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Boeing Gets $477M for Weapons Systems Supply Chain Management

The deal will help make sure parts are accessible whenever and wherever they are needed.

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AP File

Boeing received a Performance Based Logistics (PBL) contract from the Defense Logistics Agency (DLA) valued at $477 million for supplies, full supply chain management and logistics services to ensure long-term, affordable sustainment of multiple weapon systems platforms. Work will be performed under a fixed-price, master services agreement. 

Under the contract, Boeing will support individual contracts based on operational performance requirements. The first phase includes the delivery and supply chain management of Honeywell proprietary parts licensed exclusively to Boeing and is valued at $39 million. 

β€œBoeing’s supply chain management and distribution capabilities will help ensure parts are accessible whenever and wherever they are needed based on their use, while reducing inventory and logistics lifecycle costs,” said John Guasto, director of Global Integrated Services Support for Boeing. 

Boeing will be responsible for forecasting, demand planning, acquiring, stocking, packaging and shipping the individually priced consumables directly to warfighter locations to satisfy daily demand requirements. The work will be completed over a five-year period with an additional five-year option.

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