SSM’s Aggressive R&D Investment plans by 2023- Spending Target 3% of Turkey’s GDP
Defence Turkey: Dear Mr. Şenlikçi, first of all we would like to thank you for this interview. As the R&D and Technology Management Department, you have assumed a highly important responsibility in an area that supports the sector. Within the context of this new era launched with your leadership, what type of structuring have you accomplished within the units under your responsibility? What would you like to tell about the vision and strategies you have developed?
The R&D and Technology Management Department of the Undersecretariat for Defence Industries (SSM) has made great contributions to our sector with its efforts and studies in both identifying vision and strategies and in project specification and execution and is considered as one of the most significant players of the defence R&D eco-system. In the future, it will continue such contributions as it continues to update its structure in accordance with the changing technological and social conditions and to stay up to date and progressive with times and with its dynamism essential for the R&D studies.
The existing structuring of our Department is composed of 4 Project Directorates, and one of these directorates, the Technology Management Group is in charge ofvision and strategy identification activities such as the Technology Management, Road Map Studies and R&D processes. Within the framework of the vision and strategies, you have mentioned in your question, the main responsibility has been assigned to our Technology Management Group within our Department, and under the leadership of this group, we are exerting efforts to pursue our activities with our desire to remain in coordination and harmony with all our shareholders and stakeholders within our Institution. Besides, the Teknopark İstanbul Project of our Undersecretariat is being conducted by this Group as well.
The other three groups were established in accordance with our priority areas determined as part of our Road Map studies and they are namely the Sensors Group, Advanced Material and Energy Group, Information Technologies Group. Within the scope of R&D Projects, these groups are conducting their activities in collaboration with our User Authorities and Contractors during the pre-contractual needs assessment and prioritization stages and throughout the Project Execution stages after the contract award. Presently, the Pre-Design, Detailed Design, Critical Design and Test/Acceptance activities of more than fifty Contractual projects are being executed by these groups.
As of my assignment as the Department Head, as you have also mentioned in your question, I do not envision a change in the number of the groups for the time being, yet in alignment with the requirements and priorities we may establish new units or adopt some changes. Within such a framework, no matter how changeable our Department is, the protection of the current dynamic, coordinated and harmonious structure is of vital importance.
In order to achieve the target of “Absolute Indigenousness in Basic and Advanced Technologies” identified by our Undersecretariat for 2020 and then on, we need to put forth new strategies along with the existing ones.
Establishment of the technological infrastructure required for the modernization of the Turkish Armed Forces (TAF); expansion of the technological base with the help of an efficient cooperation of the industry and universities; effective implementation of the Technology Acquisition Obligation within the scope of the procurement projects; direction of R&D activities on sectoral basis and their monitoring over the international organizations; creation of programs that support innovation are amongst our strategies guiding our current activities.
As we continue our activities within the scope of our aforementioned strategies, we are also working on establishing mechanisms for the commercialization of the generated information in order to elevate the technological information generated at our Universities and Research Institutions to an internationally competitive level. In the meantime we are aware of the important R&D activities that are being conducted from Ankara and for this reason we aim to form structures that will enable communication amongst all R&D studies conducted throughout ourcountry through a coordinated organization.
Moreover, we continue our efforts for improving the existing process in order to allow a more efficient and dynamic R&D project approach as R&D projects require a manner of execution different from the regular procurement process. With the purpose of establishing an effective R&D process as well as an exemplary model, we will be able to share information on this issue once we conclude our studies in this respect.
Defence Turkey: Mr. Şenlikçi, within the framework of the defence R&D road map, which tools do you utilize, as the Undersecretariat, in the identification of the requirements, infrastructural capacities and capabilities of the user and the sector? Could you please share your methods and strategies with us?
As per the Establishment Law no. 3238, the purpose of the establishment of our Undersecretariat was identified as the development of the modern defence industry and modernization of the TAF. Within the scope of our Establishment Law, we aim to acquire maximum benefit from the domestic defence infrastructure, guide and promote new investments with advanced technology, provide technological cooperation and private sector contribution, and through supporting the research and development activities allow the production of all types of weapons, vehicles and equipment in Turkey to the extent possible.
The strong defence industry infrastructure and the self-sufficient defence industry taking part amongst the main components of the national security strategy bear crucial importance for the military, strategic, financial and political aspects. The increase of technology and information dominance in the military aspect will further increase the importance of R&D projects.
A mechanism that will function as a bridge among the requirements of the Turkish Armed Forces (TAF) and R&D projects is essential for the planning, identification and realization of R&D projects in a strategic technology management approach. Taking TAF’s needs into consideration, a road map for the critical sub system/component/technology requirements was prepared based on R&D projects that focus on technology display for the acquisition of the prioritized sub systems, components and technologies, prioritized in order to create and support the technological base required by the domestic development projects and product-based development. Within the scope of the implementation strategy for this document, we have established a structure based on the priority areas and the domestic development projects to be conducted under the following areas: “platform – system – sub-system – component – technology” determination of the categorical breakdown will be determined by the identification of the capabilities/infrastructure/inadequacies, regarding the high-level technologies in certain conditions and of the sub-systems, components of a given breakdown, identification of the critical systems and technologies, definition of R&D projects to be initiated in order to acquire capabilities in prioritized areas. The information will be gathered and shared within this aforementioned structure with the intention to identify the mechanisms formed by the cooperation among industry – universities – research institutions, through which R&D projects will be conducted.
Defence Turkey: Could it be claimed that the technological indigenous products, put forth as a result of R&D studies conducted by our Universities and institutes along with the SMEs and Major Industry Companies, satisfy the customers and meet their expectations sufficiently? Are we able to speak of an availability of a healthy eco-system? What are your observations on the current state of play?
As you know, in addition to our Undersecretariat’s function and structure guiding the defence and aerospace industry and identifying the strategies of the sector, there are several other institutions working on this area. The existence of a structure that guides the defence and aerospace R&D projects is essential for more efficient execution of the activities. This case requires more effective and coordinated efforts and this factor is also crucial for seeing the full picture. Surely, governmental institutions’ leading roles in this area and participation of the private sector are of absolute essence. As I mentioned previously, the procurement model of our Undersecretariat has a tendency towards change since its establishment. And this, in my opinion, is what it should be. Because, presently the participation of SMEs – Technology Companies and University/Research Institutions in the projects is gaining importance in parallel with the increase in the interest of domestic development projects and indigenous design activities.
During the identification of R&D projects’ subjects, the companies and universities with adequate human resources, equipment and design capability and compatible infrastructure are taken into evaluation by our Undersecretariat. R&D Projects that are planned to be launched are planned to be compatible with the aims and requirements of the procurement projects, that include university – industry cooperation, that involve SMEs specialized in their areas and contain integrator companies that will utilize the end product/output. Within the scope of the Main Contractor Model, system integration is assigned to the main contractor companies, sub-system and component development activities are allocated to the SMEs and basic and applied research activities and acquisition of the required technologies are assigned to the research institutions and universities. With the help of the cooperation and synergy created as a result of the aforementioned model, the competitiveness and sustainable growth of the sector are aimed through the SMEs specialized in certain areas of technology, through universities and research institutions enabling industry’s utilization of the progress acquired by the academies and with the existence of strong main contractors of large scales.
Besides, in order to develop defence industry and universities’ cooperation, the Researcher for Defence Industry Training Program (SAYP) was launched. Within the scope of this program, the restructuring of the completed or ongoing undergraduate thesis studies, of the personnel working at defence industry companies as guided projects,is a way toachieve focus in the priority areas determined by the Undersecretariat for Defence Industries and in line with the companies’ medium and long term research and development strategies.
Currently, the projects conducted by the SSM R&D and Technology Management Department are being realized through the models composed of the industry, SMEs, technopark companies, research institutions and universities. Within this context, a total of 43 companies including 35 SMEs and technopark companies, 20 universities and 13 research institutions/centers take role in 53 projects and technology acquisition programs. Moreover, efforts for increasing the cooperation with technoparks continue in order to expand the technology.
A stronger eco-system in which the industry, university and research institutions have efficient roles in order to expand the technology base required domestically for the indigenous development of technology, sub-system and components, to break the chains of our industry’s foreign dependency. Generating indigenous solutions in critical areas regarding export restrictions is our ultimate goal and the activities required for achieving such a system continue.
Defence Turkey: You mentioned that you have several studies for the revision of the R&D Road Map for Defence in 2015 in your declarations. What is the current status of these studies? Which issues will come to the forefront in the updated version of the Defence R&D Road Map for Defence?
Our level of dominance in the R&D technology is included in our Law of Establishment as one of our missions and it is the parameter directly proportional with the military superiority of our country. We are conducting our R&D studies bearing this awareness in mind.
Our Undersecretariat is conducting R&D Technology Management activities in line with the R&D Road Map and according to the following strategic targets mentioned in the 2012-2016 Strategic Plan: “becoming the architect of a sustainable and competitive defence industry” and “gaining competency in defence and security technologies that prepare TAF to the battlefield of the future”.
The updating studies for the Strategic Plan and Technology Management Strategy for 2017 and onwards are being conducted with priority in our Undersecretariat. In light of these studies, the R&D Road Map updating studies will be initiated. The issues that are expected to come to the forefront within the scope of the Road Map will be clearly shaped in accordance with the Situation and Requirement analysis, yet the Satellite-Space, Infrared Detector, Navigation and Advanced Material issues are expected to become prominent in our Undersecretariat’s agenda.
Defence Turkey: How do you evaluate the status of the sector as of 2015 by taking into consideration the share allocated by Turkey to the Defence Industry R&D? The share distributed by our defence companies in their equity capital, the incentives granted by the government and resources allocated to R&D expenses by the universities; taking this into account, when compared with our rival countries in the foreign markets, what kind of a picture do you observe?
When R&D expenses of our defence companies are observed extending over years; we come across that the 345 million USD of the defence R&D expense of year 2007 reached 887 million USD in 2014 with a2.5 fold increase. The total share allocated by our companies to R&D from their turnover tripled in the same period.
The total R&D expenses in our country for 2013 was 7.75 billion USD according to the figures declared by TUIK. 47.5 % of this amount, namely the 3.7 billion USD, is comprised of R&D expenses of the private sector. According to SaSaD’s data, the R&D expenses realized by the defence and aerospace companies equal 25 percent of the overall private sector’s R&D expenses across the country. An expense for the defence industry’s R&D studies on this scale creates an important awareness for our sector when compared with the other sectors. Then again, we are fully aware of the fact that this is not sufficient for the technological leap required by our country and our sector and that we still need to increase these figures. To this end, for Turkey to become one of the top ten of the world’s greatest economies and to achieve national targets identified for 2023, more intensive R&D and innovation activities need to be conducted. Despite the remarkable increase in the resources distributed to the R&D and innovation activities, the share of R&D expenses within the gross domestic product is not yet at the intended level. The total R&D expenses for 2013 constitute the 0.94% of our country’s gross domestic product while as of 2013, this ratio has been 1.91% for EU countries and 2.73% for the USA. For the year 2023, the aforementioned ratio target is that of an increase to 3% in our country. We are continuing our activities in good faith and coordination with all our shareholders in order to fulfil the tasks as the defence sector for reaching these targets as a country.
Defence Turkey: Mr. Şenlikçi, in relation with my previous question, according to SaSaD’s sector performance report issued in 2015, an increase in the resources allocated to product and technology development in 2014 was observed in respect with the equity capital, though a significant decrease in Product and Technology Development expenses financed through the Project activities or governmental resources was observed. And the grave risk it bears for sustainability and competitiveness in the world markets is underlined as well. What are your comments regarding this?
The total expenses made for Product and Technology Development in 2013 was 926 million USD according to the SaSaD data where in 2014 the same type of expenses fell to 887 million USD and a 4 percent decrease was recorded in product and technology development expenses. Obviously, this decrease is not consistent with the targets and expectations that I have mentioned in my answer to your previous question. Even if we do not expect an increase in defence industry R&D at the same rate of increase, we witnessed from 2010 to 2013 with 39 percent, we still internally examine the causes of the4 percent decline. In the meantime, we are about to conclude our studies for significantly increasing the resources allocated for our Undersecretariat’s R&D projects for defence. Presently, many projects we plan to initiate have been defined and with the affirmative conclusion of our aforementioned activities for increasing the resources and with the establishment of an efficient R&D process as I mentioned previously, I believe we will be able to rapidly reach thefigures in our R&D activities for the defence industry that are compatible with our targets.
Defence Turkey: The European Union’s new research and innovation framework program, namely the “Horizon 2020”, was launched as of January 2014. Could you briefly inform us on the content of this program, what would our defence industry companies’acquire as a result, and on the criteria required in order to involve in the program?
The framework programs are being executed for strengthening Europe’s research and technology development capacity, promoting the university – industry cooperation, developing new and various areas of cooperation for EU member countries, candidate countries and for the remaining countries the EU cooperates with. European Union’s new Research and Innovation Framework Program, Horizon 2020 may be considered as the 8th Framework Program and is the world’s highest budgeted civil research program with its budget of approximately 80 billion Euros covering the period of 2014-2020.
As it is a civil research program, the Horizon 2020, at first glance, can be considered as a program that our defence industries would not directly benefit from. However, when the work plans are reviewed, with titles such as “solutions for social issues”, “industrial leadership and competitiveness” and “scientific perfection” and calls for proposals regarding such topics are thus examined, we come across many opportunities appropriate to our defence companies.
Participation of our defence industry companies in EU Framework Programs, strengthening of the international cooperation focused on R&D and technology, and providing access to international resources for financing R&D studies bear great importance for new strategic partnerships. With this point of view, the EU Framework Program activities are being closely followed in close cooperation with TUBITAK – the national coordination point – by our Undersecretariat since 2007. We are working in coordination with TUBITAK in order to further encourage our companies that are benefiting from the Horizon 2020 Program and for their guidance, and events such as information days, workshops, coordination meetings, etc. are being organized by our department within this context. Moreover, a Coordination Group composed of our Undersecretariat, universities, defence companies and TUBITAK representatives was established under the auspices of SaSaD and through this Group, the activities accomplished by our companies, the relevant calls for proposals and opportunities for founding cooperation networks are being closely followed and guided. As we allocated resources to this program, our Undersecretariat plans to increasingly continue these activities especially regarding the defence industry in order to provide feedback that at least equals to our contribution as a country.
Defence Turkey: Within the scope of the Researcher Training Program for the Defence Industry, we observe an increase in the number of agreements made between the universities and defence industry companies and that they are starting to extend to regions other than Ankara and Istanbul. Could this be considered as a clue for the success of the model of this program? Could you please remark on the additional added value expected to be provided by this program in the upcoming period?
As the Undersecretariat for Defence Industries, one of the reasons why we initiated a program such as Researcher Training Program for the Defence Industry was to offer the required research facilities and working areas in the same standard with the foreign ones to the scientists and researchers that would allow us to accomplish important technological progress and that would create a technological base in our country and therefore achieve‘reverse brain drain’.
As you know, the Turkish scientist Prof. Aziz Sancar, receiving the Nobel Award, which is considered one of the most prestigious awards in the world, has been our source of pride this year. Mr. Sancar emphasized a point in his remarks for the youth of our country: He advised the youth to travel abroad and see the world, work in foreign countries but then return their homeland. Mr. Sancar mentioned that none of the universities in Turkey had the adequate facilities in the field he wished to work on back in those years and added that our government has been investing greatly in science and that he hoped our country to reach the level of European countries in the next ten years.
In my opinion, the aforementioned remark underlines the importance of the “Researcher Training Program for the Defence Industry (SAYP)” initiated by our Undersecretariat in 2011 and aims to acquire qualified human resources and researchers in our country.
In addition to the aforementioned academic contributions of the SAYP Program to our country, its actual contribution without doubt is the restructuring of the postgraduate thesis studies of the Researchers registered in the master’s degree programs of the universities while working in defence industry companies as guided projects in the priority areas identified by our Undersecretariat and in line with their companies’ R&D strategies and the contribution it makes to the expansion of the technological base.
Currently, through the cooperation protocols signed in the last term, six universities and eight defence industry companies were included in SAYP. I believe that the Researcher Training Program for Defence Industry (SAYP) will be contributing greatly to increase the qualified human resources that conduct research in the areas required by the sector and thus will be helping us reaching our technology based targets and our Undersecretariat will continue to play an encouraging role in order to support its continuous contributions to our sector in the future.
Defence Turkey: Mr. Şenlikçi, in the previous years we witnessed the technologies generated especially in defence industry were being applied later on in civilian areas. However, in the recent period, we observe that reversely the applications of the civil sector are being used in military areas. Bearing in mind the fact that R&D conducted in the defence industry generates outputs in the long term, do you think that R&D of the defence industry, having an application priority in the civilian area as well, and its chance of finding areas of implementation in other locomotive sectors, its capacity to provide a versatile implementation area should be a priority? Are there any criteria regarding R&D projects determined by your Undersecretariat? Besides, do you have any incentives for supporting the companies in this area?
Within the scope of our Undersecretariat’s Strategic Plan covering the period of 2012-2016, indigenous development of the platform and systems that will gain us technological superiority and acquisition of the capabilities of their sub-systems, components, material and basic technologies were identified as our main target regarding technology acquisition. Within this scope, the national significance and feasibility of the product or technology created as a result of the technology acquisition projects launched/to be launched by our Undersecretariat regarding the technology areas are planned to be worked on in the R&D Road Map and their civilian and/or military utilization are assessed as important criteria.
Defence Turkey: Where does the world lead to in respect of the rapidly developed and exhilarated space and aerospace technologies? In which areas do you think we should invest and which areas should we prioritize in order to acquire critical technologies with high added value and exist in this rapid development as Turkey?
It is true that the defence, aerospace and space industries were initially established with the purpose of fulfilling their own military and civilian requirements in the developed countries and then started their development. The natural outcome of this process that these countries go through is, by transferring the technologies developed in this area to civil sectors,the rapid development of the industries depending on advanced technology and qualified human resources. The technological inventions acquired through space studies and the methods emerged are not only utilized in space but also bring many advantages to our daily lives. From the mobile phones we use each day or the television broadcasts to new methods of healing in medicine, from the inventions discovering the unknown from the past to the novelties that increase the performance and comfort of the automotive industry, many innovations are the results of space studies that have a positive impact in our daily lives.
Considering this issue in respect to the rapidly developing space and aerospace technologies, the mass of the satellites becoming smaller in accordance with the developing technologies, the unity of the satellites with special tasks and their creation of a network and reaching a capacity that allow the conduction of joint tasks, more common usage of the advanced material and composites, development of new propulsion systems such as electrical propulsion and solar panels and their replacement of the chemical propulsion systems, high resolution image capturing, live image transfer in addition to the high resolution image capacity and the deorbit of the satellite at the end of the task are the issues becoming prominent.
As known, the highest level of the technology is being used in the defence technologies while the Aerospace and Space technologies utilize the highest level of defence technologies. In this sense, the target to be identified and the path to be followed gains importance and limited resources of our country should be guided properly. Our country realizes its strategies through our Undersecretariat that follows its mission of providing defence industry requirements with its national resources in the possible extent. Space and aerospace requirements in particular, our strategic target is to develop, produce, test and launch our own satellite systems with their useful loads in the medium and long term. Providing a trained workforce, establishing development infrastructures such as the Spacecraft Assembly, Integration and Test Center (AIT), allocating the financial resources required for the development of the systems, sub-systems and critical technologies constitute our priority steps to this end.
In order to reach the aforementioned targets, the indigenous development of electro-optical useful load for providing the continuity of the capability gained through Göktürk -1 Project and indigenous development of components such as the task computer, high speed X-band low line, Radar Useful Load is planned within the scope of the Göktürk-3 Satellite. Through Göktürk renewal satellites, acquisition of the capability for developing certain critical sub-systems is planned as well. At the same time, the Turksat 6A Project is evaluated as an important leap towards fulfilling the current requirements of our country regarding communication satellites. Moreover, with the Satellite Launcher System Project, Turkey will be gaining the capacity to access space independently and the sustainability of the satellite programs will be supported as well.
If we make an evaluation on the basis of technology areas, I would like to reemphasize that the Satellite Communication Technologies, Satellite Sensing and Observation Technologies, Space Craft Launcher and Ground Control Technologies, Modelling, Simulation and Analysis Technologies are our priority technology areas in order to acquire satellite and space craft launcher technologies that can be used either for civilian or military purposes.
In respect of the aerospace technologies, with the increase of R&D and technology and with the ever increasing demand for advanced technology products, the worldwide focus of production slipped onto high technology hardware, light and durable material, engines that provide high fuel efficiency and longer flights and new generation aircrafts. Studies continue on various concepts such as the engines with low emission that lessen the pollution and with lower noise levels, micro sized vehicles, hand thrown UAVs, vertically taking-off rotating aircrafts, carrier UAVs that have small task UAVs, UAV fleets that communicate each other over a network and sharing tasks.
The activities conducted regarding the Unmanned Aerial Vehicles by the SSM can be summarized as the indigenous development of all sub-systems including the platform for the development of Tactical UAV Systems and national and domestic production of the platform and task computer and the sub-systems required for the Development of Operative UAV Systems.
Defence Turkey: Mr. Şenlikçi, could you please inform us on the Turbojet Engines Development Project, Operative UAV Engine Development Project, Development of the Material for the Satellite Propulsion Control Project, Stand Off Ammunition Data Link Project, Image Analysis and Automatic Target Recognition System (HASAT) Project, Development of the Millimetric Wave Radar for the Air Platforms Projects that are being conducted by the Sensors, Information Technology and Advanced Material Groups under your R&D and Technology Management Department?
Within the scope of the “Project on the Development of Millimetric Wave Radar for the Air Platforms” conducted by the R&D and Technology Management Department of the Undersecretariat for Defence Industries, for the helicopter platforms the fire control radar with scanning and tracking capability, for Unmanned Aerial Vehicle (UAV) platforms fire control radar with SAR capacity and Automatic Take-Off and Landing System in order to support the automatic landing and take off of the Unmanned Aerial Vehicles will be developed.
Data Link System Development Project (Kement) that will transfer the required data/image between the Air-Air and Air-Ground Systems from a distance ranging from 150 to 250 km was signed on 31 December 2013 with Meteksan Defence and is being conducted again by our Department.
With the Kement Project, the development of data link systems that will operate web-based and have protection against electronic warfare will be developed for transferring the required encrypted data from approximately 250 km. With the system to be developed, we aim to increase the operational efficiency and flexibility through gaining the national ammunition a web-based data link capability. Through this project, the web supported ammunition concept will be realized and a technological base for the national tactical data link studies will be founded.
Within the scope of Phase-1 of the Kement Project that consists of two phases, Kement data link terminals will be developed and the activities for their integration to the ammunition will be initiated and functional verification activities will be executed. During Phase-II, the activities regarding the terminals’ integration to the platforms and firing tests will be conducted.
Image Analysis and Automatic Target Recognition System Development (HASAT) Project was signed on 18 November 2010 between Aselsan, Havelsan and SDT business partnership and our Undersecretariat. The project consists of two phases and currently we are approaching to the end of the second phase.
With HASAT Project, automatic target acquisition, detection and recognition capacities are intended to be gained to TAF through the blending of the Electro- optical (EO) and SAR sensor data with data collected via other resources. The methodology and algorithms required for more accurate acquisition, detection and recognition of the objects in the high-resolution images are being developed to this end.
HASAT System features the image pre-processing, target acquisition, data management and analysis and UAV image processing capabilities. It is compatible with other systems of TAF and we will be gaining significant capabilities in the automatization of the activities conducted with decision support and artefactual activities. The Project Acceptance activities are currently being executed and we aim to complete it as soon as possible to allow its entryinto the inventory.
Defence Turkey: Mr. Şenlikçi, are there any remarks that you would like to convey to the readers of Defence Turkey Magazine?
First of all I would like to state that as the R&D and Technology Management Department, we are working devotedly in order to reach our targets. Our objective is to abolish the foreign dependency regarding the sub-systems, components and technologies belonging to the platforms and systems required by the Turkish Armed Forces, and then prove everybody our international competitive power as a country with the advanced technology and information superiority we will be gaining as a result of our R&D studies. We are fully aware of the intensive level of workhours and efforts required to reach our objectives. Therefore, a devoted and sincere working environment is of vital importance besides the regular working hours. In the meantime, I would like everyone that has contributed to this sector in any way and all the followers of our sector to be aware of the fact that protecting this work environment dominated by love, respect and mutual understanding, we are all devotedly exerting the maximum efforts in order to fulfill our tasks.
