1. Presentation to the Portfolio Committee on Defence on Transformation and Integration in the SA Air Force Lt Gen Roelf Beukes Chief of the South African Air Force 8 April 2003 1

2. SCOPE OF THE PRESENTATION ► SA Air Force Strategic Transformation Plan Towards Vision 2012 - CAF. ► Representivity in the SA Air Force - CAF. ► Representivity in Core Musterings - CDAPP. ► Aviation Awareness (Project SIYANDIZA) - CDAPP. 2

3. SA AIR FORCE STRATEGIC APPROACH Vision 2012 EMPOWER ORGANISATION EMPOWER INDIVIDUALS DYNAMIC STRATEGIC LEADERSHIP Today 3

4. SCOPE ► Structure of the Plan. ► Planning Fundamentals. ► SA Air Force Vision 2012. ► Key Strategic Issues. ► Transformation Strategy. ► Considerations for Implementation. 4

5. Structure of the Transformation Plan SECTION 1 FUNDAMENTALS SECTION 2 SAAF VISION 2012 SECTION 3 ENVIRONMENTAL ANALYSIS SECTION 4 KEY STRATEGIC ISSUES SECTION 5 TRANSFORMATION STRATEGY SECTION 6 FORCE STRUCTURE & DESIGN SECTION 7 IMPLEMENTATION GUIDELINES 5

6. Planning Fundamentals ► ► MandateTo provide and manage the Air Defence capability of the Department of Defence on behalf of the DOD, thereby participating in the service to ensure the sovereignty... ► ► FocusAir Power Excellence. ► ► MottoOur People, Our Air Force, Our Future. ► ► MissionThe South African Air Force provides combat ready air capabilities for the SANDF in service of our country. ► ► StrategicTo establish the South African Air Force as a provider of Approach combat ready air power by means of transforming our people and optimising our assets through dynamic strategic leadership. ► ► MissionThe South African Air Force provides combat ready air capabilities for the SANDF in service of our country. 6

7. SAAF Vision 2012: The Air Force of the Future  The SA Air Force is able to maintain an affordable and sustainable balance between the structural elements of air power: Equipment, People, Doctrine - each element developed to its full potential and employed with maximum efficiency.  It can conduct all operations entrusted to it with an exceptional degree of dependability and skill.  It can afford its force design, sustain all required force preparation and force employment, and maintain high standards of aviation safety. 7

8.  It has a rejuvenated, affordable, sustainable, representative and skilled "one force" human resource component, consisting of Regular Force, Reserve Force, Public Service Act Personnel and out-sourced human resources, which it develops and maintains through a well-established and comprehensive human resource strategy formulation and planning process.  It is free of racial stereotypes and gender biases, and offers opportunities for all its members to find self-fulfilment and contribute meaningfully to the creation of air power excellence, and it is free of crime from within its own ranks.  It has well-developed strategies and plans aimed at the optimum application of air power, and its personnel are proficient in air power fundamentals. SAAF Vision 2012: The Air Force of the Future 8

9.  It has a common, shared Air Force culture and ethical code which promotes unity amongst its members who share a common passion for military aviation.  It is able to respond efficiently and timeously to national priorities as and when called upon.  It has successfully integrated all new aircraft systems into the SA Air Force, and can operate them at the intended flying rates with a high degree of operational efficiency.  It consistently achieves high levels of efficiency and organisational effectiveness through a mature systems management approach. SAAF Vision 2012: The Air Force of the Future 9

10. Key Strategic Issues Human Resources Development and Utilisation. Affordability and Sustainability.  Structural Aspects. Force Preparation and Force Employment.  Common Air Force Culture and Ethics. Integration of New Aircraft Acquisitions. System Integrity.  Air Power Knowledge and Doctrine. 10

11. Human Resources Development and Utilisation ► It is not representative of the South African nation. ► Much needed expertise and skills leave the Air Force. ► The different elements of the Air Force are not coordinated in a cost effective, single force. ► The human resource management process is not optimised for the needs of individuals and the Air Force. 11

12. 2003/04 Budget:R2,148,673,000 Fixed Cost:84% (RM1,799,755,554) Operational:16% (R348,917,446) Personnel AMG Contracts Operational 16% 25% 9% 50% Affordability and Sustainability 12

13. Force Preparation and Force Employment ► Insufficient flying hours for force preparation and force employment. ► This impacts on readiness levels, morale and retention. ► Inability to meet all national expectations for external force employment and support to the people of South Africa at the same time. 13

14. Integration of New Aircraft Acquisitions ► Integration of the first new aircraft (Agusta A109) into the Air Force to start in November 2003. ► Preparation of the infrastructure and support system to accept the new aircraft. ► Training of representative and competent aircrew and technicians required to successfully employ the new systems. 14

15. System Integrity ► Most aircraft systems and air bases have, to some degree, deteriorated over a period of time due to persistent under- funding. ► Air bases, support systems and some aircraft are in need of upgrades and repairs. 15

16. Transformation Plan 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Vision 2012 TODAY The Need for Change SAAF Vision 2012 16

17. Transformation Plan - HR Component ► Formulation and urgent implementation of a comprehensive, integrated Air Force Medium Term HR Strategy (approved in Feb 03), compilation of an Air Force HR Short-term Support Plan with specific HR objectives and targets (approved in Feb 03, and annually in Jan). ► Effective utilisation of the Air Force Reserves as a means of optimising all resources at the disposal of the Air Force. ► Retention of people in core musterings, focusing on career management, remuneration, and working and living conditions. 17

18. ► Aviation awareness program (SIYANDIZA) focusing on the recruitment of military aviation specialists to continue. ► Culturally fair selection process which makes adequate provision for all culture groups to be developed and implemented. ► Learning opportunities to be structured so that transformation goals and operational requirements are met at the same time. ► Overseas learning opportunities to be actively sought out and utilised. ► Invitations to SADC countries to send students for training in the SA Air Force. Transformation Plan - HR Component 18

19. ► Exploiting common ground in aviation training between the SAAF and commercial aviation sector. ► Military leadership, the ethics of airmen, the art of officership, and a general military ethos must be a high priority in military aviation training. ► Enabling environment to be created at all SAAF training institutions to foster an atmosphere conducive to learning. ► Requirement identified for the flight screening of candidates to confirm flying aptitude, reducing the risk of later suspension. Transformation Plan - HR Component 19

20. Transformation Plan - Affordability 2003/04 Budget:R2,148,673,000 Fixed Cost:70% (R1,504,071,100) Operational:30% (R644,601,900) Additional for Operational: R295,684,454 Personnel (Incl. AMG) Contracts Operational 30% 22% 48% Contracts 20

21. ► HR component maximum of 10 000 (including PSAP and AMG) by Mar 06; AMG to reduce to 500 personnel; variable within 10 000 total; 90% in core technical musterings. ► Logistic restructuring in accordance with a new logistic support philosophy to improve cost and work share with industry to be completed by Dec 03; financial benefits to be redistributed to increase flying hours and restore system integrity. Transformation Plan - Affordability 21

22. ► A mechanism for cost recovery for services rendered to clients external to the DOD to be firmly established. ► Implementation of Public Private Partnerships (PPPs) to reduce the cost of ownership of selected air bases. ► Implementation of South African Excellence Model for continuous improvement and increased internal efficiency. Transformation Plan - Affordability 22

23. ► Increase of 24 000 hours from 2003; average increase of 3 000 hours per year (from 2003). ► Additional funds allocated to flying hours in 2003 provides an increase of 5 000 flying hours. Transformation Plan: Force Preparation ► Air Force Board has set a strategic goal to fly an annual average of 60 000 hours per year by 2010. 23

24. ► Strong emphasis to be placed on operational readiness status through a structured measuring and reporting process. ► Increased emphasis to be placed on annual force preparation exercises, such as Golden Eagle, to practice the planning and execution skills of the SAAF. This will, where possible and practical, be combined with other Services and regional partners. Transformation Plan: Force Preparation 24

25. Transformation Plan: New Aircraft ► First Agusta A109 in South Africa for hot and high trials. ► First Hawk has arrived in South Africa for engine performance trials. ► Specific career paths and training programs being developed to ensure representative, competent and well-trained crews. ► Infrastructure development programs being compiled to meet the needs of the new aircraft. 25

26. ► A Systems Integrity Recovery Plan scheduled for completion by Jun 03, and the integrity of all major systems to be restored by 2005. ► Income from the sale of excess items to be used to restore system integrity, and a Disposal Plan of Excess Defence Articles scheduled for completion by Jun 03. ► Restoration of Base facilities and infrastructure a high priority. Transformation Plan: System Integrity 26

27. AFB LOUIS TRICHARDT 2 GRIPEN 85CFSHAWK 17CA109 ORYX 102VARIOUS AFB HOEDSPRUIT LASS MDW C&C SCHOOL 101 VARIOUS AFB WATERKLOOF 17 ORYX & A109 21 INKWAZI, FALCON, CITATION 28 C130 HERCULES 44 MED/LT TRANSPORT, C-185 41 C208 CARAVAN KING AIR & PC-12 60 BOEING 707 104 VARIOUS 111 VARIOUS AFB LANGEBAANWEG CFSASTRA AFS DURBAN 15ORYX A109 105 VARIOUS AFS PORT ELIZABETH 15C A109 108 VARIOUS AFS YSTERPLAAT 22 ORYX A109 35 C47-TP 80 NAV SCHOOL 110 VARIOUS AFB OVERBERG VARIOUS TEST TYPES AFB BLOEMSPRUIT 87 ALO III & ORYX 16 ROOIVALK 106 VARIOUS Transformation Plan: Force Structure 2012 27

28. ► Air Force Board adopted all Key Strategic Issues as focus areas for direct control in 2003/04. ► The success of Vision 2012 depends on incremental successes in the implementation of the Transformation Plan. A detailed implementation matrix managed by the senior leadership in the SA Air Force will ensure that set milestones are achieved. ► Emphasis on operational readiness is retained throughout. All directors and Base Commanders report to CAF at the quarterly Operational Readiness Forum. ► Low tolerance levels for non-achievement of targets. Considerations for Implementation 28