That's why over 40 o the FORTUNE 500 companies look to United Van Lines for
Talking about quality is one thing; delivering it is another. At United Van Lines, we agree with the belief that "you're judged by the company you keep." We've worked hard for more than 40 years to earn our quality reputation and to gain the trust and recognition of Corporate America. But we're still not satisfied. We know that a true commitment to quality is a never-ending process of monitoring customer expectations ... and meeting those expectations better than anyone else.
Let United Van Lines be your total transportation service partner. You'll immediately recognize the quality difference. Call your local United agent. .. or call our World Headquarters at 1-800-948-4885.
George D. Magee
(Hint: He's the one next to the marketing director.)
COMING THIS SPRING • Plan to exhibit at the
Transportation Symposium "Managing to the Pace of Change" May 27 - 30, 1997
Norfolk Waterside Marriott Hotel Join your industry counterparts at this new expo It' s sure to become a major force in the transportation and logistics arena. You won't want your company ta be left out.
Today, more accountants, marketi ng directors and construction workers are servi ng in uniform than ever before. In fact, mare than 50 percent of today's military is made up af members of the Guard and Reserve Which mean s pe op le from all wa lks of life are even ma re relied upon ta ma ke up our armed forces. So if you employ members of the Guard and Reserve , please give them the freedom ta protect ours. (And, by the w a y the marketing director is next to the school tea c he r.) For
Denny Edwards, NDTA Director of
(703) 751-5011, Fax: (703) 823-8761 email: ndta@pop.erols.com For Symposium Information LCdr. Brian Bialas, NAVTRANS
Ms. Lana R. Batts, Exec. Dir., Intersta te Truckload Carriers Conf
Dr. Jerry R. Foster, Associate Professo r, College of Business, University of Colorado
COL Norbert D. Grabowski, USA (Ret.), Ex ec. Ass 't., ND TA
Maj Gen John E. Griffith, USAF (Ret.), Transportation Logistics Consultant
Richard H. Hinchcliff, Consultant
Brig Gen Malcolm P. Hooker, USAF (Ret.), Membe r, Board of Directors, NDTA
Dr. Joseph G. Mattingly Jr., College of Busin ess & Man age ment, Univ of Maryland
Whitefield W. Mayes, Chief Engin ee r, Transportation Engin ee ring Agen cy, MIMC
Prof. Gary S. Misch, Valdosta State College Valdosta, Georgia
Dr. Richard F. Polst Jr., Professor, Transportation and Logistics, Iowa State University
MG Harold I. Small, USA (Ret.), Consultant
COL Joseph Torsanl, USA (Ret.), Consolidated Safety Servi ces Inc.
Dr. David Vellenga, Dean , Haw orth College of Business, Western Michigan University
Dr. L. Leslie Waters, Professor of Transportation , Emeritus, Indian a University School of Busines s
Dr. Clinton H. Whitehurst Jr., Seni or Fellow, Strom Thurmond Institute of Governmen t and Publi c Affairs, Clemson University
Editorial Objectives
The ed ito rial ob jectives of t h e D efense Transportati on Journal are to advance knowledge and scien ce in defense transportation, the partn er• ship betwe en the commercial transportation indu s tr y and the government tran sporter. DTJ stimulate s thought and effort in th e areas of defense transportation and log istic s by providing readers with:
• New and hel pfu l information about defens e t rans portati on issues;
• New theories or techniques;
• In format ion on research programs;
• Crea t ive views and syntheses of new co ncepts;
• Articles in subject areas that have si gn ificant curr en t impact a n th ought and practice in def ense transportation;
• Reports on NDTA Ch apters.
Editorial Polley
The Defe nse Tra nsportation Journal is designed as a forum for current research , op inion, and identification of trends in defen se tra nsporta tion Th e opinio ns expressed are th ose of the authors and not necessar ily of the Editor s, the Editor ia l Review Bo ard, orth e NDTA.
Editorial Content
For all corres pond enc e includ i ng manusc rip ts and books for revi ew, write :
Joseph G. Mattingly Jr., Editor Defen se Transportation Journal
Asst. Dean, Emeritus Van Munching Hall University of Maryland College Park, MD 20742 (301) 405-7163 - Voice Mail (30 1) 405-0146 - Fax (703) 256-3172- Home jmatting@deans.umd.edu-email
Dr. Joseph G. Mattingly Jr.
Ocean Transportation-Economic Regulation!
cent discussions and legislative proposals in the Congress have renewed the discussions about ecoomic regulation in the ocean transportation industry. As in the past, everyone (transportation carriers, shippers, regulators, legislators, educators, etc.) have an opinion on this subject. Many have vested interest in the legislation especially if certain functions are transferred to the Surface Transportation Board with the renaming of the Board to the Intermodal Transportation Board. The recommendations that regulatory agencies be funded with user fees clouds the issue. Mixed signals from the different branches of the federal government coupled with the different opinions of members of the industry tend to indicate that it will take Congress some time to act to sunset the Federal Maritime Commission.
I believe that the economic conditions that brought about the regulatory commissions including the Federal Maritime Commission and all the other legislation concerning economic regulation of the industry have changed. I do not find too many objections to this position. If most of the government and industry leaders also agree that this is so, one would think that the proposal and passing of legislation to eliminate economic regulation of the transportation industry would be reasonably easy to accomplish. The remaining government concern would be to improve safety performance and ensure national security. Given today's economic environment, is there any reason why the market and not the government cannot be the regulator of the carriers in the transportation industry? If not, is it not time to let the market be the regulator? I do not understand the continued promotion of inter-
modal transportation, etc., with taxpayer dollars from the general fund. The only valid reason for using general funds for promotions and subsidies that I can think of are those necessary to maintain an industrial base for national security. Why should not the users or consumers pay for the government's support of the industry through user fees.
I have read many studies which support economic deregulation and which make claims of many benefits accruing to the economy and consumers. If these studies are true, can anyone argue for economic regulation of the transportation industry? DTJ
Ideas expressed on this page are solely the ideas of the editor and do not necessarily reflect the position of the NDTA or any other officer or member ofNDTA.
When you need proof that an important package got where it was supposed to, when it was supposed to, the only place you really need to look is your computer screen. At UPS, when an overnight delivery is signed for we electronically capture that signature on our driver's hand-held computer and download it to our mainframe
Then, using UPS OnLine'" Tracking Software, you can view it right on your computer. So now, if anyone tries to say, " I didn't get it:' you can print out their signature as absolute proof that they did. Electronic Signature Capture Only from UPS
MOVING at the SPEED of BUSINESS
'.'
LTG Edward Honor, USA (Ret.) President
We are well into 199 7 and each year provides an opportunity for NDTA members from military, government and industry to rise to new heights in partnering to improve the Defense Transportation System (DTS). I would be the first to acknowledge that we have a good system, but there are still giant steps that must and can be made as we set our azimuth toward the next millennium. NDTA national committees will remain at the forefront in working with the Department of Defense, USTRANSCOM, private sector companies and others to assure that a good DTS becomes a great DTS. I continue to be impressed with the willingness of our private sector transportation leaders to share information with DOD executives on the best industry practices and DOD's commitment to embrace change where it makes sense.
Many of you will receive this issue of DTJ while attending the Military Traffic Management Command Training Symposium . The theme for this year's symposi um is "On the Horizon-21st Century Traffic Management."The agenda for this symposium is indicative of an organization that provides value to the Defense Transportation System. I would encourage attendance and that you participate in this excellent training experience. To complement this training effort, I cordially invite you to visit the industry exhibits hosted by NDTA to see the latest in products and services. On behalf of all of us in NDTA, I congratuiate MTMC on its 32 years of service to our armed forces and the Nation.
This is an election year for your Association. All Chapter Presidents and Regional Officers have information on the voting process. I encourage your participation, as it is your opportunity to help elect the National •leadership of your organization for the next two years.
Nominations must be submitted by June 1997.
Our F6rum Planning Committee met during January to lay out the professional program for our 52nd Forum and Exposition. I wish to thank the government and private sector participants who did a superb job in detailing candidate issues to be addressed. In this connection, a hotel reservation form is included in this issue of DTJ. The Oakland Marriott City Center is our headquarters hotel and will only house one-quarter of our expected participants. I have personally visited all of the other hotels we plan to use and can assure you that they are excellent facilities and are only a short distance (12 minutes at most) from the headquarters hotel. Complimentary shuttle transportation will be provided during the entire Forum. Mark your calendars now and plan to attend from 27 September to 1 October 1997
During February, VADM Philip Quast relinquished command of the Military Sealift Command ·to VADM James B. Perkins III. I welcome VADM Perkins to his new job and we all look forward to working with him and his participation in NDTA.
I have noticed over the last eight years that some chapters never nominate members for a National award, yet their chapters are doing very well. Is this an oversight because the year got away from you? To avoid the rush, put your Awards Committee to work now. We need to recognize, in a positive way, those who work to support our Association. As a reminder, applications for Merit Scholarships are due in mid-April. Remember, high school students entering their freshman year in college are also eligible. I ask that you spread the word on this program.
In closing, I would like to challenge all or our members to help recruit new members and retain those we already have. For the remainder of this year, I ask that each member get at least one new member. The time is now to almost reach our potential. Can I depend on your support? DTJ
'Security ct
Fu lfi 11 i ng a Strategic Maritime Imperative
by VADM Albert J. Herberger, USN (Ret.), Maritime Administrator
.. .America is a seafaring nation. And while the seas are the water highways to the world, they are also, as was once said, the heart's blood of the earth. The strategic imperative upon us then, as a maritime nation, is to maintain an economically viable merchant marine-a merchant marine who fly the flag of the United States and carry America's cargoes on the water highways to the world. The Maritime Security Act of 1996 works to fulfill that strategic imperative.
Federico Pef\a as Secretary of Transportation, December 20, 1996
On October 8, 1996, President Clinton signed into law th e most important maritime legislation enacted in a quarter of a century. Public Law 104-239 established the Maritime Security Program to assure that the United States has a fleet of U.S.-flag commercial cargo vessels needed to carry critical supplies during times of national emergencies or war.
The legislation replaces the existing Operating Differential Subsidy Program which, for most liner vessels, will expire on December 31, 1997. The new Maritime Security Program authorizes a $1 billion, 10year program with vessel payments capped at $2.1 million per vessel annually. Slots were authorized for 47 American owned, Am erican flag and American cr ewed vessels to enroll and participate in the Maritime Security Fleet.
The legislation provides that U.S flag vessels of 15 years of age or less, owned and operated by U.S. citizens and crewed by U.S. citizens, were eligible to apply for operating agreements under the new program. Vessels under ten years of age, operating under a foreign flag, could also apply for an agreement , but if accepted into the program, must be operated under the U.S. flag with U.S. crews.
The new law further stipulates that companies operating vessels in the Maritime Security Program:
• may only operate such vessels in the foreign commerce and not in the coastwise trade;
• are not required to operate under essential trade route restrictions but may instead follow the cargo without the need to obtain government approval;
e, must enter into an Emergency Preparedness Agreement with the Department of Defense to make available to DOD its vessel and non-vessel resources , terminal facilities and intermodal systems, equipment and management services;
• may replace an older vessel under the U.S.-flag with a newer vessel without the need to obtain government approval;
• may own and operate foreign-flag feeder vessels not calling at U.S. ports without the need to obtain government approval;
• and may operate a U.S.-flag liner vessel over the age of 25 built with the aid of the Construction Differential Subsidy in the coastwise trade.
The new legislation further extends to American merchant mariners who serve during a war, armed conflict , national emergency or mobilization the same reemployment rights as guaranteed to Reservists and National Guard personnel.
Implementation
Upon enactment of the law, we began the implementation process in concert with the Department of Defense and, in particular , with the U.S Transportation Command. First, we determined the most appropriate mix of ships. Then we reviewed the applicants and their vessels as to their importance in sustaining a presence in our international commerce as well as their contributions to our national security.
As part of this process, we paid particular attention to sealift needs that could be filled efficiently by the commercial fleet. The U.S. Transportation Command fully agreed with the selection of vessels for the program, based on factors such as : intermodal system capacity, magnitude of commercial transportation resources, diversity of trading patterns, commercial viability, opera-
Serviee That Speaks For Itself
We're not going to tell you why Interstate is your I And that's not all. For the second consecutive best choice for moving and storage services. year, we've held the highest Customer SatisfacWe'd rather show you! tion Index Rating of any major carrier for the
In recognition of our strong dedication to customer satisfaction, we are proud to be the recipients of the MTMC Quality Award. In fact, we were the only van line carrier to receive the prestigious honor, presented by the U.S. Department of Defense ... the industry's largest customer.
industry's second largest customer, the General Services Administration.
Since 1943, we've been providing "Top Hat" service to customers all over the world. So if you're looking for a van line who is all action and no talk, give Interstate a call today.
tor experience and vessel size, type, and military utility. The diverse mix of ships and services repr esented by the Maritime Security Fleet gives the Department of Defense the immediate capability not only to satisfy sustainment requirements but also to fill the gaps in surge capability. The program further contributes to the Department of Defense's Power Projection St rategy by providing a reliable and dependable source of both sealift and U.S. citizen crews as a resource for the military to draw upon during contingencies.
Why VISA?
• Provides DOD with assured access to U S. Maritime Industry's Worldwide Intermodal Systems (vessels, intermodal capacity, equipment, ITV management services, terminals, door-to-door transportation systems).
• DOD gets assured access to multi-billion dollar U.S. carriers intermodal capital base .
• DOD gets access via U.S. carriers to global partnership capacity.
• Seamless transition peace to war (pre-lodged agreements and compensation factors, jointly planned transportation solutions prior to execution).
• Avoids costly acquisition and maintenance of containterships in the RRF which would also impact on crewing requirements.
----VISA Objectives----
A Sealift Readiness Program That:
• Assures DOD access to critical sealift capability for national security contingency requirements.
• Contributes to a robust and healthy U S. merchant marine.
• Balances defense and economic elements of civilian transportation for national security.
Joint Planning Advisory Group
• Organized under purview of Defense Production Act
• Membership: MARAD (co-chair), USTRANSCOM (cochair), Industry, DOD, and Maritime Labor
• Frequency Peacetime-quarterly Contingency-as necessary
• Purpose
• Identify/discuss DOD requirements
• Recommend concept of operations to meet requirements
• Test/exercise program arrangements
• Provide anti-trust defense for pooling/teaming requirements
The 47 ships authorized by the legislation include:
e, 21 large containerships (those which can carry more than 3,000 20-foot-long containers or boxes);
• 15 medium containerships (which can transport up to 3,000 boxes);
e, 5 barge-carrying ships (known as LASH vessels);
• 3 ships which can carry both containers and vehicles that can be driven on and off, and
• 3 car/truck carriers.
By eliminating outdated trade route restrictions and other limitations, the program provides the flexibility companies need to operate in worldwide trade routes. And it assures the nation that a U.S.-flag transportation presence will be maintained in international commerce.
Voluntary Intermodal Sealift Agreement
The Voluntary Intermodal Sealift Agreement or VISA is part of this revitalization effort. Built on the lessons learned from DESERT SHIELD and DESERT STORM, the new agreement houses the mechanism in which carriers will provide origin to destination transportation services during military contingencies. Secretary of Defense William Cohen formally approved the VISA program on January 30, 1997.
Within the framework of VISA, we established a Joint Planning Advisory Group to identify potential problem areas for sealift and develop appropriate solutions. This joint executive-level Group, consisting of the U.S. Transportation Command, the Maritime Administration, maritime labor and commercial shipping companies, worked to ensure a clear understanding of the sealift requirements and capabilities among the participants.
Benefits for the Department of Defense
Bringing the carriers into the Department of Defense planning process established a precedent and served as the crowning jewel in the VISA strategy. By using a time-phased plan to provide capacity to meet varying levels of crisis, carriers can plan for options for ongoing commercial arrangements during contingencies while concurrently meeting defense transportation needs. The companies' sophisticated systems for in-transit visibility also give the Department of Defense a more effective and efficient method of tracking and directing the movements of munitions and materiel from the factory to the frontline areas.
By relying on the U.S.-flag fleet, the Department of Defense receives at no additional cost, access to a total global, intermodal transportation network-a network that includes not only vessels, but also logistics management services, infrastructure, terminals and equipment, communications and cargo-tracking networks, and 20,000 well-trained, professional U.S. citizen seafarers as well as 22,000 shore side employees located throughout the world.
In packaging all these elements, we capitalize on the assets of a multibillion dollar capital base while maxi-
.. .Let me put the importance of the merchant marine into perspective. Think back to the days of Commander Decatur when America was a young and growing nation. American merchant shipping vessels were being stopped in the Mediterranean r:ind preyed upon by the Barbary Pirates sailing From Algeria, Tunisia, and Libya. They attacked 'JUr merchant seamen, took hostages, and stole the ships and their cargo. The United States was w outraged that we expanded our Navy severalfold to protect our merchant marine because we •ecognized that America's future was forever tied '.O the free movement of American shipping on the 1igh seas.
Today, after two centuries, the Merchant Marine :.S every bit as important and every bit as vital to 'he commerce and defense of our nation as it ever 1as been. In addition to America's commercial 'nterests, which included the movement of more 'han 900 million long tons last year, the U.S. mifr'.ary depends on sealift to move 95 percent of the naterial required for a major regional contingency.
General John M Shalikashvili, Chairman, Joint Chiefs of Staff, February 1997
mizing the industry's modem door-to-door transportation capabilities . And all the while, the carriers maintain their flexibility by pooling their resources and rationalizing their services.
This is the closest working relationship between ocean transportation providers and the Department of Defense in more than. 40 years . As a result, strong public-private partnerships are being forged in peacetime rather than war. And as a form of sustainment sealift, the Maritime Security Program is unparalleled and satisfies the Department of Defense's requirements into the 21st century.
Beyond the Water's Edge
It is my privilege to serve as Maritime Administrator in an Administration which recognizes that the nation's transporta,tion system does not stop at the water's edge. Our ports and harbors, tugs and barges, oceangoing ships and Great Lakes vessels as well as the nation shipyards and supplier industries all contribute to our economic well-being and our strategic security.
A New Blueprint
In supporting the legislation establishing the Maritime Security Program, the President and Congress structure a
Quite simply, without this legislation (the Maritime Security Act) the United States might have lost its merchant marine. Some of our nation's most honored former military leaders let us know last year, in no uncertain terms, just how costly that would be. Our Armed Forces are counting on the U.S.-flag merchant marine to bring them the supplies they need to sustain their operations on hostile shores. If history has taught us one lesson we should hold a deep appreciation for the importance of the U.S.-flag merchant marine to our nation's security.
Senator Trent Lott (R-MS), Majority Leader, January 1997
MSP Contractors
American President Lines, Ltd.
Central Gulf Lines, Inc.
Waterman Steamship Corp.
Crowley American Transport, Inc.
First American Bulk Carrier Group Corp.
Farrell Lines Incorporated
Lykes Bros . Steamship Co., Inc. Maersk Line, Ltd.
OSG Car Carriers, Inc.
Sea-Land Service, Inc.
Total
new blueprint for our national maritime agenda and national defense. Secretary of Defense William Cohen and our new Secretary of Transportation, Rodney Slater, have joined in reaffirming our nation's strong commitment to strengthen our U.S.-flag merchant marine, recognizing that American ships and skilled civilian seafarers are the linchpins in meeting future sustainment sealift requirements and emergencies.
Clearly, the Maritime Security Program fortifies America's economic and national security and fulfills the mandated strategic imperative-to sustain and strengthen an economically viable merchant marine. CTTJ
Changing Medical 1Distribution Practices and the Future of Contingency Supp•ort
Part 1
By George D. Magee
INTRODUCTION
Since the close of Operation Desert Storm in 1991, the Department of Defense (DOD) has made significant changes in the channels of distribution for medical materiel. Recognition of the potential cost savings, and increasing budget and congressional pressures have resulted in the adoption of a number of commercial practices for the ordering and distribution of medical materiel in support of the Military Health Services System (MHSS). 1 These changes in business practices have significantly altered how medical materiel is transported in support of peacetime operations.
Although these changes are projected to produce significant efficiencies in the peacetime distribution of medical materiel, the ability to transition this system to support wartime or contingency operations is a major concern. In peacetime, the focus of the distribution system can be to minimize costs for particular levels of customer service. Support for wartime or contingency operations have a different objective, and are subject to different constraints In wartime the effectiveness of the support becomes paramount and the primary constraining factor shifts from one of cost efficiency, to one of scarcity of transportation and distribution resources.
This paper will describe the traditional distribution and transportation system used in peacetime and wartime to provide medical materiel support. The emerging commercially based peacetime practices will be examined, and the adaptability of those practices to support of wartime or contingency operations will be examined .
RESEARCH ISSUE
The primary research issue centers on the question of whether the emerging pattern of peacetime distribution channels for medical materiel can provide a basis for the transportation and distribution of medical materiel during contingencies and wartime. A follow-on question is how best to mold the emerging systems of transportation and distribution to best support contingency operations.
TRADITIONAL PROCESS
The traditional military medical materiel logistics sys-
tern is based on maintaining significant levels of inventory in a depot based system During peacetime, medical materiel is transported to overseas Army activities primarily through an Army transportation program called MED-ALOC (Medical Air Lines of Communications). Under this program, medical materiel is packed, marked, and palletized for air shipment at consolidation points established at the Defense Logistics Agency (DLA) depots in Mechanicsburg, PA, and Tracy, CA. The prepared pallets are then trucked to the aerial ports, Dover Air Force Base, DE for Europe, and Travis Air Force Base, CA, for the Pacific, for air shipment overseas on Air Mobility Command (AMC) aircraft. This peacetime process also serves as the basis for contingency and wartime support.
During contingencies, the initial resupply too deployed or deploying units is often provided in a push method based on preconfigured resupply packages. The materiel is pulled from depot inventories, palletized for air shipment, and trucked to the primary military aerial port supporting the contingency. The materiel is then air lifted by AMC aircraft. As communications links become more reliable, and a clearer picture of the items required in the theater becomes available, the process transitions from a push based system to a pull based process. The deploying units use the Military Standard Requisitioning and Issue Procedures (MILSTRIP) to request the needed medical supplies. These can be requested as individual line items, or resupply packages can continue to be requested.
The supplies still originate primarily through the depot system. The materiel is prepared for shipment (packed, marked and palletized) and trucked to the supporting aerial port for transportation to the theater. Items not available through the depot system are purchased and normally delivered to the depot consolidation point for packing, marking, and palletization along with the depot materiel. The basic pattern of support is consistent with the process used during peacetime. The processes are in place and personnel are familiar with them.
This basic pattern of medical materiel distribution has been followed in all the recent contingency operations. It was the basis for the medical materiel support to
World-class service , over 900 official government contract routes worldwide, and great fares are all part of ourcom • rrutment to helping you get where you need to be So, no matter where you go on official government businessw, , erereadyAm • · encan offers nearly 4,000 daily flights to over 260 •• c1t1es including the ' U.S., Europe , , anada LatinAmerica,Japan C M ' exico and the Caribbean. Just callsato'Iravel, your 1ravel encan Airlines AgentorAm • at 1-800-433-7300 •• , OrVISlt our Internet address at http:#www.americana.ir.com -and we'll keep you • movmg.
We're
Operation Just Cause in Panama 1989, and to Operation Desert Shield/Storm in 1990 and 1991
During Operation Desert Shield/Storm a variation of the basic support concept included the use of pre-existing overseas medical logistics facilities. During Operation Desert Shield/Storm, the U.S. Army Medical Materiel Management Center, Europe (USAMMCE) located in Pirmasens, Germany, became a hub for moving medical supplies into theater. Supplies moved into theater both from the CONUS (Continental United States) base and from USAMMCE. USAMMCE, also provided packing, marking and pal-
routinely providing the peacetime medical logistics support. However, changes are taking place in the existing peacetime practices which will influence the medical materiel transportation and distribution support for future contingencies and wars.
CHANGES IN PEACETIME PRACTICES
With strong encouragement from Congress 10 , the Department of Defense has been reengineering its peacetime medical logistics practices. The primary focus of this reengineering has been to reduce the delivered cost of the medical materiel. The letization support for materiel being air shipped from Europe into theater ! In the South West Asia theater of operations five medical logistics battalions were eventually configured into a
A general lack of transporta-
changes in the business processes have focused on three major areas : improving information flows; reducing transportation times; and reducing inventories. tion assets in theater slowed It is obvious that these three medical supply network for supporting the 44 Army hospitals,' two Navy Hospital Ships, three Navy Fleet hospitals,4 and 15 Air Force Air Transportable hospitals. 5 established in theater.
Even with the integration with the mainstream transportation flow, several problems were noted with the distribution network for medical materiel. A general lack of transportation assets in theater slowed the distribu-
materiel between the aerial
ports of entry, and the
in-theater
medical logistics units, and between the tion of medical materiel between
the distribution of medical areas are interrelated. The improvement in information flows is a key enabler to allow continued effective support while reducing costs. Reduced transportation times are a key component for reducing inventories. Reductions of inventories allow for not only one-time savings in inventory investment, but savings in the infrastructures that have arisen to handle and manage those inventories.
A favorable cost environthe aerial ports of entry, and the I o g i st i cs u n i ts and in-theater medical logistics units, the ment in the commercial logistics channels has provided further impetus for the transition from traditional military transportation and distribution and between the logistics units and the deployed hospitals. • deployed hospitals. However, the in-theater transportation and distribution prob1ems were not unique to the medical commodity Ground transportation units designed, organized and equipped to provide support to units up to 90 miles from their main supply bases were having to support units more than 600 miles from these support bases. ' Problems with communications and systems compatibility also reduced the effectiveness of the distribution process. 8
The same basic transportation and distribution methods were used successfully to support the humanitarian operations in Northern Iraq in 1992 "Operation Provide Comfort), and in Somalia in 1993 "Operation Restore Hope) By the time of Operation Restore Hope problems with communication links and information systems compatibility had been overcome using satellite communications systems. •
This series of operations and deployments served to exercise and reinforce the military depot and military air transportation based distribution methods. This process capitalized on the processes and structures that were
systems to commercial systems. A 1993 article in Distribution announced that logistics costs had dropped to record low levels, and had dropped from 16.3% of the Gross Domestic Product (GDP) in 1982, to less than 11 % of GDP in 1992.11
The primary change in transportation support has been the transition to commercial air carriers for transporting medical materiel overseas This program, called Medical Air Express (MEDEX), was developed jointly by DLA and AMC. The concept was tested starting with shipments to the Pacific in 1993, and was expanded into a worldwide network in 1994. Major channel routes, such as the route to USAMMCE in Europe, were handled through AMC contracts with carriers such as Federal Express. Routes with less traffic are being handled via tender arrangements with carriers. As currently operating, depot consolidation points take materiel from depot inventories and directly from commercial sources and prepare the materiel for shipment, The prepared shipments are then trucked to the commercial carrier for air
Whether you're shipping a satellite dish er fine china, Emery Worldwide has the global, multi-modal resources to bring your product to market.
We deliver more than just air freight. Our total solution includes air, ocean, customs brokerage, expedited services an d complete logistics capabilities supported by over 580 offices worldwide and the highest level of information and technology systems. And we're tuned-in to your transportation needs. We've even created dedicated groups to support the special requirements of18 industries, from aerospace to electronics. 1-800-888-7997
transport. The carrier is then responsible for delivery of the materiel to the ordering medical activity overseas.12
Significant savings in transit times have been noted, Estimates of 96 hour transit times for MEDEX shipments are contrasted with 60 day plus transit times for orders delivered via surface seavans.13 These times are also considerably lower than the transportation times under the MED-ALOC (military air transport) program. The transportation rates for MEDEX are also lower than the costs
To order, write, call, fax or E-mail us at: P.O. Box 2347, Falls Church, VA 22042-0347 Phone: 7 03-237-0203 , Fax: 703-237-2233 E-mail: milliving@aol.com
being charged the customers for MED-ALOC service. The MEDEX program is projected to save $1 million in transportation funds for FY 95. 14
The relevant cost of the transportation support becomes a complex issue. The transportation costs for MED-ALOC represent a reimbursement to AMC, and helps subsidize the operating costs of the existing military air cargo fleet. In 1992, the Air Force was criticized for not making adequate use of the peacetime cargo capacity of the military cargo fleet. 15 In effect, AMC charges transportation fees to customers within the military, to offset the operating costs of maintaining a ready fleet of air cargo aircraft. The GAO report argues that by making greater use of the peacetime capacity of the military air cargo planes an additional $21 million could be generated to offset readiness and training costs for the air cargo fleet. 16
An argument could be made that these transportation fees a.re not a relevant cost since they subsidize readiness and training costs for DOD's strategic cargo airlift. However, the activity or agency paying the transportation bills with scarce transportation funds views the MEDEX program as a more cost effective alternative then the NED-ALOC program.
The issue becomes further clouded with the introduction of the Civilian Reserve Air Fleet (CRAP). Under the CRAP program, U.S. civil carriers agree to commit cargo and passenger aircraft to supplement the Air Force fleet in emergency situations The CRAP program provides 32 percent of the Air Forces strategic air cargo lift capability, and 93 percent of the passenger capability.1' The incentives for participating in CRAP include a predetermined compensation rate if CRAP is invoked, and a share in DOD's peacetime military cargo and passenger service. 18 The contracts and tenders used in the MEDEX program are reserved for CRAP participants,19 and are therefore part of the incentive program for participation in CRAP. This means that the transportation funds are being used to either subsidize the training and readiness of the military air cargo fleet if MED-ALOC is used, or subsidize participation in the CRAP program if MEDEX is used.
The question of balancing military air shipment with commercial air shipment is not unique to the medical commodity. The Air Force has moved from military air shipment to commercial parcel carriers such as Federal Express, UPS, or DHL to transport critically needed aircraft repair parts, and is struggling with the readiness implications of this change.2°
In addition to the actual transportation cost issues, MEDEX is projected to allow significant reductions in inventories based on the improved transit times. The Defense Personnel Support Center (DPSC), the purchasing and inventory management center of medical materiel under DLA, has developed projections that MEDEX will reduce inventory in storage and in the transportation pipeline by more than $ 85 million. 21
In addition to the changes in overseas transportation support, the basic storage and distribution patterns in
A favorable cost environ-
The adoption of the Prime Vendor·program will allow DOD hospitals to adopt Just-In-Time and Stockless materiel management techniques, and significantly reduce inventories at tµ.e hospital level. Additionally, it will allow the Department to move away from a depot based system of support and will
increase reliance on the commercial distribution channels .
logistics
Achieved. GAO/NSIAD-92-175, AUG 1992, p. 12.
4. GAO 1993 Operation Desert Storm: Improvements Required in the
ment in the commercial Navy's Wartime Medical Care Program, GAO/NSIAD-93-189, APR 1991 , p. 2.
5. Cintron, A.E. and Magee, G.D. 1992. Medical Logistics Support to
channels has proDesert Storm, The Journal of the U.S. Army Medical Department, SEP/OCT 1992: 36 .
vided further impetus for
the transition from tradi-
tional military transporta-
tion and distribution
systems to commercial
systems.
By the end of Fiscal Year 1994, the DPSC had awarded 14 pharmaceutical Prime Vendor contracts, and four medical/surgical Prime Vendor contracts. 24 Sales through Prime Vendors amounted to $181 million or nearly 25 percent of DPSC's total sales for FY 94. 25 Deliveries directly to military activities from distributors (Prime Vendors) and manufacturers is projected to rise as high as 75 percent of DPSC sales in FY 95.26
The implications of the Prime Vendor initiative are clear. The traditional depot based system of providing medical logistics support in peacetime and wartime is being replaced by commercial distribution channels. OPSC has already begun planning drastic reductions in the range of materiel maintained in the depot system. Plans have been formed to reduce the number of pharmaceutical products stocked in depot from an August 1994 level of 1,179 items to a core level of 198 items!' DTJ
In the Next Issue ofDTJ: Part 2: Current Contingency Support Situation; Conclusion and Recommendation
REFERENCES
1. GAO 1991. DOD Medical Inventory: Reductions Can Be Made Through the Use of Commercial Practices. (GAO/NSIAD-92-58, DEC 93
2 Cintron, A.E. and Magee, G D. 1992. Medical Logistics Support to Desert Storm, The Journal of the US Army Medical Department SEP/OCT 1992: 35-38
6. GAO 1993. Operation Desert Storm : Army Medical Supply Issues, GAO/NSIAD-93-206, AUG 1993. p. 6.
7 GAO 1991. Operation Desert Storm: Transportation and Distribution of Equipment and Supplies in South West Asia, GAO/NSIAD-92-20, DEC 1991, p.10.
3. GAO 1992. Operation Desert Storm: Full Army Capability Not the CONUS base are also changing. The DOD is implementing a Prime Vendor program for distributing medical materiel to military activities in the United States. 22 Under the Prime Vendor program, commercial distributors provide frequent deliveries of ordered materiel directly to the military hospitals. Separate contracts for pharmaceuticals, and medical/surgical products are being developed for twenty-two geographic regions across the United States in order to support 118 DOD hospitals located in the United States. 23
8 GAO 1992 Operation Desert Storm : Full Army Capability Not Achieved, GAO/NSIAD-92-175, AUG 1992, p. 37.
9 Office of th e Assistant Secretary of Defense, Health Affairs 1994 Medical Readiness Strategic Plan 2001, p. D-5.
10 GAO 1991. DOD Medical Inven-
tory Reductions Can Be Made Through the Use of Commercial Practices, GAO/NSIAD)-92-58 , DEC 93
11. Foster, T. 1993. Logistics Costs Drop to Record Low Levels, Distribution. 92(7), 6.
12 Goggins, Major Patricia 1994 Customer Service Program Manager, Defense Personnel Support Center, Philadelphia, PA. Phone interviews on 16 and 29 NOV 1994
13 Goggins, Major Patricia 1994. Customer Service Program Manager, Defense Personnel Support Center, Philadelphia, PA Information sheet on MEDEX provided on 16 NOV.
21. Goggins, Major Patricia 1994. Customer Service Program Manager, Defense Personnel Support Center, Philadelphia, PA Information sheet on MEDEX provided on 16 NOV
22. Martin, E.D. 1993. Introduction of Prim e Vendor Support to DOD Hospitals, Memorandum for the Acting Assistant Secretary of Defense for Health Affairs to the Service Secretaries and Director of the Defense Logistics Agency, MAR 25 , 1993.
23 . Bird , Sarah M. 1993 . Prescription for Change, Army Logistician, NOV-D EC 93, 18-20.
24. Stewart D. 1994 . FY 1994 Annual Report, Electronic Mail Message from the Defense Personnel Support Center, 9 SEP 94
25. Skinner, E. 1994. Major Accomplishments/ Issues for October 1994, Electronic Mail Message from the Defense Personnel Support Center, 10 OCT 94.
26. Stewart, D. 1994 FY 1994 Annual Report, Electronic Mail Message from the Defense Personnel Support Center, 9 SEP 94
27. Skinner, E 1994 Weekly Activity Report - 26 August 1994, Electronic Mail Message from the Defense Personnel Support Center, 30AUG94
In peacetime or when conflict occurs, CSX's transportation companies stand ready to provide seamless global multi-modal transportation, with intransit visibility, to the U.S. defense effort. Our integrated system of rail, container-shipping, barge, intermodal, truck and logistics management serves
customers in more than 80 countries worldwide. Whenever we're needed and whatever we carry, we deliver total quality transportation.
We're proud to be partners with the Department of Defense in supporting the nation's defense strategy.
The 1997 NDTA Exposition at the MTMC Symposium
LOUISVILLE, KENTUCKY
Travel with Hertz & save.
Your NDTNHertz CDP #42265 is the key.
tiiJ hen you rent from Hertz using the number above, you receive special rates and discounts on your official and personal rentals. @nd now through March 31, 1998, you can take advantage of additional savings by using the coupons enclosed in this issue. Please read the coupons for important details.
®or reservations, call your travel agent or call Hertz at 1-800-654-6511. Be sure to present your NDTA membership card or the Hertz Discount Card enclosed at the time of rental.
National Defense Transportation Association
52ND ANNUAL FORUM AND EXPOSITION
Oakland, California-27 September to 1 October 1997
FORUM HOTEL RESERVATION FORM
Please indicate your 1st, 2nd and 3rd choice hotels by numbering the boxes at left, then complete registration form below.
Choice # Oakland Marriott City Center
Choice #
Headquarters Hotel
SGL/DBL $109
1-800-228-9290
Fax outside U.S.011-1-510-835-3466
Toll free from Germany: 01 30-854-422
Toll free from Holland: 06022-0122
Toll free from U.K.: 0-800-221-222
Best Western Inn at the Square
SGL/DBL $76 1-800-633-5973
Choice # 510-452-4565 Executive [nn
Executive Inn (Deluxe Kings available for $88-94; near airport)
SGL/DBL $75 510-536-6633
Washington Inn
Choice (at Convention Center; # historic inn)
SGL/DBL $88 510-452-1776
Choice Holiday Inn-Oakland Airport
SGL/DBL $83 # 510-562-5311
Cut-off date for reservations is September 9, 1997. After this date, reservations will be honored only on a space-available basis at convention rate.
PLEASE MAIL THIS ENTIRE PAGE TO:
OAKLAND C&VA, ATTN: NDTA HOUSING, 550 TENTH STREET, SUITE 214, OAKLAND, CA 94607
Rates are per night, per room and do not include state and local occupancy taxes of 11 %. Due to the limited number of room types, requests are honored on a first-come, first-served basis.
At press time the current maximum government per diem rate for Oakland was $109 ($75 lodging+ $34 meals and incidentals). There are per diem rated rooms available at each hotel and they will be assigned on a first-come, first-served basis. Reserve early!
FORUM AIRLINE RESERVATIONS
Watch for special Forum airline fares in the next issue of DTJ.
FORUM CAR RENTAL RESERVATIONS
Dollar Rent A Car has been designated as the official car rental company for the 1997 Forum. Dollar provides the best overall value to Forum attendees available at both the Oakland and San Francisco International Airports. Call now for our best prices, and see why Dollar makes sense.
• When you rent from Dollar Rent A Car and use the NDTA ID# NDOO0l, a portion of your rental fee goes to the NDTA Scholarship Fund.
• Rates include unlimited mileage (geographical limitations may apply).
• Dollar is located in-terminal in both Oakland and San Francisco International Airports.
• Rates are applicable Sept. 24 through Oct. 4, 1997.
• Rates include free LOW for renters on official travel status.
Age restri ctions may apply. Local taxes, airport fees, LDW, fuel cha rges not included. Call your professional travel agent or Dollar at 1-800-800-4000 and mention ID# ND000l when making your Forum reservation. Or, reserve through the Internet www.dollarcar.com
r.,s'\OfTR4,vs,. Maritime Administration
The Maritime Administration has '=¼, iJ announced the establishment of the 0 s,4 rEs a<~"' Voluntary Intermodal Sealift Agreement (see story page 8), pursuant to provision of the Defense Production Act of 1950, as amended. The purpose of the VISA is to make intermodal shipping services/systems, including ships, ships' space, intermodal equipment and related management services, available to the DOD as required to support the emergency deployment and sustainment of U.S. military forces. This is to be accomplished through cooperation among the maritime industry, and the Departments of Transportation and Defense.
In other MARAD news: The release of the updated quarterly report, Merchant Fleets of the World was recently announced. The report contains summary information on oceangoing merchant ships of 1,000-gross-tons and over, by flag of registry and major vessel type. The report may be downloaded from MARiinespike by dialing (202) 366-8505. Copies may be obtained from MARAD's Office of Statistical and Economic Analysis, Room 8107, tel. (202) 366-2267, or the Office of Congressional and Public Affairs, Room 7219, tel. (202) 366-5807, 400 Seventh St, SW, Washington, DC 20590
MTMC
Military Traffic Management Command recentl y announced its Transportation Engineering Agency (TEA) Employee of the Year Award. At an awards luncheon, Director Thomas Collinsworth presented Tom Lefebvre, a civil engineer in the infrastructure division, with the Leadership Award. Lefebvre's willingness to h elp others, his visionary outlook, and his composure under extreme stress make him an ideal leader. Also, his work on the ASMP saved the government over $50 million in 1996, making him a most valued employee
U.S. Department of Commerce
The nation's trucking and warehousing industries recorded operating revenues of $165 billion and $11 billion, respectively in 1995. These data were released recently on the Internet by the Commerce Department's Census Bureau.
Changes in the trucking industry between 1994 and 1995 include:
• Motor carrier revenue increased 4 .6 percent to $156 billion.
• Long-distance trucking revenue, which accounted
for nearly three-quarters of all fo r hire motor carrier revenu e, was up more than 4 percent .
• Local trucking rose 5 percent to approximately $40 billion.
• Revenue from the transportation of household goods rose more than 11 percent.
The full printed report, entitled Motor Freight Transportation and War ehousing Survey : 1995, BT/95 , will be released by the Census Bureau soon. A subset of the tables contained in the report is located on the Internet at http://www.census.gov/ftp/pub/svsd/www/tas.html.
(i)
Military Sealift Command
The U.S. Navy's Military Sealift Command awarded ,a firm, fixed-price contract in the amount of $145.7 million to Tarago Shipholding Corp. of Bethesda , Md., for the conversion and operation and maintenance of MV Tarago, a 754-foot, Bahamian-flagged, roll-on/rolloff vessel. MPF(E) ships will solve the problem of cargo space constraints experienced during the past decade in the existing Maritime Prepositioning Force Equipment growth has required that ships with larger cargo capacities be added to the existing MPF The converted ships will be used in both roll-on, roll-off and lift-on, lift-off modes, will be able to discharge both pierside , and instream , as well as transit both the Panama and Suez Canals.
Air Mobility Command
As outsourcing and privatization become the watchwords of the new year in AMC, bases throughout the command will use the process to pursue much-needed modernization programs. The ensuing efficiency of forces and funds allows organizations to maximize their resources, evaluate organizational structure, and deal with reduced funding and streamlined military operations.
Air Education and Training Command (AETC) has been particularly aggressive in pursuing outsourcing and privatization options. At Altus AFB, Oklahoma, a two-year outsourcing study resulted in awarding the largest contract ever in AETC to an in-house organization to oversee all aircraft maintenance. The entire chain of events increased the civilian workforce from 40 to 750 people between 1994 and 1996, while actually cutting the overall number of maintenance workers nearly in half.
An NDTA Success Story
by Norbert Grabowski
PIIC
Litton-PRC. The Fairview Heights,
Ill., office of McLean, Va.-based Litton-PRC was recently awarded a task by the Joint Personal Property Shipping Office - Washington Area OPPSO-WA) to develop and install a prototype Document Imaging and Workflow Management (DIWM) system in the Non-Temporar y Storage Division.
Union Pacific Railroad. Union Pacific Railroad soon will begin construction on a $ 70 million state-of-the-art intermodal terminal at Marion, Arkansas.
....,. ,Trans World Airlines. TWA recently
•
announced it will offer smoke-free service on all flights beginning April 1, 1997, according to TWA Senior Vice President Rod Brandt.
Mayflower Transit. Katherine M. Clark , chi ef executive officer of Clark Moving & Storage, Rochester, N.Y , received the prestigious Joyce Derrick Award for exceptional contributions to Mayflower and the industry. The honor is in memory of Joyce Derrick, who died in 1993 after a 20-year career with Mayflower agency, San Diego Van & Storage in California
Valley Relocation & Storage. Valley Relocation & Storage, one of North northAmerican . American Van Lines' largest agents, expects to have a need for summer interns to schedule pick-up and delivery of household goods and shipments. If interested, contact Kevin Donahue, (301) 498-7776 .
Port of Corpus Christi. Congressman Solomon Ortiz received the "Person of the Year Award" from the National Association of Foreign Trade Zones (NAFTZ) on February 25 in Washington, DC, at the annual NAFTZ Legislative Seminar and Congressional Reception Ortiz was nominated by the Port of Corpus Christi Authority for his continued leadership in promoting and protecting Foreign Trade Zone (FTZ) issues.
OF CORPUS CHRISTI
LANDSTAR
Landstar Logistics . Landstar Logistics recently announced the appointment of Alan M. Whitten as Director, Business Development.
Ifyou ever wanted an advertisement for how NDTA membership can affect your life, Ron Conardy, Captain, United States Marine Corps (retir ed), is it! Ron joined NDTA as an eager A-35 member while attending the Naval School of Physical Distribution Managem ent in Oakland, California. After year s of loading military ships and planes, this was his first real exposure to transport ation as a multifunctional discipline, and he liked what he saw.
When Ron transferred to Hawaii as the Marine Corps' Traffic Managem ent Officer, he took his NDTA membership with him. He h it the Aloha Chapter with a bang, got deeply involved in the Chapter's A-35 activities, and was elected the President of the Chapter the following year. During his tenure, the Aloha Chapter hosted the 43d Annual ND TA Conference, and he also served as President of the Hawaii Transportation Council. Ron transferred back to San Francisco as in structor for the Naval Transportation Management School in Oakland, and became very active in the San Francisco - Bay Area Chapter, serving on the Board of Directors, on the Scholarship Committee, and A-35 Activities Cha ir. The Marines then moved Ron to Washington, DC, where he was elected to the Washington Chapter's Board of Directors and currently serves on the Emergency Preparedness and Membership Committees.
"NDTA expanded my professional horizon when I was in the Marine Corps," said Ron. "The organization gave me an insight into many aspects of transportation and enlightened me on the important role the commercial transportation industry plays in military readiness. I learned t o effectivel y communicate with people outside th e Defense sphere, an d the art of leadership by persuasion , " he said. He attributes hi s success in the military to a few outstanding mentors-both military and from industry-which he met through NDTA. Ron recently retired from the Marine Corps after 22 years of service He wanted to be hi s own boss in his second career, and h i s association with commercial companies through NDTA gave him the confidence to st art his own business . With the military drawing down and reducing their instructional institutions, and the upcoming changes in the DOD's personal property programs, Ron saw a need for a dynamic, up-to-date Personal Property Traffic Management course for the commercial industry and DOD personnel .
To fill this need Ron formed his own company, Transportation Management Training (TMT), and b efore the ink was dry on his concept, he alread y had two contracts to teach his course To show his appreciation for what NDTA has done for him, he has decided to sign up every student in his courses for a one-year membe r ship in NDTA at his expense . Ron said that " if they get half as much out of th eir membership as I did out of mine, the investment is worth it. NDT A is the fi n est profes sional organization I know o f . Through NDTA I have friends all over the world, and every place I went, I learned something through ND TA. It is an organization th at reaches out to its younger members and gives them many opportunities to grow professionally and socially."
we're building a better way to travel.
The future of government travel looms like a congested highway interchange. That's why Sato Travel is building a better way to travel-right now
Our vision-"Do it better. And make it simple."
Through innovative programs like book-it-yourself software and proprietary accounting and management support systems, we're building new roads far ahead of schedule. And SatoTravel is working with our partners to streamline the travel document process by automating forms, regulations , per diem computations and electronic interfaces
All to make your journey into the future an easier one.
RHEINLAND-PFALZ CHAPTER
The Rheinland-Pfalz Chapter had several activities in the past months. In October, we held an awards luncheon at the Ramstein NCO Club . Our guest speaker was Brig. Gen. Hodges, Dire,ctor of Logistics, HQ, USAFE. General Hodges briefed the more than 50 NDTA members in attendarice on the challenges ahead for the Defense Transportation System. At the end of the function, Hodges presented a $250 Scholarship Award to SSG Benson, 3 7th TRANSCOM. LtCol Bloom, 3 7th TRANSCOM accepted the award.
In November, a small group of chapter members visited the UPS hub in Cologne. In December, the Chapter and its corporate partners FedEx, Emery, and SatoTravel, were recognized by the Baumholder Military Community and the City of Baumholder for the support provided during the deployment of military forces to Bosnia.
ATLANTA CHAPTER
The Atlanta Chapter held its January 1997 meeting at the Fort McPherson Community Club. Mr. Mike McFarland, National Accounts Manager for Military Sales, Delta Air Lines, was our guest speaker, addressing the current Civil Reserve Air Fleet Program. The first meeting of 1997 attracted 45 industry and city and federal government personnel At the meeting the chapter present-
ed a check to the Make-A-Wish Foundation. Proceeeds from the chapter's annual silent auction made the donation possible.
Shown below is Atlanta chapter president Lavert Jones presenting the check to Michell Ward of Egleston Children's Hospital at Emory University. The Make-AWish Foundation will use the money to grant the wish of a terminally ill child.
NEW YORK CHAPTER
In January the New York Chapter conducted a business meeting at O'Hara's Restaurant in New York City with 62 members attending. The guest speaker was Kathleen M . Haage, Area Director, U .S. Customs, NY /NJ. Her topic focused on changes in U.S. Customs automated processes to reduce time and paperwork to better serve the customer.
Corporations supporting the luncheon were: Port Authority NY /NJ, American President Lines, Bay Ship Management, Crowley American Transport, Black River & Western RR, East Coast Marine Associates, Farrell Lines, SeaLand, and Maritime Administration.
Ms. Linda Lioi of the 1301st MPC donated an original oil painting to the chapter to be used as a raffle premium. Lioi has agreed to donate one of her painting for each chapter function. Prizes were won by Mr. George Previll, MSC Atlantic, Mr. Dave Wolcott, APL, COL(P) William Crupe, Mr. Robert Friedman and Mr. Tony Sinisi, MTMC Eastern Area.
The LANDSTAR System: Multiple Transportation Companies In One.
Landstar System. The new name for seven of the largest and most established transportation companies in the U.S.Landstar Ranger, Gemini, Inway, Ligon, Poole, Express America, and Logistics. Working together now to make shipping more convenient and effective for you.
With Landstar, one phone call to a government marketing representative gives you access to a nationwide network of people and equipment, in over 1000 locations across America, dedicated to getting your loads wherever you want them to go on-time!
Our companies will coordinate your shipments, provide you with up-to-the-minute status reports, including satellite tracking for ammunition and explosive shipments ... and even custom-tailored logistics services to match your special requirements.
Nationwide coverage plus local, personalized service - that's the Landstar System.
Call our 24 hour-a-day Government Offices in Springfield, VA, at 800-443-6808 to find out more about Landstar, the only intermodal system you'll ever need. Let Landstar deliver for you ...
H
n O r RO 11 of Sustaining Members
The se firms support the pur poses and objectives of NDTA.
r , National Air Carner Association, Inc.
North American Van Lines
Northwest Airlines, Inc.
Official Airline Guides
Regional Patrons
kJrwrw &Associales, Inc.
American Mown Conference
AnleonCoiporation
Apollo Travel Services
Alven Freight Forwarding, Inc.
AKension might Systems, Inc.
Avis Rent A Car
Bay Ship Management, Inc.
CSI Military Services
Century Technologies, Inc.
Value Rent A Car
WORLDSPAN
Waterman 51eam.. Corp (Central Gulf u.;sr •
Old Dominion Freight line, Inc. WoridPort lA
Choice Holials lnl8rnalioiial
Conlrolled Systems, Inc.
Dodge Moving &Storage Co.
Federal Freight Systams, Inc.
Ganalt Conlainer Systems
Global Van Lines
Great Alllerican linH
Green Vdltey Transp. Corp.
tFS, Inc.
HerlzCorp.
H.O.D., Inc.
HollandCo.
lanlOValMI Logistics Techniques, Inc.
Kalyn/Siebert, Inc.
Nonagew.eid, Conding &Rmemdt
Nf.VATEC. Corp.
Mid-Manlic Salay Procb.1s Corp.
Military U¥ing Publications
Modem Technologies Corp.
National lnlarrenl
North American CLS, Inc.
Omega World Travel
PHH Relocation
PfCG, Inc.
Radian, Inc.
Ruthern Transport Ser,ices
Savi Technology
Sea Box, Inc.
Super Eight Molels
Tac:hmate lnlemalional
Thrifty Car Renlal
Trailer Bridge, Inc.
TriEnda Corporation
Westin Holels
PAUL ARPIN
Training, Logistics, Transportation, and Operations Manager
Innovative, dedicated, results-oriented manager with over 27 years' experience and demonstrated success in military and civilian leadership; domestic and international inter- and multi-modal transportation; strategic and organizational logistics; adult job-skill training; complex problem solving; and organization and systems design, dynamics and development. Broad strategic view coupled with hands-on, working-level focus on execution. Strong people skills in negotiation, personnel management, and motivation. Proven record of identifying needs and planning, developing, implementing and refining workable, common sense organizational, procedural and systems solutions. Skilled in use of office automation; flexible on assignment location. #97-127
Loglstician/Transporter
AA, BSBA/Transportation, MS/Human Resource Management, executive level logistics and transportation courses combine with 31 years of experience at every level of transportation. Started out loading trucks, railcars, ships and aircraft; dassifying cargo and cutting bills of lading. Recent experience includes responsibility for mobility, transportation and traffic management issues for nearly one-third of the globe and management of large organizations. Spent 31 years resolving tough issues within the Air Force and between services. The agreements reached and processes developed resolved long-standing issues and remain essentially intact and functional years later. Having proven what I can do for the military, I would like to do a lot more for your organization. #97-128
Sales/Market Analysis/Logistics Operation
Senior international sales and marketing analyst in foreign sales sector. Hands-on experience in equipment sales management, logistics supply and support operations, systems analysis, international sales, export and contract administration. Experienced in identification, analysis, evaluation, and documentation of a variety of logistics functions to include the Army's Strategic Deployment System, Knowledge Based Logistics Planning Shell (KBLPS) and Transportation Operational Personal Property System (TOPS). Intimate knowledge in the theory and practice of organizing and directing multifaceted logistics activities and organization Well versed in developing cost estimates, controlling budgets and contract supervision. #97-129
NDTA wishes to congratulate the 1997 MTMC Quality Award winners!
American Trans Air
Century Van Lines
Colonial Pipeline Company
Consolidated Safety Services
Landstar Ligon
Morris Relocation System
RPS, Inc.
SatoTravel-Anderson AFB, Guam
The Travel Company
UPS-St. Louis
I'd like to remind all of the Region A-35 representatives to send me chapter happenings for inclusion in this column. Also, send me suggestions or requests about A-35 activities-I welcome your input.
On January 8, I was the guest speaker at the Scott-St. Louis NDTA Chapter luncheon. I was invited by Dave Hinton, chapter president, and Marshall Mantiply, chapter A-35 representative. They asked me to address the group about the importance of A-35 to the Association and to give examples of successful A-35 chapter programs. The turnout at the luncheon was fantastic-95 attendees! One of the highlights of the luncheon was Marshall ' s kick-off of the chapter Book Drive. To date, the Scott-St. Louis Chapter has 1,300 pounds of books for AMMLA. I'm told that most of the books are in the Mantiply garage awaiting pick-up-certainly a test of patience for Marshall's wife. Approximately 1,400 pounds of books and periodicals have been shipped to date by Emery Worldwide, Federal Express and UPS.
Including the Scott-St. Louis Chapter (being delivered by Landstar), there are approximately 1,500 pounds of books awaiting pick-up. Hawaii's NDTA Chapter has a sizable contribution to the Book Drive, as well as A-35ers from the Washington D.C. Chapter which collected from DLA and MTMC headquarters.
The results of the Book Drive have exceeded everyone's expectations, and I know there are still collections being made. Many thanks to the many volunteers for their generosity of time, books and spirit.
For all of you attending the MTMC Symposium, please stop by the A-35 booth in the exhibitor's hall so you can meet other A-35 representatives from around the country.
I look forward to hearing from all of you.
Theresa Giordanengo Vice-President A-35
To keep your critical shipments running on tight military time , you need a carrier that won't let you down. That carrier is Roberts Express. Our dependable service starts with a pickup measured by a stop watch rather than a calendar, and continues non-stop to delivery, with each and every shipment automatically accorded exclusive use of the vehicle. Service is performed seven days a week, 24 hours a day.
Roberts handles high-level explosives , hazardous materials, freight all kinds and uncrated equipment, with transportation protective services to meet your security needs. This includes satellite monitoring under the Defense Transportation Tracking System (DTTS) for the shipper who needs '"in-transit visibility".
For your next critical shipment, regardless of size, rely on the ranking leader in high-priority shipping, Roberts Express. Express Service, 1-800-ROBERTS White Glove Service, 1-800-255-2421 CharterAir®, 1-800-468-8019
Some Ports Believe One Size Fits All.
But North Carolina's Ports Believe In Custom Fitting To Tour Specifications.
North Carolina's Ports excel in handling cargo of every shape and size, from containers to
locations provide you with a vital link to North Carolina' s vibrant economy, and beyond.
For more information on how
North Carolina's Ports can fit your CAROLINA transportation needs , whatever they
North Carolina's Ports at Morehead City and Wtlmington are poised to serve as your strategic load centers. Our excellent mid-Atlantic crates, pellets to pallets. We have what it takes to be your partners in global transportation: specialized equipment and facilities, as well as a highly trained staff that makes your satisfaction our highest priority. We pride ourselves on handling your cargo safely and efficiently.
are , please give us a call.
American President Lines, Inc.
Bristol Associates
CONRAIL
CSX Transportation
Emery Worldwide a CNF Company
Evergreen International Airlines, Inc.
International Longshoremen's Association AFL-CIO
Landstar System, Inc.
Lockheed Martin C2 Integration Systems
National Air Cargo, Inc.
Sea-Land Service, Inc.
Southern Air Transport, Inc.
United Technologies Corp.
United Van Lines
The above-named corporations are a distinctive group of Sustaining Member Patrons who, through a special annual contribution, have dedicated themselves to supporting an expansion of NDTA programs to benefit our members and defense transportation preparedness.
Bookshelf Ideas
CLM's Annual Conference Proceedings, Annual Meeting 1996 published by The Council of Logistics Management , 2803 Butterfield Road, Suite 380, Oak Brook, IL 6052-1156, 1996, price $35.
This is a collection of 54 papers presented during the 1996 Council of Logistics Management's Annual Conference on "Planning for Virtual Response." This year's 698-page edition of the Proceedings contains "The 1996 Ohio State University Survey of Career Patterns in Logistics," by Bernard J. Lalonde and James H. Masters. This annual study contains current data about the "typical" chief logistics executive's age, education, salary, mobility, responsibility, staff size, budget, and positioning within the firm's operations. Another annual feature is Herber W. Davis' yearly compilation of industry statistics entitled "Logistics Costs and Customer Service Levels: 1996."
Topics follow the track topics of the annual conference. The following track topics are included: Best Practices in Supply Chain Management, Business Issues in the 90s, CEO's Perspective on Efficient Response, Contract Logistics, Courier Service Issues, Creating Logistics Value, Current Research and Surveys, Customer Service, Debates on Logistics Issues, Decision Support Systems, Developing Logistics Leaders, Electronic Commerce, Geographic Information Systems Models, Global Logistics Issues, Implementing Supplier/Carrier Partnerships, Integrating Logistics Activities in the Supply Chain, Logistics 101, PanEurope Logistics Issues, Professional Development, Reverse Logistics, Strategic Planning in Logistics, 3rd Party Logistics Issues and Surveys, Transportation, 21st Century Logistics Organizations, and Warehousing.
The book offers a wide variety of articles on almost all aspects of the firm's logistics function and is a valuable asset for the logistics manager's bookshelf
Privatizing Transportation Systems, edited by Simon Hakim, Paul Seidenstat, and Gary W. Bowman; published by Praeger Publishers, 88 Old Post Rd. West, Westport, CT 06881; 1996, price $75; credit card orders 800-225-5800.
The book is organized into four parts as follows: I) Overview, II) Privatizing Airports and Ports, III) Privatizing Roads, and IV) Privatizing Mass Transit. There are 18 essays concerning these topics by many different persons as follows: Overview; Review and Analysis of Privatization Efforts in Transportation by Simon Hakim, Paul Seidenstat, and Gary Bowman; Ideas and Innovations in Developing Transportation Projects: A Search for Alternative Mechanisms Involving the Private Sector by Yuval Cohen; Developing Public-Private
Dr. Joseph G. Mattingly, Jr.
Partnerships in Infrastructure by William H. Payson and Steven A. Steckler; Creating Financing Options for Urban Transportation Privatization by Duane Windsor; Privatizing Airports and Ports: The Conflict Between Government-Owned and Privately-Operated Airports by Robert L. Bogan; The Benefits and Costs of Airport Privatization by Eleanor D. Craig; Evaluating the Privatization of a Small Airport by Jack M. Reilly; Port Privatization: An Historical and Public Administration Perspective by Jean Grosdidier de Matons; Strategies for Improving Port System Performance: Worldwide Experience by Anatoly Hochstein; Privatizing Roads: The Effects of the Post Intermodal Surface Transportation Act of 1991 on Financing Toll Roads by Robert W. Poole, Jr.; Selling the Roads by John Semmens; Introducing Market Forces to the Use of Public Roads: A Stage Prior to Privatization by Gabriel Roth ; Privatization and Marketization of Transport by William Vickery; Lessons From Road Privatization Experience by Carl B. Williams; Privatizing Mass Transit : Applying Competitive Incentives to Public Transit by Wendell Cox and Jean Love; The Competitive Contracting of Public Transit Services in San Diego by Elliot P. Hurwitz; Privatizing the New York City Subway by Charles A. M. de Bartolome and James B. Ramsey; Government Creation and the Privatization of an American Railroad by Eric W. Beshers and Paul Seidenstat.
Elements of Shipping, by Alan E. Branch, published by Chapman and Hall USA, 115 Fifth Ave., New York, NY 10003; Seventh Edition, 1996, $39.95.
The author has updated the contents of the previous editions and has added three new chapters. This edition focuses attention on the growing complexity of the water shipping industry in an era of change and opportunity and the need to conduct business on a professional basis.
The text contains 21 chapters: 1) Introduction; 2) The Ship; 3) Ship Design and Construction; 4) Ships and Their Cargoes; 5) Manning of Vessels; 6) Customs House and Ship's Papers; 7) Maritime Canals and Waterways; 8) Services Performed by Principal Shipping Organizations; 9) Passenger Fares and Freight Rates; 10) Liner Conferences; 11) Ship Operation; 12) Bills of Lading; 13) Cargoes; 14) The Shipping Company; 15) Charter Parties; 16) Containerization; 17) Seaports; 18) Multi-Modalism; 19) The International Consignment; 20: Information Technology and Electronic Data Interchange; and 21) Political Aspects. This book will be helpful for students in logistics , transportation and international business who wish to gain a basic knowledge of the way the shipping industry works.
