The DMO project office would be simply given an agreement from Capability saying what they are to deliver. If the C-17 is chosen it will meet that. Purchases at the billions of dollars level would be directly approved by the Minister.
Numbskull: I'm quite happy for Australia to outsource the entire military if that's what the people want! It's a democracy. Why they don't use contractors for everything is that civilian organisations have a tendancy to not want to do something such as airdropping supplies or landing at an airfield where the risk from Surface-Air Fire is High. In fact if you can find one they will charge like a wounded bull (meaning the cheaper option would have been the in house option) due to monopolistic pricing. In fact for some of the short term heavy lift contracts, Australia could have BOUGHT the aircraft for the same amount as the charter fee! Also, Dangerous goods regulations prevent all our stuff that goes bang being carried on QANTAS aircraft. They do look at it.