New Alliance Contract to Improve and Sustain Navy’s ANZAC Class Frigates

Saab AB, One of Australia’s most successful defence acquisitions, the Royal Australian Navy’s Anzac class frigates, has made another advance today with the signing of a new three-way partnership contract to enhance and maintain the frigates. 
 
Merv Davis, Managing Director of Saab Systems, signed the new Anzac Ship IMS (Integrated Materiel Support) Project Alliance with Dr Steve Gumley, CEO of the Defence Materiel Organisation and Mr Greg Hayes, Group Managing Director and CEO of Tenix. 
 
This new government and industry alliance will manage the ongoing enhancements to this world-class frigate. At the same time, alliance members will work alongside the RAN to maintain the Anzacs in peak operational condition as they continue playing a vital role in operations around the globe. 
 
This contract replaces the Anzac Ship Alliance (which handled the generation of capability) and the In Service Support contract (which handled sustainment of capability). 
 
Merv Davis says Saab Systems has always sought to work in partnership with its customers, both commercial and government, and the alliance structure is an ideal means of doing this. “Expanding the scope of the Alliance is recognition of the success of this rather unique way of contracting,” Davis said. 
 
“Government and industry entered into the original alliance to better respond to the complexity of managing the Anzac class’s total capability. 
 
According to Davis, ensuring a naval vessel remains at the forefront of capability is never an easy task. “You must continually balance the competing demands of new technology and enhanced war-fighting capability with the constraints of finance and time.” 
 
“The original Anzac Ship alliance achieved these aims very successfully and has been externally assessed as achieving ‘better than business as usual’ outcomes.” 
 
A notable success of the previous alliance is the introduction of the Harpoon Weapon System to the Anzac class. All involved in the introduction of that project were very satisfied with the way the harpoon system was added to the Anzac class, and the project was recognised by Australian defence industry members as the best-managed project of its type. 
 
The alliance operates from Rockingham in Western Australia where all three parties work together in a “best for program” arrangement characterised by cooperation and collaboration for best outcomes for the Anzac class ships. 
 
The contract is an umbrella agreement under which all work on the Anzac class ships will be undertaken covers nine years of support to the ships with provision for a six year extension. The initial value to Saab is $104m. Over time, the Alliance will be funded to enable additional capability enhancements to be undertaken. 
 
“Saab is very enthusiastic about entering this new alliance and is delighted to continue the very high levels of service to the Anzac class and its alliance partners. 
 
“We are highly committed to the alliance and pleased to be a part of the strong outcomes that it brings,” Davis added.  
 
Saab serves the global market with world-leading products, services and solutions ranging from military defence to civil security. Saab has operations and employees on all continents and constantly develops, adopts and improves new technology to meet customers´ changing needs.