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LCD-77-227 1 (1977-11-08)

handle is hein.gao/gaobaawge0001 and id is 1 raw text is: 
DOCUMENT RAESUNR


04143 - [B31344071

Centralizal Department )f Defense Manaqement of Cargo Shipped in
Containers Would Save Millions ani Improve Service. LCD-77-227;
B-18114. November 8, 1977. 10 pp. * appendix (2 pp.).

Report to SecretaLy, Department o± Defense; by Robert G.
Rthwell (for Fred J. Shafer, Director, Logistics and
Comaunicitio'ns Div.).

Isouc Area: Facilities and r&terial Management: Federal
    Transportatioyi of Things (704).
Contact: Logistics an   Communicatiouz liv.
Budget FuTictia: Natiopal Defense: Department of Defense -
    Military (excapt procuremeDt & contracts) (051).
Organization Concerned: Department cf the Navy: Military Sealift
    Command; Department of Defense: Military traffic Managa&ent
    Command.
Congressional Relevance: House Committee on Armed Services;
    Senate Committee on Armed Services.

         The Military Traffic management Command and the
Military Seali£, Command divide manaqement responsitilities for
selecting conta:-ners for cargo going overseas, often preventing
the Department of Defense (DOD) from getting the lcwest
transportation costs. Both Commands 6ike adequate selections for
each portion of the rovement, considering ;he information they
have and their responsibilities. Hovuever, if shippern submitted
enough cargo information and responsiility and information were
centralized, better se.Lections could be made.
Findinqs/Conclusions DOD could have saved about $12.9 million
of the more than $2n0 spent on overseas cargo shipments in
fiscal year 1976 though use of an effective central management
system and better use of up-to-date computer technology to
select the most economical shipping arrangement. Transportation
service to DOD shippers could also have been improved, reducing
the shipping tines. Less shipping time lojers the inventcry
costs which the Drpartment estimated could be millions of
dollars each year. Pecoma.endations: The Secretary of Defense
should designate a central manager fct carrier and contair4r
selections. The central manager should obtain detailed cargo
±nformation from shippers and us- available computer technclogy
to make the best selections for origin-to-destination shipments
of cargo sent overseas. (Author/SC)

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