Development of a Defense Logistics Agency Market Basket
Abstract
The DLA Market Basket model is an analytic approach for measuring DLA's performance of providing wholesale supply support to its customers. This approach closely follows that used by the U.S. Department of Labor, Bureau of Labor Statistics in developing the Consumer Price Index. The Market Basket is a representative sample of the population of items managed by DLA developed using stratified sampling techniques. From this sample of items, data are collected and four performance indicator values are computed. The indicators measure the rate of change in the Basket's four performance measurement areas over time. The four measurement areas are: Price, Sustainability, Availability, and Quality. Each performance area is measured by a mathematical rate equation. These equations are composed of several related data elements. DLA management can use these indicators to measure and track supply support performance over time. Analysis of the supporting data, also generated by the model, can be used to explain the indicator values and to isolate areas where business improvements may be needed.... Market basket, Statistical sampling, Sampling, Performance indicators, Supply management.
Document Details
- Document Type
- Technical Report
- Publication Date
- Apr 01, 1993
- Accession Number
- ADA265555
Entities
People
- Mark Melius
Organizations
- Defense Logistics Agency