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News | July 28, 2025

Troop Support expands buying power through economies of scale

By Christian Deluca DLA Troop Support Public Affairs

The Defense Logistics Agency Troop Support’s Construction and Equipment supply chain maximizes government purchasing power through economies of scale, a central pillar of the #EfficiencyThruAwareness campaign they’ve been showcasing over the past year, which promotes the efficient and effective acquisition processes of their programs.

The supply chain leverages large-volume buying strategies to reduce unit costs and ensure the consistent availability of critical materials. By combining requirements across military services and federal agencies, the supply chain negotiates contracts with manufacturers and vendors that deliver broader access to essential equipment at reduced prices.

“In many cases, the individual services have the same needs for tactical and communications equipment, as an example, said C&E’s Deputy Director Tom Page. “So, vendors under C&E’s Tailored Logistics Support Programs are able to attain favorable pricing on a larger scale through volume purchases, which support a multitude of requirements on a regular basis with original equipment manufacturers.”  

Many of C&E’s programs use economies of scale, including their Heavy Equipment Procurement Program, which purchases construction vehicles and material handling equipment on behalf of military services. Due to the volume of business, they provide, the OEMs tend to offer DLA favorable pricing that ultimately equates to savings passed onto customers, Page said. 

“Leveraged buying power is a critical element in posturing the C&E supply chain as the provider of choice to our service partners based upon the savings we can offer with our flexible and rapid acquisition execution contract vehicles,” he said.

This model also allows for better planning, higher order fulfillment rates, and reduced logistical disruptions, particularly in urgent or large-scale mission environments.

“When the Immediate Response Force was activated to defend the U.S. Embassy in Iraq, it created immediate and urgent requirements for our deploying force,” said Army Maj. Benjamin Waterbury, resource manager for the 82nd Airborne Division’s 1st Brigade Combat Team. “DLA’s Special Operational Equipment support during this critical period was exceptionally valuable. Their team moved incredibly quickly when we identified an urgent need for Titan CUAS equipment to address potential drone threats. They successfully secured the necessary contract in a remarkable timeframe – just 24 hours.”

Waterbury added that C&E’s speed, accuracy in sourcing and dedicated customer service resulted in critical equipment being ready and loaded onto one of the final aircraft heading out for the mission.

Another example is C&E’s Barriers Program, which leverages large-volume purchases of essential items like lumber, expeditionary barrier systems and other materials. By consolidating these common requirements across multiple projects and military services, the program secures lower unit costs and avoids delays and added expenses associated with individual purchases. This ensures a ready supply of critical materials for construction and defense projects, enabling a timely completion that enhances military readiness.

Through collective purchasing agreements, C&E not only secures cost-effective solutions but also builds long-term partnerships with suppliers.

Director of Depot Operations at Letterkenny Munitions Center, Chambersburg, Pennsylvania, Aaron Howsare said their partnership with DLA Troop Support and the C&E Barriers Program enables them to deliver essential munitions to service members around the world in an economically efficient manner. 

“We ensure warfighter readiness through the efficient global distribution of munitions to DoD units and international partners,” he said. “This core competency relies on a consistent and adaptable lumber supply for safe and compliant shipment bracing, as mandated by the Defense Ammunition Center. Delays or disruptions in lumber acquisition directly jeopardize mission readiness.”

As procurement demands continue to grow in complexity, DLA Troop Support’s focus on volume-based efficiency offers a sustainable path forward — one that strengthens readiness while optimizing how the Department of Defense sources and delivers critical materials.