STATEMENT REGARDING THE REMOVAL OF THE
AWD PROGRAM FROM THE PROJECTS OF CONCERN LIST
The following may be attributed to Michael Ward, managing director of Raytheon Australia:
Today is another great milestone in the AWD program. As a member of the AWD Alliance, Raytheon Australia welcomes this important announcement and acknowledges the role of those who have successfully turned the project around.
I commend the Government for taking the tough, necessary and important decision to implement the reform strategy.
Particular credit goes to the Department of Defence who has been a strong and willing partner with Raytheon and Navantia in driving change. The reforms we implemented together have stabilised costs on the project and have been critical to drive substantial productivity improvements.
The AWD reform strategy was initiated by the Government in 2014 due to increasing commercial, schedule and cost risks in the shipbuilding aspects of the program. The reform strategy resulted in Navantia being appointed to manage shipbuilding, as well as continuing its role as the ship designer. Enterprise level functions in project management, budgeting and financial control, corporate services, supply chain and IT were transferred from ASC to Raytheon Australia.
Today’s announcement means that Australia can now confidently embark on a continuous naval shipbuilding program that will secure a sovereign naval shipbuilding industry for a generation.
