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Articles

Expanding the use of private resources in the Republic of Korea's national defense

Pages 485-498 | Published online: 10 Dec 2010
 

Abstract

The ROK military needs to expand the use of private resources to fulfill defense management reform. Utilization of private resources can lead to a higher efficiency of national defense management and reduce the burden on the defense budget. In carrying out private entrustment, the Ministry of National Defense (MND) should make sure that wartime missions are uninterrupted, and loss of jobs among outgoing militaries are minimized through the efforts to create job positions that can leverage military expertise and experience. To transform an organization into a more flexible and professional one, the basic management rule of a military executive agency needs to be continuously modified on the basis of the results of performance evaluation. For a successful private investment project, there should be key elements such as a clear policy, appropriate legislation, procedures capable of efficient implementation and facilitation of private investment projects, and guidelines for project development and cost–benefit analysis. The expertise of sale and development of real estate needs to be strengthened by introducing civilian specialists and methods to efficiently use wasteful land which will become available due to base relocation. The MND should use civilian personnel to diversify the defense manpower structure and expand civil expert participation in defense policymaking to increase understanding and consensus as well as transparency and objectivity in defense-related affairs.

Notes

1. ROK Ministry of National Defense, National Defense Reform Basic Plan (2009–2020) for an “Elite and Advanced Military” (Republic of Korea: The Ministry of National Defense, 2009), 2–13.

2. ROK Ministry of National Defense, 2010 Defense Budget (in Korean) (Republic of Korea: The Ministry of National Defense, 2010), 22.

3. Here, system of systems means a network-centric system of systems, comprising sensor, comand and control systems, and shooters in the network grid environment.

4. ROK Ministry of National Defense, Defense White Paper 2008 (Republic of Korea: the Ministry of National Defense, 2008), 216.

5. This refers to the technology born out of a dual R&D process by the civilian and military sector that can be either jointly applied, as well as those technologies that can be mutually converted for use in each sector; the Ministry of National Defense, Defense White Paper 2008, 217.

6. This refers to the technology born out of a dual R&D process by the civilian and military sector that can be either jointly applied, as well as those technologies that can be mutually converted for use in each sector; the Ministry of National Defense, Defense White Paper 2008, 196–7.

7. ROK Ministry of National Defense, National Defense Reform Basic Plan, 11.

8. For the first time, five civilian doctors were employed in the Armed Forces Capital Hospital in May 2008. The groundwork for contracting civilian doctors to military hospitals was laid in February 2008 when an agreement was signed between MND and Seoul National University Hospital; The Ministry of National Defense, Defense White Paper 2008, 246.

9. For the first time, five civilian doctors were employed in the Armed Forces Capital Hospital in May 2008. The groundwork for contracting civilian doctors to military hospitals was laid in February 2008 when an agreement was signed between MND and Seoul National University Hospital; The Ministry of National Defense, Defense White Paper 2008, 172–3.

10. For the first time, five civilian doctors were employed in the Armed Forces Capital Hospital in May 2008. The groundwork for contracting civilian doctors to military hospitals was laid in February 2008 when an agreement was signed between MND and Seoul National University Hospital; The Ministry of National Defense, Defense White Paper 2008, 176–80.

11. The annual operating cost for a conscripted soldier is: 3.4 million Won for a sergeant, 3.3 million Won for a corporal, 3.2 million Won for a private first class, and 3.6 million Won for a private; The Ministry of National Defense, 53.

12. Tae-Hyung Kim, “Military Privatization in South Korea,” Korean Journal of Defense Analysis 19, no. 4 (Winter 2007): 93–115.

13. The Ministry of National Defense, Republic of Korea, Strategic Use of Private Resources (in Korean) (Republic of Korea: The Ministry of National Defense, 2009), 39.

14. For the United States Forces Korea relocation, MND is partnering with the Korea National Housing Corporation based on the “donate and transfer method.” The donate and transfer method is a method whereby a local autonomous entity or a public company uses its own budget to relocate military units away from metropolitan areas and is later compensated for that land to proceed with development.

15. The Ministry of National Defense, Defense White Paper 2008, 239–40.

16. The Ministry of National Defense, Defense White Paper 2008, 238–9.

17. The Ministry of National Defense, Defense White Paper 2008, 226.

18. About 80 percent or more of the enlisted joined the service while enrolled at colleges. MND offers opportunities to continue their education by providing chances to obtain credits for their college courses during times of service. In April 2007, the Ministry established an institutional basis for service members to acquire up to six credits during military service by amending the Military Service Act, the Higher Education Act, the Act on Academic Credit Recognitions, etc.

19. Some enabling factors for private investment projects may include: creation of contractual and legal frameworks to expedite private investment projects; development of guidelines that promote contracts for private investment projects; partnering roles in procurement processes; and the strategy of private investment projects that focuses on investment in optimum areas; Akintola Akintoye, “PPPs for Physical Infrastructure in Developing Countries,” in Policy, Finance & Management for Public-Private Partnerships, eds. Akintola Akintoye and Matthias Beck (Singapore: John Wiley & Sons, 2009), 141.

20. Eivind Tandberg, “Budgeting of Public Investments,” in Public Investment and Public-Private Partnerships: Addressing Infrastructure Challenges and Managing Fiscal Risks eds. Gerd Schwartz, Ana Corbacho, and Katja Funke (Hampshire: Palgrave Macmillan, 2008), 74–5.

21. ROK Ministry of National Defense, Defense White Paper 2008, 164–6.

22. ROK Ministry of National Defense, Defense White Paper 2008, 267.

23. Consisting of a preamble and eight clauses, the Umbrella Agreement (UA) contains the principles and methods for expenses concerning the Yongsan base relocation while consisting of a preamble and seven clauses, the Implementation Agreement (IA) contains details concerning Yongsan base relocation.

24. This refers to a program to integrate USFK facilities throughout the Peninsula and to return unneeded facilities as well as land. The letter of intent was signed during the 33rd ROK–U.S. Security Consultative Meeting (SCM) in November 2001 and was ratified by the National Assembly in October 2002.

25. ROK Ministry of National Defense, Defense White Paper 2008, 91–2.

26. ROK Ministry of National Defense, Defense White Paper 2008, 302–3.

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