September 24, 2019 | Local, Aerospace, Naval, Land, C4ISR, Security

Want to Win Government Business? Don’t be too ‘Commercial-Centric’

Governments may be open for business, but that doesn't mean doing business with a government is necessarily easy. Government procurement is complex - this is not by happenstance. The rules on public procurement stem from a number of sources including law (trade agreements, the common law and legislation) and policy. It can be a painful and costly learning curve for companies that want to sell goods and services to the country's largest buyers if they don't understand the rules.

Government decision-makers are answerable to a very wide range of stakeholders, including the Canadian voters who put them in office and the Canadian taxpayers who fund their operations. In a public procurement, it's not just about getting the best deal – it is also about meeting the broader public interest and achieving long-term policy objectives.

The Goal is to Promote Fairness

Competition is the rule in public procurement because it offers a fair, open and transparent environment, and meets the public objective that all potential suppliers get a fair kick at the can to sell to government. This is important when you consider that, for example, the Department of National Defence is the largest Canadian purchaser of goods and services from the Canadian defence industry.

Canada has implemented several trade agreements in the past few years, including the Canada-European Union Comprehensive Economic and Trade Agreement (CETA), the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and the Canadian Free Trade Agreement (CFTA) (which replaced the Agreement on Internal Trade (AIT)). Understanding how these agreements impact procurement is even more important for suppliers and their federal, provincial and territorial government customers, as well as for the municipal, academic, school and hospital (MASH) sector which may now be subject to trade agreements for the first time or subject to additional or new rules brought about by these new trade agreements.

Prepare your RFP Response Team for a Long Haul

Businesses must understand the processes that come into play in public procurements, such as the need to resource their RFP response team for a long period of time or the impact of failing to meet mandatory RFP requirements (disqualification from the procurement process).

Learning to manage the length of time it takes to progress through a procurement cycle, and to navigate the processes, is a big challenge. In business, relationships matter, but developing a good working relationship with key decision makers in government departments or agencies can be difficult since government tends to have greater workforce mobility and people change in and out of roles frequently. Further, dealing with government means complying with lobbying law and conflict of interest rules. In many jurisdictions, discussions about procurement requirements outside of public solicitation processes is considered lobbying, as it is attempting to sell products or services to the government. Conflict of interest rules may also preclude certain people from doing business with government officials.

Approaching public procurement with a "commercial-centric" view often leads to frustration. The federal government does understand "how business works," but there are still many aspects of a public procurement that are not (and cannot be) commercially focused, including those related to complying with applicable trade agreements, protecting the public interest, and serving policy objectives such as regional development and economic diversification. Companies participating in a public sector procurement process face unique compliance requirements that don't come into play with a typical private commercial transaction.

Expect Heightened Security Requirements

With the increasing attention being paid to cybersecurity and data protection, companies will find they are now subject to more stringent security requirements, including an increased requirement for product functionality and security control disclosure in advance of their products or services being accepted by government buyers. This level of disclosure can extend through to greater access to the underlying technology used so that the customer itself can test for, and understand, cyber-threat vulnerabilities.

Whether this is your first foray into the world of government procurement – and you need to understand the rules of public procurement so that you can properly understand the RFP documents and the plethora of government policies – or you have a broader interest focused on influencing government policy and direction as it relates to your business or your industry, knowing how to best position your organization to take advantage of both possible routes is critical to a successful government procurement business. Waiting until you have lost a bid is too late to effect a change for your organization's benefit.

Be Proactive with the Right Advice

Regardless of your focus, knowing how the system works and how to best advocate for your interests is a crucial and part of any successful business plan. Working with a legal team that has knowledge and experience in all of these areas and can assist with strategic planning and approach from start to finish is critical to success.

https://www.lexology.com/library/detail.aspx?g=4d2ced7d-7e1a-47f0-bf39-ced9b8a0b39d

On the same subject

October 2, 2019 | Local, Security

Liberty Defense to test HEXWAVE at Toronto Pearson
Liberty Defense Holdings Ltd., a leading concealed weapons detection solutions company, announced that it has signed a collaboration agreement with the Greater Toronto Airports Authority (GTAA) to beta test HEXWAVE. GTAA operates Toronto Pearson International Airport in Mississauga, west of Toronto in Ontario. Toronto Pearson is Canada's largest airport facility, welcoming 49.5 million passengers in 2018 alone. Toronto Pearson will be the first airport to partner with Liberty to test HEXWAVE. “Aviation security has been a key driver of the development of new security technologies and services globally, helping travelers to feel safe in an ever-changing threat environment,” said Bill Riker, CEO of Liberty Defense. HEXWAVE uses 3D radar imaging and artificial intelligence, primarily to detect and identify weapons, as well as other threats and anomalies. It enables security teams to detect these threats at the perimeter of a property without obstructing the movement of large groups of people. HEXWAVE enables a layered defense strategy, which provides security teams with more time to manage threats. “It is not our intention to replace the existing security measures in airports, but to extend the security perimeter of aviation facilities by providing security between the curb and airport gate, which is a great example of how a layered defense approach can be implemented. Furthermore, HEXWAVE's ability to operate in both indoor and outdoor environments further enables the security parameter be expanded, in combination with its modular and scalable design, which will help make transportation infrastructure, such as airports, safer,” added Riker. “The GTAA is committed to a proactive security philosophy that stays ahead of emerging threats across our aviation infrastructure to minimize risk for passengers, employees and property. We track emerging technologies with the goal of balancing our operational security needs with overall customer service to make moving through Toronto Pearson a positive experience,” said Dwayne Macintosh, Director of Corporate Safety and Security for the GTAA. This beta testing phase is a key part of HEXWAVE's development process. The incremental testing of the system in actual facilities can help to ensure that the product is aligned with market requirements. “HEXWAVE caught my attention with its capability to detect both metallic and non-metallic objects and the flexibility for its deployment across the airport. We work with our partners to evaluate their products and evaluate how they can complement our operational reality. We're excited to work with Liberty Defense to see how we can make HEXWAVE a success at Toronto Pearson,” added Macintosh. This beta testing phase is a key part of HEXWAVE's development process. Testing the system in operational and diverse facilities can help to ensure that it is aligned to market requirements. Beta testing is expected to begin later in 2019 and progress into 2020. Liberty will also beta test HEXWAVE at FC Bayern Munich's Allianz Arena in Germany, Rogers Arena in Vancouver, B.C., Maryland Stadium Authority's Camden Yards Complex, in the state of Utah, with the Virginia Division of Capitol Police, in Sleiman shopping centers, in a Hindu temple, and in the Metro Toronto Convention Centre. https://www.skiesmag.com/press-releases/liberty-defense-to-test-hexwave-at-toronto-pearson
November 14, 2018 | Local, Aerospace

NEARLY $3 MILLION FOR AEROSPACE SMES
Federal strategy for innovation and growth of Québec regions: NEARLY $3 MILLION FOR AEROSPACE SMEs Objective: Adoption of breakthrough technologies in aerospace Gaspé, November 9, 2018 — Aéro Montréal, Québec's aerospace cluster, received $2.977 million in funding today to support the development of the StartAero360° initiative during the launch of the federal strategy for innovation and growth of Québec regions. The Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development and Minister responsible for Canada Economic Development for Québec Regions (CED), made the announcement this morning in Gaspé. This initiative aims to support Québec aerospace technology SMEs in the pre-commercialization phase of their innovative products. The SMEs participating in the initiative will be supported through a structured process, with the aim of collaboratively responding to a business opportunity that requires the development of an industrial proof of concept. This initiative will: Promote and accelerate the adoption of breakthrough innovations on the market; Support entrepreneurship and job creation in Canada by enabling SMEs to grow through the commercialization of new products; Boost the presence of Canadian industry internationally through the adoption and export of new and innovative niche technologies. To develop, aerospace SMEs need to increasingly deal with breakthrough technologies, such as digital technologies, metadata, artificial intelligence, and additive manufacturing. Our role is to provide SMEs with effective tools, in collaboration with both levels of government, to encourage them to adopt breakthrough technologies. “Our technology SMEs are still struggling to get past the pre-commercialization phase, which is necessary to ensure their commercial success. The StartAero360° initiative has been developed to give our SMEs the support they need to pre-commercialize their most innovative products,”says Suzanne M. Benoît, President of Aéro Montréal. The StartAero360° initiative aims to support 30 SMEs over 3 years. The program will have a total budget of $4.385 million, of which $1.4 million will be provided by the private sector. About Aéro Montréal Created in 2006, Aéro Montréal is a strategic think tank that groups all major decision makers in Québec's aerospace sector, including companies, educational and research institutions, as well as associations and unions. The activities of Aéro Montréal are made possible thanks to the participation of the governments of Québec and Canada and the Montréal Metropolitan Community, as well as company members of the cluster. -30- For more information: Gwenaël Brisé Manager, Communications and Media Relations Aéro Montréal 438 497-3857 gwenael.brise@aeromontreal.ca https://www.aeromontreal.ca/nearly-3-million-aerospace-smes.html
June 25, 2020 | Local, Aerospace, Naval

Canada Mimics Marine Corps Makeover For F/A-18C/D Fleet
Steve Trimble As Canada's CF-18 fleet enters an unexpected fourth decade of service, the details of a nearly $1 billion upgrade package are settled. With operators in Europe, the Middle East and Asia looking on, an upgrade package approved by the State Department on June 16 for up to 36 Royal Canadian Air Force (RCAF) F/A-18C/Ds cements a new configuration aimed at keeping the Boeing-made jets in service decades beyond their planned retirement dates. A group of Raytheon-made sensors and weapons—APG-79(v)4 active, electronically scanned array radars, AIM-9X Block II air-to-air missiles and AGM-154C Joint Standoff Weapons—will be included in the RCAF's newly defined Phase 2 upgrade to help keep a subset of the 94-member CF-18 fleet operating into the 2030s. The State Department previously cleared Canada to acquire 32 AIM-120D advanced medium-range air-to-air missiles for the CF-18. The package, defined in a Defense Security Cooperation Agency notification to Congress on June 16, offers few surprises. The Phase 2 Hornet Extension Program will be closely aligned with a U.S. Marine Corps initiative to keep at least two squadrons of F/A-18C/Ds in service beyond 2029, as both the Marines and the RCAF have waited longer than expected for a replacement jet to arrive. The U.S. Navy tipped the radar selection for the RCAF in a June 11 presolicitation notice that specified the APG-79(v)4, showing an intent to prevent Northrop Grumman from offering the APG-83 for the Canadian program. The Marines evaluated the APG-83 and the APG-79 two years ago, but selected the latter as the successor to the Raytheon APG-73 for the “classic” Hornet fleet. “Partnering with the [Marines], who are completing the same radar upgrade, will enable the introduction of this new capability faster, more efficiently and at reduced cost for both services,” the Canadian Department of National Defense (DND) tells Aviation Week in a statement. The upgrades by the Canadians and the U.S. Marines are driven by the same issue. A delayed delivery schedule for the Lockheed Martin F-35B has forced the Marines to keep a fleet of Legacy F/A-18s in service for a decade longer than planned. The Canadian government's 11-year-old pursuit of a CF-18 replacement (highlighted by failed attempts to acquire 65 Lockheed Martin F-35As in 2010 and an interim fleet of 18 Boeing F/A-18E/F aircraft in 2016) is still in competition mode, with a contract award for 88 fighters due in 2022. Three bidding teams—F/A-18E/F, F-35A and the Saab JAS 39 Gripen—must submit final bids by July 31, which includes a one-month delay to account for the effect of the COVID-19 pandemic on the industry. “These [CF-18] upgrades will provide a capability bridge until transition to a permanent replacement fighter,” the DND says. Canada's fighter delays have not been easy for the RCAF to manage. The current fleet, acquired in the early 1980s, was originally expected to be retired in the early 2000s. A retirement date in 2020 fell through as the government of former Prime Minister Stephen Harper stalled on signing the contract for the controversial F-35A selection. The new administration of Prime Minister Justin Trudeau pushed the selection process to 2022. The CF-18 is now set for retirement in 2032. The situation is different in Finland. Although the Finnish Air Force operates the youngest fleet of F/A-18C/Ds, the head of the HX fighter competition has roundly rejected calls to extend their service life into the 2030s, saying even a few extra years of operations would cost at least €1.2 billion ($1.35 billion). The State Department cleared the RCAF to buy 50 infrared-guided AIM-9X Block II missiles, 38 APG-79(v)4 radars and 20 AGM-154C glide bombs as part of an overall package worth $862 million. The bundle includes electronic equipment, tactical data and support. The CAD$1.3 billion ($960 million) CF-18 Hornet Enhancement Program is divided in two phases. Phase 1 updates all 94 aircraft, including 18 former Royal Australian Air Force F/A-18C/Ds acquired two years ago, with interoperability and regulatory upgrades, including a new GPS/international navigation system, Identification Friend or Foe transponder, Link 16 tactical radios, satellite communications, targeting pod modifications and improved helmets. https://aviationweek.com/defense-space/aircraft-propulsion/canada-mimics-marine-corps-makeover-fa-18cd-fleet

All news