SCOTT AIR FORCE BASE, Ill. – The U.S. Transportation Command's Distribution Process Owner Strategic Opportunities team was presented the Cost Savings and Performance Improvement Award, Dec. 4, at the Defense Logistics 2012 Conference. The award was accepted on behalf of the Joint Deployment and Distribution Enterprise.
“The award honors a government agency that achieved cost reduction and cost avoidance through transformation of the supply chain processes,” said Michael A. Hansen, chief, USTRANSCOM’s Logistic Sustainment Division. “Specifically, the award recognized the government agency that not only realized cost savings, but also improved mission effectiveness in their supply chain and logistics processes.”
According to Hansen, in 2008, USTRANSCOM identified five DPO strategic opportunities which were subsequently approved by the DPO Executive Board in March 2009.
“These initiatives were developed to significantly improve DOD-wide distribution with a goal of $500 million in cost avoidance by the end of FY 2012,” Hansen said. “USTRANCOM's DSO team partnered with DOD distribution partners Defense Logistics Agency, General Services Administration, supported geographic commands and contract support to identify, socialize, and implement these improvements.
“Through DSO in a collaborative working team achieved more than $635 in cost avoidance as August 2012 surpassing the goal by $135 million dollars,” Hansen continued. “The DSO team focused areas for improvement looked at total distribution from an end-to-end perspective, while maintaining or improving support to the end customer.”
According to Hansen, in February 2012, The DSO team focused areas for improvement looked at total distribution from an end-to-end perspective, while maintaining or improving support to the end customer.
“The team is underway on these new endeavors and has identified processes for continued improved aircraft utilization,” Hansen said, “continued engagement for OCONUS airlift cargo utilization; and work with Defense Logistics Agency for standard container utilization.”
Army Lt. Gen. Kathleen M. Gainey, deputy commander, USTRANSCOM, attended the Defense Logistics Conference and award ceremony. “This is a great win for the Distribution Process Owner Strategic Opportunities team, Gainey said, “and, more importantly, reflects what we can do together with a customer-first mentality building on our guiding principles and culture virtues.”
- USTRANSCOM -
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