Reduction of Total Ownership Costs (R-TOC) Best Practices Guide
Abstract
The purpose of the Reduction of Total Ownership Costs (R-TOC) program is to achieve readiness improvements in weapon systems by improving the reliability of the systems or the efficiency of the processes used to support them. New technologies and management practices may provide significant opportunities to improve readiness and reduce ownership costs. In recent years, world-class suppliers have achieved cost reductions while making major improvements in customer support. Some Department of Defense (DoD) programs have achieved similar successes in adopting private sector improvements in logistics and supply chain management. A May 1999 memorandum from the Under Secretary of Defense for Acquisition, Technology and Logistics (USD/AT&L) stressed that the purpose of R-TOC was to maintain or improve current readiness while reducing operations and support (O&S) costs. The memorandum instructed the Services to focus on three general R-TOC approaches. * Reliability and maintainability (R&M) improvements * Reduction of supply chain response time and reduction of logistics footprint * Competitive product support
Document Details
- Document Type
- Technical Report
- Publication Date
- Jul 01, 2003
- Accession Number
- ADA421455
Entities
People
- Danny L. Reed
- Leon S. Reed
Organizations
- Institute for Defense Analyses