Examination of Witnesses (Questions 80-83)
MR GUY
GRIFFITHS, MR
ROGER MEDWELL,
DR DAVID
PRICE AND
MR CHRIS
CUNDY
31 JANUARY 2006
Q80 Mr Jones: I agree with you on
that but civil servants are not known for abolishing themselves,
are they? It is a brave minister that puts something forward and
that is thwarted in the MoD. Unless we have those changes this
is not going to work, is it?
Mr Griffiths: I do not think it
is, no. In fairness though, they have within the wider MoD initiated
two quite important pieces of work during the first part of this
year, one looking at organisational and structural issues led
by a two star Tom MacLean and, secondly, a piece of work looking
at the behavioural and cultural changes that need to be made,
led by David Febrash. Those are due to report in the first half
of this year and I think it will be important to observe what
recommendations emerge from that and whether indeed they are implemented.
There are significant changes that have to be accepted by industry
culturally as well so it is a two way street.
Q81 Mr Havard: What are the business
processes that need to change?
Mr Griffiths: First of all, there
is this value for money issue, the way in which bids and tenders
are evaluated. In the days when competition was the bedrock of
procurement policy, it was relatively straightforward. In an environment
where we are looking intuitively at much wider considerations,
including the industrial dimension, it is very much more complex.
The thing that worries a number of industrialists is whether or
not, when they are engaging in competition according to whatever
new rules are defined, those rules are clear.
Q82 Mr Jones: There is not a way
forward. One might send certain civil servants in Bristol running
for the smelling salts but has not gone down this road, away from
competition, pushed the procurement part of it back into industry?
If we have these partnership arrangements, some of this should
be done to make it more cost effective in terms of trying to get
that joined up thinking.
Mr Griffiths: There is a risk
though that, if all one is doing through this Defence Industrial
Strategy is removing from the top layer to the second layer, the
blind application of competition, you are not achieving what I
think is the underlying objective. Whilst you are right that the
level at which in some sectors competition will be applied may
occur now lower down the supply chain, we need to make sure nonetheless
that we are not using competition in a way that is going to sacrifice
important industrial capabilities which may reside somewhere lower
down in the supply chain.
Q83 Mr Havard: Clarity does not necessarily
give you transparency?
Mr Griffiths: No.
Chairman: Gentlemen, thank you very much
indeed. We are collectively extremely grateful to you for taking
the trouble to answer our questions and we hope it was not too
traumatic.
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