Mari-Tech 2017 Marine Procurement Outlook

1. Mari-Tech 2017
Marine Procurement Outlook
-
Perspective sur
l’approvisionnement maritime
Commodore Simon Page
Director General Maritime Equipment Program Management (DGMEPM)
Directeur général – Gestion du programme d’équipement maritime (DGGPEM)
19 April 2017 / le 19 avril 2017

2. Overview/Ordre du Jour
• The Department of National Defence (DND) and the Canadian Armed
Forces (CAF) are together the largest federal government department.
– 68,000 Regular Force members
– 27,000 Reserve Force members
– 24,000 civilian employees
• The Royal Canadian Navy (RCN) is the maritime component of the
Canadian Armed Forces. It protects Canada’s interests by:
– Safeguarding our maritime approaches
– Exercising sovereignty over our waters
– Protecting our offshore natural resources
– Supporting search and rescue missions
– Supporting international operations helping to maintain global
stability
– The Royal Canadian Navy is composed of approximately 8,400 full-
time sailors and 5,100 part-time sailors. 2

3. 98
Requirements – The Context
Besoins – Le contexte
3
“…working with the Minister of Public Services and Procurement to invest in strengthening the Navy …”
Minister of National Defence Mandate Letter
“…ensure the Royal Canadian Navy is able to operate as a true blue-water maritime force…”
Minister of Public Services and Procurement Mandate Letter

4. • Deliver the right equipment to the
Canadian Armed Forces and the
Canadian Coast Guard in a timely
manner.
• Leverage our purchases of
defence equipment to create jobs
and economic growth in Canada.
• Streamline defence procurement
processes.
2014
Defence Procurement Strategy/
Stratégie d'approvisionnement
en matière de défense
Policy Environment / Contexte politique
2016
Sustainment Initiative
Initiative de soutien
• Strengthen stakeholder collaboration
between government departments and
the Canadian defence industry to
achieve a holistic cultural change.
• Implement tailored sustainment
solutions to maximize the four
principles.
• Encourage innovation, modernization,
and continuous improvement of
technical expertise within the
Government of Canada.
4

5. RCN Priority: RCN Intelligence, Surveillance, Tracking & Acquisition, and Reconnaissance
Unmanned Aircraft System (RCN ISTAR UAS)
DELIVERABLE:
The RCN requires an alternate airborne platform that can
be operated from the Halifax-class frigate in order to
provide near real-time ISTAR information. This ability
will provide critical OTH SA and generate an operational
advantage for commanders while minimizing the risk to
the frigate or maritime helicopter in support of simple
to multi-threat operations.
• Each ship–set includes:
• Unmanned Air Vehicles (UAVs)
• Payloads
• Ground Control Station/Multi-Domain Control
Station
• Communications (data link system)
• Support Element (maintenance/storage)
Note: Quantity will be further defined through Option Analysis and Definition
REQUIREMENT CONSIDERATIONS:
•Persistence and Reach
•Baseline Sensor Payload
•Operate worldwide by day or night
•Interoperability (STANAG Compliant)
•Take off and land vertically from the flight deck of a
Halifax-class frigate
PROJECT STATUS:
• In Options Analysis
• Definition – 2018
• Implementation – 2020
• Contract Award – 2021
• IOC – 2022
FUNDING:
• Total Project Value - $100M – $249M
5

6. RCN Priority: Remote Mine-Hunting and Disposal System (RMDS)
DELIVERABLE:
• A modular, stand-off Naval Mine Countermeasures
(NMCM) capability, designed to provide the full
spectrum of Naval Mine Hunting operations and
contribute to underwater domain awareness.
• The RMDS project intends to leverage proven
Commercial off of the Shelf (COTS) unmanned
systems and Autonomous Underwater Vehicle
(AUV) technology.
• RMDS payloads will contain modular sub-systems
that are portable and deployable.
REQUIREMENT CONSIDERATIONS:
Two Complete RMDS Payloads, including:
•AUV Sub-system:
•2 (min) small, “man portable” AUVs (12-45 kg), and
• 2 (min) light weight, AUVs (<300 kg);
•Mine Disposal Sub-system:
• 10 Explosive Mine Disposal Vehicles (EMDV);
• 2 (min) training and/or inspection variants;
• mine disposal control console; and
• portable storage magazine for up to five EMDVs;
•Transportable Command Centre (TCC):
• Portable 20’ ISO shelter container for the conduct of
deployed RMDS operations.
PROJECT STATUS:
• In Definition
• RFI published
• Request for Proposal Release – 2018
• Implementation - 2018
• Contract Award - 2018
• Final Delivery - 2020
FUNDING:
• Total Project Value - $20M - $49M
6

7. RCN Priority: Naval Large Tug (NLT)
DELIVERABLE:
• 4 new large tugs to replace 5 Glen-class tugs and
2 fire boats.
• The new tugs will provide sufficient large tug
capability to the Queen’s Harbour Masters in
Halifax and Esquimalt to support naval operations
over the next 25 years.
• Requirements;
• Perform a combination of in-harbour and
coast/offshore work
• Able to perform a Queenston-class Cold
Move
• Migrate afloat harbour fire protection into
large tugs.
REQUIREMENT CONSIDERATIONS:
•Commercial design and construction
•Highly manoeuvrable
•At least 2 propulsion systems and enough Bollard
Pull to enable 2 tugs to cold move a Queenston-class
in 25 kts wind and 2 kts current
•Clutter free upper decks
•Commercial bridge configuration with standard
bridge control console
•Fire-Fighting Capability 1 (FiFi1)
•Accommodation for 6 crew
•Designed for at least 25 years of operations
PROJECT STATUS:
• In Options Analysis
• Definition – 2017
• Implementation – 2019
• Contract Award – 2019
• IOC – 2021
• FOC – 2022
FUNDING:
• Total Project Value - $100M - $249M
7

8. RCN Priority: Multi-Role Boat (MRB)
DELIVERABLE:
• Replace the Halifax-class frigates’ Rigid-hull
Inflatable Boat (RHIB) and davit system with a new
RHIB and multi-function launch and recovery
system (LARS). The LARS’ enhanced capability
will support launch/recovery of fully manned MRB
as well the existing Sea Rescue RHIB, cargo and
miscellaneous stores handling and future demands
including possible USV/UUV.
• Each frigate system will include:
• Port and Starboard articulating crane system
• Two 9.3m twin-engine, C2ISR equipped 12
man shock mitigating seating RHIB.
REQUIREMENT CONSIDERATIONS:
•RHIB operating independently in all conditions of
visibility/weather both inside and outside of frigate’s
visual and radar horizons. Perform all current and
anticipated operations while decreasing risk to
personnel and mission
•LARS shall be able to launch and recover fully
crewed and loaded RHIB (Minimum Safe Working
Load of 15,500 pounds)
•Multi-functional: conduct all current boat/materiel
tasks of the existing davit and torpedo handling
crane, and support anticipated future requirements
(UUV/USV)
•Launch and recovery operations for other Federal
Government boats / RIBs
PROJECT STATUS:
• In Definition
• Definition – Apr 2017
• Implementation – 2018
• Contract Award – 2018
• IOC – Mar 2019
• FOC – Mar 2021
FUNDING:
• Total Project Value - $50M - $99M
8

9. RCN Priority: Naval Inshore Support Vessel (NISV)
DELIVERABLE:
• The aim of this project is to provide 6 to 8 common
Naval Inshore Support Vessel (NISV) to the RCN:
• platform to ensure FDUs conduct diving
operations and maintain readiness of
capabilities;
• vessel suitable for training Naval reservists in
small vessel operations; and
• may provide range support.
REQUIREMENT CONSIDERATIONS:
•Equipped to receive containerized capabilities. Aim
is for four (4) ISO 20’s (or equivalent ISO breakdown)
on the same continuous workable deck.
Containerized capabilities are not part of the project;
•Centerline through deck opening on the work deck
for dive stage;
•The vessels will accommodate at least 24
personnel;
•NMT 30 meters at the water line;
•NMT 350 Tonnes.
PROJECT STATUS:
• In Identification
• Options Analysis - 2018
• Definition – 2020
• Implementation – 2021
• RFP – 2022
FUNDING:
• Total Project Value - $100M - $249M
9

10. Sustainment Initiative and DPS Governance: a Collaborative
Structure / Initiative de soutien et gouvernance de la SAMD: un
cadre axé sur la collaboration
Industry engagement – a key enabler in strategy development
& support solution refinement 10

11. 1. Considerable amount of the enterprise still employing transactional time and
material based support solutions
2. Naval In-Service Support and Sustainment Initiative Maritime-Team:
Supporting Equipment Management Teams to promote a “fresh eyes” look
at support plans
3. New Concepts for Consideration:
•Performance Based
•Longer Term
•Relational
•Strategic Partnerships
4. Industry Assistance:
• Help us to evolve & shape
supportability solutions
• Efficiencies/Value for $$
• Performance Measures
• Basis of Payment
• Effective Partnerships
Tailored & Optimized
Support Solutions
• Performance
• Flexibility
• Value for $$
• Economic Benefits
Evolving the Naval Sustainment Enterprise
Évoluer l’entreprise de soutien naval
11

12. Minor War Vessels & Auxiliaries
Vaisseaux de guerre mineurs et auxiliaires
• Completed the “new” MWAV Sustainment Business Case Analysis Gap Analysis
– Detailed analysis required in the areas of Engineering Services Capacity, Value Engineering,
Technical Schedule Management, Defence Resource Management Information System Visibility,
Materiel Regulation, Supply Chain Management, Work Approval Process and Performance
Measurement
– Extension of existing contract required to support detailed analysis (2 x 1 year options)
• Kingston Class Life Extension
– Reaching End of Design Life 2020 to 2023
– Feasibility Study Results
• 5, 10 and 15 yr extensions feasible, hull in good
condition, design margins require attention, equipment
and system obsolescence issues exists
– Currently developing extension options
12

13. Minor War Vessels & Auxiliaries
Vaisseaux de guerre mineurs et auxiliaires
• ORCA-class Mid-Life Study
– Built 2006 to 2008, commercial standards with 30 year design life
– Reaching design mid-life in 2021, study pending to assess the
maintenance performance of the class relative to its design intent
• Large Ship Disposal Program Continues
– PRO, ALG & IRO Disposal Actions planned to complete
– PRE & CFAV Quest Disposal Action planned to start
– ATH Disposal Preparation will commence
• Robust Docking Program Remains
– 2 MCDV, 3 ORCA and 5 Auxiliary dockings completed in FY16/17
– 2 MCDV, 2 ORCA and 7 Auxiliary docking planned for FY17/18
• Including an East Coast docking for HMCS Oriole
MCDV – Maritime Coastal Defence Vessel 13

14. Naval Materiel Assurance Program
Programme d’assurance du matériel naval
• Program intended to provide more explicit assurances that naval platforms
are safe, fit for purpose, and environmentally compliant
• Program provides a clear, coherent demonstration of DND’s commitment to
self-regulate the materiel state of its naval platforms
• Includes implementation of a Naval Materiel Regulatory Framework for
surface ships that significantly leverages Classification Societies through long-
term strategic partnerships
• Consistent with approach taken by other Allied Navies and comparable to
(though more flexible than) commercial regulatory model
• Anticipated Implications & Benefits for Industry:
– Increased use of engineering standards developed with input from industry
– Regular involvement of Classification Societies throughout naval materiel life cycle
– Enhanced focus on qualifications of personnel conducting engineering work
14

15. Innovation
• Increased focus on innovation across many lines
• Notable Innovative Initiatives:
– Alternative fuel evaluations
– Equipment Health Monitoring remote analysis pilot project
– Evaluation of shipboard LED lights
– Evaluation of energy recovery devices
Shipboard Reverse Osmosis
Desalination Energy Recovery
Device
LED Lighting Solution to be Evaluated on
Halifax Class Frigates
Alternative Diesel Fuel Approved
for use on Surface Ships
15

16. Final Thoughts / Mots de la fin
 Maritime Equipment Program Management – delivering at unprecedented
levels – almost $1B overall FY16/17
 Operational tempo is increasing post Halifax Class Modernization
 Affordable, well performing support programs will be of paramount
importance
 The Sustainment Initiative and Defence Procurement Strategy are well in play
 Over 30 projects completed or in the Sustainment Business Case Analysis
Process – Supported by the Sustainment Initiative Maritime-Team
 Industry engagement has played a key role in shaping the nature of
procurements
 Seeking industry insights to continue to evolve our approaches for
performance and relational contracting as well as basis of payment
 Sustainment Initiative Maritime-Team working with CADSI to facilitate
industry engagement to discuss and share best practices
16

17. Build in Canada Innovation Program (BCIP)
Programme d’innovation Construire au Canada
Start
Testing is carried out
with a test partner
and feedback is
provided
Matched proposals
proceed to
negotiations
Military innovations sent to
the Defence Validation
Committee to facilitate
matching within DND
Proposals are submitted
via an online
submission service NRC-IRAP
Evaluates
Proposals
NRC-IRAP
Evaluates
Proposals
Bidders
Receive
Proposal
Debrief
Bidders
Receive
Proposal
Debrief
Good/
Service
Testing
Good/
Service
Testing
Matching
to Test
Partners
Matching
to Test
Partners
ProposalProposal
SubmissionSubmission
ProposalProposal
SubmissionSubmission
Call for
Proposals Process
Contracting/
Negotiations
Contracting/
Negotiations
Proposal
Debriefs
Proposal
Debriefs
For more information visit:
www.buyandsell.gc.ca/ innovation 17

18. Questions
18

19. Panel discussion