The Ministry of Defence will test a new food provisioning system for the Armed Forces
The State Operator For Non-Lethal Acquisition (DOT), the acquisition agency of the Ministry of Defence, has introduced a novel food supply model for the AFU to potential suppliers, manufacturers, and distributors. The new model will be launched as a pilot project in several regions of Ukraine in 2025.
The primary goal of the new approach is to ensure better quality of the products supplied for the Armed Forces of Ukraine and improve the acquisition procedure's effectiveness.
“Starting from February 2025, two systems will run simultaneously: the one that the DOT is currently using and the new pilot model. This approach secures the continuity of the supplies and the system's stability. Transformations in the military food service system are expected to boost supply efficiency while maintaining superior quality standards,” said Deputy Defence Minister of Ukraine Dmytro Klimenkov.
The pilot project will last one year and encompass Kyiv city and the regions of Kyiv, Vinnytsia, Zhytomyr, Cherkasy, and Kirovohrad.
The principal changes are related to the financial model for engaging with suppliers, the product arrangement, and the quality control process.
- Compensation for the supplier will include the cost of the goods and payment for services like warehouse and transportation, as specified in the SLA (Service Level Agreement). The maximum expenditure as per the catalog will be determined and fixed.
- Using open acquisition platforms, the DOT will be selecting manufacturers for the majority of products (75%) to be contracted by suppliers. The determination of the manufacturer-subcontractor for the remaining categories will be left to the suppliers' discretion. The DOT has the authority to prevent them from supplying if they fail to meet quality and integrity standards.
- Before reaching military units, all products must pass through the distribution center. This will serve as an additional layer of quality assurance involving specialists from the DOT.
- The DOD will implement a “blacklist” of suppliers and manufacturers, a new tool to prevent those businesses that have previously violated their contractual obligations from supplying the Armed Forces of Ukraine in the future.
“The idea behind the pilot model is to change the philosophy of interaction with suppliers and manufacturers by changing their incentives and through transparency in terms of cooperation. That is the approach that we see as the foundation of the partnership. At the same time, improving the quality of the products received by the Armed Forces and increasing the efficiency of the supply process are our primary goals. It is important to guarantee that every party involved is committed to ensuring continuous and high-quality supply for the Armed Forces of Ukraine,” said Halyna Litosh, Program Director of the Food Project Portfolio Management at DOT.
Tags
- Provisioning