Supply Support Costs of Combat Ships Can Be Reduced by Millions and Readiness Enhanced

Prior reviews by GAO of the Navy's supply support of its submarine and aircraft carrier fleets disclosed that opportunities for significant reductions in inventory excesses and increased readiness exist for the Navy's fleet of combat surface force ships. Thus, GAO undertook a review of the Navy's supply support of its combat surface force ships in the Atlantic and Pacific Fleets.

In its review, GAO found that the Navy can save as much as $101 million over a 5-year period on procurements and repair of supplies and parts for combat surface force ships. This can be accomplished by improving: (1) shipboard supply management policies; (2) methods for updating shipboard inventory allowances and equipment part replacement rates; and (3) shipboard supply management practices. Additionally, GAO found that unneeded items stocked for prolonged periods by some ships were urgently needed by other ships. Thus, fleet supply readiness would also benefit from the needed improvements in ship supply management.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

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