Toll has secured a $1.5 billion contract with the Department of Defence to deliver nationwide theatre logistics, supporting ADF operations across Australia.
In a significant win for Toll Group, its government and defence business have landed the highly coveted Department of Defence contract, assuming control and ownership of the Defence Theatre Logistics (DTL).
Formerly known as the Defence Warehousing, Distribution, and Support Services (DWDSS) contract, Toll will oversee operations spanning 18 major sites and 38 additional supporting warehouses, offering over-the-counter service hubs.
These services include warehouse management, inventory management, receiving, storage, inspections, transfer, and issuing for products such as vehicles, armaments, dangerous goods, specialised equipment, and oversized stock.
Toll’s role will be as much about seamless movement as it is about storage.
Details of the tasks involved include orchestrating customer-facing logistics and local asset management across Australia, in addition to tackling multimodal freight planning and the delicate choreography of high-security shipments, oversized equipment, and remote distribution challenges.
This nationwide contract strengthens Toll’s role in supporting the Australian Defence Force (ADF) with the delivery of vital equipment, supplies, and logistics services.
“Toll has invested an enormous amount of time, energy and resources from across whole group to compile and design a solution that leans directly into the direction Defence is now heading. Our solution is definitely best-practice and offers a wide range of benefits that will help enable Defence theatre logistics over the coming years,” said Steve Roughsedge, Senior Vice President, Toll Theatre Supply Chain.
“This is a fantastic result for not only our business, but also for all the team members involved throughout the tender process. The real work starts now of course, and we couldn’t be more excited to get started in leveraging our array of capabilities to deliver the service that the ADF deserves.”
The Defence Logistics Network required a national distribution model – road, rail, maritime, and air – supporting both southern and northern operational needs.
According to the Department of Defence, it needed a logistics partner with serious muscle: one ready to surge for extraordinary operations who could provide a blueprint for readiness, resilience, and rapid expansion.
Defence is strategically focusing on northern Australia and strengthening alliances in Southeast Asia and the Pacific, in response to recent global supply chain vulnerabilities.
Defence wanted a large, international provider to reduce supply chain risk, deliver routine services, and rapidly scale up for crisis response in an outcome-focused contract.
Perry Singh, President of Toll’s Government and Defence business, praised his team for the work they had put into the tender response process.
“Our team have been fabulous in their commitment to develop a solution for Defence that is best-in-class. Our core project team engaged from across Toll Group to gather and consolidate critical input and assistance, utilising expertise across other industries and business verticals to form a solution and response that has delighted our customer.”
“It’s very satisfying to see how a laser-focused mindset and approach can deliver such a successful and momentous outcome for our business.”
With operational readiness critical, the transition-in phase now commences.
There will also be a significant increase in staff at Toll as part of this contract, with approximately 800 additional team members starting in a phased approach over the course of a 12-month period, commencing this month.
.png){kind=small}
