John
08-13-2010, 10:42 AM
The Defence Secretary said the "ghastly truth" was that Labour's financial mismanagement had left a £37 billion black hole in the MoD budget and drastic reform was essential.
During a speech in London, he said the department would be restructured and decentralised, with top brass given more control over running their own services.
There would also be operational changes to improve efficiency.
"We need to challenge some of the fundamental assumptions which drive force generation, such as tour lengths and intervals, taking into account the varying pressures on our personnel resulting from widely varying missions to see if we can update our practices and produce greater efficiency while implementing the military covenant," Dr Fox said.
"We need to review all our current practices to ensure that we are using our greatest asset - our people - to the best of our ability."
While ruling out merging the main services, he added: "We will also consider whether the current senior rank structure across the services is appropriate for the post-SDSR (strategic defence and security review) world.
"We cannot demand efficiency from the lower ranks while exempting those at the top."
He set out plans to reorganise the department into three pillars, Policy and Strategy, the Armed Forces, and Procurement and Estates.
There would also need to be a "cultural shift which will see a leaner and less centralised organisation combined with devolved processes which carry greater accountability and transparency".
During a speech in London, he said the department would be restructured and decentralised, with top brass given more control over running their own services.
There would also be operational changes to improve efficiency.
"We need to challenge some of the fundamental assumptions which drive force generation, such as tour lengths and intervals, taking into account the varying pressures on our personnel resulting from widely varying missions to see if we can update our practices and produce greater efficiency while implementing the military covenant," Dr Fox said.
"We need to review all our current practices to ensure that we are using our greatest asset - our people - to the best of our ability."
While ruling out merging the main services, he added: "We will also consider whether the current senior rank structure across the services is appropriate for the post-SDSR (strategic defence and security review) world.
"We cannot demand efficiency from the lower ranks while exempting those at the top."
He set out plans to reorganise the department into three pillars, Policy and Strategy, the Armed Forces, and Procurement and Estates.
There would also need to be a "cultural shift which will see a leaner and less centralised organisation combined with devolved processes which carry greater accountability and transparency".