Performance-Based Logistics — Next Big Thing.pdfVIP

ProLogis Supply Chain Review Trends from the World’s Supply Chain Leaders Summer 2007 Performance-Based Logistics — Next Big Thing? Kate Vitasek, Author Managing Partner Supply Chain Visions n recent years, the Department of Defense (DoD) has adopted a creative approach for procuring logistics support for its weapon Steve Geary, Author Isystems, one that has been highly successful in stretching the DoD’s Partner support dollars and that also holds great promise for applications to the Supply Chain Visions private sector. The new approach, dubbed performance-based logistics (PBL), has been a key driver in helping the DoD to deliver higher performance and lower costs in procuring logistics support for its weapon systems. The DoD has credited PBL with a long string of successes, ranging Leonard Sahling, Editor from logistics support for simple parts such as tires to subsystems such First Vice President as engines — and in some cases, to full weapon systems. ProLogis Global Research At its core, PBL is a new collaborative business model designed to 303-567-5766 align the interests of both the client (e.g.,