DLA's distribution depots are responsible for receiving, storing, issuing and packaging military parts and supplies. The competition would determine whether it is more cost effective to have services performed by government employees or by a commercial contractor. The competition uses guidelines established by Office of Management and Budget Circular A-76, which encourages competition and choice in the management and performance of commercial activities. The Circular's procedures also create a level playing field for the government and public and private offerors. We are neither prejudiced in favor of nor against the incumbent government employees.
Competition is the overriding theme of the process.
DLA employees will craft a Most Efficient Organization where they determine how they want to reorganize themselves to do their jobs as well or better than private industry. Simultaneously, competition will occur in the private sector with companies vying against each other for the proposal that is the best value. The winning industry proposal then is competed on a cost basis against the employees' bid. The opportunities are good for a company that gets in early on the competition process. Because we are not building many new weapons systems, this is one of the largest business opportunities that exists in the Defense Logistics Agency.