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Author Topic: DOES AAFES HELP OUT THE MILITARY COMMUNITY?  (Read 2579 times)

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Offline badu.washington

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DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« on: October 25, 2009, 04:03:07 PM »
FEEDBACK NEEDED, ANY KIND POSITIVE OR NEGATIVE.  THANK YOU

Offline lisag123

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #1 on: October 27, 2009, 02:59:53 AM »
Officers maybe!  My husband is a SSgt, and we have three kids.  AAFES is too expensive for our budget.  Being overseas, AAFES is the only option for shopping unless you go off base, where the dollar to Euro rate will kill you.  So I stick to clearance racks, and online shopping.

Offline Quityerbitching

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #2 on: October 27, 2009, 10:33:50 AM »
There are close to 300 million ways they help each and every year.

Try selling that tube of toothpaste for the same price as home when you are an ocean away form the source.. it aint cheap.

Offline Disgruntled

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #3 on: October 28, 2009, 10:02:38 PM »
Overseas, AAFES does serve a purpose. Stateside, not so much anymore. Every time a new BX is even proposed, it seems Walmart or Target knows and immediately builds a superstore right outside the gate. Guess where the customers we should have go...

Offline joemauldin

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #4 on: November 05, 2009, 09:18:25 AM »
AAFES provides dividends back to MWR to run clubs, bowling centers and golf courses, (not libraries or youth labs and other programs like that).   

The most important service AAFES provides is that they are effective at deploying stores into forward deployed areas.   Even if it is sometimes more expensive than we'd like you have to admit that not many other civilian based organizations would do that.

AAFES does get a significant subsidy from the taxpayer (around $300M per year) for shipping product from the US to overseas locations.   This is why they are able to sell product at a reasonable if not cheap price, so lay off of the toothpaste example.  For many that live overseas just something that seems a bit like the US is a value in and of itself.

If only AAFES would focus on managing, there are many good, honest people in AAFES, the problem is there are many agendas at play that include Senior Enlisted Spouses groups to corporate lobbying that impact some of the very bizarre issues we all see.

Offline Disgruntled

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #5 on: November 06, 2009, 12:01:31 AM »
AAFES provides dividends back to MWR to run clubs, bowling centers and golf courses, (not libraries or youth labs and other programs like that).   

The most important service AAFES provides is that they are effective at deploying stores into forward deployed areas.   Even if it is sometimes more expensive than we'd like you have to admit that not many other civilian based organizations would do that.

AAFES does get a significant subsidy from the taxpayer (around $300M per year) for shipping product from the US to overseas locations.   This is why they are able to sell product at a reasonable if not cheap price, so lay off of the toothpaste example.  For many that live overseas just something that seems a bit like the US is a value in and of itself.

If only AAFES would focus on managing, there are many good, honest people in AAFES, the problem is there are many agendas at play that include Senior Enlisted Spouses groups to corporate lobbying that impact some of the very bizarre issues we all see.

Joe, I don't know where you get your figures because AAFES' annual sales last year were $7B or so. Since the figures published by AAFES claim less than 2% of the funding comes from appropriated funds, that figure for shipping would at most be about $140 M. Don't forget--that 2% also includes the salaries of the military people working at HQ and in the field, so shipping aid would be even less. The other thing you are missing is that, if AAFES was indeed getting that much taxpayer lucre, they would be subject to OPM rules and all the other labor laws they currently dodge.

The fun thing is that you make the argument that should be foremost in the minds of upper management--AAFES does its best work OVERSEAS. With a Walmart or Target outside just about every gate and most of the activities contracted, there is not really a need to have a store inside the fence (even with the no-tax benefit, those stores kick our butts on most things). Also, you are wrong in your list of what gets subsidized with MWR money, especially stateside. The money, once turned over to a local commander, goes where that commander wants it to. Some places, that might well be the bowling alley or the golf course. In other places, it is the CDC or the pools or Youth Programs. The clubs where I am are also run by contractors. Not a dime of MWR goes into those facilities.

Management is the biggest problem, though. How many people are cutting deals at HQ who have never seen the inside of an actual BX?

Offline joemauldin

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #6 on: November 07, 2009, 03:23:58 PM »
AAFES provides dividends back to MWR to run clubs, bowling centers and golf courses, (not libraries or youth labs and other programs like that).   

The most important service AAFES provides is that they are effective at deploying stores into forward deployed areas.   Even if it is sometimes more expensive than we'd like you have to admit that not many other civilian based organizations would do that.

AAFES does get a significant subsidy from the taxpayer (around $300M per year) for shipping product from the US to overseas locations.   This is why they are able to sell product at a reasonable if not cheap price, so lay off of the toothpaste example.  For many that live overseas just something that seems a bit like the US is a value in and of itself.

If only AAFES would focus on managing, there are many good, honest people in AAFES, the problem is there are many agendas at play that include Senior Enlisted Spouses groups to corporate lobbying that impact some of the very bizarre issues we all see.

Joe, I don't know where you get your figures because AAFES' annual sales last year were $7B or so. Since the figures published by AAFES claim less than 2% of the funding comes from appropriated funds, that figure for shipping would at most be about $140 M. Don't forget--that 2% also includes the salaries of the military people working at HQ and in the field, so shipping aid would be even less. The other thing you are missing is that, if AAFES was indeed getting that much taxpayer lucre, they would be subject to OPM rules and all the other labor laws they currently dodge.

The fun thing is that you make the argument that should be foremost in the minds of upper management--AAFES does its best work OVERSEAS. With a Walmart or Target outside just about every gate and most of the activities contracted, there is not really a need to have a store inside the fence (even with the no-tax benefit, those stores kick our butts on most things). Also, you are wrong in your list of what gets subsidized with MWR money, especially stateside. The money, once turned over to a local commander, goes where that commander wants it to. Some places, that might well be the bowling alley or the golf course. In other places, it is the CDC or the pools or Youth Programs. The clubs where I am are also run by contractors. Not a dime of MWR goes into those facilities.

Management is the biggest problem, though. How many people are cutting deals at HQ who have never seen the inside of an actual BX?


Disgruntled:

Here is where I get information on AAFES Financials:

http://www.aafes.com/pa/08financials.pdf

Page 6 shows total Revenue $8.8 Billion.

Page 10 reports taxpayer funded transportation costs at $145 M to OCONUS operations and $146 M for OIF/OEF operations. ($291M total)   Plus on Page 11 an additional APF funding of $98 Million for OEF/OIF operations.  Total taxpayer investment at least $389 M.

Reading these give a good overview of what happens at AAFES.

Anyway AAFES does a lot of good and sometimes some things very badly.  They can't be expected to be perfect but they should be held accountable when appropriate.   I would like to see all the revenue from certain products that are normally high tax items in the States be 100% donated to MWR programs, namely Cigarates, Alcohol and Gasoline.   If all the profit from these items (without which AAFES would be loosing money) were donated to MWR then the management of AAFES would be on a much tighter budget and hopefully would cut the useless management overhead and force contracts and contractors to better serve military men and women.

 

Offline Disgruntled

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #7 on: November 11, 2009, 11:56:24 AM »
Alcohol and cigarettes are duty-free, so to speak. But Gasoline is still taxed by federal law. That's always been a sore spot with some people, but the retail providers had better lobbyists and it was decided that the gas on base would still be taxed at the same rate as just outside the gate. Add to that the restrictions on price surveys for gas, the cost of getting that gas to the base and all the rest--you have gas that is not really a benefit.

You really think management would "cut the useless management overhead and force contracts and contractors to better serve..."? Nope! That would mean giving up all those perks (and more than a few rumored "tokens of [our] esteem"). They would rather do the Walmart thing and cut all the personnel to bare minimum and dare the customer to find someone to wait on them. The local exchange has not even bothered to hire extra people for the holidays; they haven't raised hours for those already working, either.

Shipping figures: AAFES says that is what the shipping cost. But that figure is misleading because the goods usually go on ships already headed for those destinations and the money transfers on paper only. From what I understand, the goods going to the war zones are hitching rides on transport ships on a Space-A basis. Same with a lot of the OCONUS goods, too. That is what I was told, anyway.

We don't have our own ships (and, please, no one at HQ get that idea--we can't afford more cuts in the field), so that is how we kind of have to do things to get goods to those locations.

Offline poppy

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #8 on: November 21, 2009, 07:20:48 AM »
I'm sorry but 9 times out of 10 I can go on the economy and buy what I need for cheaper.  Even with the current exchange rate.  For example I just bought a new loveseat, the loveseat I saw at the PX was $799 the one I bought (which was quite similar to what they had at the PX) was 250 euros at a local furniture store.  And no it wasn't IKEA.  So I saved $430 by NOT shopping at the PX.  Granted gas on the economy is a pocket breaker, but for clothes, electronics and furniture I go on the German economy.  If I can't find what I need I order it online.  Very rarely do I make a purchase at the PX/BX.  I thinks it's a waste of money to shop there.  You have to take the time out to find the deals in the economy there are a million stores out there that are better than AAFES. 

Offline ashml

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #9 on: November 27, 2009, 02:33:16 AM »
I would like to know where they help them out overseas, I was told they usually help officers etc..plus overseas it cost WAY to much there for anything to even shop there if you are a lower rank (which we are) Amazon has been our best friend here in Germany

Offline angelarnold2003

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #10 on: December 27, 2009, 12:09:45 PM »
Two words......
HELL NO!!!

Offline Cowboy

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Re: DOES AAFES HELP OUT THE MILITARY COMMUNITY?
« Reply #11 on: January 22, 2010, 11:14:25 PM »
Does AAFES help out?  Yes.  If the AAFES contract was open to public bidding like all other government contracts, could the help be better?  Significantly. 

It's funny when it comes to competition.  If you don't have any, you tend to not give two shits if the management is a bunch of incompetent fools, just so long as no one is stealing.  AAFES doesn't have competition, so they really don't have an incentive to make the bottom line actually work.  If they don't make projected sales, they'll be subsidized.  There's so much money wasted on a variety of things that it's just craptastic.  I can promise you that if a private company operated in the same manner as AAFES, it would go bankrupt fairly quickly.  One of the simplest things they could do is listen to customer requests for products.  Or maybe even pay attention to what's sold, and buy more of it, instead of different types of the same item that doesn't get sold. 

Eventually the non-liked items will be sold if you don't restock the liked items because we don't have a choice.  A polished turd is better than nothing at all. 

 

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