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The Royal Netherlands Army (RNLA) is ready to outsource maintenance to her system suppliers. Relations with suppliers are developing  towards performance based contracting.

To meet RNLA’s ambitions, Gordian was asked to develop a phased approach for PBL contracting instead of starting at the ultimate of PBL. By doing so, this resulted in a reduced complexity and focus on what, at that stage, contributed the most to the system availability; namely increasing availability on Line Replaceable Units (LRUs). LRU’s are components which can be quickly replaced by a functioning component or repaired in the field

PBL Solution focused on customer priorities

Solution development occurred in close cooperation with the supplier, focusing on customer’s urgent needs and suppliers PBL capabilities. Within this process Gordian took up the role of

• Assessor of internal logistics and PBL expertise
• Assessor of supplier PBL capabilities
• Guide to formulate the best fitting PBL solution

Interface between logistics and legal to develop PBL contract

Furthermore Gordian has supported RNLA in setting up the “logistics paragraph” of contract enabling the phased approach to develop over the years. Additionally Gordian acted as an interface between the logistical department and the legal department.

Implement PBL contract management in order to sustain the solution

During the implementation phase Gordian has provided support in implementation as well as in the early contract management phase. This requires development of PBL contract management:

• Responsibility segregation
• Performance evaluation and
• Road map of PBL contract development

“This project is a strong example of Gordian’s support in PBL contracting in complex organizations. We have come a long way, now let’s implement and have RNLA benefit from the contract effects!”