10.7.2. Approval system description

As shown in Figure 10-5, the approvals process for defence procurement has three phases: a Needs phase, a Project Definition phase and an Implementation phase146.

Source: Standing Committee on National Defence (NDDN)

Figure 10-5: Overview of the acquisition process in Canada

The DND Investment Plan Framework forms the basis of planned capital expenditure, informed by the DND Campaign Plan and Strategic Capability Roadmap.

Approvals are sought from Cabinet and/or the Treasury Board (a statutory cabinet committee). Cabinet approval is generally required where an acquisition raises regional, economic, industrial, or policy issues and where its expenditures exceed $100 million (Major Crown Project)147 148. The Minister of National Defence sponsors the Major Crown Project in Cabinet and at Treasury Board.

Ultimately, once fully approved, DND takes on overall responsibility for managing project implementation (aided by PWGSC and IC staff) until project completion.

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146 'Procurement and associated processes', Standing Committee on National Defence (Feb 2008)

147 'Management of Major Crown Projects', Treasury Board (2002)

148 There were 22 such projects active in 2008-09. 'Status Report on Major Crown Projects', Treasury Board of Canada Secretariat (Mar 2008)