Accordingly, ‘Equipment Modernisation Strategy’ must address the strategic, technological and fiscal environments and build our equipping priorities based on value, vulnerability and risks in temporal terms. Why Modi govt needs to focus on affordable, sustainable and prioritised modernisation of Indian armed forces?

by Lt Gen A B Shivane

Inadequate budgetary support, decision paralysis, lack of accountability and responsibility, frustrating procurement cycles and weak defence industrial base are only some of the ills. The key remedy is that the trajectory of defence budget which has hit rock bottom of 1962 debacle, be gradually reversed to attain 2.5 to 3% of GDP. Further, defence budget needs to dovetail a fifteen-year assured financial perspective with inbuilt non-lapsabilty.

Greater accountability and mixed uniform and civil manning of MoD is essential for accountability. Even the defence services need to review their modernisation strategy to a more pragmatic model. Accordingly, ‘Equipment Modernisation Strategy’ must address the strategic, technological and fiscal environments and build our equipping priorities based on value, vulnerability and risks in temporal terms. To build and maintain the desired capabilities, we must focus on affordable, sustainable, prioritised and cost effective modernisation decisions which integrate mature technologies and incremental improvements, while investing in emerging technologies for the future in a spiral approach.

Inadequacies in the Present Approach to Modernisation Although modernisation is an ongoing process however, there are inadequacies and infirmities in the present, which are listed under:-

• The present approach is personality-oriented approach and not an institutionalised approach, resulting in frequent cancellations / review even of cases, sometimes at advance stage resulting in waste of time and man hours retarding capabilities.

• In the present dispensation, budget seems to be driving modernisation and not vice versa or a balance between these conflicting requirements. Resultantly schemes which may have manifested to a contract stage after years of effort are not progressed / diluted due to insufficient budget.

• Modernisation endeavours and QRs (Qualitative Requirements) are predominantly driven by acquisition of state-of-the-art capabilities which are either unrealistic or cost prohibitive. Lack of pragmatism and quest for ‘top of the line’ capability often result in denial of even available mature technologies. More often than not the procurement and kitting cycle is longer than the technological cycle due to sluggish processes and time insensitivity.

• While there is a scaling committee in place, but the quest for uniform scaling a large military is cost exorbitant and often at the cost of another capability.

• The hard disk memory of defence equipment scams of the past has given way for a risk averse culture in the processing and decision-making chain, especially of high value procurement which merit either a MoF or CCS approval. Thus, while there is accountability for decisions there is no accountability for indecisiveness and time eg FICV case.

• Modernisation, expansion and sustenance are not balanced within the meagre budgetary allocation. Expansion and modernisation cannot go hand in hand. Further, modernisation and sustenance are two sides of the same coin. This balance needs to be addressed to obviate voids and foster prioritised modernisation needs.

WHAT NEEDS TO BE DONE

Modernisation will be to balance capability, sustainability, and readiness within the allocated resources to achieve the desired ends. This requires us to build our equipping priorities based on value, vulnerability and risks in temporal terms. The contours of such a strategy will entail:-

• Tiered Modernisation. This approach prioritises in terms of progressive capabilities and tiered modernisation while mitigating the risks of low funding reality.

• Spiral Approach to Technology Induction. The need is to encourage indigenous solutions and integrate mature technologies with incremental improvements, while investing in future disruptive technologies.

• Risk – Vulnerability Analysis. Calibrated modernisation relates to prioritised modernisation based on acquisitions adding maximum value to combat effectiveness, mitigating critical vulnerabilities and accepting certain risks in temporal terms.

• Cost Informed Decisions. Modernisation decisions must be both affordable and cost effective within the overall budget to include life cycle costs. The opportunity cost of “over-spending” to close a specific high cost gap is that we will not be able to afford closing several other gaps; thus, we must make cost informed decisions to manage ‘best bang for the buck’.