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LCD-80-116 1 (1980-10-08)

handle is hein.gao/gaobabbdk0001 and id is 1 raw text is: n- UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON, D.C. 20548 LOGISTICS AND COMMUNICATIONS OCT 8 980 DIVISION General John R. Guthrie Commanding General Army Materiel Development and 113590 Readiness Command Dear General Guthrie: Subject: Oportunity to Improve he Army's Stock Distribution Practicesf(LCD-80-116) This letter is to advise you of the results of our survey of shipments from Army supply depots to U.S. and overseas customers. The purpose of our study was to determine whether depots were being selected in a manner that would minimize transportation costs and shorten pipeline time. The Army's system for making shipments from the most eco- nomical depot works well based on our limited sample of items shipped from three depots. However, we observed two practices requiring management attention. We bring these practices to your attention because such weaknesses may be common to all of your readiness commands. Our work was performed at the Army Troop Support and Avia- tion Materiel Readiness Command (TSARCOM), St. Louis, Missouri; the Tank-Automotive Materiel Readiness Command, Detroit, Michigan; and Headquarters, Army Materiel Development and Read- iness Command, Alexandria, Virginia. Need For Improved Management of Depot Stocks There is a lack of coordination and communication between item managers and procurement personnel during the procurement and positioning of stocks to the area oriented depots. This resulted in numerous shipments being made from one depot to supply the customers of another depot. Consequently, ship- ments to customers were delayed and there were unnecessary transportation costs. (943085)

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