The Defense Logistics Agency is downsizing, aiming to be nearly a third smaller over the next five years, said agency chief Vice Adm. Mark Harnitchek on Thursday. By 2019, DLA will shrink from a $40 billion enterprise to one of about $27 billion, he told defense writers in Washington, D.C. “I think we have banked about $3 billion already,” he said. Of the $13 billion goal, $5 billion will come from operating efficiencies and the rest from simply buying less stuff, said Harnitchek. In the last two years alone, “we … have taken about $5 billion of our $15 billion in inventory out of the system,” he said. With less to store, he’s also been able to get rid of “45 football fields’ worth of covered storage,” World War II-vintage warehouses “that are coming down.” With reduced inventory, aided by better models of what, how much, and when to buy goods, and how long to keep them, efficiency and performance have improved, said Harnitchek. The 30 percent overall reduction is par for any post-drawdown period, he noted.
The Space Force has awarded 20 contracts worth up to $3.2 billion to 12 companies since last year to develop space-based interceptor capabilities, Space Systems Command announced April 24, providing new details on the firms involved and the scope of their work.