What is the rationale for closing warehouses?
In the survey conducted in October 1996, state agencies reported that there was about 1.4 million square feet of state-owned and leased space utilized for warehouse, storage and distribution functions. In these sites there was approximately $12.8 million in stored inventory that is in excess of immediate or emergency need. The analysis concluded that purchasing processes could be redesigned to be more efficient and effective to enable us to lower our investments in costly inventories and opportunities, where applicable, and for our vendors to become our warehouse. Obviously, our task is to find ways to provide better and more cost effective services. Additionally, our task includes finding savings for the state so that tax dollars can be put to work for us more effectively elsewhere.
