The national shipbuilding strategy was initially known as a national shipbuilding procurement

strategy, and it's a Canadian government program that is being operated by the department of
public works and the government services. The shipbuilding procurement strategy that was
established to renew the fleets of the Canadian Navy. There are three sections of the policy,
namely the combat package, the non-combat package, and the small package vessel. The smaller
ship was not in a position to bid on the companies that acquires the shipping of large containers.
Thus, the national shipbuilding strategy was launched as a result of selecting the Canadian
shipyards that are in a position to rebuild the fleet through large work packages (Ring, 2016).
The Canadian government took a bold step in making a strategic decision where there will be the
use of the renewal of the Navy and fleets of the coast guard in rebuilding the shipping industry.
The Industrial and Technical Benefits Value Proposition
Under the industrial and technical benefit value proposition, companies were awarded the
defense procurement contracts. They were needed to undertake business activities in Canada to
the equality of the value of the contract. The strategy was applied to all the Canadian coast
guard, and the procurements were excluded from the international trade agreements.
Sector Growth
Commitments that were supported by specific transactions were needed and that entailed
business activities that were undertaken by the bidder and the relevant suppliers in Canada. That
was one of the contributors to the linear growth of the Canadian economy. Equally, there was a
direct connection between the suppliers and the equipment that was being procured by the
national shipbuilding strategy. Indirect growth in the economy was a result of the individual
transactions needed and entailed business activities and suppliers, which were indirectly related
to the equipment and services under procurement (Ambrose, 2017). The indirect activities
include tasks being undertaken by the bidder and the purchase of goods and services through the
suppliers and technological transfers. The procurement created work in the Canadian defense
forces through the renewal of the fleets of the Royal Navy and the Canadian Coast guard. That
created slots for the employment of individuals who needed to oversee the activities that were
taking place. The objective of the procurement of defense was to ensure that there is a support to
the economic development of Canadian defense forces.
Suppliers Development
The competitive nature of Canadian firms strongly depends on the ability to make penetration to
the export market and be integrated into the world's supply chain of an extensive system of
suppliers. The procurement impacted the Canadian suppliers through the development of pillars
that motivated bidders in the provision of work to the Canadian companies beyond their
facilities. That helped in the facilitation of developing facilities that enhanced the productivity
and competitiveness in the Canadian-based suppliers. The supplier development opportunities
are accredited points in the Canadian supplier criteria of development that were directly related
to the procurement, the defense sector, and other sectors of the economy (Bland, 2010). The
strategy creates motivation for the bidders with more than one line of business. That provided a
meaningful growth in opportunities for Canadian suppliers. There was support in the long-term
sustainability and growth of the defense forces in Canada and even other sectors in the economy
of Canada.
Research and Development
The principal objective of industrial and technical benefit was to enhance innovation, which is a
widely known determinant of economic growth. The procurement strategy positioned the
Canadian companies at the edge of advanced technology that enabled them to climb up the value
chain and capture opportunities on the high value in the market. They may request attest the need
for the suppliers to have access to the intellectual property rights that are needed in carrying out
research and development that they wish to undertake. Companies change to universities and
tertiary colleges that assist in transformational technology advances to spill the benefits to other
firms and sections of the economy through the creation of industrial research (Michael, 2014).
The industrial partnership would be encouraged by the procurement, and there will be the
formation of research consortia in creating an environment that supports innovation at a world-
class level and the fusion of industrial experience. Acquisitions related to national shipbuilding
strategy will be predominantly the emergence of new technology placing more weight on
research and development in Canada and representation of advance Canadian opportunities in
technology.
Exports
The Canadian industry of defense is export intensive, which measures its level of innovation and
competition. There is a need for an international strategy in shipping that will be used in
leveraging the procurement process in the future for the success of exportation. The policy
identifies the global market that is intended and display a demonstration that they can effectively
carry out their plans. The strategy focuses on the future export potential of Canada for the goods
and services that are being procured. The success in penetration of the global market will result
in the creation of jobs and growth in the economy and ascertains that Canadians are in a position
to share the future success after the procurement process (Thyssen, 2014). The international
strategy of export will demonstrate the increase in the ability to make exportation form Canada.
That will be important when the capabilities that are limited are in direct relationship with the
procurement due to the limited capabilities in Canadian suppliers. Bidders should have the
anticipation that the appropriations concerning national shipbuilding strategy should lead to
competencies and vital industrial services in placing a higher weight on the export from Canada
where there is the existence of opportunities to grow Canadian potential in exports.
Skills development and training
Through innovation and planning of skills, Canada aims at equipping their workers with the
necessary tools that are needed for the success of the economy. A skilled workforce puts pressure
on innovation and provides support to emerging and already established sectors of the economy
(Ring, 2016). Thus, the industrial and technical benefits value proposition in procurement will
leverage the opportunities and skills development in training to advance the employment level
and opportunities for the Canadians. Through the acquisition, investments in skills development
and training encourage the address existing and expected spaces and breaks in practice. When
the gaps and opportunities have been identified through the workforce analysis and engagement
in industries, individuals will be encouraged to determine the appropriate incentives to advance
the skills through integrated work plans and apprenticeship programs. The strategy will ensure
there is an investment advance opportunity for Canadians. Points given to skills development and
training may be provided directly or indirectly to a critical industrial potential, the defense
industry, or other parts of the economy.