Secondary Item Procurement Lead Time Study.
DEFENSE LOGISTICS ANALYSIS OFFICE FALLS CHURCH VA
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The study reveals differences among the DoD Components in the determination of procurement lead times. The Components begin the Administrative Lead Time ALT segment of procurement lead time with several different dates, but all end ALT with the date of contract award. The contract award date becomes the beginning of the Production Lead Time PLT segment which ends with receipt of a significant delivery. Each DoD Component defines significant delivery differently. Lead time forecasting methodologies used by the Components also differ, but all restrict the use of historical data to representative procurements. With the exception of the Marine Corps, all Components make some use of periodic survey quotes of PLT received from Defense contractors. Differences also exist in parameters for minimummaximum lead times, default values for items lacking lead time experience and the manual override capabilities of the DoD Components. The study recommends that DoD issue policy statements incorporating standard definitions of a representative procurement the beginning and ending events of the segments comprising procurement lead time and the use of historical information and contractor quotes in lead time projections. It also recommends that DoD increase the emphasis on lead time accuracy by the Components and consider the development of a standard DoD generic coding concept.
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