FORT BELVOIR, Va., Aug. 20 (UPI) --
U.S. Transportation Command contracted Menlo Worldwide Government Services LLC for $1.6 billion as part of its Defense Transportation Coordination Initiative.
Under the contract about a third of the Department of Defense's second destination freight movements in the United States will be managed by California-based Menlo.
In an effort to improve efficiency DTCI is a freight management program that moves military materiel inside the United States. Officials say through the use of more shipment consolidation, routing services, cross docking operations, better mode selection and load optimization the DTCI initiative will reduce cycle times and improve predictability.
"DTCI is a team effort, in partnership with the Defense Logistics Agency and the military services, to increase the effectiveness and efficiency of DoD freight movements in the continental United States," said Air Force Gen. Norton A. Schwartz, USTRANSCOM commander.
"Menlo Worldwide Government Services will utilize best commercial practices to enable load consolidation and optimization, use of more efficient intermodal means of transportation and tailored scheduling to meet the customer requirements. These improvements will increase the precision and reliability of freight movements, leading to increased customer confidence, cost savings, and increased efficiency in our CONUS shipping operations."
Officials expect the first of DTCI's three phases to come online in just over five months.© 2007 United Press International. All Rights Reserved.
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