The contract will help to implement the Integrated Review and Defence Command Paper, which was released last year and focused on making the Armed Forces more productive, active, and internationally deployed.
Inventory, transportation, engineering, and general ledger management are all supported by Logistics Information Systems (LogIS), ensuring that the UK can deploy military troops and equipment successfully around the world.
This new contract will ensure that all single services have access to a single technology-enabled system to support essential inventory services, covering everything from washers and bolts to replacement parts for nuclear missiles, as part of the Ministry of Defence’s ongoing Modernising Defence Programme.
Around 300 jobs will be kept at Boeing Defence UK’s Milton Keynes and Bristol locations, as well as 375 positions in the wider UK supplier chain, which includes IBM, Fujitsu, Sopra Steria, and BAE Systems.
Jeremy Quin, Minister of Defence Procurement, said: “This contract ensures that our Armed Forces can quickly deploy soldiers and equipment on operations at home and abroad whenever required, retaining their reputation as one of the world’s best fighting forces.”
The deal protects the UK’s capacity to deliver crucial defence, security, and resilience by allowing the administration of present and future equipment through continued access to cutting-edge software applications that are maintained and updated in line with Defense’s changing demands.
Defence Equipment & Support’s Head of Support Chain Information Systems, Dave Penlington, stated, “Defense cannot mount or maintain operations without logistics information.” Our Armed Forces will be more nimble and better positioned to sustain future cutting-edge equipment thanks to this critical skill.
I’m pleased that the team’s efforts, in collaboration with business, have provided the UK Armed Forces with the tools they require to accomplish their duties effectively.
Air Vice Marshal Richard Hill, Director Support Transformation at UK Strategic Command, said: “Securing this contract will offer the means to implement and modernise Logistic Information Systems” (LogIS). As a result, our transformation programme will be able to deliver Support Advantage through integrating with industry partners.
The £460 million contract was negotiated by Defence Equipment and Support (DE&S), the UK Ministry of Defence’s procurement arm. It was delivered three months early and is estimated to save £54 million over the next five years.