The Ministry of Defence (MoD) has been called upon to manage its supplies better in a bid to cut spending.
According to reuters.com, the National Audit Office (NAO) has been highly critical of the department's stock management efforts, suggesting that storage of excess equipment is creating unnecessary costs for a government focused on reducing the budget deficit.
In response, the minister in charge of defence equipment, Peter Luff, said: "The challenge of managing and maintaining vast amounts of equipment, including explosive materials, around the world should not be underestimated but I know that the MoD's assets must be more efficiently managed."
The MoD spent £4 billion on its raw materials, as well as consumable inventory in the 2009/10 - 2010/11 financial years; demonstrating the heavy spending that is still taking place despite the ostensibly austere trading climate.
Amyas Morse, head of the NAO, stressed that the MoD can "ill-afford" to buy unnecessary stock, according to bbc.co.uk - with the cause of this inefficiency relating to inventory management processes.
The watchdog discovered a wide range of equipment in storage that look unlikely to be used, including a 54-year supply of bombing equipment for an old model of an aircraft that was retired from service two years ago.
Author: Paul Smithson
Date: 28th June 2012