create new opportunities and call into question long established habit and custom. There is no improvement to a process or reduction in cost that is too small. We must be flexible and agile enough to look for, generate and seize new opportunities as they present.

Our biggest challenge is to turn a well planned program into a well executed program that delivers the benefits it promises. Delivering on this program means delivering Force 2030 and providing the force that Australia needs for the future.

“Cost-consciousness is critical if we are to sustain

the reforms – without sustained reforms we won’t

be able to reduce costs.”

Armed with a small and enthusiastic group that is

the Strategic Reform and Governance Executive,

RADM Griggs said the need for a centralised team

to oversee, coordinate and integrate the Program

has been well proven.

“We’ve been able to assist the various reform

streams to ensure they have the tools they need to

make the development of genuine

reforms a reality,” RADM Griggs said.

“We’ve also had enormous support from the

stream reform teams, groups and services, which

has made the process thus far a real team effort.”

RADM Griggs has not shied away from what

has been described as ‘as large and as complex

a reform program as ever seen’ in Australia,

seeing his team’s role as letting the organisation

take ownership of their reform initiatives, while

maintaining a neutral yet supportive role.

One thing that many people do not realise is that

there has already been a great deal of reform

implemented.

“Some of the streams such as Strategic

Planning, Capability Development and Science

and Technology have largely completed the

development and implementation of their reforms.

“Others, like the smart sustainment stream

and non-equipment procurement, involve either

complex policy or process changes and will take

two to three years to be fully rolled out,” RADM

Griggs said.

As the Defence Magazine was going to print, Rear Admiral Ray Griggs was appointed, at short notice, to the position of Deputy Chief of Joint Operations, based at Bungendore. Air Vice Marshal Ian Smith (pictured above) was promoted on 4 May to the position of Deputy Head Strategic Reform and Governance.

By Michael Weaver

20 www.defence.gov.au/defencemagazine 21www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

FREEDOM OF INFORMATION AND INFORMATION MANAGEMENT bRANCh

INFORMATION UNCOVEREDDefence steps up to meet FOI reformsBy Michael Weaver

Backed by the recently-established Freedom of

Information and Information Management Branch,

Defence has already made significant steps to

meet its obligations to disclose information to the

public.

As well as meeting its current obligations, the

branch has been preparing Defence for the

introduction of the new FOI reform initiatives.

The first stage has already been completed with

the introduction of the Freedom of Information

(Removal of Conclusive Certificates and Other

Measures) Act 2009 which commenced in October

2009, meaning Defence no longer has the ability to

claim conclusive certificates over documents.

The second stage of the reform is the overhaul

of the FOI Act. The Freedom of Information

Amendment (Reform) Bill 2009 was introduced into

Parliament in November last year. It is expected to

be enacted on 1 July 2010.

Assistant Secretary Freedom of Information and

Information Management, Mr Tony Corcoran said

“The Government-mandated scheme will have

a significant impact on Defence record-keeping,

including electronic records, especially email.

“This will mean a major cultural change to

organising and managing Defence information.

The magnitude of the change cannot be over-

emphasised.”

Minister for Defence Senator John Faulkner

highlighted the Government’s impending culture

of transparency when he addressed a Freedom of

Speech Conference in March last year.

“There is a growing acceptance that the right of

the people to know whether a Government’s deeds

What is Defence doing?Specific measures adopted since June 2009 to ensure that Defence meets its obligations under the FOI Act include:

› creating a new Branch responsible for FOI and related functions including records management and archives administration in June 2009. This has increased the profile of FOI in Defence

› creating cultural change through improved communication, visibility and accountability for FOI requests

› providing FOI training for decision makers, and

› closer liaison with action areas to ensure that requests are processed efficiently to the required deadlines.

Time is informationAverage Federal Government agency response times for requests completed within the 30-day statutory deadline increased from 68 per cent in 2007-08 to 83 per cent in 2008-09. In contrast, Defence only met the deadline in 38 per cent of responses for 2007-08 and that decreased to 15 per cent in 2008-09.

› Defence has improved response times significantly in the last nine months – from 33 overdue requests in June 2009 (including 21 over 90 days) to zero currently

› Due to a significant backlog inherited from 2008-09, including some requests two or more years old, the compliance rate (30-calendar-day response time) for 2009-10 is currently sitting at 74 per cent

› The completion rate in meeting the statutory deadline on requests made since 1 July 2009 is currently at 92 per cent

› Defence has completed 205 requests this financial year, including 52 from previous years.

The Government’s key objectives for the new legislation are to:› give the Australian community access to information held by the

Government

› increase public participation in Government processes, with a view to promoting better-informed decision making

› increase scrutiny, discussion, comment and review of the Government’s activities

› increase recognition that information held by the Government is to be managed for public purposes, and is a national resource, and

› ensure that the powers and functions of the Act will facilitate and promote public access to information promptly, and at the lowest reasonable cost.

“Those of you handling or advising on FOI applications have a vital role to play in ensuring that changes in FOI law are carried through to changes in FOI practice. We will be relying on you to ensure that these reforms actually deliver more open and accountable government.”

- Minister for Defence Senator John Faulkner

match its words, to know what information the

Government holds about them and to know the

information that underlies debate and informs

decision-making is fundamental to democracy.”

“The FOI Act has been fundamentally unchanged

for 27 years. Reforming it is neither simple, nor

easy, but it is a task this Government is committed

to. “Yes, FOI is burdensome and it comes at

considerable cost. It involves agency time. But

for this Government it remains a key part of our

commitment to more public processes,” Minister

for Defence Senator John Faulkner said.

The reforms also demand greater openness and

timeliness, with penalties being enforced for non-

compliance.

Defence currently has no overdue FOI requests

and has been compliant with the FOI legislation

for the first time since the Act was introduced in

December 1982.

Departments and agencies will be required to

publish a wide range of information with the

introduction of an Information Publication Scheme.

This will include the provision to the public of

documents released under the FOI Act.

Currently Defence is looking at the technical

difficulties and the cultural barriers that need to

be addressed, as well as implementing policies

to encourage pro-disclosure and more online

engagement with the public. Defence will have 6

months to implement the scheme after the reforms

are passed.

In advance of the newly-mandated scheme, the

FOI Directorate will make documents which have

been released under the Act available to the public

through an online application process.

While Defence already makes available certain

documents under Section 9 of the FOI Act, the

move to pro-disclosure means this list will need to

be more comprehensive. All Groups and Services

will need to assist in making these documents

more readily available.

Of course, not all documents can be released under

the Act. There will always be some documents,

including classified documents, for which

disclosure is not in the public interest and which

should be exempt under the Act.

Tony Corcoran says a significant effort over

several years will need to be made by Defence

to embed an organisational culture in which

Defence members, both civilian and military, feel

comfortable in releasing government information

as a matter of course, unless it is subject to

national security classification.

Did You Know?› Defence gets around 200 FOI

requests a year.

› These roughly comprise:

› one-third simple, personal requests,

› one-third complex personal requests (eg redress or conduct) and business requests (eg dissatisfied tenderers), and

› one-third from journalists and politicians.

› It cost $1.6M to administer FOI in 2008-09.

“It must be clear to decision makers that the starting point for considering FOI requests should be a presumption in favour of giving access to documents,”

- Minister for Defence Senator John Faulkner

22 www.defence.gov.au/defencemagazine 23www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

Air Force has an exciting future ahead with the majority of its platforms and systems being replaced by cutting-edge technology to develop the modern Air Force.

The Strategic Reform Program (SRP) provides a

solid foundation for successful transition to Force

2030, and through the Air Force Improvement

(AFI) program, Air Force will deliver deep and

sustainable reform.

AFI is an approach that is capability-led, people-

focussed, cost-conscious, and is already delivering

substantial benefits, particularly in the area of

smart sustainment.

A number of pilot sites have been trialled to

develop and test the improvement methodology,

with several early and ongoing successes.

At RAAF Base Richmond, Air Lift Group, in

partnership with the Air Lift Systems Program

Office, have identified, and are implementing, real

capability and efficiency improvements within the

Hercules medium air lift capability.

Also at Richmond, 1 Combat Communications

Squadron in Combat Support Group has refined

its processes to reduce the amount of expensive,

high-priority freight required to deliver combat

communications support.

At RAAF Base Edinburgh, the Surveillance and

Response Group is working with the Over the

Horizon Radar Systems Program Office and its two

industry partners to develop options for improving

the operation of Jindalee Over the Horizon

Radar Network, and to find ways of lowering the

operating costs.

In addition to the activities already underway, Air

Force, in partnership with the Defence Materiel

Organisation, is poised to implement a rolling

wave program that will see each of the Force

Element Groups (FEGs) conduct an end-to-end

review of capability delivery and sustainment.

The reviews will result in a range of improvement

projects, aimed at assisting the FEG and DMO to

be more effective and efficient in the delivery of

capability.

One of the keys to the success of this work will

be the close partnership with the DMO, DSG and

other groups.

The work done to date with these partners is

already starting to deliver tangible improvements

to Air Force capability and the workplaces involved.

The challenge is to carefully and deliberately build

on early successes and remain focused on the

ultimate outcomes: maintained capability, a cost-

conscious culture and a permanently lowered cost

of doing business through the elimination of waste

and redundant processes.

AIR FORCE

As part of the Air Force Improvement (AFI) program, Air Combat Group (ACG) recently set up an Air Combat Reform Team (ACRT) to coordinate and implement continuous improvement projects within the FeG.

The Air Lift Group’s effort to improve efficiency has resulted in significant reductions in the time required for servicing the C-130 Hercules aircraft by 37 squadron at RAAF Base Richmond.Commander Air Lift Group, Air Commodore John Oddie said the outcome has enabled extra aircraft to be available to fly each day, while a new training regime for the 37 Squadron team has also been implemented.

“During 2009, there was a lot of effort to improve the efficiency of a C-130 servicing program at 37 Squadron,” AIRCDRE Oddie said.

“A range of detailed plans and improved procedures has been established and arrangements have been made to ensure that necessary parts and supplies are readily within reach when needed.”

These achievements were made by 37 Squadron personnel, without the assistance of outside experts, but with support from the local Air Force Improvement team.

AIRCDRE Oddie said that recognising the results the Air Lift Group achieved through its efforts can sometimes be difficult, and so some of the commanders at headquarters took the time to hear what supervisors and technicians had to say.

“We wanted to understand what they had done, how they felt about the change and

Air Lift Group reflects on success

LeFT: Pallets packed with humanitarian aid and supplies are loaded into a 36 Squadron C-17 Globemaster during Operation Samoa Assist in October last year.

Photo: AC David Said

The ACRT is part of Headquarters ACG and is responsible for supporting the Air Combat Reform Board by facilitating the identification of possible improvements to ACG’s capability delivery. The ACRT is also supported by the local AFI team.

A continuous improvement project was recently conducted at 6 Squadron at RAAF Base Amberley to review the F-111 supply chain and introduce a continuous improvement culture to the Squadron.

The project was called Project Pipeline and ran for a number of months, facilitated by the Amberley AFI team. The project team consisted of members from 82 Wing Operational Maintenance Section (OMS), 6 Squadron Logistics Section and maintenance staff.

Stakeholders included 82 Wing and 6 Squadron executives, maintenance and logistics staff, Strike Reconnaissance Systems Program Office, business units and Joint Logistics Unit-South Queensland.

The project goal was to improve an existing priority demand process, so the team learnt and implemented the methodology of ‘Define-Measure-Analyse-Improve-Control’ and was provided training to develop a Voice of Customer (VOC) and Value Stream Maps (VSM).

The project team gathered data on the supply chain including the time and distance travelled for each demand, the time required to complete a demand, and the location of the stock.

The data gathered produced some surprising results. For example, more than 60 per cent of demands were ordered against the OMS, and there was only a 20-minute time difference for priority demands and standard demands from OMS (due to the time required to complete priority demand paperwork).

ABOVe LeFT: Commander of Air Combat Group, Air Commodore Mel Hupfeld compliments No. 1 Squadron on the great work achieved in preparing the next-generation Super Hornet aircraft for the series of flights to Australia at Naval Air Station Lemoore in California.

Photo: ACW Kylie Gibson

ABOVe RIGHT: The Air Combat Reform Team is coordinating and implementing continuous improvement projects with the Air Combat Group.

what they thought they had achieved,” AIRCDRE Oddie said.

“Visits by senior staff to really understand these matters can cause some nervousness, but after 10 minutes or so we all got comfortable and started to share real understanding of the journey.”

The initial focus was on productivity achievements, but the real human achievements emerged when the team discussed their new workplace after having been deployed overseas for many months.

“They were just easing back into work and still rebuilding family achievements, but the new, highly-productive workplace gave them the certainty of engagement with their family – they knew when they were knocking off, and they knew when they were starting,” AIRCDRE Oddie said.

“One comment was: ‘I get to kick the soccer ball around with my kids each day and they know I will be there’.”

AIRCDRE Oddie said the team also discussed the frustration that arises in an unmanaged workplace and discovered the sense of professional pride in planning the work and having the plan succeed.

“We recognised the value of reduced frustration through not having to re-enter a part of the aircraft numerous times to enable different bodies of work to be done.There were many other small benefits found that day.

“The learning for us came from realising that when a team discovers a new and better way of doing business, the achievements can easily be wider than we expect.

“Many small things can create substantial improvements when taken together and occasionally we need to sit down and reflect upon our achievements to really understand what we have achieved together.

“Sometimes the exceptional can be right in front of us but we need someone else to point it out,” AIRCDRE Oddie said.

The 37 Squadron team now relies on better internal and external relationships, a renewed willingness to look at its own workplace from an informed perspective and the recognition that there is no alternative but to change if they want better outcomes.

AIRCDRE Oddie said the lessons learnt have also made a real impression at the executive level and bode well for replicating the 37 Squadron successes throughout Air Lift Group.

Deep reform keeps Air Force at cutting edge

Project pipelines

continuous improvement

By Flight Lieutenant Belinda Lister

One of the suggestions from the VOC was a Repco-style shopfront for the maintenance staff to access F-111 parts which would allow maintenance staff to immediately access most parts and therefore reduce waiting and travelling times. This sparked an idea to move the 82 Wing OMS from its previous location approximately 300 metres from the Squadron to within the 6 Squadron facilities.

Key stakeholders were briefed on the project outcomes and recommendations, and approval was granted for the OMS move to go ahead in early 2010. Excellent teamwork was integral to the move as the necessary arrangements were made for the OMS warehouse and staff to move into 6SQN facilities.

In a dove-tailed solution, 82 Wing OMS is now operating alongside 6 Squadron Logistics Section and maintenance staff can access most parts almost immediately.

Overall, the project resulted in more efficient processes and a reduction of double handling. It is a step in the right direction to reduce waste in inappropriate processing, waiting time and motion for maintenance and logistics staff. The project is now being reviewed and the original data will be measured again to document the cost reductions.

24 www.defence.gov.au/defencemagazine

NAVY

Continuous improvement thrives in Navy conscience

The New Generation Navy (NGN) Program has reached the end of its first year, with many aspects of the Program already business as usual across Navy.

RIGHT: Chief of Navy Vice Admiral Russ Crane, Able Seaman Kristy Debnam and Warrant Officer of the Navy Warrant Officer Mark Tandy cut up the cake to celebrate the first birthday of the New Generation Navy (NGN). Photo: LSIS Phillip Cullinan

NGN PROJeCTsProjects under NGN include changes to the way leadership training is delivered to all ranks, with a focus on what makes an effective, inclusive and ethical leader. These leadership principles are now delivered as three-day workshops to senior sailors and senior officers, and as modules in existing training programs for junior officers, and in promotion courses for junior sailors.

Culture change projects include improving technical training, getting people to sea earlier, improving the effectiveness of the rejoining process, increasing awareness of flexible work practices, and reviewing respite and predictability across the fleet.

The signature behaviours were an early outcome of NGN, and are now being embedded in Navy through the Making the Change program, which is being facilitated through the divisional system. These behaviours are a guide to Navy’s preferred culture, and demonstrate attention to people, performance and professionalism.

All Navy people will now have their performance assessed against these behaviours as part of their NOPARs and SPARs, with work underway to align the Navy’s promotion and advancement systems with NGN.

For further information on the NGN projects, log on to the NGN site on the Navy intranet.

Those in Navy’s Directorate of Navy Continuous Improvement (DNCI) are keeping busy with several projects that will develop a culture of cost consciousness by equipping commanders and managers with the tools to deliver capability more effectively and efficiency.

MAIN: A rainbow catches the harpoon launcher of HMAS Anzac as she approaches HMAS Sirius for a replenishment-at-sea during the Fleet Concentration Period. Photo: ABIS Andrew Dakin

Continuous improvement projects underway

include the Mine Warfare and Clearance Diving

Continuous Improvement Program (MCDCIP) and

the Seahawk Support Systems Improvement

Project (SSSIP).

The MCDCIP project is halfway through phase

two and involves extensive further examination of

improvement opportunities. Importantly, this will

involve detailed measurement, fact finding and

comparative analysis to present robust business

cases in support of identified improvement

opportunities.

SSSIP started in March 2010 and focuses on

support systems such as operational maintenance

and deeper maintenance programs.

The ANZAC Ship Capability Improvement Project

(ASCIP) commenced in April 2010.

DNCI is also rolling out a suite of training products

throughout the RAN. Training available for selected

personnel includes a one-day lean overview

workshop, a four-day level one practitioner course

and a five-day level two specialist course.

This development provides an exciting opportunity

for sailors, civilians and officers to be involved

in improving our Navy from the bottom up, with

training and top level support, to really make a

difference.

In time, Navy will build a large footprint of all

levels of lean practitioners, to ensure our journey

as a continuous improvement organisation is

successful and fulfills Navy’s requirements under

smart sustainment.

If you would like further information on lean

training or any of the improvement projects

currently underway, please visit the DNCI website,

accessible through the New Generation Navy /

Strategic Reform Program webpage.

DNCI was established in July 2009 with the

responsibility for identifying opportunities for

improving the way Navy does its business and

developing a culture of cost consciousness.

ABOVe: Leading Seaman Writer Reyannon Sansom ensures all ship’s company of HMAS Anzac are looked after with pay and allowances during the Fleet Concentration Period. Photo: ABIS Andrew Dakin

New Generation Navy comes of age

25www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

At the launch of NGN, Chief of Navy Vice

Admiral Russ Crane said that improving Navy’s

culture was his number one priority.

“I am proud to say that in the last twelve months

there has been a positive change in our culture,

but we need to do more,” VADM Crane said.

“There has been a tremendous amount of work

done by the NGN personnel to implement and

deliver initiatives and changes for the RAN and

its sailors, and there have been successes and

positive reactions right throughout the Navy.

Navy Warrant Officer (WO) Mark Tandy agrees

that the impact of NGN is beginning to be felt

across the fleet, but change would need to be

initiated and managed by leaders of all ranks.

“Sailors are genuinely excited about NGN and

what the future holds, however they want to see

results in their workplace,” WO Tandy said.

“This will be the focus for Navy in the second

year – ensuring that we lead by example. If we

are going to make a real difference in our culture

then workplace leadership will be the key.”

VADM Crane acknowledged that there is a still

more to do to create Navy’s desired culture, and

that the changes would continue to be felt for

some time.

“NGN is a five-year program, and culture change

is too challenging and far too important to rush,”

VADM Crane said.

“The Australian people expect us to perform and

behave to a higher standard, and to ensure we

are a Navy renowned for excellence in service

to our nation. This vision must be consistently

interpreted and shared by all throughout the

Navy.”

26 www.defence.gov.au/defencemagazine

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27www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

INSERT TITLEARMY

Reforming for a better fightBy Jack Foster

The Strategic Reform Program message is simple for Army – work smart, train hard, fight easy.

Army has committed to executing the changes SRP represents with rigour and discipline, and early wins over this last year demonstrated the potential of Army’s commonsense, pragmatic approach. As Deputy Chief of Army Major General Paul

Symon points out, early reform initiatives within

Army, such as modifications to Army’s non-

technical inspection (NTI) regimes for many of

its vehicles, will reduce not only costs, but

soldiers’ time.

Supported by engineering analysis from DMO,

Army has changed the frequency of periodic NTIs

for its B vehicle fleet from monthly to quarterly.

This has resulted in a significant workforce

productivity gain for Army.

For Army’s soldiers, adjustments to administrative

processes like the NTI regime mean that they will

be able to focus more effectively on the crucial

training needed to prepare for their core role –

warfighting.

MAJGEN Symon said that to continue with reforms

like this, Army’s leaders are aiming to leverage

soldiers’ and public servants’ knowledge and skills.

This means encouraging Army’s people to identify

waste and propose ideas for dealing with it.

He also said that work is well advanced in

developing processes and mechanisms for doing

this. He referred to comments by Chief of Army,

Lieutenant General Gillespie, who recently said,

“our workforce has never been as well educated

and clever as it is now, and the collective IQ

of the Army should now firmly be based on the

full strength of 50,000, not just on its senior

leadership’s intellect”.

When addressing Army Headquarters’ staff

on 21 April, MAJGEN Symon pointed out how

approachability and willingness to listen to

soldiers’ ideas is already enabling exactly the sort

of behaviour that Army wants to see.

Army sees SRP as a great opportunity and

and tools to help improve efficiency by reducing

waste, streamlining processes, and addressing

the sometimes unreasonable constraints Army

imposes on itself in trying to do the right thing with

the taxpayers’ dollar.

MAJGEN Symon indicated to Army Headquarters

that they should think of Lean simply as a

framework for applying common sense and rigor to

solving problems.

He said Lean emphasises initiative and innovation

and is therefore highly compatible with Army’s

culture of mission command, courage, initiative

and teamwork.

As LTGEN Gillespie foreshadowed in his Order of

the Day, some of the changes ahead in the SRP

may be uncomfortable for some and ultimately

require behavioural change.

“But one thing that will not change is the need to

do our business more effectively so that we can

focus on training for war,” LTGEN Gillespie said.

ABOVe: Private Anthony Doig was surprised by his parents Alby (left) and Chris Mannak (right) on his return to Townsville after deployment with the second rotation of the ADF Force Support Unit in the Middle East. Anthony’s parents secretly flew from Adelaide to be in Townsville to welcome him home. Photo: LCPL Mark (Doc) Doran

MAIN: A soldier keeps his focus while performing drill movements during an Anzac Day dawn service conducted by the member countries of the Five Power Defence Arrangement (FPDA) in Penang, Malaysia, on the eve of the commencement of Exercise Bersama Shield. Photo: LAC Casey Smith

realisation of that opportunity as a key priority,

second only to maintaining ongoing operational

commitments. Realising the opportunity will mean

encouraging Army’s people to speak up about

waste and put forward ideas to deal with it.

This is the essence of Army’s approach to long-

term, sustainable reform through SRP and was

outlined in LTGEN Gillespie’s Order of the Day on

SRP dated 31 March.

The Chief directed Army’s members “to use the

chain of command and the Army Suggestion

Scheme to bring to my attention issues beyond

your power to influence”. The Chief will soon direct

an Army-wide back-briefing process, in the latter

part of 2010, to ensure he hears of all the local

reform ideas.

But generating good ideas without support to the

organisation to develop and progress them will not

assist in making reform sustainable.

To provide support, Army will use Lean concepts

28 www.defence.gov.au/defencemagazine

INSERT TITLE

New generation of reforms for ICTA $1.2 billion investment during the next decade will enable important Information and Communitcations Technology (ICT) infrastructure remediation and other key ICT reforms to be realised by the Chief Information Officer Group.

ICT reform program; other groups’ reform initiatives

that rely on ICT to enable their outcomes; and

Greenbook and Defence Capability Plan projects

with ICT components.

“We’re working together with other groups to

support their business reform efforts. For example,

business reform and IT reform are interdependent

as we refresh and then upgrade our outdated

payroll and HR management systems,” Mr Lines

said.

“Enterprise-wide platform decisions will drive

standardisation, simplification and efficiency, as

we move towards a shared services model across

Defence.”

The ICT Reform head stated that reform is holistic

and will cover four key areas of technology,

process, culture and organisation.

“We will be working with our people to develop

an innovative culture that executes the strategic

vision and we can only do this with a united

Defence team,” Mr Lines said.

“The reform effort will require some changes in

the way we operate and we need to rebalance our

effort.

“We’re currently running at close to 93 per cent

sustainment and seven per cent project work.

We’re moving to a model more consistent with

industry best practice, aiming for 70 per cent

sustainment and 30 per cent project effort.

“Our staff will need to be flexible with assignments

as we move people onto priority projects, while

significant growth opportunities will exist working

on new leading-edge technologies,” Mr Lines said.

The CIOG reform office will have an heightened role in managing the changes ahead, with division heads responsible both for business-as-usual work, and also for driving reform projects forward.

ChIEF INFORMATION OFFICER GROUP

cIOg RefORM effORTs:

› published the ICT Strategy which was recently released by the Minister

› published the Single Information Environment Architectural Intent 2010

› established the reform office and reform program

› developed portfolio of projects as part of the integrated plan of work

› completed Defence-wide ICT cost baseline

› established a specialist solutions design capability.

› developed a new operating model for how CIOG interacts with other parts of Defence

› realised savings target of $49m for 2009/10, and

› commenced reform communications to both CIOG and Defence.

CIOG achievements in the last six months:

› more responsive and stable network (more than 30 per cent less outages)

› ICT infrastructure remediation commenced

› new DRN search engine (Google)

› expanded Internet gateway

› unified communications on DSN

› more streamlined DSN and SIPRNET connectivity (ICI)

› less customer complaints and introduction of dedicated stakeholder and customer engagement staff

› more activist capability management by CIOG: - Satcom, Crypto, Spectrum, TIE and deployed LANs

› transparent Defence ICT budget

› acquired UHF payload on IS-22 SATCOM in IOR, and

› approached industry with pre-briefings for our ICT bundling strategy.

THe nexT geneRATIOn DesKTOPDefence is seeking to achieve both efficiencies and improvement to operations with the next generation desktop. Defence is looking to industry to provide less expensive end-user desktops, improvements to user experience and to simplify the management of the ICT environment.

The next generation desktop will be a significant change for the delivery of Defence's end-user computing, with Defence planning to introduce the new desktop in early 2011. Defence is looking, via an invitation to register, to industry for advice on its ability to implement the next generation desktop and timeframe required for this change.

The next generation desktop project is linked to another ICT reform initiative, data centre consolidation, with the two initiatives having projected cost reductions of around $420m within 10 years.

First Assistant Secretary ICT Reform, Clive

Lines said that ICT reform is essentially about

consolidation, rationalisation, standardisation and

simplification.

“The creation of a single desktop environment,

what we’re calling the ‘new generation desktop’,

will enable Defence users to access the

unclassified, restricted and secret networks from a

single box,” Mr Lines said.

“We’re also consolidating the 200 or so data

centres currently managed within Defence down to

less than 10 by 2012.”

Mr Lines also said the CIO Group will rationalise

the number of contracts it has by utilising a

smarter, more centralised approach to how

software and hardware is sourced.

“A centralised approach such as this will create

efficiencies and will simplify the way we currently

do business.”

Mr Lines said there is a need to work closely

with fewer strategic industry partnerships, in an

integrated way delivering end-to-end processes, to

collectively focus on delivering Defence outcomes.

An integrated program of ICT work has been

developed and will be sequenced and delivered

in accordance with customer-driven business

priorities and interdependencies.

Under the Strategic Reform Program, Defence-

wide ICT expenditure will be planned and

prioritised, with the focus on delivering priority one

and two projects.

“We can't do everything, but the focus will be

on balancing the capability need versus cost

reductions and trade-offs,” Mr Lines said.

“Our time and resources need to be spent wisely.”

The ICT integrated program of work has been

categorised into four components: delivering

military operational requirements; delivering the

29www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

DEFENCE SUPPORT

Defence is undertaking a significant reform program that will concentrate on improving the integrity and accuracy of pay processes, as well as modernising the technology that supports the payroll system.

Joint action on pay: Defence Payroll Remediation Task Force

Defence employees need to have confidence in

the integrity of their pay and personnel processes.

The sheer size of the Defence payroll, ageing

technology and the complex array of allowances

have in the past led to payroll errors.

As part of the overall pay reform, the now Minister

for Defence Materiel and Science, Greg Combet,

announced on 2 February 2010 the immediate

establishment of a high-powered ADF Payroll

Remediation Task Force.

“The Government understands that the volume of

manual transactions, which last year amounted to

more than 3 million, means human error is always

a possibility,” Mr Combet said.

“The function of the Task Force will be to rectify

current deficiencies in the ADF payroll system and

to accelerate the introduction of an improved pay

system.”

The Task Force, co-chaired by the Vice Chief of the

Defence Force and the Deputy Secretary Defence

Support, will bring about improved business

processes and undertake an analysis of all ADF

pay issues. It will issue official advice on improving

payroll processes and consolidate all ADF payroll

processes under one area of responsibility within

18 months.

Following the establishment of the Task Force, a

joint directive on the establishment of the Defence

Payroll Remediation Task Force and Defence

payroll remediation was released by the Secretary

and the Chief of the Defence Force on 15 February

2010.

The joint directive outlines, amongst other things,

the obligations of members, commanders and

administrative staff in checking and rectifying

any pay anomalies. It also provides the payroll

remediation team (the operational team supporting

the Task Force) with authorisation to liaise directly

with all Service chiefs, Group and executive heads

and their staff.

A highly-cooperative, joint approach has already

allowed the Task Force to improve pay processes

and assurance. The Task Force has also facilitated

the use of 1800 DEFENCE (1800 333 362) as the

central point of contact for pay remediation issues.

The payroll remediation team has also developed

strong and productive working relationships with

pay and administrative staff deployed in the

Middle East Area of Operations (MEAO) and at

Headquarters Joint Operations Command. The

team is also working closely with deployed units to

provide families with the ability to enquire about

pay (with the member’s consent), allowing families

to resolve pay issues for deployed members with

minimal bureaucracy.

Where to next…?Mr Combet has directed the Task Force to achieve

ten objectives:

1. Review and report on the adequacy of existing

payroll procedures and compliance with them

2. Create a small specialist deployed civilian

payroll administration cell that will drive

consistency between the in-theatre and in-

country payroll processing

3. Undertake quality assurance checks of

International Campaign Allowance payments

4. Promote a common customer access channel

including the 1800 DEFENCE number for

members and their families to contact about pay

related issues

5. Review the entire process for payment of

deployed allowances and put in place revised

checks and balances to ensure members are

paid correctly

6. Enhance quality assurance processes that

provide greater focus on control, supervision

and checking of personnel data from local

commander to the transactional processing area

7. Widen the current performance management

regime to include control and compliance

reporting on payment of ADF allowances

8. Develop a systematic forward-looking audit

program to support the controls and compliance

reporting around payroll processing

9. Emphasise the mutual responsibilities and

accountabilities of all personnel involved in the

pay process, to meet their responsibilities on

pay administration, and

10.Issue further official advice outlining the steps

being put in place to improve the payroll system.

This advice will also emphasise the obligation

of personnel to meet their responsibilities on

payroll matters including review of payslips and

notification of errors as soon as possible.

Keep an eye out for future editions of the Defence Magazine. Each edition has a 'Spotlight on Reform' article that provides information on one of the SRP streams. Also the Service Newspapers are a great information source as the articles tend to reflect what SRP means to the men and women 'on the ground'.

30 www.defence.gov.au/defencemagazine 31www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

DEFENCE IMAGERY AND GEOSPATIAL ORGANISATION

Deputy Secretary Intelligence and Security Mr Stephen Merchant recently welcomed Mr Steve Meekin into the role of Director, Defence Imagery and Geospatial Organisation (DIGO). As well as welcoming Mr Meekin to the role of Director, Mr Merchant recognised the progress made by DIGO under previous directors Mr Ian McKenzie and Mr Clive Lines.

“DIGO has forged a strong relationship with the ADF through its very good work in supporting operations in Afghanistan, and other operational areas,” Mr Merchant said.

“DIGO is now not only well recognised and respected in the Australian and allied intelligence communities for its imagery analysis capability, but also for playing an increasingly important role in supporting capability development.

“DIGO has worked hard to provide a much more coherent approach to the provision of geospatial information to enable critical ADF capabilities.

“As the Group Head overseeing the largest of the Defence geospatial agencies, DIGO, I fulfil the

Geospatial information superiority - supporting the warfighting edgeBy Helen Owens

role of the Coordinating Capability Manager for Geospatial Information (CCM GI) for Defence,” Mr Merchant said.

“And I rely on DIGO, and in particular, Mr Meekin

as Director DIGO, to really drive that function.

The CCM GI role provides a single point of

coordination for all aspects of geospatial capability

development, and works across Defence and

whole-of-Government to achieve geospatial

interoperability.”

Mr Meekin joined the Australian Public Service

on 1 February 2010, having discharged from the

Australian Army after more than 30 years of

service.

“I consider myself extremely privileged to be

appointed as Director DIGO and I am keen to learn

as much as I can about the geospatial challenges

facing the Defence organisation as we work

toward delivering Force 2030,” Mr Meekin said.

“We know that new enabling technologies

which are currently going through the capability

development process are increasingly dependent

on a significant investment in geospatial,

information and services,” Mr Merchant said.

“Without the right geospatial information at the right time we will not be able to reach the full potential of our operating capability, and Mr Meekin is eminently qualified to ensure that we deliver this capability.”

Mr Meekin said his vision is to establish the

intelligence and capability edge over our

adversaries by ensuring that Defence has fully-

networked sensors, platforms, and command and

control systems, which are enabled through the

seamless transfer of geospatial information and

access to advanced geospatial functionality.

Promoting geospatial interoperability across the

whole Defence organisation is one of the key

governance aims of the Coordinating Capability

Manager for Geospatial Information, but this

cannot be achieved if the geospatial components

of the systems being acquired are stove-piped and

incompatible.

“Through effective governance we have to work

hard on breaking down these stovepipes,” Mr

Meekin said.

“I am keen to continue building on our

previous work in strengthening the governance

arrangements in the capability development process. Much has already been done, but we have a way to go.

“I am learning that there are a significant number of stakeholders in the Defence geospatial community and reaching agreements on standards, our approach to open architectures, how data is managed, and what software is in place must also be achieved through effective governance,” Mr Meekin said.

The CCM GI role has heavy responsibilities, but is light on control. It is expected to deliver coherent and compatible geospatial services to capabilities, but has no control of the project development phases or the acquisition process.

“So we are approaching this with a view to enabling Defence to deliver geospatial capability through the co-development of business process re-engineering and ICT systems delivery,” Mr Merchant said.

“Modular and iterative development processes will be necessary and this will be the initial focus of Joint Project 2064 Phase 3 – a Project that reaches across most Defence operational, intelligence and corporate ICT systems.

“Importantly, I see this work as true strategic reform being delivered at the grass roots level. If we are successful in our endeavours we will achieve better capability for less money by re-engineering business processes, and that is what our reforms should be focussed on,” Mr Merchant said.

Mr Meekin added that work had already begun to define the key responsibilities of the heads of Defence geospatial agencies forum and the various geospatial working groups (of which there are many).

“At the next meeting I have called for a dedicated discussion on governance arrangements,” Mr Meekin said.

“As a team we are building strong relationships with the key stakeholders across Defence from CIOG, CDG, DMO, DSG and the other geospatial producers.

Mr Merchant said DIGO has devoted specific resources from its baseline staffing numbers to ensure that geospatial agencies continue to move forward and achieve success.

“A coordinated approach to geospatial capability development is pivotal. We must consult widely

“I am learning that there are a significant number of stakeholders in the Defence geospatial community and reaching agreements on standards, our approach to open architectures, how data is managed, and what software is in place must also be achieved through effective governance.”

- Director Defence Imagery and Geospatial

Organisation, Mr Steve Meekin

ABOVe: Deputy Secretary Intelligence and Security Mr Stephen Merchant (right) welcomes Mr Steve Meekin to the position of Director Defence Imagery and Geospatial Organisation. Photo: CPL Guy Young

with the services and supporting groups if we are to achieve the strategic outcomes for Defence, both from a capability and a strategic reform perspective,” Mr Merchant said.

Meanwhile, Mr Meekin’s handover is complete and he is now some months into his new job.

The new Director DIGO understands that a fully networked ADF must have complete access to integrated geospatial services, based on open standards and architectures that are interoperable with other government agencies, our allies and key coalition partners.

“This is a true challenge. And all of us involved in this capability will have a huge amount of satisfaction when that challenge is met and overcome,” Mr Meekin said.

“The hallmark of our success will be ensuring that the ADF gains the warfighting edge enabled by responsive and interoperable geospatial information and services that underpin Force 2030.”

32 www.defence.gov.au/defencemagazine 33www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

DEFENCE SECURITY AUThORITY CAPAbILITY DEVELOPMENT GROUP

While the Capability Development Reform Stream may not be about producing savings per se, it shares the same objective as the saving streams – to deliver Force 2030 as set out in the Defence White Paper.

Skills and procedures ensure capabilities develop

The Capability Development Reform Stream is

about ensuring people have the right skills and the

right procedures in place to ensure Government

receives timely, affordable and well-researched

capability options.

The result should assist in an overarching objective

of Force 2030. This allows Defence to get the best

value-for-money capability from the funds that the

Government has agreed should be expended on

projects in the Defence Capability Plan.

Through the Capability Development Reform

Stream, the Capability Development Group (CDG)

has put in place an improved training program.

The desk officer skilling program covers a wide

range of topics, from the basic principles of project

management, facilitating the fundamental inputs

into capability, working with DMO and industry, to

preparing capability submissions for Government

consideration.

Alongside this is a cost estimation training

program, which will improve the basis,

transparency and accuracy of cost estimates

provided to Government as part of major capital

equipment proposals.

The Capability Development Reform Stream

has also focused on improving processes.

The committee structure that is important for

developing high quality advice to Government on

capability proposals has been re-defined.

All the senior key Defence stakeholders are now

part of the decision-making process at the right

time.

The Capability Development Reform Stream,

working in close relationship with the Mortimer

Reform Stream and alongside the Strategic

Planning and Science and Technology Reform

Streams, has reviewed and improved the entire

capability development process.

The result of these efforts is the new version of the

Defence Capability Development Handbook, now

available on both the CDG Intranet webpages as

an interim version. When finalised in the middle of

2010, it will be a very comprehensive best practice

guide for capability development in Defence.

The Capability Development Reform Stream

will be an ongoing process, as CDG monitors

implementation of the changes introduced by the

Capability Development Reform Stream, and looks

for other opportunities for further improvement

arising from related initiatives in other reform

streams.

By Tim CaddeyDefence Security Authority (DSA) has established two protective security governance bodies, the Defence Security and Counter-Intelligence Board (DSCIB) and the Defence Security Advisory Group (DSAG), to ensure that security risks are managed through a coordinated approach that is relevant and responsive.

New governance bodies secure the risks

In Defence, security is everyone’s responsibility. By

integrating it into business processes, we protect

our people, information and assets from harm –

safeguarding Defence’s capability and mission.

The DSCIB, Defence’s peak protective

security body, oversees the development and

implementation of protective security policies and

practices to ensure they comply with Government

policy, meet Defence’s evolving business needs,

and promote a positive and layered security

environment.

Defence’s Chief Security Officer (CSO) Frank

Roberts said that this layered approach formed

the cornerstone of the organisation’s security

environment.

“What it means is that we don’t rely on any one

measure to achieve the security level we’re looking

for. If we do have a failure in one area, there are

back-ups in others,” Mr Roberts said.

“Security is an individual responsibility and

collectively we can achieve positive outcomes.”

Comprised of the security executives from each of

the groups and services, the DSCIB also reviews

Defence security planning and performance, and

reports to the Defence Committee through the

DSCIB’s Chair, the Deputy Secretary for Intelligence

and Security.

The DSCIB is supported by the Defence Security

Advisory Group (DSAG). Chaired by Mr Roberts

and comprised of security advisors from the across

Defence, the DSAG provides working-level support

to assist with the development and implementation

of improved security practices in Defence.

“The two governance bodies bring together

individuals that collectively possess a sound

understanding of the security issues confronting

Defence across the full breadth of its activities,”

Mr Roberts said.

“This corporate knowledge allows the DSCIB

and DSAG to play a pivotal role in shaping the

evolution of Defence’s security policies, practices

and culture to ensure they remain relevant and

responsive to the organisation’s needs.”

Following the August 2009 arrest of several

individuals allegedly planning an armed attack

on an ADF base, the DSCIB and DSAG guided

the development and progression of initiatives to

provide improved security for personnel at Defence

bases and facilities.

The DSCIB then scoped a range of initiatives

culminating in the Government-endorsed Base

Security Improvement Program (BSIP).

Mr Roberts said that Defence personnel were

generally security consciousness, and believed

the organisation would support new measures to

control access to bases and establishments.

“The initial part of this work will be to address

the terrorist offensive arrangements that may or

may not be in place at the moment,” Mr Roberts

said. “Any response to a threat is done through an

intelligence-led, risk-based approach.”

Mr Roberts said measures may also be considered

to strengthen the department’s SAFEBASE policy

to clarify command and control arrangements, as

well as identifying legislative changes required

to support more rigorous inspection and search

regimes.

“These measures will address aspects such

as an integrated security response system,

access control, alarm systems and monitoring,

guarding and patrolling, and incident response

arrangements,” Mr Roberts said.

The BSIP, which is being managed by the Defence

Support Group, will be progressively implemented

across a number of years.

Other key initiatives that the DSCIB and DSAG

have overseen include:

› the development of a new online Defence

Security Manual, outlining protective security

policy in a more accessible and responsive

format

› the creation of the Defence Security

Community—designed to improve mutual

support and information sharing amongst

security practitioners, commanders and

managers, and general Defence personnel

› the conduct of a cultural survey to benchmark

Defence’s security culture and determine its

strengths and areas for improvement, and

› the introduction and review of the bi-annual

Defence Security Performance Assessment

Report, which evaluates security performance

across Defence and identifies significant risks

requiring further remediation.

BeLOW: Defence Security Authority is looking to strengthen the Department’s SAFEBASE policy to clarify command and control arrangements, as well as identifying legislative changes required to support more rigorous inspection and search regimes. Photo: Corporal Chris Moore

This year, the two governance bodies will

also coordinate Defence’s input into the

Attorney-General Department’s review of the

Australian Government protective security policy

framework. They will also consider the outcomes

of a review of the Defence Security Industry

Program and consider how best to deliver shared

security services as part of the Strategic Reform

Program.

To find out who performs the role of your Group

or Service security executive and security

adviser, please visit the DSA intranet site >

Governance bodies.

For more information on the governance

framework for protective security policy, please

refer to Part 1 of the DSM, available on the DSA

intranet site > eDSM > Protective Security Policy

& Governance.

By Hilary Hall

Want to know what SRP will mean for you and your workmates? Talk to your manager. The Secretary and CDF have asked all Defence managers to communicate with their people about what SRP means, to discuss how you can contribute to the outcomes, and what behaviours are expected of you to support the success of the SRP.

34 www.defence.gov.au/defencemagazine 35www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

DEFENCE SCIENCE AND TEChNOLOGY ORGANISATIONPEOPLE STRATEGIES AND POLICY

The Government and senior Defence leaders have agreed to the creation of shared service models for Defence, and functional owners will now lead the implementation of these models.

Shared services a model for allBy Lisa Smallacombe

Deputy Secretary People Strategies and Policy Group (PSP), Phil Minns retains responsibility for implementing the career management, and education and training shared service models. Deputy Secretary PSP will also review other functions within the HR domain that, although unsuited to shared service arrangements, can be further improved to deliver a better customer experience.

Deputy Secretary Defence Support (DS) will have carriage of implementation of the payroll and personnel administration shared service model.

Chief Finance Officer Group will lead reforms in finance across Defence including implementation of shared service recommendations. Deputy Secretary DS will support this through implementation of accounts payable recommendations as the point of intersection between finance and the non-equipment procurement (NEP) shared service model.

Defence Support Group will lead the implementation of NEP shared service in conjunction with the NEP stream of SRP.

And, Chief Information Officer Group will lead Information Communication Technology (ICT) reforms through the ICT reform stream of SRP.

The Head of Workforce and Shared Services Reform (HWSSR), Craig Pandy, guided the development of these models, since taking on the role of HWSSR in November 2009.

Mr Pandy’s task is to implement effective shared services and technology solutions across the Department in support of the Workforce Strategic Reform Program.

Mr Pandy said his team’s focus has been on planning, with considerable effort invested into completing the diagnostic and modelling stages of the reform.

He said this stage of the Workforce and Shared Services path to reform has involved broad consultation, including consideration of similar past projects within Defence.

“There have been approximately 800 stakeholder meetings with key Defence personnel to ensure genuine understanding of the current organisation structure, service delivery models and user needs,” Mr Pandy said.

“Through this process we have identified key issues, such as the fragmentation of Service/Group ownership and accountability, which we have addressed in the shared service models and implementation plans.

“In the past, we know that this fragmentation has led to ad-hoc or little collaboration, and no framework within which prioritisation and sharing of resources could be agreed.

“The approved shared service models aim to address this by establishing a single point of accountability with a robust governance framework that addresses funding and resourcing, service charters, business rules, governance membership and processes,” he said. The overall objective of WSSR is to provide corporate services, such as HR, finance, and non-equipment procurement to

“We don’t want to see people auctioning office furniture to make cost reduction targets”

- Head of Workforce and Shared Services Reform (HWSSR), Craig Pandy

› ensure access to specialised military knowledge/experience required to adequately perform a function

› meet ceremonial requirements, and

› to allow for situations where the role provides a necessary broader development for an ADF career stream.

A number of Defence personnel will be affected by workforce or shared service reforms. Mr Pandy said that planning to assist staff through the changes taking place is a crucial consideration for the Workforce and Shared Services Reform (WSSR) team.

“Managers responsible for implementation will consult affected staff and key stakeholders to ensure their experience, knowledge and views are considered in the detailed planning,” he said.

“Staff transition plans will be developed with a focus on supporting, consulting, preparing and skilling individuals and teams affected by changes.”

Timelines for the implementation of the WSSR initiatives vary depending on the initiative, although generally the significant reform activities are planned to occur in the next two to five years.

In the immediate future, the WSSR process will continue to involve smaller, less visible, steps such as bringing teams together and reviewing processes and policy. This will lead to later phases which will see the cessation of old ways of doing business and more visible change.

“The reforms which underpin the savings must be sustainable. The shared services reforms are not about doing the same tasks with less people. They are about changing to a different operating model that will provide savings that are sustainable and deliver genuine business reform through enablers such as improved Information Communication Technology. All outcomes that will enhance Defence capability.

“We don’t want to see people auctioning office furniture to make cost reduction targets,” Mr Pandy said.

For more information on specific initiatives, visit the SRP and WSSR websites on the Defence Intranet.

the entire Defence organisation as efficiently and effectively as possible.

Defence intends to achieve reform in the WSSR stream through civilianisation of some ADF support positions, contractor conversions and shared services.

ADF positions considered for civilianisation are non-deployable roles. Mr Pandy noted that in keeping with the findings of the 2008 Audit of the Defence Budget, the planned changes will affect only a small percentage of non-deployable roles.

WSSR planning retains uniformed personnel in non-deployable roles to:

› provide sufficient respite postings to support necessary military rotations and to provide rehabilitation and career stability support necessary for retention

Future-proofing DefenceReforming science and technology for Force 2030

By Lorraine Mulholland

“The future operating environment of the ADF will be shaped in very large measure by changes in military technology and its employment, especially in the Asia-Pacific region. Superiority in combat and other forms of military operations will hinge on continual advances in military technology, especially in areas such as EW, precision targeting, stealth and signature management, battlespace awareness, command and control and information networking.”

- Defending Australia in the Asia Pacific Century: Force 2030, p.131

Delivering the technology required by Force 2030 will provide Australia’s defence scientists with a major challenge.With technology developing at a faster rate than

can be acquired and put into service, the Defence

Science and Technology Organisation (DSTO) is

undertaking a significant review of how it does

business, in order to understand how to better field

its physical and financial resources to meet this

challenge.

The 2009 Defence White Paper, Defending

Australia in the Asia Pacific Century: Force 2030,

outlined the role DSTO will play in ensuring

Australia maintains the strategic capability

advantage it requires during the next few decades

and beyond.

The White Paper also outlined four areas in which

DSTO needed to reform its business processes to

meet this challenge:

› future-proofing Defence by increasing the

resources available to focus on the early stage

of capability development

› implementing an enhanced governance model

for the DSTO

› simplifying the mechanisms for prioritising the

DSTO’s funding to support the development of

capability, and adjusting the DSTO’s internal

business and management structures, and

› providing greater clarity around the delivery of

Defence science and technology to support non-

Defence national security capabilities.

DSTO has been working to realign its business

processes since mid-2009, with the major

changes now being implemented, including the

establishment of the DSTO Advisory Board. While

all changes are an important part of strategic

reform, the establishment of the Corporate

Enabling Research Program forms the core of

DSTO’s science and technology program.

Together with an increase in funding in key areas

such as cyber security, intelligence, surveillance

and reconnaissance, future electronic warfare

and next-generation over-the-horizon-radar, DSTO

is placing added emphasis on program delivery

– particularly the development of transition

plans to improve the direct impact of technology

development on Defence capability.

Alongside the renewed focus of future-proofing

Defence capability is an enhancement to DSTO’s

capability to provide science and technology

support to the Defence Capability Plan, as well

as support to the force-in-being and current

operations.

The Government has also decided to provide

DSTO’s workforce allocation as a block rather

than on a project-by-project basis. This certainty

of funding will enable more seamless planning

and better development of the skills and capacity

required for future capability – developing science

and technology skills has a long lead time.

DSTO’s senior leadership has challenged every

person across the group to embrace the changes

being implemented as part of the Strategic Reform

Program.

“DSTO has made a number of significant reforms

to the way we do business, which will better

position us as an organisation to deliver the

technology required by Force 2030,” Deputy Chief

Defence Scientist (Platforms & Human Systems)

Dr Ian Sare said.

“But this is not enough. We are working with our

clients, particularly the three services and DMO,

to look for opportunities to help them achieve their

SRP objectives.

“We see this as a team effort and we are looking

for every employee across DSTO, be they a

research leader or business manager, to identify

ways we can help the rest of Defence contain

their costs while delivering science and technology

support to help them achieve their principal

objectives.”

34 www.defence.gov.au/defencemagazine

PEOPLE STRATEGIES AND POLICY

The Government and senior Defence leaders have agreed to the creation of shared service models for Defence, and functional owners will now lead the implementation of these models.

Shared services a model for allBy Lisa Smallacombe

Deputy Secretary People Strategies and Policy Group (PSP), Phil Minns retains responsibility for implementing the career management, and education and training shared service models. Deputy Secretary PSP will also review other functions within the HR domain that, although unsuited to shared service arrangements, can be further improved to deliver a better customer experience.

Deputy Secretary Defence Support (DS) will have carriage of implementation of the payroll and personnel administration shared service model.

Chief Finance Officer Group will lead reforms in finance across Defence including implementation of shared service recommendations. Deputy Secretary DS will support this through implementation of accounts payable recommendations as the point of intersection between finance and the non-equipment procurement (NEP) shared service model.

Defence Support Group will lead the implementation of NEP shared service in conjunction with the NEP stream of SRP.

And, Chief Information Officer Group will lead Information Communication Technology (ICT) reforms through the ICT reform stream of SRP.

The Head of Workforce and Shared Services Reform (HWSSR), Craig Pandy, guided the development of these models, since taking on the role of HWSSR in November 2009.

Mr Pandy’s task is to implement effective shared services and technology solutions across the Department in support of the Workforce Strategic Reform Program.

Mr Pandy said his team’s focus has been on planning, with considerable effort invested into completing the diagnostic and modelling stages of the reform.

He said this stage of the Workforce and Shared Services path to reform has involved broad consultation, including consideration of similar past projects within Defence.

“There have been approximately 800 stakeholder meetings with key Defence personnel to ensure genuine understanding of the current organisation structure, service delivery models and user needs,” Mr Pandy said.

“Through this process we have identified key issues, such as the fragmentation of Service/Group ownership and accountability, which we have addressed in the shared service models and implementation plans.

“In the past, we know that this fragmentation has led to ad-hoc or little collaboration, and no framework within which prioritisation and sharing of resources could be agreed.

“The approved shared service models aim to address this by establishing a single point of accountability with a robust governance framework that addresses funding and resourcing, service charters, business rules, governance membership and processes,” he said. The overall objective of WSSR is to provide corporate services, such as HR, finance, and non-equipment procurement to

“We don’t want to see people auctioning office furniture to make cost reduction targets”

- Head of Workforce and Shared Services Reform (HWSSR), Craig Pandy

› ensure access to specialised military knowledge/experience required to adequately perform a function

› meet ceremonial requirements, and

› to allow for situations where the role provides a necessary broader development for an ADF career stream.

A number of Defence personnel will be affected by workforce or shared service reforms. Mr Pandy said that planning to assist staff through the changes taking place is a crucial consideration for the Workforce and Shared Services Reform (WSSR) team.

“Managers responsible for implementation will consult affected staff and key stakeholders to ensure their experience, knowledge and views are considered in the detailed planning,” he said.

“Staff transition plans will be developed with a focus on supporting, consulting, preparing and skilling individuals and teams affected by changes.”

Timelines for the implementation of the WSSR initiatives vary depending on the initiative, although generally the significant reform activities are planned to occur in the next two to five years.

In the immediate future, the WSSR process will continue to involve smaller, less visible, steps such as bringing teams together and reviewing processes and policy. This will lead to later phases which will see the cessation of old ways of doing business and more visible change.

“The reforms which underpin the savings must be sustainable. The shared services reforms are not about doing the same tasks with less people. They are about changing to a different operating model that will provide savings that are sustainable and deliver genuine business reform through enablers such as improved Information Communication Technology. All outcomes that will enhance Defence capability.

“We don’t want to see people auctioning office furniture to make cost reduction targets,” Mr Pandy said.

For more information on specific initiatives, visit the SRP and WSSR websites on the Defence Intranet.

the entire Defence organisation as efficiently and effectively as possible.

Defence intends to achieve reform in the WSSR stream through civilianisation of some ADF support positions, contractor conversions and shared services.

ADF positions considered for civilianisation are non-deployable roles. Mr Pandy noted that in keeping with the findings of the 2008 Audit of the Defence Budget, the planned changes will affect only a small percentage of non-deployable roles.

WSSR planning retains uniformed personnel in non-deployable roles to:

› provide sufficient respite postings to support necessary military rotations and to provide rehabilitation and career stability support necessary for retention

35www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

DEFENCE SCIENCE AND TEChNOLOGY ORGANISATION

Future-proofing DefenceReforming science and technology for Force 2030

By Lorraine Mulholland

“The future operating environment of the ADF will be shaped in very large measure by changes in military technology and its employment, especially in the Asia-Pacific region. Superiority in combat and other forms of military operations will hinge on continual advances in military technology, especially in areas such as EW, precision targeting, stealth and signature management, battlespace awareness, command and control and information networking.”

- Defending Australia in the Asia Pacific Century: Force 2030, p.131

Delivering the technology required by Force 2030 will provide Australia’s defence scientists with a major challenge.With technology developing at a faster rate than

can be acquired and put into service, the Defence

Science and Technology Organisation (DSTO) is

undertaking a significant review of how it does

business, in order to understand how to better field

its physical and financial resources to meet this

challenge.

The 2009 Defence White Paper, Defending

Australia in the Asia Pacific Century: Force 2030,

outlined the role DSTO will play in ensuring

Australia maintains the strategic capability

advantage it requires during the next few decades

and beyond.

The White Paper also outlined four areas in which

DSTO needed to reform its business processes to

meet this challenge:

› future-proofing Defence by increasing the

resources available to focus on the early stage

of capability development

› implementing an enhanced governance model

for the DSTO

› simplifying the mechanisms for prioritising the

DSTO’s funding to support the development of

capability, and adjusting the DSTO’s internal

business and management structures, and

› providing greater clarity around the delivery of

Defence science and technology to support non-

Defence national security capabilities.

DSTO has been working to realign its business

processes since mid-2009, with the major

changes now being implemented, including the

establishment of the DSTO Advisory Board. While

all changes are an important part of strategic

reform, the establishment of the Corporate

Enabling Research Program forms the core of

DSTO’s science and technology program.

Together with an increase in funding in key areas

such as cyber security, intelligence, surveillance

and reconnaissance, future electronic warfare

and next-generation over-the-horizon-radar, DSTO

is placing added emphasis on program delivery

– particularly the development of transition

plans to improve the direct impact of technology

development on Defence capability.

Alongside the renewed focus of future-proofing

Defence capability is an enhancement to DSTO’s

capability to provide science and technology

support to the Defence Capability Plan, as well

as support to the force-in-being and current

operations.

The Government has also decided to provide

DSTO’s workforce allocation as a block rather

than on a project-by-project basis. This certainty

of funding will enable more seamless planning

and better development of the skills and capacity

required for future capability – developing science

and technology skills has a long lead time.

DSTO’s senior leadership has challenged every

person across the group to embrace the changes

being implemented as part of the Strategic Reform

Program.

“DSTO has made a number of significant reforms

to the way we do business, which will better

position us as an organisation to deliver the

technology required by Force 2030,” Deputy Chief

Defence Scientist (Platforms & Human Systems)

Dr Ian Sare said.

“But this is not enough. We are working with our

clients, particularly the three services and DMO,

to look for opportunities to help them achieve their

SRP objectives.

“We see this as a team effort and we are looking

for every employee across DSTO, be they a

research leader or business manager, to identify

ways we can help the rest of Defence contain

their costs while delivering science and technology

support to help them achieve their principal

objectives.”

36 www.defence.gov.au/defencemagazine 37www.defence.gov.au/defencemagazined e f e n c e m a g a z i n e ›

DEFENCE SUPPORT

Whilst there have been some big changes in the senior ranks of Defence Support, reform activity within the Group continues its momentum.

Leadership changes but business as usual

DSG is a major contributor to the Defence

Strategic Reform Program, including leading the

reform of non-equipment procurement (NEP),

which will deliver cost reductions of $4 billion

across Defence during the next decade. DSG is a

significant contributor to the workforce and shared

services (WSS) stream, led by People Strategies

and Policy Group.

DSG will also continuing to drive forward with its

internal reform agenda.

In terms of leadership changes, DSG has

farewelled Deputy Secretary Defence Support

(DEPSEC DS) Martin Bowles, as he has taken on a

temporary role within the Department of Climate

Change and Energy Efficiency to oversee the

Renewable Energy Bonus Scheme.

First Assistant Secretary Strategic Support Reform

Dr Ian Williams also took a temporary move

to support Martin in this new role. DSG then

welcomed Mr Simon Lewis from the Department

of Finance and Deregulation from 6 April to fill the

role of Deputy Secretary Defence Support until

Martin returns.

Defence Support ReformDespite these changes, the ongoing work of

reform continues to gather momentum across

the Group as Defence Support continues its hard

work to deliver on its mission: to be an agile and

cost effective support service that enables and

enhances the delivery of defence capability.

“While our fundamental role is to provide

timely and effective support, to achieve this

we must operate in an increasingly constrained

environment, and to be smart in how and what we

deliver to our military and civilian customers,”

Mr Lewis said.

“Reform is occurring at many different levels

across Defence Support and it is not just about

cost reductions – it is mainly about improving our

business processes. 2010 has become the year of

implementation as Defence moves forward with

implementation of the Strategic Reform Program.

DSG will also continue its ongoing internal reform

to improve what and how we do business.”

Activities Defence Support is progressing to be a

more effective organisation include:

› the development of an Occupational Health

and Safety (OHS) Management System – an

interactive online tool incorporating Base OHS

management plans, asbestos management

plans and reporting tools which also provides

staff with the references and guidance required

for legislative compliance

› the establishment of ISIS Centralised Accounts

Processing Centres (CAPC) to meet Government

expectations that invoices will be paid within

30 days

› the investigation of new technologies by

Defence Publishing Service (DPS) which will

put them in control of production to increase

efficiency for customers, and

› consolidating and streamlining from 12 to five

Defence Support regions.

Non-Equipment ProcurementA significant number of procurement decisions are

made every day across Defence in non-equipment

procurement – from travel, to payments to industry

for the provision of products and services such as

garrison support services, to stationery.

This is a key area that everyone across Defence

needs to carefully consider and make cost-

conscious decisions every day. This is about

how resources are used including decisions on

expenditure on non-equipment procurement

activities. Managers also need to ensure

transparency in the decision-making process and

accept accountability for those decisions.

One way DSG will contribute to building and

sustaining a cost-conscious culture across Defence

is the establishment of a centre of procurement

and contracting excellence.

“Defence currently spends of the order of $3 billion

each year on non-equipment procurement across

a range of areas including financial and business

support, training, travel and catering,” DSG’s Chief

Operating Officer Kieran Gleeson said.

“The establishment of a contracting and

procurement centre of excellence within DSG

will assist people across Defence in undertaking

procurement and contracting.”

The centre will provide guidance and strategies

to ensure Defence non-equipment procurement is

undertaken with an improved commercial approach

and ensure efficiencies and consistencies in

contracting and procurement processes across

Defence.

Workforce and Shared Services reformWhile DSG provides shared services to Defence

in a range of areas including HR management,

payroll, finance and procurement, these services

are often administered in conjunction with other

Groups and Services.

“During the past 12-18 months, DSG has been

working towards a genuine shared services

delivery model which will lead to a greater

consistency in services provided across Defence

through the streamlining and standardising of

processes,” Mr Gleeson said.

“We have been working with the groups and

services, particularly in the areas of payroll and

finance to identify areas for improvement with

the aim to introduce a range of reforms which will

improve consistency and standardisation of service

delivery.”

Defence estateThe Defence estate is one of the largest real

estate portfolios in Australia, with around 350

owned and another 350 leased properties. DSG

is looking into more efficient and effective ways

to manage the Defence estate to ensure it meets

Defence’s capability needs.

“Estate reform is a non-savings stream of the

Strategic Reform Program. Improving the way we

do business will mean an estate that is better able

to support capability now and in the future,”

Mr Lewis said.

Estate reform, which is being actively progressed

by DSG’s Infrastructure Division, is being driven by

a focus on the stewardship of the Defence estate,

including the built infrastructure and services and

bases and training areas.

“Recent reviews have highlighted that

maintenance and management of the estate need

more strategic financial investment, which the

Government has recognised and committed to

support through the Defence White Paper 2009,”

Mr Lewis said.

Head of DSG’s Infrastructure Division (ID) Mr John

Owens said the estate reform program will allow

the estate to spend resources in a much more

effective and efficient way and address the issue

of property ownership, acquisition, disposal and

leasing.

A major achievement to date is the work being

undertaken by ID, in conjunction with the groups

and services, to develop the first Defence Estate

Investment Plan 2010 2030. The initial plan, a

program for estate investment during the next

20 years, includes facilities for new capability

projects, remediation funding provided as part of

the Defence White Paper 2009, baseline funding

for major capital facilities and facilities operations

programs, with future versions to include Defence

leasing and disposals.

“Putting all this together under one plan will help

Defence make informed strategic decisions on

the management of one of the largest real estate

Representing the enormity of the Defence estate, a 1 Squadron F-111 sits in the hangar under a starry night at RAAF Base Curtin during a recent Exercise Pitch Black. Photo: LACW Alice Gardiner

portfolios in Australia,” Mr Owens said.

The future in Defence Support“This is an exciting and challenging time to be

working in Defence,” Mr Lewis said.

“The SRP implementation, and DSG’s contribution

to it, is vital for Defence to improve its planning,

accountability and productivity so it can deliver on

the Defence White Paper’s vision of Force 2030.

“Defence Support has an important role to play

in partnership with the groups and services to

drive cultural change in Defence and build a

cost-conscious culture for everyone throughout the

organisation.

“Much of the reforms this Group is responsible

for delivering can only be achieved by having

the commitment and support of everyone across

Defence. It is only by working together to be more

efficient and effective that DSG can continue

to work towards its vision: to support Defence

capability and enable Defence priorities.

“Overall, I am impressed by the level of interest

and dedication of all DSG staff in contributing

to ongoing reform to ensure that, as a Group,

we successfully contribute to the wider Defence

Strategic Reform Program.

“I look forward to working with people in DSG,

across the broader Defence organisation and my

Defence Committee colleagues to ensure we work

collegiately to deliver upon the cost reductions

and efficiencies demanded of us through

implementation of the Strategic Reform Program,”

Mr Lewis said.

“Much of the reforms this Group is responsible for delivering can only be achieved by having the commitment and support of everyone across Defence. It is only by working together to be more efficient and effective that DSG can continue to work towards its vision: to support Defence capability and enable Defence priorities.”

- Acting Deputy Secretary Defence Support,

Mr Simon Lewis

38 www.defence.gov.au/defencemagazine

ThE LAST wORDDEFENCE MATERIEL ORGANISATION

The demand for deep reform under the smart sustainment stream of the Strategic Reform Program has quickly become a reality for the team at Surveillance and Response Group (Air Force) and the Over The Horizon Radar Systems Program Office (OTHRSPO) in Adelaide.

OThR smart reforms at DMO

Based at RAAF Edinburgh, the OTHRSPO

is responsible for through-life support and

acquisition/project work for all high frequency

(HF) radar systems operated by the ADF. The

three-radar network provides critical wide area

surveillance coverage of the northern Australian

sea and air approaches to Australia.

Officer Commanding of OTHRSPO, Group Captain

(GPCAPT) Rob Amos said that the initial reform

scoping exercises had been conducted in line with

the capability-led, people-focussed approach of the

Air Force Improvement program.

“This meant getting everyone involved—from the

senior decision-makers through to the people with

the day-to-day responsibility for delivering support

services,” GPCAPT Rob Amos said

“We had been to pull in as many different views as

we could, drawing on people’s experience and gut-

feel initially, but also conducting more detailed and

technical analysis as part of the ongoing review

and reform process.

“All of those different perspectives are being

captured. Our customer has a strong voice, key

stakeholders such as the DSTO are represented,

and our suppliers are walking in step with us.

“It is certainly a busy time, as identifying and

making improvements has to happen in tandem

with the everyday business for the team.”

Director General Surveillance and Control

Air Commodore (AIRCDRE) Steve Sheedy

acknowledged the importance of the partnership

between Defence Materiel Ogranisation (DMO)

personnel and the Air Force as a customer.

“To succeed this needs to be a joint initiative

all the way – and from the outset we have both

the Air Force Improvement team and the DMO’s

Sustainment Reinvestment Office working with our

people on these reforms,” AIRCDRE Sheedy said.

“Stakeholder buy-in has been very strong. Our

contractors are actively engaged in the opportunity

identification phase and key stakeholders

like DSTO are represented on our Wide Area

Surveillance Reform Board.”

Importantly, AIRCDRE Sheedy said that scoping

work had not focused solely on cost reduction

activities. He said that initiatives aimed at

improving the operational efficiency of the Air

Force’s 41 Wing units were being pursued in

tandem with in-service support enhancements

delivered by the DMO.

GPCAPT Amos said that by working together, the

team had identified about 15 significant initiatives

that are currently being assessed in more detail in

terms of potential cost reductions.

“But there are also a number of other improvement

initiatives in the mix and more are likely to be

proposed as the reform process gains momentum,”

GPCAPT Amos said.

“This fits with the overall goals of the Strategic

Reform Program – to realise cost rductions but also

to implement genuine improvements in the delivery

of capability.”

An added dimension to the challenge is that wide

area surveillance was identified by Government as

a priority industry capability in the Defence White

Paper.

The reform work has been running in earnest since

October 2009, and has the potential to make an

important contribution to the Smart Sustainment

savings target for Air Force and the DMO.

Everyone involved recognises there is a long way

to go, but the right building blocks are in place and

the right people are on board to get the job done.

The Head of Acquisition and Reform Division in DMO recently spoke to the Aerospace Systems Division’s senior leadership team about the opportunities and challenges of the Strategic Reform Program (SRP). Michelle also answered the following questions for Defence Magazine.You spoke in some detail about personal behaviours. Why is that so important in a big, organisation-wide change program like SRP?It is my firm belief that whether we succeed

or not will depend on individual behaviour.

To achieve enduring reform, we need every

individual involved in using, maintaining or

managing military equipment to be looking

for new and better ways of doing business. In

DMO and I think across Defence as well, past

reform efforts have shown that improvements

will only be sustained in the long-term if they

result in real changes in individual behaviour

at all levels in the organisation.

Michelle Kelly Head of Acquisition and Reform Division in DMO

There is certainly scope for ongoing improvement. That was the view of the Kinnaird and Mortimer

reviews, it was the view of the Pappas audit team and it’s the Government’s view. From discussions to

date, I think I’m on safe ground to say that it is also industry’s view. The challenge now for the DMO,

Defence and industry is to achieve reform – not just acknowledge the need for it or talk about it.

When people ask “what we need from leaders across DMO”, my response is all about modelling and encouraging the right behaviours in the

workplace. Our strong message within DMO has been that this is a reform program in which cost

reductions are just one of the three measures of success. This is not just a savings program where

reform would be nice if we could get it.

In the case of the Smart Sustainment program, which includes all the Capability Managers and

represents the central DMO financial contribution to SRP, the expected cost reductions have already

been taken out of the 10-year view of Defence’s budget. That is, we are already budgeting to

operate without those funds. To ensure that we continue to support a highly-efficient, world-class

defence force, we need to pursue efficiency-based improvements and adapt to new and smarter ways of doing business and making decisions.

Essentially, we need a shift to a culture that is agile and responsive to what the customer needs,

and that is affordable in the long-term.

How is your central program office connecting with people at all levels across DMO’s divisional structure?We have established a small central sustainment

reinvestment office (SRO) to play a coordination

and program management role. Connected to that

office are individual directors of reform from each

of the DMO operating divisions. These people

still belong to and report to their division head but

are in effect dual-hatted and closely linked to the

SRO. This group has a lot of thankless tasks, but

they are an important part of the DMO approach

to reform.

One of the continuing demands on the SRO will be

to provide a complete toolkit in support of reform

and information on what is actually happening at

the coalface. One example is training our people.

We have had some success to date with our Lean

level one and level two training courses, but the

training need for DMO and capability manager

personnel extends beyond Lean, and so we need

to do more work in this area. Another example

is connecting the dots in relation to support for

SPOs (systems project offices) engaging directly

in reform activity. Whether it be sharing lessons

learned, or support with contracting templates,

this information should either be available from

the SRO or through the SRO. Equally, we need to

be clear that some people’s contribution might not

be through a direct Smart Sustainment initiative.

It might be one of the enabling improvements

through Mortimer reforms, contracting reform or

our standardisation efforts that are being assisted

by people across DMO in the various communities

of practice (COPs).

Standardisation is important to the overall

reform effort because it offers us opportunities

to become a more consistent performer for our

Defence customer and for Government, to deal

with our supply chain more efficiently, to reduce

re-work and to enhance our training programs.

Standardisation will strip out processes that hinder

us, and invest in processes that help us.

How confident are you that the SRP program will succeed?I think we can be very confident. The planning

work is largely done, now for the real test of

implementation. It will depend on all of us doing

our bit – in DMO, Defence and in industry. We

don’t plan to fail, and we don’t like to lose. We

have smart and dedicated people in the DMO,

Defence, and in industry. We have it in us to

achieve the SRP goals.

We have made a good start, but there is a long

way to go. The readiness survey we conducted

across DMO in November last year certainly told

us that. Some of our early pilot initiatives have

been very promising. This is not easy work, but it is

vitally important. In the end, it always comes back

to the issue of behaviour. Reform won’t happen

by accident and every time I do a quick ‘heads up’

to see if we are getting anywhere, I keep being

reminded of the importance of leadership and

behaviour – at all levels in the organisation.

How have you communicating with your people up to now?We have done a lot of presentations and used

most of the traditional methods in DMO – for

example the DMO Bulletin, and the SRP is part of

each of the CEO’s business plan review sessions.

We are also giving presentations at divisional

levels and to designated communities within

DMO like finance, HR, procurement etc. We

have incorporated sessions on reform into our

leadership programs and we are adapting our

business acumen course.

Our websites have some really useful information

– not just about the background to reform but

about training available for our people and

supporting toolkits for people who are already

working in a reform program. And just recently,

I have started to provide a fortnightly electronic

update that goes from my office to each division

head, for them to distribute within their own

commands. For people outside of DMO, these are

available on our intranet site.

Is your approach to communications changing as you shift from planning to implementation?We know that we have to increasingly focus our

communications in three areas: getting input

from our people, and from industry; sharing

the experiences and lessons from early reform

activities; and challenging all of our people to look

at how reform opportunities can be maximised by

applying them across branches, across divisions or

even across DMO.

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