CANBERRA, Australia, Oct. 14 (UPI) -- The Australian government is setting up a team to identify and certify Australian companies to participate in Northrop Grumman's global supply chain.
Minister for Defense Materiel Jason Clare in June signed a Global Supply Chain Deed with Northrop Grumman.
Global Supply Chain Deeds establish a relationship between a company and the government defense establishment and outline the way they will work together to look for opportunities for Australian industry.
The new annex to the accord triggers government funding to establish a team embedded in the company that will actively look through Northrop Grumman's global supply chain activities and identify opportunities for Australian industry; look for Australian companies who have the potential to be suppliers to Northrop Grumman; and provide training to Australian companies on how to work with Northrop Grumman and be internationally competitive.
Northrop Grumman is one of four companies that have signed annexes and set up teams to help Australian companies identify opportunities within their global supply chains. The others are Boeing, Raytheon and Thales.
Three other companies have signed Global Supply Chain Deeds. They are Lockheed Martin, Eurocopter and BAE Systems plc.
The Australian government has so far invested more than $11 million in the Global Supply Chain program over the past three years.
"When the program was established everyone agreed that if it could provide a 10-fold return on the government's investment it would be a roaring success," Clare said. "To date it has delivered almost a 40-fold return on investment, so far with more than $393 million in contracts awarded to Australian industry."