The First Principles Review of Defence

THE DEFENCE REVIEW THAT RULES THEM ALL

* Since 1973 there have been some 45 major and minor reviews of different aspects of Defence. This latest, titled "One Defence", is the one review that rules them all.

* The review was conducted by an independent panel headed by former Rio Tinto boss David Peever and including Howard government defence minister Robert Hill and Labor finance minister Lindsay Tanner.

* The review aimed to find out what was the most effective and efficient structure to enable Defence to do its job in a time of budget uncertainty, rapid technological change and regional military growth.

* The panel found Defence is akin to a loose federation which suffers from a proliferation of structures, processes and systems, with unclear accountabilities, institutionalised waste, delayed decisions, duplication and flawed execution.

* The review made 76 recommendations of which the federal government agreed to 75.

* The review did not specifically set out to boost Defence efficiency or cut jobs, but some 1650 public service jobs will go as reforms are implemented over two years.

* Defence will retain its diarchy, with the chief of the defence force and department secretary as joint leaders, but some senior civilian and uniformed positions will go.

* The defence equipment acquisition arm, the Defence Materiel Organisation, will be disbanded and core responsibilities transferred to a new capability acquisition and sustainment group to make defence more of a smart buyer.

* Recommendations will be implemented over two years.