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Friday, June 26, 2015

More bone head decisions from Stephen Harper and Company

Why Canada’s ‘worst procurement’ ever could still get worse


Last week was a busy one in aerospace circles. The Paris Air Show brought aerospace companies from around the world together to pitch their latest projects, make deals and sign contracts. Airbus announced its X6 heavy-lift helicopter concept — and hinted that it’s interested in buying rival firm Sikorsky.

Seems that Sikorsky — a company name that’s almost a synonym for ‘helicopter’ — has a parent company, UTC, that wants out of the helicopter business altogether, so it can focus on pharmaceuticals and its other business interests. And UTC is in a tearing hurry, having stated it wants to exit aerospace within 60 days.

So it’s a Sikorsky fire sale. Many analysts believe that Airbus will make a bid, but it’s known that UTC is expecting a bid from Boeing as well.

Why should you care? Well, Sikorsky builds both commercial and military helicopters — including the Cyclone helicopter, the replacement for our geriatric Sea King helicopters, which are now over 50 years old and decades past their best-before date. The procurement process to replace them has been the most badly-managed this country has ever seen — “the worst procurement in history”, to use former defence minister Peter MacKay’s words. Sikorsky finally started delivering Canada’s new Cyclones last week, only years behind schedule. First delivery was supposed to be in 2008 and full delivery in 2011.

With the delivery imminent, the RCAF created a Twitter storm with comparisons of the Cyclones’ abilities to that of the decrepit Sea Kings. (Not really a fair comparison — kind of like putting a Audi up against a horse and cart.) But just in case you were worried the procurement process was suddenly going smoothly, I’ll note that RCAF is accepting the delivery of helicopters that still aren’t finished. The Cyclone won’t be able to perform all of its required functions; those will be addressed in later upgrades.

open quote 761b1bThe issue with the engine may be the least of the Cyclone’s headaches — and I mean that literally.
Internal DND documents leaked to the media indicate the military is also concerned about the engine’s performance — that it might turn out to be insufficient for what the Canadian Forces have in mind for them. The Cyclone was the victim of what people in procurement call “requirements creep”: extra equipment and requirements were added on, increasing the helicopter’s weight. New engines had to be designed and certified by General Electric for the Cyclone; it now appears that concerns are arising over their performance.

READ MORE: http://ipolitics.ca/2015/06/23/why-canadas-worst-procurement-ever-could-still-get-worse/

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