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MoD confirms £460m logistics contract with Boeing Defence


Mark Say Managing Editor

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The Ministry of Defence (MoD) and Boeing Defence UK have completed their agreement on the contract extension for Logistics Information Services (Logis).

They have announced that they have recently completed the formalities to sign the agreement, after the MoD indicated its intention to do so late in 2020.

It maintains Boeing’s role in Logis (also known as Future Logistics Information Services – FLIS), which goes back to 2010, for five years from the expiry of the existing deal in July of this year. The extension has now been valued at £460 million.

The contract involves ensuring that all the services have access to a technology system to support services for essential inventories such as spares, supplies, munitions, transport, engineering and maintenance, finance and accounting. It will also involve the expansion of a Boeing technology enabled system to support base inventory services for the Royal Navy and Army, which are already in place for the Royal Air Force.

It supports implementation of the MoD’s Integrated Review and Defence Command Paper, both published last year, along with the Modernising Defence Programmme.

The MoD said that the deal involves around 300 jobs at Boeing’s Milton Keynes and Bristol sites, as well as a further 375 roles in the wider UK supply chain including IBM, Fujitsu, Sopra Steria and BAE Systems.

Supporting rapid deployment

Minister for Defence Procurement Jeremy Quin said: “This contract helps ensure our armed forces can rapidly deploy personnel and equipment on operations at home and abroad whenever required, maintaining their reputation as one of the finest fighting forces in the world.

“Safeguarding the UK’s ability to provide critical defence, security and resilience, the contract enables the management of current and future equipment through ongoing access to cutting edge software applications that are maintained and updated in line with the changing needs of defence.”

Air Vice Marshal Richard Hill, director support transformation at UK Strategic Command, said: Securing this contract will provide the means to deliver and modernise Logistic Information Systems (LogIS). This in turn will enable our transformation programme by integrating with industry partners to deliver Support Advantage.

The MoD also said the deal is expected to provide savings of £54 million over five years.

Image from istock, Ikholdwadia

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