Funding considerations for material managed by the Naval Electronic System Command

Abstract

The Naval Electronic Systems Command's (NAVELEX) ability to satisfy unfunded, unplanned requirement demands for 2Z cognizance material has theoretically been impaired due to the budgetary exclusion of funds with which to replace attrited assets. This study considers the primary factors which have caused this funding requirement to be excluded from the budget. Factors such as the Chief of Naval Operations (CNO) definition of principal and secondary items, Stock Coordination Program policies, actual inventory item characteristics, and inventory management practices, were reviewed. This study concludes that NAVELEX should submit a budget request for the funds required, that CNO's definition of principal and secondary items should be revised, that the current Stock Coordination Program criteria for Hardware Systems Commands to manage material should be retained, and that the Stock Coordination Program should continue to be supported by NAVELEX.