Badger infantry fighting vehicle
Photo by: Duane Daws
The need for local defence companies to collaborate with international partners has been highlighted by Denel Land Systems (DLS) CEO Stephan Burger. "If this [collaboration] is not part of your business plan, the sustainability of your business is in doubt," he warned.
As an example, he cited the new Badger infantry fighting vehicle, being acquired by the South African Army under Project Hoefyster. DLS is the prime contractor, but for example, technology for the vehicle comes from international partner Patria and the gun drive comes from another international partner, Curtiss Wright.
"We regard ourselves as an industry leader and we can only do that through partnerships and trusted relationships," he affirmed. One has to be the best, but Denel cannot be the best at everything. Hence the importance of collaboration, with local companies as well. "The Badger consists of about 5 000 replaceable items. We manufacture eight at Denel Land Systems!"
He pointed out that Denel existed to support the strategic needs of the South African National Defence Force. "We see Denel as playing a primary role as a systems engineer and integrator."
"In our role as being a prime contractor, we believe it is absolutely important that [defence acquisition agency] Armscor, as well as the industry, our technology partners, are all aligned," he stated. "We believe that Denel can play a major role in bringing all these visions together."
An important trend in the industry worldwide is consolidation. "Denel has taken the bold step to consolidate," said Burger. The group is in the process of acquiring BAE Systems Land Systems South Africa, which produces medium armoured vehicles. "But consolidation is not everything. Collaboration is important."