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Navy Supply System - 10287f_19
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introduced,  long-range  plans  must  be  developed for  the  adequate  support  of  the  equipment. There is another area that calls for the deter- mination of requirements. When the plans for an operation  have  been  approved,  logistic  planning must provide the material needed to support the operation.  Elements  such  as  the  size  and  duration of  the  operation,  its  distance  from  established support   activities,   and   the   climate   to   be   en- countered are all factors that you must consider in  order  to  predict,  with  any  accuracy,  answers to  the  questions:  What?  How  much?  When? Where?  and  How? Procurement of Materials As  soon  as  requirements  have  been  estab- lished,  the  next  step  is  the  procurement  of materials.  Most  procurement  aboard  ship  is carried   out   by   requisition.   However,   before   a supply  activity  can  issue  the  material  on  your requisition,  the  material  must  first  be  procured and then delivered to the location of that supply activity. Although some items are manufactured in  Navy  facilities  (such  as  shipyards),  the  vast majority of procured material is purchased from commercial suppliers. The impact of procurement by the Navy on the civilian economy ranges from insignificant   for   the   replacement   stock   of shoelaces  to  staggering  when  procurement  activity includes all the material necessary to support an all-out  wartime  operation. Procurement  comprises  such  functions  as establishing specifications for the goods required, standardizing  material,  cataloging  and  identify- ing  material,  inspecting  material,  investigating costs, and assigning priorities. Procurement may also involve the allocation of critical raw material to  a  supplying  manufacturer. Distribution of Stock The first phase of distribution is the accumula- tion of material at CONUS bases, an action that may  be  performed  more  readily  during  the  pro- curement  process  if  the  location  to  which  the material is to be delivered is specified. The other phases  of  distribution  are  storage,  issue,  transpor- tation,  and  control. The  distribution  system  must  be  capable  of reacting rapidly to unexpected changes in plans and operations. The system must also be able to adapt  itself  to  changes  brought  about  by  new developments in technical areas. A  distribution  system  should  be  as  economical as  possible  without  sacrificing  effectiveness.  A good  distribution  system  can  achieve  considerable economy  by  maintaining  careful  control  of  its stock. For example, material requirements at one location can occasionally be met by a redistribu- tion  of  excess  material  from  another  location rather than by the procurement of new material. When equipments or systems are scheduled to be phased  out,  the  reduced  demand  for  material support  can  be  anticipated  and  overall  stock  levels can  be  reduced  accordingly.  On  the  other  hand, a good distribution system must be just as effec- tive  in  anticipating  increases  in  existing  supply requirements  or  additional  procurement  demands as  new  equipments  are  introduced  to  the  fleet. Under  all  conditions,  an  expedient  distribution system   must   ensure   that   material   support   is available when and where it is needed. INVENTORY   CONTROL POINTS  (ICPs) Managing  the  hundreds  of  thousands  of  dif- ferent items of stock in use by the Navy today is not  an  easy  job.  To  provide  the  proper  balance between  supply  and  demand,  the  Navy  supply system  has  established  inventory  control  points (ICPs). In fact, the Navy’s two inventory control points have been described as the “nerve centers” of  the  Navy  supply  system.  They  are  the l    Navy Aviation S u p p l y    O f f i c e, Philadelphia,  Pennsylvania  (ASO);  and l   Navy   Ships   Parts   Control   Center, Mechanicsburg,   Pennsylvania   (SPCC). Although  they  are  not  ICPc,  three  other  ac- tivities   have   been   assigned   specific   inventory management  responsibilities.  They  are  the l    Naval  Publications  and  Forms  Center, Philadelphia,  Pennsylvania; .  Navy  Fuel  Supply  Office,  Alexandria, Virginia;  and .   Navy Resale and Services Support Office, Staten  Island,  New  York. Each of these activities manages a material com- modity  or  group  of  commodities. You  can  identify  the  inventory  manager  for any stock item by the cognizance symbol for that 2-4

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