Gartner Research

Five Myths of Performance-Based Logistics Exposed

Published: 25 February 2013

ID: G00239678

Analyst(s): Jane Feitler

Summary

Performance-based logistics is a proven strategy that drives down costs, and improves readiness as well as supply chain and logistics performance. However, several myths prevent its expanded usage. Gartner dispels them for DoD acquisition, procurement contracting and logistics personnel.

Table Of Contents

Analysis

  • PBLs Are More Expensive Than Transactional Alternatives
  • It's Difficult to Prove the Financial Benefits to DoD
  • PBLs Can't Be Funded With Working Capital Funds (WCFs)
  • PBLs Don't Work for Sole-Source or Noncompetitive Markets
  • PBLs Can't Be Used With Organic Resources

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