Case Studies of Performance Based Logistics in the Military: International Lessons Learned

Abstract

Performance-based logistics (PBL) represents a support strategy for weapon systems and manifests in contracts that focus on the delivery of outcome performance not process outputs. Despite the high research interest in the underlying theory, only few studies address the question how PBL is actually used. Some quantitative studies have researched this question by evaluating the perceptions of involved management people. Other data, such as prices, contract terms, or performance indicators, are often only available in form of qualitative case studies. Therefore, the purpose of this research is to report on a number of PBL cases and to provide a holistic view on their characteristics and the effectiveness as a support strategy. The analysis identified a high number of more than 100 cases that are reported in the literature. Filter methods are used to identify heterogenous case examples. The chosen cases are described and analyzed considering contract terms, price mechanisms and performance indicators. The findings show the wide range of PBL applications in international weapon system support. This guides this research to a number of research and practical propositions.