Training in commercial logistics practices to improve inventory management in the Army

Abstract

The Department of Defense (DoD) and private firms share a common set of logistical challenges. Rising costs, external pressures, new technology, and other factors have focused attention on improving logistics management. GAO believes top management support and training are fundamental to improving economy and efficiency for DoD's inventory management system. This thesis examines current inventory management training and policies for secondary item inventories used by the Department of the Army to determine the potential impact of increased training in commercial logistics practices on Army inventory management. The study briefly describes the Army Supply System, evaluates current performance, reveals current training practices, discusses commercial logistics practices, and identifies the key factors required for implementation of commercial logistics practices. These key factors form the basis for a comparison between the public and private sectors. Finally, McCaskey's model of organizational behavior is used to assess the potential for increased performance through training in commercial logistics practices. This study concludes that training in commercial logistics practices will not improve the inventory management system. There are inherent differences in the political, economic, legal, and social environment that must be addressed first.