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Defence Logistics Solutions Team Selected For MOD Logistics Programme

07 Oct 2003

The Defence Logistic Solutions team welcomes news that they have been down-selected to participate in the next phase of the Future Defence Supply Chain initiative (FDSCi). The team, which includes BAE Systems, Rolls- Royce, Westland Helicopters and Alvis Vickers, has now been invited to submit a proposal that meets the MoDs Future Defence Supply Chain requirement.

The team was down-selected following submission of an expression of interest and a Pre Qualification Questionnaire to the MOD after publication of details in the MoDs Contracts Bulletin in 2002.

It is estimated that the MoD currently spends around 400m per annum in an area of business that encompasses the Defence Storage and Distribution Agency and the Defence Transport & Movements Agency.

DLS bid director, Steve Cobbin said: We are adopting a joint approach to ensure the proposed supply chain solution delivers operational capability, value for money, targeted cost savings and is in line with the Defence Logistics Organisations (DLO) strategy.

The original equipment manufacturers that make up the Defence Logistic Solutions team have a vast amount of experience in dealing with supply chain issues. With the increased emphasis on contractorised logistics support contracts we have a vested interest in improving supply chain operations and the inclusion of additional team members, including TNT and Fleet Support Limited, enhances the skills of our team still further.

Our proposal is for a partnered approach with the MoD on a solution that draws upon the expertise of existing MoD personnel as well as the Defence Logistic Solutions team.

Proposals are due to be submitted to the MoD by February 2004. Bid assessment and negotiations will take place throughout 2004 leading to potential contract award in early 2005.

Notes to Editors:

The Future Defence Supply Chain is defined as the planning and operation of a fully integrated supply chain network, comprising storage and distribution of both MOD and industry-owned stock between the point of manufacture and the point of final distribution.

The scope of FDSCi relates principally, but not exclusively, to those areas of business conducted by the Defence Storage and Distribution Agency, Defence Transport & Movements Agency. Elements of the other parts of DG Def Supply Chain organisation, including the Defence Catering Group, the Medical Supplies Agency, the Defence Fuels Group, Corporate Technical Services and BFPO have also been reviewed as part of the exercise to capture the as-is picture.

Proposals will be submitted to the MOD in February 2004.

FDSCi will bring mutual benefits to the DLO and industry by exploiting supply chain best practice to provide improved operational performance, value for money and will contribute to the DLOs 20 per cent targeted saving in line with their strategic plan.