Boeing awarded CH-47 Chinook logistics contract
Boeing has announced that the US Army has awarded it a five-year Performance-Based Logistics (PBL) contract for CH-47 Chinook support worth $185 million. The contract covers management of the production, overhaul and distribution of the army's supply of Chinook helicopter rotor blades.
According to the company, the PBL will ‘reduce customer costs while allowing Boeing to invest in improving products and processes’. Under a PBL contract, the customer pays for a support package with an agreed-to level of readiness, unlike traditional contracts based on payment for specific parts and services.
Peri Widener, Rotorcraft Support vice president for Boeing, said: ‘PBLs are outcome-focused sustainment contracts that guarantee enhanced performance and improved costs. We work with our customer to reduce costs through longer-term agreements, purchasing only the parts needed and investing in techniques that extend the life of key components.’
Boeing said it has been collaborating with US Army Aviation and Missile Life Cycle Management Command for several years on ways to improve the tooling used to produce and repair Chinook rotor blades. The company also has ‘increased the efficiency and capacity of its Chinook supply chain through the use of improved asset management and forecasting tools, an enhanced supplier network and a public-private partnership with the Corpus Christi Army Depot’.
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