§ Mr. GrocottTo ask the Secretary of State for Defence if Touche Ross was given the task of reviewing the Army static workshop productivity scheme by means of competitive tender.
§ Mr. Archie HamiltonYes. Touche Ross provided the winning bid from six competitors.
§ Mr. GrocottTo ask the Secretary of State for Defence what was the cost of the Touche Ross Army static workshop productivity scheme review.
§ Mr. Archie HamiltonThe fees paid for the report are a matter of commercial confidence between the Ministry of Defence and the company. It is not our practice to disclose such costs.
§ Mr. GrocottTo ask the Secretary of State for Defence if he will list the defence establishments which were covered by the Touche Ross Army static workshop productivity scheme review.
§ Mr. Archie HamiltonThe review was conducted at a representative sample of three sites:
- 34 Base Workshop REME, Donnington
- 35 Base Workshop REME, Old Dalby
- 31 District Workshop REME, Catterick
A further seven sites will be affected by the review:
- 18 Base Workshop REME, Bovington
- 26 District Workshop REME, Stirling
- 27 District Workshop REME, Warminster
- 36 District Workshop REME, Colchester
- 43 District Workshop REME, Aldershot
- 44 District Workshop REME, Ashford
Engineer Resources Workship REME, Long Marston
§ Dr. Liam FoxTo ask the Secretary of State for Defence if he will make a statement about defence agency status for the Army static workshops.
§ Mr. Archie HamiltonThe Army static workshops in Great Britain are to be established as a defence agency of194W the Ministry of Defence on 1 April 1993, under the new title of the Army base repair organisation. The Army base repair organisation comprises its headquarters at Andover, a contract repair branch and a network of base and district workshops. Together they employ some 3,581 civilian and 219 military staff.
The role of the Army base repair organisation ranges from minor repair to full refurbishment of equipment for the Army. The chief executive has to ensure that the service is available in peacetime and that it has the capacity to cope immediately with increased workloads in times of crisis and war.
Strategically placed workshops will provide a 24-hour, 365 days a year recovery service in direct support of Army units together with a repair facility to effect repairs beyond the capability of local units. Four workshops will provide an in-depth refurbishment and modification service, which is essential to the operational readiness of Army equipment. In addition, a separate division of the agency will provide a complementary service by contracting with industry for repair and refurbishment of equipments.
As the first chief executive, Brigadier J. R. Drew will be offered new opportunities to build on the current organisation's professional expertise and high performance standards. Through a more commercial approach, the chief executive will actively seek to improve the efficiency and value for money of his organisation.
The chief executive has been set the following targets for 1993–94.
- 1. To complete the repair programme to plan.
- 2. By 1 April 1994, to conduct a customer survey of quality and to institute a system for measuring the timeliness of the agency's output and to set improving targets for both.
- 3. To complete the market test of 18 base workshop by 1 April 1994.
- 4. To reduce by 5 per cent. the ratio of labour costs to hours of production by 1 April 1994.
- 5. By 1 October 1993, establish the value and the proportion of risk price contracts placed by the agency, and by 1 April 1994 set targets for increases in 1994–95.
- 6. To operate a full cost, accruals accounting system by 1 April 1994.
I have arranged for copies of the agency's framework document to be placed in the Library of both Houses.