Withdrawal from tender process

BAE Systems has withdrawn from the next phase of the tender process for the Australian Army’s battlespace communications network.
 
The company announced its decision after discovering that a breach of Defence’s tender protocols had occurred during its participation in the initial tender process for Joint Project 2072 Phase 2B.
 
Following an investigation, two employees have been dismissed as a result of their actions, in line with BAE Systems Code of Conduct.
 
The company has now advised the Commonwealth and teaming partners of its intention to withdraw from any further stages of the JP2072 Phase 2B tender process.
 
BAE Systems Australia chief executive David Allott said these decisions had not been made lightly and reflected the company’s ‘zero tolerance’ approach to such ethical matters.
 
“We felt that we had developed a strong, locally based solution to meet Army’s battlespace communications needs.
 
“However, how we behave is just as important as how we operate and we are determined to act responsibly whenever and wherever any inappropriate behaviour is detected.”
 
Allott said BAE Systems Australia submitted hundreds of tender responses to the Department of Defence each year.
 
“While this is the first time that we have identified an issue of this nature, we view this breach extremely seriously. We have commenced a review of our business proposal development processes to ensure that it does not occur again.”