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1. Financing Capital Assets: The Missing Link in Defence Procurement

Author:
Vern Kakoschke
Publication Date:
03-2020
Content Type:
Policy Brief
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
Defence procurement in Canada has had some well-known challenges in recent years. Many commentators have suggested possible strategies for fixing the defence procurement system. The identified problems include overspending on defence programs, unnecessary and undue delays in re-equipping Canada’s fleet of aircraft, ships and ground transport, and defence budgets that remain unspent. The problems also include procuring authorities experiencing a shortfall in manpower and expertise, the inability to execute on defence procurements, unjustified sole-sourcing without a proper competition, political interference in selection issues, and the list goes on. The proposed solutions often address process-related matters: establish a single agency responsible for defence procurement or perhaps a cabinet secretariat to manage the involvement of three of four government departments who are often not on the same page. To date, not much has been written or discussed in public policy forums on a critical question: How should the necessary capital assets be financed? At one extreme, Canada could simply write a cheque and pay for them up front, thereby placing the assets on Canada’s balance sheet. At the other extreme, Canada could drop the financing obligation into the laps of private-sector bidders and let them worry about the most efficient way of raising the necessary capital. A middle-ground solution could involve a public-private partnership (P3) structure, a model which seeks to balance the interests of the public and private sectors in a manner that leads to a better solution for all parties. Any public policy discussion often begins with first principles. What is the government’s policy objective? It is to procure the best available equipment, with the most benefit to the Canadian economy or local interest groups and at the lowest possible cost. All three goals must be balanced in a manner that is politically acceptable, meets budget constraints and withstands public scrutiny. In major procurements, capital can be the largest single cost of a defence procurement.
Topic:
Defense Policy, Government, Armed Forces, Finance, and Public Policy
Political Geography:
Canada and North America

2. Knocking NATO: Strategic and institutional challenges risk the future of Europe’s seven-decade cold peace

Author:
Anessa L. Kimball
Publication Date:
10-2019
Content Type:
Policy Brief
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
Despite providing European stability through collective defence and crisis management in an exclusive club, NATO faces persistent challenges from strategic insecurities complicated by recent institutional uncertainties. The club’s structure permits several goods-producing schemes, depending on how individual contributions combine, the qualities associated with a good’s publicness (i.e., its possible substitutes or how it excludes benefits from non-members) and partner differences in capacity and willingness. NATO faces challenges from Russia ranging from cybersecurity and media manipulation to overt and covert military pressures. Recent deployments sink costs and tie hands, reassuring commitment credibility, and are essential given the uncertainty generated from U.S. President Donald Trump’s ambiguous commitment to Article 5, compounded with the effects of Brexit on alliance politics and burden-sharing. Given the conjunction of strategic insecurities and institutional uncertainties, it is convenient to knock NATO, but rational institutionalist theory (RIT) is optimistic. RIT argues that the club’s design permits strategic adaptation to new contexts and insecurities, but partners must signal commitment credibly to prevent uncertainties about cohesion. RIT favoured enlargement to shift burdens, and data confirm that the Americans, British and Germans shifted burdens to others, including Canada. Moreover, any alternative to NATO is costly for less-endowed partners facing direct defence pressures. Canada’s role as a broker of compromise and its willingness to make its commitments credible places it in future missions, regardless. Canadian leadership in reassuring and socializing new partners in Operation Reassurance offers an opportunity to retain its objective and subjective position as a key partner.
Topic:
Defense Policy, NATO, Military Strategy, and Alliance
Political Geography:
Europe, Canada, and North America

3. Enabling NATO for 21st Century Operations: Fielding Agile, Responsive and Innovative Reserve Forces

Author:
Howard Coombs
Publication Date:
11-2019
Content Type:
Research Paper
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
Canada has built on the findings of the Netherlands’ report, Lessons Learned from Commitment of Reservists in Operations (LLRO), and provided an overview of NATO ability for the international deployment of reservists by specifically examining the pre-deployment phase of operations. Through both national questionnaires and research, Canada has collected, analyzed and communicated key observations and lessons from NATO NRFC member and partner nations to address the institutional support and structures required to set the conditions for the force generation and successful deployment of capable, multi-purpose, integrated reserve forces. This has resulted in a comparative analysis of the triad of military, family and employer support that enhances the deployment of NATO reservists prior to operations.
Topic:
Defense Policy, NATO, Military Affairs, and Alliance
Political Geography:
Canada and North America

4. Complex Strategic Coercion and Russian Military Modernization

Author:
Julian Lindley-French
Publication Date:
01-2019
Content Type:
Policy Brief
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
The purpose of this short briefing paper is to consider the capability and utility of contemporary Russian forces in relation to President Vladimir Putin’s strategic goals. Specifically, this paper examines the critical role played by Russia’s “New Look” military force in the realization of Moscow’s political goals via complex strategic coercion. Complex strategic coercion is the use of all national means and beyond by a “securitized” state such as Russia to systematically undermine the command authority, as well as the political and social cohesion of adversary states and institutions. This end is achieved by creating and exploiting divisions within diverse societies, interfering in national political processes and exacerbating tensions between democracies. Complex strategic coercion is underpinned by the threat of overwhelming conventional military power against weaker states at a time and place of the aggressor’s choosing. This type of coercion is allied to the implicit threat of nuclear and other means of mass destruction to confirm the changed facts on the ground by preventing strategic peer competitors from mounting a successful rescue campaign. Western strategists increasingly confuse strategy, capability and technology, thus undermining deterrence and defence efforts. Russian Chief of the General Staff Gen. Valeriy Gerasimov has been pioneering precisely the fusion of the three elements of warfare for a decade. The modernization of Russia’s armed forces must thus be seen in the context of a new form of complex strategic coercion that employs systematic pressure across 5Ds: disinformation, destabilization, disruption, deception and implied destruction. Russia’s strategic goal is to conduct a continuous low-level war at the seams of democratic societies, and on the margins of both the EU and NATO, to create implicit spheres of influence where little or no such influence would otherwise exist. In the worst case, complex strategic coercion would be used to mask Russian force concentrations prior to any attack on NATO and EU states from above the Arctic Circle and Norway’s North Cape in the north, through the Baltic States and Black Sea region and into the southeastern Mediterranean. The strategy’s enduring method is to use the implicit threat of force to keep the Western allies permanently off-balance, strategically, politically and militarily, and thus to offset any innate advantages afforded Western leaders by either their forces or resources. If the Alliance concept of deterrence and defence is to remain credible, an entirely new and innovative concept of protection and projection must be considered as a matter of urgency.
Topic:
Defense Policy, Military Strategy, Deterrence, and Modernization
Political Geography:
Russia and Canada

5. Defence Procurement Canada: Opportunities and Constraints

Author:
Jeff Collins
Publication Date:
12-2019
Content Type:
Policy Brief
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
Substantive defence issues rarely make national political campaign platforms. However, in the 2019 federal election, reforming the defence procurement bureaucracy to overcome delays became a highlight for not one but two of the country’s main political parties. To “ensure that priority projects are progressing on time and on budget”, the Conservatives called for the creation of a defence procurement secretariat within the Privy Council Office, akin to a model used by the Robert Borden government in the First World War. The winning Liberal party went further and promised to create a separate defence procurement agency, called Defence Procurement Canada (DPC). As of this writing, details remain sparse, but as with the Conservatives, the ostensible purpose of such a reform is to ensure that “Canada’s biggest and most complex defence procurement projects are delivered on time and with greater transparency …” Considering that the government’s own defence white paper, 2017’s Strong, Secure, Engaged (SSE) found that 70 per cent of all defence procurement projects were not delivered on time, the existing bureaucratic process warrants a serious look. In fact, a substantial shake-up of the Canadian defence procurement bureaucracy has not taken place since the last separate procurement organization, the Department of Defence Production (DDP), was abolished in 1969. Arguments for altering the bureaucratic architecture of Canadian defence procurement have ebbed and flowed since the mid-2000s, when the first of successive governments began acquisition plans for replacing decades-old fleets of equipment, including CF-18 jets, Protecteur-class auxiliary oiler replenishment ships, Halifax-class frigates and Iroquois-class destroyers. With much publicized delays in these and other major Crown projects (MCPs), reform advocates have drawn attention to Canada’s multi-departmental procurement process as a source of frustration. Unique among allies, Canada relies principally upon three departments – National Defence (DND), Public Services and Procurement Canada (PSPC) and Innovation, Science and Economic Development (ISED) – for acquiring MCPs. Other countries typically rely on one of three approaches to acquiring material for their armed forces: procurement by individual armed services (United States); centralized government organizations (United Kingdom) or independent civilian corporations (Sweden). Although it is not clear whether the Liberal proposal is a new department (akin to the DDP), a Crown corporation or an agency under the DND’s auspices, any restructuring of the defence procurement system will not be easy. No matter what shape it takes, any new organization must deal with rearranging a complex set of institutional realities based on decades’ worth of statutes, policy frameworks and human resources allocations. Political realties still apply, too. Any new organization must contend with Canadian procurement politics, including the impact of new governments, differing priorities, regionalism and purchasing patterns.
Topic:
Defense Policy, Politics, Military Affairs, Weapons, and Military Spending
Political Geography:
Canada and North America

6. Funding Defence for the Age of Accelerations

Author:
Ross Fetterly
Publication Date:
04-2019
Content Type:
Policy Brief
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
At a time when even large, high-tech Silicon Valley corporations that operate as market disruptors are challenged to keep up with the pace of change, national Western governments need to ensure that defence funding is responsive to persistent, dramatic and non-linear shifts in the international strategic environment. The United States is experiencing a “deepening crisis of credibility in global affairs”,2 largely resulting from an America-first posture, rather than a multilateral approach with traditional allies. Some nations now view the U.S. as “undermining the international order”,3 and reliance on the U.S. as the leading democratic nation is less certain. Indeed, periods of great economic change “driven chiefly by economic and technological developments, which then impact on social structures, political systems, military power, and the position of individual states”,4 create a dynamic that shifts power, influence and trade among nations. Further, nations that can “develop, produce, and deploy technology the most effectively”5 can gain a comparative advantage in the current security environment, where the rate of technological change is accelerating. However, with adversaries advancing their military technology in increasingly shorter cycles, market dominance by Western defence firms has only fleeting or transitory advantage. The revolution in military technology has been a constant topic for analysts, but the changing military and defence department skill sets required in the future security environment are equally important, with the cyber-realm and space being two prominent examples.
Topic:
Security, Foreign Policy, Defense Policy, Government, and Military Spending
Political Geography:
Canada and North America

7. Breaking the Ice Curtain? Russia, Canada, and Arctic Security in a Changing Circumpolar World

Author:
P. Whitney Lackenbauer, Suzanne Lalonde, Viatcheslav Gavrilov, P. Whitney Lackenbauer, Alexander Sergunin, Troy Bouffard, Andrea Charron, Jim Fergusson, Robert Huebert, and Suzanne Lalonde
Publication Date:
01-2019
Content Type:
Book
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
Canada and Russia are the geographical giants, spanning most of the circumpolar world. Accordingly, the Arctic is a natural area of focus for the two countries. The region plays strongly into their identity politics, with leaders often invoking sovereignty and security frames to drum up support for investments in this “frontier of destiny.”1 The purported need to protect sovereign territory and resources from foreign encroachment or outright theft, backed by explicit appeals to nationalism, can produce a siege mentality that encourages a narrow, inward-looking view. Although the end of the Cold War seemed to portend a new era of deep cooperation between these two Arctic countries, lingering wariness about geopolitical motives and a mutual lack of knowledge about the other’s slice of the circumpolar world are conspiring to pit Canada and the Russian Federation as Arctic adversaries. Are Russian and Canadian Arctic policies moving in confrontational direction? Can efforts at circumpolar cooperation survive the current crisis in Russian-Western relations, or does an era of growing global competition point inherently to heightened Arctic conflict?
Topic:
Defense Policy, Sovereignty, International Security, Territorial Disputes, and Military Affairs
Political Geography:
Russia, Canada, North America, and Arctic

8. The Global Exchange (Fall 2018)

Author:
Adam Frost, David J. Bercuson, Andrea Charron, James Fergusson, Robert Hage, Robert Huebert, Petra Dolata, Hugh Segal, Heidi Tworek, Vanja Petricevic, Kyle Matthews, and Brian Kingston
Publication Date:
09-2018
Content Type:
Journal Article
Journal:
The Global Exchange
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
The fundamental rules of conventional sovereignty are that states will refrain from intervening in the internal affairs of other states, are afforded the right to determine their own domestic authority structures and are freely able to decide what international agreements they choose to enter or not. In principle these concepts have been widely accepted, but are often violated in practice. While conventional sovereignty would appear favourable in theory, realistically, the domestic affairs and foreign policy decisions of states can and do have consequences for others. Poor governance in one state can produce regional instability, from uncontrolled migration across borders, uncontrolled arms trade and other illicit trafficking or the rise of militant nonstate actors. Economic, environmental and health policies of one state can affect the food, water, health and economic security of another. These transnational issues are increasingly complex because the world is more globalized than ever before. No state exists in a vacuum. Therefore, it is often within a state’s interest to influence the policy decisions of its neighbours. Pragmatism often trumps abstract theoretical ideals. The lead package of this issue examines the challenges of securing Canada’s sovereignty from modern threats. When discussing Canadian sovereignty the Arctic will invariably be mentioned, and indeed is the focus of fully half of this edition. David Bercuson, Andrea Charron and James Fergusson argue that the perceived threats to Canada’s sovereignty in the Arctic are overblown, resulting in alarmist rhetoric. Robert Hage, Rob Huebert and Petra Dolata, however, content that Canada must be vigilant if it does not wish to erode sovereign control of its Arctic territory. Going beyond the arctic circle, Hugh Segal and Heidi Tworek discuss the challenges of defending against hybrid threats and outline possible steps in response to such perils. From coordinating with our closest allies to no longer tolerate attacks against the integrity of our most valued institutions, to increasing transparency of activities and strengthen public trust in Canadian democracy via domestic measures. Finally, this package concludes on the issue of border control. Vanja Petricevic discusses the shortcomings of Canada’s current management of asylum seekers and how the concept of sovereignty is being adapted to address modern migration challenges. While Kyle Matthews asserts the importance of holding Canadian citizens responsible for their actions abroad because to do otherwise is not only dangerous, but an affront to Canadian ideals. Contemporary transnational challenges are complex and dynamic. The climate is changing, technology is enabling previously unimaginable feats, and global demographics and migration are creating new points of contention. If Canada is to navigate these issues, and defend its sovereignty, it must work closely with its international partners and ensure that it is capable and willing to stand on guard for thee.
Topic:
Defense Policy, NATO, Sovereignty, Immigration, Governance, Elections, Islamic State, Diversification, Trade, and Donald Trump
Political Geography:
China, Canada, North America, Arctic, and United States of America

9. The Global Exchange (Spring 2018)

Author:
Adam Frost, David J. Bercuson, Andrew Rasiulis, Ross Fetterly, Lindsay Rodman, Lindsay Coombs, Stephen M. Saideman, Eugene Lang, David Perry, Alan Stephenson, Ian Mack, Adam Lajeunesse, Charity Weeden, and David Higgins
Publication Date:
03-2018
Content Type:
Journal Article
Journal:
The Global Exchange
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
“Canada is a fireproof house, far from inflammable materials.” These were the naïve words of Canadian Senator Raoul Dandurand during his 1924 address to the League of Nations. Ironically, his speech took place between the two most devastating global conflicts in human history, and Canada was an active belligerent in both. However misguided Dandurand’s statement may have been, its sentiment has been woven into Canadian psyche by virtue of geographic reality. Canadians enjoy the privilege of a tremendously productive relationship with the United States, which remains the global hegemon. With geographical ties, Canadians and Americans also share a common history and broad cultural kinship. The strength of this relationship has afforded Canada a degree of security that would otherwise be unattainable, which affects Canadians’ perception of national security. It is an exceptional privilege of circumstance that defence is not required to be frequently in the forefront of public dialogue. However, while it is unlikely Canada will be confronted with an existential threat in the foreseeable future, it would be foolhardy for Canada to become complacent about preserving the means to defend its national interests when necessary. The 21st century international arena is rife with instability and change. These conditions create uncertainty. Canada’s armed forces are charged with the task of safeguarding and advancing Canada’s national interests when called upon, often in the most challenging of circumstances and environments. In order for the Canadian Armed Forces (CAF) to be successful, the government of the day must adopt and implement pragmatic defence policy, and provide the CAF with the appropriate resources to meet expectations. This issue contends with the questions of how best Canada can enable the CAF to succeed in its assigned tasks, and outlines what some of those tasks ought to be to defend against contemporary threats in our era of increasing uncertainty. Policy-makers must consider the evolving threat environment in order to enable the CAF to effectively defend Canada’s interests. The proliferation of long-range ballistic missiles and offensive cyber capabilities poses significant threats to Canada and its closest allies. Climate change is also exposing Canada to new challenges in our Arctic territories, creating a growing need for surveillance and governance in the high Arctic to protect Canadian sovereignty. These are only a few of the emerging threats addressed in this issue. For the CAF to be capable of adapting to the multiplex of eventualities that it must be prepared to confront, it requires sufficient personnel and materiel. The mix of skills required in today’s armed forces is very different than in bygone eras. Personnel must also be properly equipped if they are to be effective in their roles. Therefore, recruiting and retaining people with expertise in diverse trades and the efficient and timely procurement of vital equipment are paramount if the CAF is to be a capable, adaptable and effective force.
Topic:
Defense Policy, Armed Forces, Military Affairs, Budget, and Missile Defense
Political Geography:
Canada, North America, and United States of America

10. The Global Exchange (Spring 2017)

Author:
David J. Bercuson, Randolph Mank, Sarah Goldfeder, Mike Day, David Perry, Peter Jones, David Carment, Milana V. Nikolko, Brett Boudreau, Rolf Holmboe, Darren Schemmer, Andrew Griffith, and Robert Vineberg
Publication Date:
03-2017
Content Type:
Journal Article
Journal:
The Global Exchange
Institution:
Canadian Global Affairs Institute (CGAI)
Abstract:
The Global Exchange is the Canadian Global Affairs Institute’s quarterly magazine featuring topical articles written by our fellows and other contributing experts. Each issue contains approximately a dozen articles exploring political and strategic challenges in international affairs and Canadian foreign and defence policy. This Spring 2017 issue includes articles on trade, defense policy, elections and more.
Topic:
Defense Policy, War, Bilateral Relations, Budget, Elections, Democracy, Negotiation, Peace, and Trade
Political Geography:
Russia, Ukraine, Canada, Syria, North America, United States of America, and Gambia