TNT Logistics UK joins DLS for logistics bid

TNT Logistics UK, a business unit of the global logistics company TPG, has agreed with the shareholders of Defence Logistic Solutions (DLS) to take a 20 per cent shareholding in DLS, which is bidding for the UK MoD Defence Logistics Organisation’s Future Defence Supply Chain initiative, a programme to streamline logistics for the UK armed forces.

TNT Logistics UK is providing a team of equipment and logistics specialists to the DLS team in bidding for FDSCi. The other shareholders are BAE Systems (now including Alvis; formerly a shareholder in their own right) and Westland Helicopters.

FDSCi is a competitive initiative to deliver substantial savings to the DLO while improving operational effectiveness, delivery and visibility of assets. It involves the phased implementation of innovative improvements, particularly in the areas of logistics and information systems.

The successful bidder will take responsibility for the storage, distribution and transportation of most of the MoD’s logistics inventory; a business with current operating costs of circa £210M per annum.

Final bids are to be submitted in December 2004, with contract award expected in the second quarter 2005 and final control of FDSCi passing over in the fourth quarter 2005.

FDSCi is a Ministry of Defence competitive bid ref DEFSC/005/01.