December 1996
Program Savings Through 2003
By pursuing the following efficiency programs, AMC expects to improve service and cut costs by nearly $2 billion by 2003:
| Reduce administrative and procurement lead times for spare parts. | $278 million |
| Close the European Redistribution Facility | $114 million |
| Electronically process solicitation and contracting data | $ 84 million |
| Increase wholesale credit for serviceable returns through retention limit (This is a technical change to AMC's credit policy) | $ 42 million |
| Maintain zero cost growth against fiscal 1996 prices | $475 million |
| Redesign spare parts to cut costs, increase reliability and ease of maintenance and support | $295 million |
| Reduce battery consumption | $33 million |
| Merge wholesale and retail stock funds to cut inventory and improve redistribution | $380 million |
| Establish regional maintenance centers | $142 million |
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