Defence`s Feeds

The EDA’s Defence Policy Database which has been launched earlier this year was recently updated. The database currently contains 130 official documents from International Organisations and Member States providing a comprehensive overview of governmental documents on a wide spectrum of issues related to security and defence.

The database was created to share information on Member States’ defence policies. It mainly contains national defence and security strategies, strategic defence reviews, white papers, strategic concepts, R&T and industrial policies, military planning guidelines as well as defence procurement regulations. The latest update also encompasses the EU Global Strategy which was issued in June this year. 

The database features a repository of all documents and the analytical functionalities of the software allow users to search for specific information. For instance, content can be filtered along several indicators including strategic objectives and long term vision, threat perception, geographical areas of interest, and level of ambition.

The next major update is envisaged for October 2016. Governmental users can request access using their My.EDA account or sending a registration email to dpol(a)eda.europa.eu. 

More information:

• Defence Policy Database project page

 

Source : © European Union, 2016 - EP

How do key European defence companies approach and deal with the challenge of strategic innovation? European Defence Matters, the EDA's official magazine, spoke to Marwan Lahoud who is Executive Vice President International, Strategy and Public Affairs of Airbus Group.

The article below appeared in the 10th edition of European Defence Matters, the EDA’s official magazine, which you can read by clicking here.

Mr Lahoud, which lessons could you share with your peers regarding the specific features of strategic innovation in the area of defence?

European Defence Matters, Magazine issue 10

A genuine and sustained dialogue between the armed forces, defence procurement agencies and our engineers is essential to defence innovation. Our armed forces need to respond to new threats as they arise. Good defence innovation that is built around a genuine dialogue is more able to deliver the best and technologically superior equipment, much more cost effectively.
In defence, strategic innovation does not derive from incremental improvements but from a game-changer, a disruptor or a breakthrough. As Aesop’s fable “The Lion and the Mosquito” shows, a strong defence posture constantly requires adaption to new threats. Even the mighty lion can be beaten by the tiny mosquito if it can be lured into the spider’s web. That’s where strategic innovation comes into play. If an adversary takes a decisive advantage on a niche technology that can inflict severe damage to its opponent - it could be game over.
Robotisation, big data and artificial intelligence are now widely recognised as defence disruptors. At Airbus Group, we are dedicating substantial resources to the area of “autonomy”, including Unmanned Vehicle Systems (UVS). Autonomous systems can better protect soldiers’ lives, ease decision-making on the ground and reduce the overall cost of operations. Our latest example is the Zephyr, a High Altitude Pseudo Satellite (HAPS). The Zephyr runs exclusively on solar power and is thus able to fly autonomously for month, offering new solutions in military intelligence, surveillance and reconnaissance.

Beyond the demand from the armed forces, what are in your view the main drivers or blocking factors for strategic innovation?

A corporate mind-set favourable to innovation is critical. To grasp strategic innovation, companies need swift decision-making, less-risk adverse behaviour, failure acceptance, and fast spiral development cycles. This is the recipe for strategic innovation. Many defence companies used to be like big ocean liners: slow to move ahead and slow to change trajectory. This is changing. Those who have not taken this seriously are bound to fail.
On top of that, to be innovative, companies need to talk to the right guys outside the company. At Airbus Group we place a high priority on a continuous dialogue with SMEs, universities and research centers, partners and start-ups. We are maintaining an ecosystem that fosters and grows our innovation capabilities. This has led us to support centres like the Ludwig Bölkow Campus, right from the start. This Campus is an international hub for ground breaking innovations, new ways of thinking, and practical training in the aerospace industry. Located near Munich, which has one of the richest traditions of technology development in Germany, the campus is a place where science, education, and industry come together and take innovative ideas off the drawing board and turn them into real products.
Defence innovation is also clearly shaped by regulation. Intellectual property rights (IPR) are a driver, and European defence companies are more likely to engage in innovation if they feel that they can retain IPR for future market advantage. I am convinced that European support to defence industries should take this point into consideration. The limited Research and Technology (R&T) budgets for defence clearly diminish the European potential of innovation in defence which is one of the reasons why Airbus Group seeks a close interaction between innovation in defence and in the commercial area. Our business model is based on the duality of civil and defence which allows us to pursue innovation to the largest extent possible. Government investment in defence and research does however remain extremely important in driving innovation. Considerable pressures of course remain on public expenditure, which is why we applaud efforts by EU Member States to substantially improve their defence budgets. As a minimum it is absolutely crucial that member states meet their commitment to the NATO Defence Investment Pledge (2% GDP on defence with 20% on research and innovation).

Should European defence companies find new ways to promote innovation? How do you evaluate the business model and success of digital companies or actors such as SpaceX in this respect?

Let’s face it, Silicon Valley has been the source of major strategic innovations in the US for decades. Thanks to a strong initial push by the US Department of Defense (DOD), 15% of US patents are now produced in the valley but more importantly, major GAFAs-like companies were born there.
SpaceX and Google have undoubtedly marked an evolution in the aerospace industry. With OneWeb, Google and Airbus Group (as industrial partners for the design and manufacturing of a new fleet of microsatellites) are entering the “NewSpace”. OneWeb is about providing cheap internet access worldwide, thanks to an initial production of 900 satellites, each weighing less than 150 kilogrammes, for launch into low Earth orbit beginning in 2018. This industrial partnership clearly unites two of the world’s best players and I am sure this kind of joint effort will be replicated in other areas. SpaceX is also a case in point. This company has made great progress in the development of launchers and has capitalized on all possible drivers of innovation. But we cannot be naïve about this new approach. Beyond all the merits of SpaceX we cannot ignore the massive public support it has received from billions of dollars injected by NASA.

Which measures should be taken to halt the reduction in R&D spending? Are cooperative programmes one of the vital solutions?

In tough economic times, cutting R&D spending is an easy solution. Yet, countries like France, and Germany have not fallen into this trap. This is a shrewd decision, which we both recognise and welcome. Hi-tech corporations recognise the importance of sustained research investment and even in difficult times, boards will do everything they can to protect this investment, not to do so can cut companies out of future markets for years to come. It is the same in defence, cutting research investment can allow adversaries the window they need to develop threat capabilities that we will not be able to match.
Yet, European Member States’ cumulative R&D efforts are still way too low. With around 170 million Euros invested in defence R&T across Europe, representing 8% of total R&T expenditure of the Member States, European collaborative defence R&T barely exists. More worrying is that over the last ten years, European defence investment in R&D has declined by 30%. To the contrary, the US spent an average of €9 billion per year on defence R&T (i.e. four times European Member States spending combined) and an average of€ 54.6 billion per year on R&D during the period 2006-2011. Thanks to its ‘Defense Innovation Strategy’ (DII), more commonly referred as the ‘Third Offset Strategy’ (3OS) this effort will even keep increasing. For the fiscal year 2017, the US Defense Secretary has announced that €67 billion will be requested in defence R&D appropriations.
The Russian defence R&D budget has also doubled between 2012 and 2015 while think tanks estimate that the Chinese defence research budget will surpass the US by 2022.
Against this background, the establishment of the EU’s preparatory Action on defence research and its subsequent larger programme post 2021 is more than a laudable effort. It is the right move even if we regret that it may take some time to happen. I expect this action to be translated into concrete collaborative, innovative programs, meeting the current and future needs of our armed forces. As an example, VTOL RPAS (Remotely Piloted Aerial Systems) could be a potential solution for a wide range of future military applications, including surveillance missions in the maritime environment, operation from naval platforms, or land operations. I am sure that the EDA is fully aware of the importance of the preparatory action and will play a crucial role in making this endeavour a success.

About Mr Lahoud

Marwan Lahoud, born on 6 March 1966, is Executive Vice President International, Strategy and Public Affairs of Airbus Group, Executive Committee member since June 2007 and President of Airbus Group France. Prior to joining back EADS, Marwan Lahoud had run MBDA as Chief Executive Officer since January 2003. Mr Lahoud began his career at the French Defence procurement agency DGA in 1989. In 1995, Lahoud he was appointed Special Advisor to the French Ministry of Defence. In May 1998, he joined Aerospatiale as Vice President Development where he was responsible for negotiating agreements with Groupe Lagardère for the Aerospatiale-Matra Hautes Technologies merger. In June 1999, Mr Lahoud was appointed Senior Vice President Strategy and Planning for Aerospatiale Matra, where he also served as Senior Vice President Military Affairs. In 2000, Lahoud was appointed Senior VP Mergers & Acquisitions of EADS. During his tenure, he oversaw the creation of Airbus, MBDA, Astrium and EADS.