In light of an increasingly unstable global environment and Sweden's growing need to reinforce its total defence, it is clear that the country faces a significant challenge. Despite a unified voice from authorities, media, and public forums on the necessity to swiftly build up our defence readiness, a concerning gap between ambition and reality emerges, particularly regarding small and medium-sized enterprises (SMEs). These companies, which form the backbone of Swedish innovation, risk being overlooked at a time when their contributions are needed more than ever.
What has become increasingly apparent is that Sweden, despite good intentions, fails to bridge the gap between theory and practice to truly harness the potential of SMEs within total defence. Experiences from Ukraine have clearly demonstrated the importance of these companies' contributions to national security and resilience. Yet, SMEs in Sweden face a wall of bureaucracy, rigid procurement regulations, and a lack of agile tools for collaboration, which excludes them from the opportunity to contribute to Sweden's defence in a meaningful way.
Although Sweden has a law- and regulation-driven process for public procurement, which is both desirable and necessary, it becomes evident that the current system is not adapted to the unique needs and conditions under which SMEs operate. The entire process relies on companies either having the resources for a single bid or the resources to assemble a bid with multiple companies. Already, many SMEs are excluded as they lack such resources, which is inherent in their nature.
The current regulations also reflect a peacetime economy and do not account for the rapid and flexible efforts required in crisis situations and defence contexts. The Swedish Armed Forces (Försvarsmakten) and the Swedish Defence Materiel Administration (FMV) lack the tools needed to effectively include SMEs in defence planning and procurement, which could ultimately be costly for Sweden, both economically and in terms of security.
Take, for example, Sweden's SMEs in drone technology. Here, there are companies leading the development with innovative technology, where one company handles manufacturing, another image processing, and a third communication. The ability of these companies to collaborate and create synergies that can strengthen Sweden's defence is a resource that is currently being wasted.
In other words, we are at a critical crossroads where Sweden has the opportunity to truly harness the innovative power and technical expertise that exists within the country's SMEs. By adapting procurement processes, creating incentives for collaboration, and ensuring that these companies can act quickly in crisis situations, Sweden can secure a stronger and more resilient defence. However, for this to become a reality, decisive leadership is required that dares to reconsider old structures and prioritises action over words.
It is time for a shift, and it must be led from the top. We, the industry organisation for small and medium-sized enterprises active in the defence sector, therefore urge Defence Minister Pål Jonson to promptly assign responsible authorities the task of developing practical tools and methods to ensure that all conceivable innovation and initiative are harnessed within the Swedish military defence.