An Evaluation of Contract Termination Models for Secondary Items in Long Supply

Abstract

This study discusses the use of decision models by the U.S. Navy in determining whether or not to terminate contracts for secondary items which have been identified as being long supply. Long supply for this thesis is defined as those items which are in excess of forecasted requirements and have one or more outstanding contracts either initiated or awarded. The decision variables and parameters used in the Chapman Termination Model and the Naval Supply Systems Command's termination model are evaluated in an attempt to determine the feasibility of using each in a working environment at the Navy Aviation Supply Office. The Chapman Termination Model is determined to be an unsuitable model due to the assumptions it makes regarding the availability of certain data, the timeliness of actions, and the relationship between the item manager and the buyer. Recommendations are given for the combining and implementation of the Naval Supply Systems Command's model with the Online Requirements Determination Model currently used by the Navy Aviation Supply Office to form one decision model which could be used by item managers at both Navy inventory control points.

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Document Details

Document Type
Technical Report
Publication Date
Jun 01, 1990
Accession Number
ADA238636

Entities

People

  • Steven W. Berger

Organizations

  • Naval Postgraduate School

Tags

Communities of Interest

  • Ground and Sea Platforms
  • Human Systems

DTIC Thesaurus Topics

  • Acquisition
  • Application Software
  • Commerce
  • Computer Programs
  • Computers
  • Contract Administration
  • Contractors
  • Contracts
  • End Items
  • Inventory
  • Inventory Control
  • Logistics
  • Mainframe Computers
  • Management Personnel
  • Manufacturing
  • Organizational Structure
  • Procurement

Readers

  • Industrial Economics
  • Life Cycle Cost Analysis
  • Software Engineering