COLUMBUS, Ohio, May 13, 2019 —
Defense Logistics Agency Land and Maritime Commander Navy Rear Adm. John Palmer and his senior staff hosted DLA Distribution Commander Navy Rear Adm. Kevin Jones May 3 in Columbus, Ohio, for an orientation visit to discuss business operations. Their meeting was part of an Agency-wide initiative to generate increased conversation between supply chains on shared logistics, operating challenges and successes.
After introductions the group transitioned into an overview of DLA Land and Maritime’s organizational structure and business processes. Specific agenda items included inventory reconciliation, suspended stock and service inventory requirements.
Palmer led the group through discussions about the intricacies of packaging shortcomings, shipping irregularities and product acceptance procedures. Sometimes, these components can negatively impact the procurement process and result in materials not flowing smoothly through the supply chains to the customer.
The conversation shifted to contract awards and how extensively automatic evaluation awards impacted Land and Maritime’s acquisition process. Palmer explained that approximately 82 percent of all Land and Maritime acquisition actions are handled through automation in combination with the use of long term contracts.
With Land and Maritime and Distribution handling large volumes of varying commodities the concept of inventory control prompted several inputs. Considering the massive quantity of requisitions the Agency handles through its multiple supply chains, the consensus between Palmer and Jones was that inventory accuracy is a critical requirement within business operations and DLA must bring even more focus to incorporating improvements.
DLA’s resolution specialists were identified as essential to positively impacting inventory reconciliation. Enhanced training was confirmed as one of the key areas requiring continued focus to improve the Agency’s inventory reconciliation results. Improvements in this area were linked to DLA’s success in supporting the current Department of Defense audit.
Palmer and Jones discussed efforts within each of their commands to reduce the amount of suspended stock on hand. The anticipation is that successful efforts in that area would ideally translate into increased material availability and improved readiness throughout the services.
As an example, Palmer shared an innovative procurement process that both Land and Maritime and Distribution cooperatively worked to support a critical Army requirement.
“We’re going to do some business process re-engineering within Distribution,” Jones said. “Now is the time to rework policies to positively improve efficiencies across DLA operations.”
Jones’ visit ended with discussions on service inventory requirements. Specifically, working with Navy leadership to coordinate work efforts in response to DOD’s audit requirements. DLA manages some Navy shipyard inventory which drives the need to manage efforts to reconcile all military service inventory and the business processes associated with complying with the audit objectives.