HC Deb 16 July 1996 vol 281 cc485-6W
Dr. Twinn

To ask the Secretary of State for Defence what key targets have been set for the Defence Transport and Movements Executive in 1996–97. [37886]

Mr. Soames

The chief executive of the Defence Transport and Movements Executive has been set the following key targets for 1996–97:

1. To confirm and satisfy the operational requirement through the achievement of a satisfactory operational evaluation.

Method of Assessment

  1. (a) The criteria for KT should be an objective assessment by the chief executive based on:
    • Key post manning requirements are met.
    • Staff training and skills are to the required standard.
    • Owned infrastructure can achieve appropriate throughput and sustain 24-hour operation.
    • G4 transport and movements contracts or other available transport and movements assets provide the means of meeting the operational requirement.
    • The required service level agreements are in place and functioning.
  2. (b) Crisis management exercise.
  3. (c) The requirements for trained personnel, op eqpt.

2. To meet the agreed service levels for single service top-level budgets within its wider peacetime transport and movements role.

An objective assessment by DG Log Sp (A) that DTMX has met its wider peacetime role based on the following criteria:

  1. (a) The owner's advisory boards.
  2. (b) Confirmation of success in meeting the criteria for key target 1.
  3. (c) Confirmation that the G1 transport and movements contracts base meets customer's requirements.

3. To provide an agreed transport and movements service which meets the transport and movements element of the standard priority system requirements as laid down in JSP 336, to time in 96.5 per cent. of cases.

4. To implement the agency's competing for quality strategy specifically:

  1. (a) To complete the Falkland Islands resupply contract with the option of a commercial partner by 31 December 1996.
  2. (b) To complete the tri-service freight distribution market test by:
    • Evaluating tenders by 30 September 1996.
    • Letting the contract by 11 November 1996.
    • Commencing the contract by 15 May 1997.
  3. (c) To re-examine the procurement strategy of following existing contracts:
    • Rail
    • Freight forwarding.
  4. (d) Identify unavoidable excess spare capacity within owned assets and assess the opportunity to marketing this by December 1996.
  5. (e) Evaluate the requirement for and procurement of additional MoD shipping assets.

5. To develop internal management systems to:

  1. (a) Produce accruals accounts for 1996–97 for a full NAO audit.
  2. (b) Achieve activity-based costing for 90 per cent. of DTMX budgetary responsibilities by 31 March 1997.
  3. (c) Continue to pursue the targets set in the DTMX information systems strategy.

6. Through the use of the DTMX ABC system identify input or output efficiencies against:

  1. (a) Costing appropriate management charges against activities within DTMX's budgetary area and implementing a process for internal and external benchmarking of these costs.
  2. (b) Make output efficiencies in management costs within the following functional areas:
    • Lands Ops.
    • Sea Ops.
    Unaccompanied baggage—initiate management procedures in policing services and changes to the management organisation to identify output efficiencies.