We need to get to a point where we’re working in a real partnership, where the customers are identifying priorities and making choices about the logistic support they need. We produce a lot of performance reports which are very useful, but this Critical Success Factor is about getting a grip on the costs involved in providing our outputs. At the moment it’s like sending them shopping without them being able to see the prices of things.
It’s complicated, because for the foreseeable future our money will still be allocated to us on the basis of inputs and somehow we’ll have to match it to outputs. Within the DLO there are many people with valuable skills in all sorts of areas. When the current change programme was established, however, we realised that we didn’t know exactly what skills we currently have, what skills we need to support the kind of organisation we want to be in the future, and how we bridge any gap between the two.
As a first step there’s a ‘skills audit’ going on now, and I suspect it’ll show we don’t have all the skills we need, particularly in areas like finance, project management and the commercial area. Becoming better at buying can produce enormous benefits and the DLO needs to become a more professional and joined-up buyer. There will be some changes we need to work our relationship with industry better and find new ways of working to get better value for money for Defence.
The DLO spends vast amounts of money, particularly within the Air environment, and if we can make breakthroughs in this area it’ll make a big difference overall. There’s a lot of good, innovative thinking going on in the DLO, but I don’t think anyone believes we get the fullest benefits out of our dealings with industry. We must set it in context though this is only one of six Critical Success Factors and it relates to what contribution restructuring will make to achieving the organisation’s aims and objectives. Read More: Enact Settlement Agents Perth