United States Government Publishing Office publisher pbl distributor dst United States Government Accountability Office author aut Government Organization text government publication eng GAOREPORTS Legislative Agency Publications gao legislative 2010-08-12 U.S. Government Printing Office 2002-02-28 monographic deposited born digital 32 p. GA 1.13:GAO-02-306 https://www.govinfo.gov/app/details/GAOREPORTS-GAO-02-306 P0b002ee180382015 f:d02306 DGPO 2010-08-12 2011-03-28 GAOREPORTS-GAO-02-306 machine generated eng fdlp REPORT GAOREPORTS-GAO-02-306 GAO-02-306 Best practices Comparative analysis Contractors Cost effectiveness analysis Defense cost control Defense procurement Equipment maintenance Logistics Maintenance costs Privatization Strategic planning Weapons systems EA-6B Aircraft F-14 Aircraft H-60 Helicopter P-3 Aircraft Prowler Aircraft Tomcat Aircraft Orion Aircraft Pavehawk Helicopter Other Written Product A02826

The armed services have significantly reduced their procurement of new weapons systems and are keeping their existing systems longer than originally anticipated. The Department of Defense (DOD) estimates that it is spending $59 billion a year on logistics support to operate and sustain weapons systems, but DOD believes that better logistics support practices could reduce these costs by as much as 20 percent. To cut costs and improve efficiency, the military services have begun implementing logistics support strategies that rely on the private sector. DOD Regulation 5000.2-R expresses a preference for using long-term contractor logistics support but requires that an analysis be done first to determine how logistics support work is to be allocated to public or private entities. It is impossible to determine whether initial cost-effectiveness estimates for proposed contractor-logistics-support approaches are being achieved because the Army and Navy lack the required data. Consequently, the services may be adopting support approaches without knowing whether expected readiness improvements and cost-reduction goals are being met, where adjustments are needed, or the conditions under which the various support approaches are likely to achieve the most cost-effective results. Comparisons of the same or similar work done by military and private facilities are not possible or were inconclusive in determining which is more cost-effective. No comparisons were possible for the Army because, as a matter of policy, it does not divide its depot-level maintenance work for the same items between Army and contractor facilities. Only four comparisons of aircraft systems were possible in the Navy, and these showed mixed results. Although contractors have provided some logistics support needs, major Army and Navy commands have concerns about widespread contractor logistics support. However, the DOD's and the services' actions so far do not fully address these concerns, or the issues have not been fully resolved. https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-02-306/html/GAOREPORTS-GAO-02-306.htm https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-02-306/pdf/GAOREPORTS-GAO-02-306.pdf GAO-02-306 https://www.govinfo.gov/app/details/GAOREPORTS-GAO-02-306 Other Written Product GAO-02-306; Defense Logistics: Opportunities to Improve the Army's and Navy's Decision-making Process for Weapons Systems Support; Best practices Comparative analysis Contractors Cost effectiveness analysis Defense cost control Defense procurement Equipment maintenance Logistics Maintenance costs Privatization Strategic planning Weapons systems EA-6B Aircraft F-14 Aircraft H-60 Helicopter P-3 Aircraft Prowler Aircraft Tomcat Aircraft Orion Aircraft Pavehawk Helicopter Title 10 Section 2464 10 U.S.C. 2464