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Defense Inventory: Applying Commercial Purchasing Practices Should Help Reduce Supply Costs: Nsiad-93-112

Pursuant to a congressional request, GAO reviewed the Department of Defense''s (DOD) inventory decisions for secondary items, focusing on: (1) cost considerations; (2) use of the DOD replenishment formula; and (3) private-sector methods for making purchasing decisions. GAO found that: (1) the Air Force does not use the DOD replenishment formula to establish reparable order quantities because it is impracticable; (2) the Defense Logistics Agency (DLA) uses a modifie..

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