Accession Number : ADA116854

Title :   Better Methods for Validating and Reconciling Unfilled Materiel Orders Could Provide Substantial Economies to the Army.

Corporate Author : GENERAL ACCOUNTING OFFICE WASHINGTON DC PROCUREMENT LOGISTICS AND READINESS DIV

PDF Url : ADA116854

Report Date : 02 Jun 1982

Pagination or Media Count : 33

Abstract : The Army can save an estimated $112 million or more in procurement and transportation costs over a 3-year period by improving its policies, procedures, and practices for periodically validating and reconciling older, outstanding orders for secondary items of materiel (repair parts, subassemblies, and consumables). GAO reported in 1974 that the services were spending over $100 million annually on materiel no longer needed by requisitioners because of ineffective procedures and practices for reconciling and validating older, outstanding materiel orders. The Army had one of the highest ratios of invalid materiel orders (27 percent) which were not detected by a quarterly reconciliation and validation check. The Army advised GAO of a number of corrective actions that would be taken to bring about the desired improvements. GAO made this followup review to assess the effectiveness of actions taken by the Army and to determine whether there were significant additional opportunities for improvement. (Author)

Descriptors :   *Logistics management, *Inventory control, *Army procurement, *Policies, Management planning and control, Logistics support, User needs, Spare parts, Supplies, Stockpiles, Validation, Records, Inventory analysis, Auditing, Costs, Cost effectiveness, Operational effectiveness

Subject Categories : Administration and Management
      Logistics, Military Facilities and Supplies

Distribution Statement : APPROVED FOR PUBLIC RELEASE