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The concept of development of professional army and mobilization of armed forces of the CR in conditions of a new framework source frame presupposes to introduce "process management" with the Ministry of Defence. Although this tendency is not new, mentioned concept is not generally known, so the author would like to make clearer its roots and reasons its introduction. The success of economic management lies in managing time, quality tied with costs of running processes, evaluating indicators of accountancy, activity-based costing and activity-based management. Our goal is not to evaluate costs, effectivity, but our objective is to constitute departmental economy system with the aspiration to guarantee continually economical rationality (overall economy, effectivity, usefulness) of its processes, activities and performances.

While evaluating spending activities of defence department, it is required to make an audit of results and outputs, besides ordinary accounting and documentation controls. This standard is defined by the European directive for the implementation of audit standards INTOSAI. The author, who is an expertmember in various economy commissions, can seriously declare that the Czech Army is a pioneer institution in the field of monitoring public expenses, namely in comparison with civilian spending ministries.

All NATO nations and their armies are looking for effective exploiting social sources for defence and security. It is clear now that effective spending of public expenses asks for changed infrastructures of forces and their activities. It is necessary to form teams of experts who will cooperate with leading defence officials while setting the most suitable variants of further advance.

This piece of writing is a polemic with the article by Maj. Pernica "System of Planning, Programming, Budgeting (and Flogging a Dead Horse)? in Vojenské rozhledy 4/2005. Allegedly, the criticized article quoted some misleading statements, based on financial records, inappropriate for this purpose. Ing. Dušek does not agree with its general idea, introduced out of contexts. The Planning, Programming and Budgeting System was introduced by leading economy experts (e.g. university professor Mr. Ochrana, School of Economy, Prague). Some deficiencies and shortages are inevitable, but as a whole, the PPB system works. Statistics is a dynamic science and statistical data are to be judged only in connection with statistical methods used in years in concern. For example, in answering the Defence Planning Questionnaire, we were asked by NATO authorities to transfer entries for leasing Grippen aircrafts from modernization and development items to the operational item. Consequently, the percentage of investment purchases decreased. The same goes for the percentages of National Gross Domestic Product spent for military budget, and so on. Moreover, MoD financial department put several useful proposals how to make financial flows more clear, but the were refused by the government.

The return of Russia as a power that begins again to partake in political agenda of present-day world raises the necessity to reflect its inner developments in the background of its recent history. There are six key factors that substantionally influence the position of Russia in the world: large sources of raw materials (pipelines); outstanding military capacities (the world's second nuclear potential); high level of general education; wide scientific and research base; permanent membership in UN Security Council and in the Group of Eight (G-8); deciding influence in the near neighbourhood. The study comes to the conclusion that Russia-in the horizon of 2020-will belong among world's leading actors, together with the US, the EU, China, and Islamic world. Russia will be able to of enforce its foreign and security goals, both in post-Soviet areas and in key regions in Europe, Asia and in the Great Near East. As such, it will probably get into conflict with the US. The priority tasks of the Armed Forces of the Russian Federation will rest on maintaining nuclear parity with the US and building capacities for asymmetrical operations.

This article presents the experiences with the use of Public Private Partnership (PPP) as a modern way of arrangement of public services how is used abroad, with specific bias to defence sector. The problem is solved best in Great Britain that has perfectly organised public administration and transparent feedback. Even in our country we run several PPP projects, unfortunately, overall data on them are not satisfactory.

This article presents not only an non-conventional approach towards psychology of military groups, but also offers the deep insight into British way of military thinking. This article is concerned with cohesion in its broadest sense. The term cohesion is usually used to describe one of the many contributions to morale. British military doctrine says that manoeuvres approach is an approach to operation in which shattering the enemy's overall cohesion and will to fight is paramount. The cohesion in this context is being used to describe the complex interaction of the physical, moral and conceptual components of fighting. A thorough understanding of the cohesion between people would enhance their fighting power. The good leadership is the means by which an understanding of what enables cohesion can be used to bring it about. Source: Human Cohesion; Shock and Surprise on the Battlefield (D. Rowland, D. Roney, J. Storr), British Army Review No 137, 2005.

This article informs readers about basic ISO standards (International Organization for Standardization), series 9000, and about terminology f lowing from ČSN EN ISO 9000:2001 standards. Fundamental part of the report is a relevant Army of Czech Republic specifics analysis and model implementing proposals of quality management system into a command and control structure of the army. It is favourable for the forces to use above mentioned systems (norms, terminology), especially in logistics. It enables us to follow suppliers/contractors to guarantee the highest quality and effectivity of products and services bought for military. NATO uses among others norms AQAP (Allied Quality Assurance Publications) that were introduced even in our country. Processes are identified in a way broader then in terms of mere ?quality?. Excellence model under EFQM (European Fund For Quality Management) is a voluntary system that can be used for the effective building of a ?small? army, reduced in size, structure, and personnel, in accordance with the approved concept of rebuilding the Czech Army.

90s introduced the new beginning of international and economical relations. The former USSR used to be overmilitarized state that is now transforming into a democratic republic. After 2000, the RF adopted many arrangements to stabilize the fall of Russian defence industry. The poor results of Russian economy motivated the federal government towards forming five defence agencies (in 1999): Russian Aeronautic and Space Agency (aeronautics and rocket industry), Russian Agency for Command and Control Systems (avionics, electronic industry), Russian Agency for Conventional Weaponry (arms and armament industry), Russian Agency for Ordnance and Munitions, Russian Agency for Shipbuilding. Nevertheless, the ageing of redundant and unnecessary military industries demands horizontal integration that might facilitate cooperation among individual enterprises. This process could help to unify military products and concentrate on modern weaponry, to improve applied technologies, corresponding to demands of 21st century forces.

In view of the fact of recent transitions in the Czech Republic, the Czech military must satisfy a large set of new requirements, including those tied with military defence intelligence. The article examines the key legislative changes under Acts No. 153/1994, No. 289/2005, No. 290/2005 and their actual implementation, linked with various stages of political and strategical management. There is no flawless pattern for military intelligence community. It is influenced by many circumstances: history, traditions, state of affairs. The author does not want to criticize today's model, organizational changes. Present-day establishment is integrated, which has certain advantages and some benefits, e.g. after 9/11 2001 American intelligence services were criticized for their insufficient integration. Adopted laws and rules, instruments for optimalization of present security system of the Czech Republic, are outlined on the basis of Table Supplement "Information on the Results of Czech Security System", www.mvcr.cz.

It is extraordinary important decisionmaking, because of fered products determine the successfulness of arranged contracts. For evaluating suppliers we use the so-called scoring model, in which we specify evaluating criteria and assign the weights. To prevent challenging accepted resolution, our decision ought to be supported by the analysis of the third party. This method is called S.P.A. - Supplier Potential Analysis.

It is an age-old problem, how to identify someone or something, to prevent from incidents, in which friendly forces fire on their own troops or vehicles by mistake, because of tiredness, exhaustion, psychological stress, technological defects, unforeseen circumstances, etc. Although there exists a technology carried specifically in an aircraft, combat vehicles, that utilizes coded radio signals to identify other friendly units, adopted measures are not always successful. In NATO, we have standardized systems for such identification: BTID-Battlefield Target Identification Device (for identification of vehicles and helicopters, STANAG 4579); and DSID-Dismounted Soldier Identification Device (for identification soldiers, STANAG 4630). At present, Germany (together with the United States) is in the lead of development system IFF. Systems are conceptually, technologically and tactically synthesized into ZEFF (ZielErkennung Freund-Feind), common for vehicles, helicopters, soldiers, as well as vehicles beyond the area of forces deployment. Source: Europäische Sicherheit magazine, 4/2006.

The professional base for tactical and operational levels of US ground forces and German Federal Armed Forces are the following manuals: US Army Field Manual 100/5 "Operations", since 2001 being labelled as "Field Manual 3-0", and German HDv 100/100 "Truppenfuhrung 2000". Both manuals were drafted in a closed cooperation. The basic principles of German manual Truppenfuhrung 2000 were imitated and copied by the Netherlands armed forces and partly, to a certain measure, also by other NATO nations. Rules of Field Manual 3-0 were tested in peace operations, in the fight against international terrorism in Afghanistan and during the first phase of Second War in Iraq. In fact, the operations of US forces indirectly proved practicability and effectiveness of nearly identical German field rules and manuals, consequently command principles, including those of the so-called nation building. Based upon an article by MG Christian E.O. Millotat in 3/2006 Osterreichische Militärische Zeitschrift, No 3/2006.

The practice of a company sending work to outside factories to reduce production costs is called outsourcing. Outsourcing is one of many methods that might help defence department to fulfil a number of various tasks that either can't be accomplished within the armed forces or such work or services can be obtained at low-costs in civil sector. The authors propose several practicable techniques using dynamic outsourcing model to identify prospective services to support given transformation process.

Economy Management by Ing. Svatopluk Kunc. The purpose of this article is to explain the essence of above mentioned economic categories, their linkage to cost accounts, accountancy, to characterize accounting items as an important signpost, to clear mutual ties between the so-called economic rationality and the position of a manager in armed forces. It is not easy task to find unifying point of view. For that purpose the author explains methods of controlling, outsourcing, process management, total quality management, balanced scorecard, value management, etc.

After the communist coup détat in 1948, although formally independent, the Czechoslovak army was subordinated under the General Staff of the Soviet Army. Following the year 1960, its inner life was directed by the Central Committee of the Communist Party of Czechoslovakia (KSČ), in fact by the Military Commission, headed by the First Secretary KSČ. Overall militarization of Czech society was even higher than e.g. in Poland, because in case of military conflict, our territory was supposed to play the role of main European theatre of war. In time of the so-called reform movement in the late 60's, there were some trends to release close ties with the Soviet Union, but at the same time the leading political and military authorities tried to place Soviet forces in Czech territory to strengthen Russian position in arms reduction talks with the US, so that the Soviet Union could boost its units at the borders with People's China. The author compares those events with the recent ones, after November 1989, and following processes of introducing civil control in the forces, their reduction, transformation, and professionalization. He quotes names and works of authors occupied with this theme.

As the EU is conducting its third military operation, the EUMS has become a key player in the development of the European Security and Defence Policy. In order to provide political control and strategic direction in a crisis, the European Council (Nice, December 2000) decided to establish new permanent political and military structures within the Council of the European Union: PSC-Political and Security Committee, EUMC-European Union Military Committee, EUMS-European Union Military Staff. The EUMS is responsible for peacekeeping tasks, tasks of combat forces in crisis management (including peacemaking), and further tasks identified in the European Security Strategy, such as joint disarmament operations, support for third countries in combating terrorism and security sector reform. As the only permanent integrated military structure of the EU, the EUMS has become the military linchpin of the EU. (Truppendienst, Bundesheer,

Security situation has been changing all over the world, so has in regional territories. It is necessary for us to create systematically new safety culture with regards to contemporary knowledge and experiences. The Czech Republic contribution to the safety of democratic states must meet their expectations; prospective security studies will have to bring new knowledge and technology which, first of all, will increase the level of general capabilities of the Czech Republic and at the same time to take into consideration the needs of national economy and Czech environment. Capital investments into security research are necessary as a basic input for the safety preparedness level of the CR. For these purposes it is desirable to establish security research that will be able to produce ideas and technologies which will sustain and renew the Czech Republic safety in changing conditions, among others taking note of a Seventh Framework Programme of EU for research,

The specificity of defence as a public estate rather complicates necessary changes in public expense management, namely those chapters designated for the armed forces. One of prospective tools for defence economic management is controlling, which is more than mere control. It coordinates planning, information flows, it concentrates on final effects. The authoress explains and depicts how this method is working in the German Federal Forces (Bundeswehr).

The author follows the mainstream economics, i.e. leading economics of defence policy, ranging from economics of defence in the nuclear age, via economics of Iraq conflict, to current fight against terrorism. New paradigm must be drawn, taking into account source management, the distribution of economics weight of individual national economies of all countries participating in the fight against global terrorism.

The subject of this comprehensive study: the main features of global risk society can be embodied by ecology crises, global financial crises, threat of terrorism. The article is presented as a report to military community and audience, with the underlying focus on terrorism. The author is mapping the global future in the first two decades of this century. As a small country we must pay attention to the developments in the worlds leading powers: the U.S., China, Russia, last but not least, within the EU. Those themes also present individual headings of this study. He treats energy, demography, peace, security, good neighbourly relations, cooperation between states that are most desirable goals we want to reach. In a way, as the main actor of worlds security situation till 2020 is identified Islamist terrorism (radical Islamists, Al Qaeda). At the end Mr. Balabán recalls the former "Security Policy of the Czech Republic" released ten years ago, reminding us the necessity to be prepared for the worst scenarios.

In our forces, similarly like in those of Slovakia, Poland, Hungary, and Lithuania, we assess the scope of damages in numbers showing overall labour needed for repair, necessary for restoration complete combat capacity. Now we put into test another method, by means of the so-called S-M-C-A code (Shoot, Mobility, Communication, Armour); e.g. numbers 0-0-0-0 represent fully combat-ready main battle tank, whereas 0-4-0-4 shows immobile armoured vehicle, with perforated armour. To adapt commanders? decisionmaking process and introduce this method into forces, mechanised units, up the battalion level, we perform exercises on ModSAF trainer (Modular Semi-Automated Forces). This method enables us to plan the application of military repair depots, fully recover combat potential of military vehicles as soon as possible. Nowadays, ModSAF methodology is successfully exploited in the Centre for Simulation Technologies in Brno and Vyškov. The Army of the Czech Republic stands at the very same place as modern forces of Alliance, the US, Great Britain, Germany and others, in the 90?s of the last century.