Testing Better Practices
he Defense Department is testing streamlined processes and commercial management practices in three pilot programs. The pilots are designed to improve the system for moving service members' household goods. A fourth test is scheduled to begin in June. The four programs are outlined below.
- Hunter Army Airfield Program. In July 1997 the Army contracted with a commercial relocation company, Cendant Mobility, to test outsourcing of personal property shipments. The new approach gives military personnel access to services such as move counseling and coordination, full replacement value for lost or damaged household goods and visibility of the shipment throughout the move. The contractor serves as a single point of contact for arranging all aspects of moving household goods to the new duty station. The pilot was designed to improve service while reducing claims, administrative costs and property damage. Program costs have proved difficult to measure, in part because the pilot provides services not available under the current personal property transportation program.
- Sailor-Arranged Moves. In January 1998, the Navy began allowing active-duty sailors moving from Bremerton, Wash., to five pre-selected locations to choose a local carrier from a list, rather than being assigned a carrier. The test is designed to give service members choice in selecting the carrier that best fills their needs and provide contractors fair payment for quality service. Service members get access to a toll-free help line; in-transit visibility; pagers so they can be notified immediately when their shipment is available for delivery; full-replacement cost protection; direct claim settlement with the carrier; and tailored counseling. The pilot has been restricted to sailors whose shipments meet certain weight and cost criteria.
- Personal Property Pilot Program. The Military Traffic Management Command began selecting carriers based on "best value" rather than low cost in this pilot in January 1999, after delays of more than a year due to numerous industry protests. The test runs concurrently with the existing MTMC-managed program at installations in North Carolina, South Carolina and Florida. Carriers in the pilot are selected based on past performance and customer satisfaction. Service members receive full-replacement value protection and can settle claims directly with carriers. The pilot is slated to run through 2002.
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Full-Service Moving Project. This pilot will incorporate features of the three earlier pilot programs, testing the concepts on about 45,000 moves in the Washington, D.C., area and in Georgia and North Dakota. Like the Hunter and MTMC pilots, this test will replace the existing program managed by MTMC with one using one or more move-management contractors to provide transportation and relocation services. Defense officials were expected to issue a solicitation for the project this month and begin the pilot in June.
U.S. Transportation Command officials will evaluate the pilots on quality of life, cost, impact on small business and process improvement innovations.