Army Awards Team Led by Agility DGS Supply Management Contract
The U.S. Army gave a team of companies headed by Agility DGS a contract to supply repair parts for a variety of electronic systems that are serviced at Tobyhanna Depot in Pennsylvania. MarketWatch.com reports that Agility has IBM and three smaller companies on their team. The contract has 2 base years and four options. If all parts are executed it could be worth over $900 million. The goal is to utilize commercial best practices to try and improve efficiency at the Depot. Agility DGS hopes to apply their experience and supply chain management skills to help the Army speed up the provision of spares and repair of items. The Army and the other services have dozens of different systems, large and small, that require careful management of parts supply. If not then there will be too many dollars spent and the necessary parts will not be available to maintain high levels of readiness.
Matthew Potter works supporting US Army aviation programs. He holds degrees in history as well as studying at the Defense Acquisition University. He has written for Seeking Alpha and at his own website, Defense Procurement News.
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