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Old 19th Feb 2015, 14:41
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Leidos Triumphs in Major UK Support Bid

LONDON Leidos has secured its first major support deal from the UK Defence Ministry, the MoD announced on Thursday. The US contractor was named as the preferred bidder on a multibillion pound program aimed at transforming how commodities are procured and stored for the military. Industry sources said Leidos, formerly known as SAIC, beat local defense support giant Babcock and a bid from an in-house team from the Defence Equipment & Support (DE&S) arm of the MoD.

"Today's announcement is a key step in bringing defense logistics up to the standard of industry best practice," Philip Dunne, minister for defense equipment, support and technology, said in a statement. "It will deliver state of the art warehousing systems to improve availability of supplies and better management of inventory for the armed forces."

The Logistic Commodities and Services Transformation (LCS(T)) program is reckoned to be worth around 7 to 8 billion (US $10.7 billion to $12.2 billion) over the 13-year life of the deal, but that figure could rise to as much as 13 billion if the MoD expands the range of products set to be handled under LCS(T). The deal includes a three-year transition phase.

For the moment, the outsourcing deal includes procurement of commodities such as food, clothing, general stores, some fuels and other items.

Winning the deal is a major breakthrough for Leidos. The company has secured some defense-related business here but nothing remotely on the scale of the LCS(T) program. Leidos Senior Vice President Barbara Doornink told Defense News last year that fuel distribution and ammunition storage and distribution are two areas the company might eye in the future to expand its UK business. Doornink said she saw "plenty of opportunities in Britain beyond LCS(T) for the sort of integration, IT and other solutions Leidos provides."

The program is part of wider MoD efforts to transform the efficiency of its equipment and support procurement effort. Part of the deal will see more than 2,000 DE&S staff move into the private sector under Leidos management.

Under the current organization, each DE&S commodity area operates largely in isolation, resulting in duplication and increased costs. Leidos and its subcontractor partners Kuehne & Nagel and TVS Supply Chain Solutions, are expected to invest in updating the storage infrastructure and rationalizing the numerous sites operated by DE&S. The storage activity is conducted from about 70 warehouses across 11 sites holding around 8 billion of stock.

An announcement on the winning contractor had been expected in the final quarter of last year, but the complexity of the deal and other issues slowed negotiations.

With the election purdah set to kick in on March 30, LCS(T) is likely to be among the last major program awards ahead of the general election. Under the long-standing purdah agreement between the main political parties, major announcements that could influence voters are banned until after the election.

With a government spending review due after the election threatening the defense budget, followed by a strategic defense and security review that could well run into 2016, the next 12 months will likely be thin for big contract announcements.
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Old 19th Feb 2015, 15:10
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Any chance we will be able to get a freight weight then outside of 5 minutes to chocks?
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Old 19th Feb 2015, 16:43
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The in house bid failed.

The in house staff are being transferred to the private sector to run this contract.

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Old 19th Feb 2015, 16:53
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Does this also means off-shore clothing design and procurement? The mind boggles!

Sorry to see another chip out of the foundations of HM Forces ... By the time I peg out it will be Civvy everything, with just the aircrew .... Being contracted mercenaries. When will CAS become CEO RAF Ltd?
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Old 19th Feb 2015, 16:59
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contracted mercenaries
Perhaps the Emperors in Westminster might like to reread their Decline & Fall..

193 AD would be worth a look.
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Old 19th Feb 2015, 17:29
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Used to be "We have only one in stock, and someone might want it". Now it will be "Sorry, none in stock, you will have to wait at least 6 months!"
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Old 19th Feb 2015, 18:11
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Or "How many more people to I have to tell - there's NO demand for it!"
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Old 19th Feb 2015, 19:11
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"I do 'ave some Sir, but they're in Boxes."

............................................................ ............

I recall Day 2 of Desert Shield
"xxx sets of NBC suits, please"
"You can't 'ave them Sir, they're War Stocks"
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Old 19th Feb 2015, 19:33
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Extending the non-supply story, some will remember the 'shortages' of official stationery in the mid-80s.

On my regular Staff visits around 11 Gp, my briefcase was always full of things like memo pads, which were unobtainable 'in the field'. There was one Tower I visited where memo sheets [one page, writing on for the use of] were issued from the sole remaining pad to the user, which were then photocopied to multiple addresses and file.

My visits were always welcomed

Remember, kids, we went through some pretty hard times in the past too
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Old 19th Feb 2015, 19:35
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Ricardian

I hadn't heard that one before. It made me chuckle. Sums them up perfectly.
BV
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Old 19th Feb 2015, 20:16
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Stores are for storing, not issuing!
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Old 19th Feb 2015, 20:20
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I had, from my RN flying days, a pair of aircrew sunglasses. The frame went ... I tried to exchange them, but as they weren't on my RAF stores chit, I couldn't do that.

So I got an RAF aircrew mate to do the exchange ... "no problem, Sir" ... and the storeman gave him the broken ones back for future replacement use
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Old 19th Feb 2015, 20:39
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Leidos! Thought that read Lidls for a second.
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Old 19th Feb 2015, 20:40
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The MoD was not willing to make the changes it needed so I guess it will change when someone else makes them. It's always the way, like bringing in a consultant to tell the higher management what everyone beneath them knows is wrong.
Archaic procurement practices supported by empire-building Single Service dinosaurs who worked in their respective stovepipes and damn anyone else who knocked at the door with an idea. I look forward to less meddling by those not qualified who always cocked things up in the past.
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Old 19th Feb 2015, 20:42
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Just put all spares on eBay and units buy them with PayPal, it works for everything else!
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Old 19th Feb 2015, 20:50
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"better management of inventory"

Oh dear, I fear you maybe about to be subjected to 'just in time logistics'

I wish you luck.
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Old 19th Feb 2015, 22:05
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better management of inventory
It's been crying out for years. Single Service stovepipes and procurement that is just stupid and blinkered. It won't take much to improve things and turn a profit.
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Old 19th Feb 2015, 22:07
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Will this be a blanket coverage?
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Old 19th Feb 2015, 22:14
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It's hardly a new thing, Serco were running much of the supply chain for the last decade of my service and I've now been out for three years. Northolt was entirely civilian for my whole 9 years there, and the last service supplier I saw in a stores was at Odiham in about 2003.
I know the RAF still have service suppliers but they tend not to be in the stores on most stations, tending to be more in the deployable role as with a lot of trades now.
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Old 19th Feb 2015, 22:25
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and the last service supplier I saw in a stores was at Odiham in about 2003

Did he have a market stall?
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