March 27, 2019

AMC

DLA’s Online Marketplace

Using the ICON web portal, the Defense Logistics Agency saved $275k on a recent purchase of critical airplane parts

Purchasing high quality, cost effective replacement and repair parts for legacy weapons systems poses a significant challenge for the DoD, especially as vendors go out of business or stop producing certain items.  One agency is filling this need by sharing its requirements with hundreds of diverse suppliers—and this approach is yielding excellent results.

In order to expand its access to cast metal parts, the Defense Logistics Agency (DLA) worked with the Non-Ferrous Founders’ Society and the American Metalcasting Consortium to develop the Integrated Casting Ordering Network (ICON).  ICON is an online marketplace where DLA can share its requirements for critical cast parts with more than 400 capable, responsive manufacturers from across the industry.  Using the ICON portal, these manufacturers can quickly and easily find information to help them bid on the parts that DLA is looking for.  This process allows small businesses to work with the DoD where a traditional procurement process would be too cumbersome; DLA benefits from increased competition for awards and ready access to parts that it normally could not easily find.

Recently, ICON disseminated requirements for the F-15 and F-16 Air Superior Target Program nose landing gear bumper assembly.  As a result, DLA Aviation was able to conduct a fully competitive procurement, allowing the agency to expand its sourcing base for the assembly.  Through this competition, DLA realized a cost reduction of approximately $275k on the first solicitation.  Through the increased competition it provides, the ICON portal not only saves thousands of taxpayer dollars, but also leads to stronger, safer, and better cast parts for the warfighter.

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