DoD’s Next Crisis: Excess Inventory

Discussion in 'Americas' started by Zebra, May 29, 2012.

  1. Zebra

    Zebra Senior Member Senior Member

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    May. 28, 2012 - 11:48AM |
    By ZACHARY FRYER-BIGGS

    [​IMG]
    [Rows of mine-resistant ambush-protected vehicles are staged in the port yard of the Charleston, S.C., seaport prior to shipment to U.S. Central Command. (U.S. Army)]

    With billions of dollars in excess inventory stuffed in warehouses, and a flood of items expected to return from Afghanistan in the near future, the U.S. Defense Department is facing an inventory crisis without an easy way to eliminate extra items, a former director of the Defense Logistics Agency (DLA) said.

    That could translate to yet another cost that Pentagon planners have failed to foresee, and one they’ll have to address as the department tries to cut expenses.

    Keith Lippert, a retired U.S. Navy vice admiral who stepped down as DLA director in 2006, told an audience May 23 at the Defense Logistics and Materiel Readiness Summit in Alexandria, Va., that the inventory problem facing DoD is troubling given current fiscal pressures, and certain to get worse.

    “There is a need to dispose of material,” he said. “We have to free up this warehouse space, and in terms of priorities of all the things that they do at DLA and the services ... if there are 25 things that have to be done, disposal is probably number 26.”

    The excess inventory is all-encompassing: parts and supplies for vehicles, gear, weapons — everything the U.S. military has needed over a decade of fighting two wars.

    “You add to this everyone coming back from Afghanistan and Iraq, all the material coming in, it’s just going to compound the problem,” Lippert said.

    Beyond the issue of priority, Lippert said, excess inventory is also a practical problem. Many of the items must either be sold for pennies on the dollar, marketed for a higher value through foreign military sales, or destroyed, simply because the U.S. lacks enough space to store all the items once they return from overseas. All three solutions require manpower that is already stretched thin trying to keep track of needed parts in warehouses with too many items.

    DoD’s Next Crisis: Excess Inventory | Defense News | defensenews.com
     
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  3. nrj

    nrj Stars and Ambassadors Stars and Ambassadors

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    Some ground vehicles were manufactured specially to suit terrain of Astan & Iraq. Now experts say that there is no point in bringing them back to US as they will eating dust and money for unproductive maintenance. So its better to either sell them to some third world country or cut deal with a scrap importer :sad:
     
  4. Zebra

    Zebra Senior Member Senior Member

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    Few months back I saw an article that Israel is getting few stuff, not sure what happen after that.
    The best way, gift them to Iraq and A'stan.
     
  5. bhramos

    bhramos Elite Member Elite Member

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    Before they used to sell tanks and other military vehicles for just $1.. may be some pakistan or any other country who might replace US/NATO in Afghan.....
     
  6. W.G.Ewald

    W.G.Ewald Defence Professionals/ DFI member of 2 Defence Professionals

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    IA should put in a bid. By the way, the vehicles in the photo may have been produced right here in North Carolina.
     
  7. nrj

    nrj Stars and Ambassadors Stars and Ambassadors

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    Yes IA is very interested in Strykers, but not sure if USA is willing to sell them :D
     
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  8. W.G.Ewald

    W.G.Ewald Defence Professionals/ DFI member of 2 Defence Professionals

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    Plenty of MRAPs available.
     

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