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January 9, 2018 | Information, Naval

Managing Intellectual Property in Defence and Marine Procurement

Industry and government collaborate on Principles for the Management of Intellectual Property in Defence and Marine Procurement

In 2017 Public Services and Procurement Canada, the Department of National Defence, Innovation Science Economic Development Canada and the Canadian Coast Guard worked with Canadian defence industry representatives such as Canadian Association of Defence and Security Industries (CADSI) and Aerospace Industries Association of Canada (AIAC), through the Defence Industry Advisory Group, to develop principles for the management of IP in defence and marine procurement.

The Principles for the Management of IP in Defence and Marine Procurement (Principles) provide a broad policy foundation for IP management in defence and marine procurement by the Government of Canada that:

  • reflect the Government's national interests and strategic defence and marine capability needs
  • reflect the defence industry's interests in the protection of privately developed IP as valuable business and economic assets and as a factor in creating and sustaining an innovative Canadian defence and marine industry
  • recognize that the development, protection and commercialization of IP are critical among several priorities to advance a broader Canadian socio-economic agenda, including economic growth and jobs
  • recognize that IP management occurs between the Government and defence industry in strategic and dynamic sectors subject to rapid technological changes, and emerging defence capabilities and vulnerabilities
  • serve as a framework for adaptable, flexible, principles-based and outcome-based approaches using IP management strategies that help government secure needed capabilities and ensure value for money while bolstering industry innovation and sustainability, and
  • serve as a framework to help define IP requirements, draft contracts and design bid evaluations at earliest stages in procurements, while also helping guide the management of IP throughout the lifecycle of defence and marine assets

The Principles align with the Canadian Government's Contracting Policy and Policy on Title to Intellectual Property Arising Under Crown Procurement Contracts, which prescribed a whole-of-government approach to IP management and addresses the ownership and licensing of intellectual property arising during a Crown procurement contract.

Principles for the management of intellectual property in defence and marine procurement

The Principles reflect key points of agreement between government and the Canadian defence industry on how government intends to approach the management of IP throughout the life cycle of defence and marine assets.

The Principles serve as a framework for government and industry on the framing of requirements, the design of bid evaluations, and the drafting of contracts. They should also guide the management of IP during the life cycle of assets, seeking to balance the national interests of the government and the industry's interests to maximize benefits for Canada.

The Principles recognize that the development, protection, and commercialization of IP are among several priorities to advance the broader Canadian socio-economic agenda, such as economic growth and jobs.

The Principles also recognize that IP management discussions between governments and defence suppliers occur in strategic sectors subject to rapid technological changes, and emerging defence capabilities and vulnerabilities. As a result, governments are facing shorter and shorter procurement life cycles and having to return to market sooner to benefit from technological changes, while ensuring value for money.

Defence firms, on the other hand, are in a position to offer technological evolution through the lifecycle of products and offer new products and services which may significantly alter the performance or the cost of the item procured. Being able to take advantage of this dynamic market will require that IP discussions take place very early on during the procurement phase and be considered as a function of the life cycle of the product or service.

In this context, adapted, flexible, principles-based and outcome-based IP management strategies can help the Government secure needed capabilities, while ensuring value for money and working with industry to foster technological advantages and economic benefits.

http://www.tpsgc-pwgsc.gc.ca/app-acq/amd-dp/propriete-intellec-property-eng.html

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