BLUE BELL, Pa., 14 June 2007. The U.S. Department of Defense (DoD) awarded Unisys Corp. a follow-on contract to enhance visibility in the worldwide military logistics supply chain. The contract term is one base year and three one-year options, exercisable at the discretion of the government.
The contract, which includes firm fixed-price and time and materials work, is worth approximately $28 million in the first year, if the government continues to order time and materials work at the current level.
The total value of the contract could be approximately $112 million if the government exercises all options and continues to order time and materials work at the current level. In addition, the contract provides for the award of additional fees if performance metrics are exceeded and the imposition of penalties if the metrics are not met.
Unisys has been working with DoD to develop, maintain, and enhance an in-transit visibility system using radio frequency identification (RFID) technology. Providing visibility almost instantaneously into the location of supplies and shipments enables the military to increase its agility to supply units and soldiers with critical supplies in a timely manner, focus on mission-critical activities, and respond quickly to mission changes.
Unisys tracks approximately 125,000 shipments of supplies each week, including ammunition, food/rations and water, medical supplies, vehicles, vehicle parts, and aircraft. Attached to these shipments are RFID tags that store information vital to the soldier.
Unisys tracks shipments across all modes of transportation -- truck, rail, ship, and air -- to their final destinations in combatant commands worldwide.
