Menlo wins two contract modifications from U.S. Army

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Updated Mar 14, 2011

Menlo Worldwide Logistics, the global logistics subsidiary of Con-way Inc., announced that the U.S. Army’s Military Surface Deployment and Distribution Command (SDDC) has awarded two contract modifications to Menlo Worldwide Government Services. The actions renew Menlo as prime contractor for the U.S. Defense Transportation Coordination Initiative (DTCI) and further expand the scope of its contract by adding 19 additional Department of Defense (DOD) shipper sites to the DTCI program.

Menlo was selected as prime contractor in August 2007 for a base three-year period with four one-year renewal options. Menlo says it was awarded the first renewal year and the expanded scope based on its performance over the initial three-year contract, during which Menlo and its subcontractors introduced sophisticated logistics practices and technologies that significantly reduced costs, improved process efficiency and increased on-time delivery of supplies for the nation’s military services.

DTCI is a strategic logistics program directed by the U.S. Army’s Military Surface Deployment and Distribution Command (SDDC). Menlo Worldwide Government Services is prime contractor with Computer Sciences Corp. (CSC), ONE Networks Enterprises Inc. and Olgoonik Logistics as principal subcontractors. As DTCI’s prime contractor, Menlo operates an integrated logistics solution for shipment planning, optimization, shipment execution and overall transportation management for material shipments moving into and among DOD facilities in the 48 contiguous United States.

During the base period, Menlo designed and implemented a program that synchronized transportation operations from some 96 independent DOD shipping sites in the United States and utilizing hundreds of transportation service providers. In addition to dedicated load planning, route management and customer service teams, Menlo created specific “strike teams” to identify tactical improvement opportunities, then devised and implemented solutions to further improve operational efficiency and effectiveness. Menlo says that during the base contract period, it exceeded key performance indicators and cost avoidance goals with DTCI, to-date realizing about $158 million in gross cost avoidance.

“It’s an honor to be able to bring our expertise to bear in ways that enable our nation’s warfighters to be better prepared with the right supplies on time at the right time to accomplish their missions,” says Robert L. Bianco Jr., president of Menlo Worldwide Logistics and a former U.S. Army officer. “We are proud to have earned the opportunity to continue our work as DTCI’s prime contractor.”