Department of Defense Appropriations for 1994 Hearings Before a Subcommittee O
Department of Defense Appropriations for 1994 Hearings Before a Subcommittee O
United States Congress House Committee On Appro
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5 percent, down from 16 percent in 1988. That is a critical ratio and I think shows we are doing a good job in the area of inventory reduction. Procurement lead times have dropped from 91 days in fiscal year 1988 down to 65 days today. That saves a lot of money, saves us from buying things that we don't need and allows us to keep less inventory. We have also increased the disposal of obsolete material ten-fold, a thousand percent, from $400 million in fiscal year 1998 147 to $4. 2 billion last ...year. So, we are pushing out substantial amounts of stock in order to reduce inventories. We are very proud of this progress and we have a detailed plan in place to continue this effort. We are also updating our sparing methodologies, concentrating our management and resources on the spares that contribute most to operational availability. Our afloat and plane side allowances will reflect this relationship and we will rely heavily on the whole- sale supply system for additional levels of support.
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