Required Delivery Date (RDD), an alternative to Procurement Adminisistrative [i.e. Administrative] Lead Time (PALT)?
Vickers, Robert Jennings.
Lamm, David V.
Adams, Rebecca J.
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The Navy Field Contracting System (NFCS) uses Procurement Administrative Lead Time (PALT) as the primary indicator of procurement effectiveness. However, many procurement activities are attempting to use other indicators to measure procurement effectiveness. Required Delivery Date (RDD) is one measure that has been proposed as a replacement or addition to PALT. A survey of 62 procurement professionals in the NFCS was conducted in order to gauge the reaction to the proposed use of RDD. Respondents indicated that using RDD as an indicator of performance was a good concept, but that it was impractical due to the number of unrealistic RDDs provided by customers. It was further concluded that other concerns such as: obtaining valid receipt dates; additional buyer workload; and vendor considerations may also complicate the use of RDD as a measurement tool. This thesis recommends that activities must decide for themselves if the benefits measuring RDD outweigh the costs of implementing a system designed to track and measure RDD.
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