CHAPTER 5 ENGINEERING MATERIAL the When you have read and understood this chapter, you should be able to answer following  learning  objectives: . Define the purpose of the Navy supply system. . Explain the purpose and use of allowance lists. . Describe the methods used to identify material. l Describe the procedures used to procure repair parts. Most  Navy  supervisors  do  not  understand  the Navy supply system well enough to use it effectively and   this   chapter   should   help   you   improve   your understanding.   While   the   engineer   officer   is responsible  for  supply  in  the  engineering  department, this   chapter   is   addressed   to   all   engineering supervisors  whether  they  are  engineer  officers  or  new chief petty officers. You need to know how the system works, and how NAVSEA uses the system to supply the  engineering  departments  in  Navy  ships.  This chapter  provides  only  general  information  because supply  officers  are  responsible  for  the  logistics  of supply.  However,  the  supply  officer  cannot  do  the  job without  the  cooperation  of  all  departments  on  the  ship. The specific procedures are described in publications issued by NAVSUP, NAVSEA, and NAVELEX. THE NAVY’S SUPPLY SUPPORT SYSTEM The supply support system is responsible for the procurement, storage, delivery, and accountability of materials used in the Navy. It is part of a larger supply structure called the Defense Logistics Agency (DLA) which is established at the Department of Defense (DOD) level.  The  DLA  is  responsible  for  centralized  management of  specified  common-use  commodities  or  services  for  the entire DOD. It eliminates duplication and overlapping of effort, cuts costs, and improves the effectiveness of supply service operations throughout the DOD. The DLA and its field organizations manage categories of commonly used items in the areas of subsistence, clothing and textiles, military  general  supplies,  petroleum,  military  construction and automotive equipment, the common services of traffic management,  and  surplus  sales. The  DLA  owns  and  controls  bulk  stocks  of  a designated commodity, and each service submits its requirements for that commodity to the DLA. After matching requirements against stocks on hand, the DLA computes the overall requirement for the Department of Defense and buys accordingly. For  categories  of  material  designated  for  DLA managership, the Navy establishes a retail office instead of a supply demand control point (SDCP). This office serves as inventory manager for Navy-owned stocks and determines  Navy  requirements  for  the  designated material. Each Navy stocking activity reports its net requirements for the material to the Navy retail office, which  combines  the  reports  received  to  establish Navywide  requirements  and  submits  them  to  DLA.  The following  lists  summarize  the  division  of  functions between the DLA and the individual services: The  DLA  has  the  following  responsibilities: l l l l l l l Coordinate  and  determine  total  commodity requirements  to  support  the  combined  military services Procure  stock Manage  large-scale  stocks  (called  wholesale stocks) Catalog  (Federal  Supply  Catalog  for  the commodity) Set standard pricing Coordinate   standardization Use excess material and sell surplus material Each military service (Army, Navy, and Air Force) has the following responsibilities: .  Determine  items  within  commodity  groups  that are required 5-1