The Ministry of Defence (MOD) has today announced that Leidos has been chosen as the preferred bidder for the Logistics Commodities and Services (Transformation) (LCS(T)) programme.
In July 2012 this Government announced the start of an LCS(T) Assessment Phase with the aim of ensuring that the MOD is able to continue to deliver logistics and commodities services our Armed Forces require in a way that provides value for money to the UK taxpayer.
LCS(T) will provide significant operational effectiveness by delivering improved responsiveness and agility. It will also improve efficiency in warehousing procurement and stock control of food, clothing, general and medical supplies as well as storage and distribution. It is also expected to deliver financial savings of around £0.5 billion over the next thirteen years.
There are still a number of steps in the commercial process before the deal is concluded and a contract signed. The MOD can confirm that, subject to contract signature, the preferred bidder proposes to construct a defence fulfilment centre next to the existing MOD site at Donnington in Shropshire.
Minister for Defence Equipment, Support and Technology, Philip Dunne MP said:
Today’s announcement is a key step in bringing Defence logistics up to the standard of industry best practice. It will deliver state of the art warehousing systems to improve availability of supplies and better management of inventory for the Armed Forces.
Further details on the programme will be released once contract negotiations have concluded.
MOD Chief of Materiel, (Land), Lieutenant General Chris Deverell, said:
Our priority is to provide the best possible support to military operations and maintain levels of quality and service to our Armed Forces as well as being able to meet their changing needs.
LCS(T) will significantly increase our ability to do that, whilst at the same time saving money for Defence.
Leidos, formerly known as Science Applications International Corporation, has 20 years of integration and logistic experience providing end to end solutions in Defence, Health and Engineering programmes.