Defense Logistics Modernization An Opportunity for Excellence (1989) / Chapter Skim
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Executive Summary
Executive Summary
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The resultant NRC Committee on Review of Logistics Modernization undertook a two-year study that was conducted in two one-year phases. A midterm report summarizing the findings and recommendations after the first phase of the review, entitled, "Planning for Defense Logistics Modernization " was released in July 1988 (National Research made in our midterm resort _ ~~ ~ ~;1 1DQQ)
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Adopt Information Resources Management Because the information relevant to each aspect of the operations of the Defense Logistics Agency has significant bearing upon the information relevant to every other aspect, the agency needs to expand its view of information systems beyond traditional automatic data processing and telecommunications functions by considering information as a resource and creating the organizational structures that will manage this resource. In our review of the DLA, we found this distinction between automatic data processing (ADP)
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Move Forward to Approval Milestone 1 In order to avoid jeopardizing the program and reemphasize commitment to it, the agency needs to move forward with the Major Automated Information Systems Review Council for the
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We suggest that the DLA maintain an umbrella plan and seek approval of subprograms to accomplish specific pieces of its conceptual functional requirements in an evolutionary manner. The subprograms, subject to MAISRC review, will furnish the detailed information necessary to accomplish a major technology implementation.
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The data base design, and the agency's transition to it, is by far the most significant undertaking because it relates directly to how the agency plans to conduct business in the future. Establish Accountability for Systems Modernization In order to ensure successful modernization, it will be appropriate and desirable to consolidate authority over the central design activities and those programs that have received approval of mission need from the Major Automated Information Systems Review Council, and to establish reporting channels for them to that authority.
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Chapter 3 of our midterm report, the Defense Logistics Environment, dealt with this issue in detail. At this time, the major issues are still materiel visibility, excess inventories, and stocking policies across all the military services and the DLA.
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Some of this research.has been applied in recent years to achieve integrated optimization of materiel management at several large firms that simultaneously reduced investment in inventories and improved customer service. We believe that it is now possible and timely to develop and implement a much more efficient materiel management system than DLA now has in which large-scale optimization is used to effectively integrate supply decisions.
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Among the issues that have to be addressed are the makeup of the data bases; the extent of coverage of data bases; the technology to be employed to implement them; the establishment of data management centers; the'implementation of a transition plan; and standardization of such things as data base management systems, data definitions, data dictionaries, and query languages. A sound transition plan and the establishment of data management centers will be crucial to ensuring the feasibility of the LSMP itself.
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Standards can be misapplied because they are obsolete, are too limiting, impose immature technology, or are extended beyond their original purpose. Therefore each requirement needs to be carefully analyzed in order to achieve a delicate balance between anarchy and inflexible mandates.
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