BAE Systems Australia and the Defence Materiel Organisation (DMO) have signed a two year, $150 million Contract Change Proposal covering RAAF Hawk Lead-in Fighter maintenance which will yield significant savings under Defence ‘s Strategic Reform Program (SRP).
“Our efforts have resulted in an annual contract saving of greater than 10 per cent,” said BAE Systems Australia CEO Jim McDowell, noting that his company had worked closely with the RAAF’s 78 Wing and the DMO’s Tactical Fighter Systems Program Office (TFSPO) to achieve the savings.
Effective from July 1, the new contract is worth $150 million.
McDowell said the savings had been achieved through an 18 per cent reduction in total tasks, a 24 per cent reduction in maintenance hours and a reduction in turnaround time due to a revised maintenance strategy, plus an improved aircraft overhaul program, and continuous improvement and lean strategies across engineering, logistics and supply chain management areas.
BAE has provided through-life support to the RAAF’s 33-strong Hawk fleet at its Williamtown facility since the aircraft first entered service in 2000.
