Defense Management: DOD's Estimated Savings for Printing Consolidation

摘要

To determine the savings associated with the consolidation the Navy Publishingand Printing Service (NPPS) first collected fiscal year 1990 cost and production data for the services' and DLA's printing and duplicating facilities that would be consolidated in the new structure. This information included (1) actual fiscal year 1990 costs for civilian salaries, equipment maintenance and repair, and equipment lease/rental and (2) certain factors and percentages that were agreed to by the services and DLA to determine costs for civilian benefits, military personnel, personnel support, space, supply, depreciation, and miscellaneous overhead. NPPS determined a NPPS comparable cost for the other services' and DLA's production by (1) computing a NPPS average price per thousand units of production for the other services' and DLA's production based on its expected 1992 prices 1 and (2) multiplying each activity's total production units for fiscal year 1990 by these average prices per thousand units of production to get NPPS' cost for the other services and DLA's 1990 production. NPPS then subtracted the difference between each activity's fiscal year 1990 costs and NPPS estimated cost for comparable production to determine the savings associated with the consolidation.