Friday, August 19, 2005

From the Factory to the Foxhole

Note: The link only works from .mil addresses. For everone else, here's the Bloomberg link (blocked by my local proxy) :-(

For loggies, this is interesting for a few reasons:
1. It'll outsource a lot of what we do right now (track, move, manage materiel) to a private contractor, forcing a change in the focus of LRO skills down to the Air Force/DOD-unique tasks such as war planning.

2. This would drastically affect any and all ITV/TAV systems development that's going on. Admittedly, it would be an improvement over the current state of affairs since UPS (and possibly LMIT, etc) all have better ITV/TAV systems than what the DOD is using. Can you imagine UPS not knowing exactly where a package is at any given moment? Neither can I.

3. Here's a possible out-growth of this scenario: Today, when your Toshiba computer breaks down, you get a UPS box sent to you with the labels and packing to ship it for repair. Once it goes into the UPS system, though, it never leaves UPS control. UPS ships it to one of its own warehouses and and a Toshiba-certified UPS employee makes the repair. Dell found that it could save money by outsourcing the repair management to UPS and save time in transit. Imagine this for an engine, or a tire, or any other depot-reparable item. Check out how DHL is already doing this in Europe .

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