NATO Logistics Stock Exchange (NLSE)

Virtual Stock Management

The virtual stock management concept is one of the cornerstones of the NLSE, offering a means of reducing stockholdings in individual nations by managing the overall stock in common.

In a nutshell, it operates as follows:

  • NAMSA customer nations select a range of items which they wish to manage jointly and enter the relevant data in the NLSE databases;
  • based upon reported demand history, the system computes the minimum stockage levels that need to be held by each customer while maintaining the overall required level and tracking stock locations.

This allows users to lower their individual stockholdings while offering them access to a much larger stock, distributed over various locations in different nations. Because the total stock is managed through the NLSE database, it is called a virtual stock.

Connect to the NLSE

The NATO Logistics Stock Exchange (NLSE) is a set of tools developed by NAMSA to assist customers and suppliers in putting into practice cooperative logistics concepts for item acquisition and management. These tools allow customers to arrange for the exchange of excess spare parts and to manage commonly held stocks. In addition, the NLSE allows industry to provide sales catalogues of spare parts and to submit bids with a view to supplying specific items that customers require.

The NLSE information system platform consists of a set of databases and a web-based interface. The databases contain, amongst other things, logistics information about parts, information on customers’ stockholdings and present and future requirements, as well as details of commercial suppliers and what they can offer. The web interface provides an easy way for customers and suppliers to access and exchange information in a secure, controlled manner.

Customers wishing to use the NLSE directly must subscribe to the provisions of the COMMIT (Common Item Management) Partnership Agreement – which establishes the legal framework necessary for the management of common stocks and prescribes the rules for asset redistribution. This agreement has the same legal basis as a WSP agreement.

Firms wishing to submit bids through the NLSE must register in the system.

System functions

The main functions currently provided by the NLSE information system are:

  • reporting and exchanging excess assets
  • reporting of armed forces' inventories, to improve stock management
  • asset pooling, to permit common stock management (see "Virtual Stock Management" insert)
  • processing of NATO-wide Mutual Emergency Support requests
  • financial settlement of all transactions

For further information please contact: LZ@namsa.nato.int
© NAMSA
Last updated :
06/08/07

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