The Need for Change

The Royal New Zealand Army Ordnance Corps (RNZAOC) has historically played a crucial role in ensuring the efficient supply and management of military logistics. Operating in an era far removed from today’s advanced technological landscape, the RNZAOC initially relied on manual processes for stores and inventory accounting. These methods, virtually unchanged since the 1860s, required handwritten vouchers, ledgers, and ledger cards to track all transactions. The process was time-consuming, highly labour-intensive, and prone to human error, requiring exceptional accuracy. As the demands of modern logistics increased, inefficiencies in RNZAOC accounting practices became a growing concern.

By the mid-20th century, military supply chains worldwide were beginning to embrace mechanisation and digitalisation to improve operational efficiency. Therefore, the transition to computerised supply accounting was a significant and necessary evolution, aligned with broader Defence modernisation efforts.

This article traces the RNZAOC’s journey from manual record-keeping to introducing electric accounting machines (EAMs) and eventually to fully integrated computer-based supply systems, revolutionising military logistics in New Zealand. It covers developments from 1964 to 1990 and details key milestones in military logistics automation.

Transition to the NATO Codification System and Evolution of Stores Accounting

Owing to the historical connections between the RNZAOC and the British Army, the RNZAOC initially employed the Vocabulary of Army Ordnance Stores (VAOS) system to categorise item part numbers. Nevertheless, as the relationship with the United States deepened, and more US equipment entered into service, a pivotal decision was made in 1968 to embrace the NATO Codification System. This transition replaced VAOS numbers with universally recognised NATO Stock Numbers (NSNs). NSNs are commonly associated with the United States Military as National Stock Numbers, which evolved from the Federal Stock Numbers developed during World War II. While the United States Government created the codification system, it has long been developed and augmented into a Global System by NATO.

Each Item of Supply is identified in the National Codification System by a unique 13-digit NSN. The NSN consists of three identifying parts:

• A four-digit NATO Supply Classification (NSC), also known as “Group Class,” places an item into a group classification, such as generators or aircraft engines.
• A Two-digit Nation Code (NC) identifying the country assigned the NATO Stock Number. Examples of NCs are:
  • 00 and 01 – United States.
  • 66 – Australia.
  • 99 – United Kingdom.
  • 98 – New Zealand.
• A seven-digit Item Identification Number (IIN), together with the NZ, is unique to that item.

With the support of the United Kingdom, New Zealand gained admission to the NATO Codification community in 1969. Although the first official “98” NATO Stock Number (NSN) was assigned in December 1972,  NSNs with the “NZ” prefix had been in active use as far back as 1964. With many items still in the supply system with VAOS codes, it took time to harmonise and align the two codification systems. However, by the close of the 1970s, NATO Stock Numbers had been fully integrated into the New Zealand Army supply infrastructure.

Simultaneously, as New Zealand transitioned into the NATO Codification community, and considering that a significant portion of RNZAOC activities centred around procurement, provisioning, and store’s accounting, steps were taken in 1964 to modernise the processes related to store’s accounting.

The store’s accounting practices within the RNZAOC had evolved from the initial systems established by the New Zealand Defence Stores Department in the 1860s and incorporated lessons learned since then. The cornerstone of these records was the ledger card. In 1980, many of the ledger cards utilised by the RNZAOC had their roots in the Royal Army Ordnance Corps (RAOC) Visidex system. The Visidex system, introduced by the RAOC in the late 1930s, was designed as a straightforward ledger card system to replace complex mechanical ledger posting systems that had proven unsatisfactory.[1]  Initially implemented for wartime use within Ordnance Field Parks (OFPs), the Visidex system proved ideal due to its simplicity, requiring minimal staff training. Carbon-backed posting slips were used, enabling easy checks to be conducted. Each OFP section maintained a control office where all indents from units were received. The stock record was meticulously verified, the stock’s location within the OFP (where each truck served as a stock location) was identified, and the stock record was promptly updated. If the stock was available, it was immediately issued. When the stock was unavailable, it was recorded as “Dues Out,” and an indent was placed with the supporting Depot for replenishment, marked as “Dues In.”[2]  Each truck within an OFP also maintained its stock records, reconciled with each issue, receipt, and stocktake. The robustness and simplicity of the Visidex system made it the primary field stores accounting system within the New Zealand Army, a role it continued to fulfil well into the 1990s. In the context of the 1980s, the RNZAOC stores accounting system consisted of eight different ledger card systems:

• MD 310 Ledger card. Used by 1 Base Supply Battalion, 1, 2, 3, and 4 Supply Companies, and the New Zealand Advanced Ordnance Depot Provision, Control and Accounts (PC&A) Sections to manage Defence Inventory, less, Ammunition, Rations and Fuel and Articles in Use (AiU).
• MD 324 Loan Record Card. Used by Quartermaster Stores to manage AIU items on long term loan (7 Days or more) to individuals.
• MD 329 Record of Stores Supplied on Temporary Loan. Used by Quartermaster Stores to manage AIU items on short term (7 Days or less) loan to individuals.
• AFNZ 150 Stock Record Card. Used by RNZAOC Workshops Stores section to manage repair parts, assemblies and workshop material to suit the particular requirements of their parent workshops.
• AFNZ 169P Ammunition Account Card and AFNZ 171P Ammunition Lot/Data Card. Used by the Ammunition Provision Control and Accounts (APCA) section to manage serviceable and unserviceable ammunition.
• AFNZ 28 Supplies and FOL Ledger. Used by RNZAOC Supply Platoons to manage Foodstuffs, Fuel, oil and lubricants.
• AFNZ 162 Stock and Provision Record Card. Based on the Visidex card, the AFNZ162 was used by RNZAOC Field units to manage stock in operational environments.
• AFNZ 161 Store Ledger Card. Used by RNZAOC Quartermaster Stores to manage AIU items in-store or on distribution under an MD502 Distribution Record.

Journey Towards Electronic Data Processing

The journey to replace stubby pencils and erasers began in 1964 with a feasibility study on introducing electronic data processing into store accounting within the Army. By September 1965, a machine accounting system had been designed for Army use. However, the Army was not working in isolation—this was part of a broader Defence-wide initiative to introduce computerised accounting, with the Navy and Air Force developing parallel systems tailored to their specific needs.

The new system was intended to utilise electric accounting machines (EAMs) at ordnance depots and major camps. These machines updated records and punched data onto paper tape for processing at the Defence EDP Centre. However, at this stage, Defence did not yet have a central computer, so an arrangement was made to use the Treasury’s IBM 650 computer.

EAMs had arithmetic capabilities and could generate simultaneous, error-free postings, records, registers, and paper tape. Their introduction was expected to significantly reduce the number of documents required, operate much faster than manual methods, and minimise audit queries.

Once the central computer processed the information produced by the EAMs, a timely and wide range of data became available, including:

• Daily provisioning information.
• Quicker identification of surpluses.
• Continuous extraction of shortfalls and bonuses.
• Status reports on demand, including requirement-resource comparisons over any desired range.

For the first time, the system aimed to provide a more accurate prediction of stock levels, enabling faster and more efficient service to units.

Phased Introduction of the System

From November 1965, the new system was to be introduced in four phases:

• Phase 1 – Main Ordnance Depot at Trentham
• Phase 2 – District Ordnance Depots
• Phase 3 – Main Camps and Logistic Support Group (LSG) Units
• Phase 4 – Other units, either through Camp machine installations or by direct computer input

During Phases 1 and 2, the EAMs were to function as a self-contained system with central control, which would commence fully in Phase 3.

Implementation Timeline

• November 1965 – Machines, ledger cards, and machine operators delivered to the Main Ordnance Depot. Card raising begins with a new type of ledger card.
• June 1966 – Planning begins at District Ordnance Depots.
• October 1966 – Balances machined on ledger cards at the Main Ordnance Depot. Automatic accounting commences, and output is prepared for the computer.
• Early 1967 – Planning commences at Main Camps and LSG units.
• June 1967 – Automatic operations begin at District Ordnance Depots.
• 1968 – Units outside of main camps are integrated into the system.

Training of EAM Operators

Training of EAM Operators

EAM operators were to be known as Data Operators. The RNZAF conducted a twelve-week training course for data operators. By September 1965, the Army had two trained operators, with an additional four about to commence training.[3]

Early Progress

By June 1966, the overall design of the EAM system, reporting to a central computer installation, was well advanced. The target date for the Main Ordnance Depot (MOD) was now set a month ahead of the original schedule of October 1966. Army had 6 Data Processors, 5 at the MOD and one at CDOD at Linton,

Since November 1965, MOD data processors had been raising cards using Flexowriter machines, which also produced punched paper tape for computer input. The facilities at MOD had also been upgraded, with the machine room at Trentham completed and fitted with two NCR-33 accounting machines. Additionally, machine rooms were installed at Ngāruawāhia and Burnham, while a new facility at Linton was planned for completion in July 1966. Planning for machine rooms at Papakura and Waiouru had been finalised, but installation had not yet taken place.[4]

Proposals for a Defence computer installation were deferred in 1967, as the overall defence programming capability was weakened by the resignation of experienced staff who transferred to private industry. Initially, Defence policy aimed to advance computing in personnel, pay, and supply simultaneously. However, in 1967, priorities were reassessed, with supply taking precedence, followed by personnel and then pay.

The introduction of accounting machines at the Army’s Main Ordnance Depot (MOD) and the Navy’s and Air Force’s equivalent store depots meant that all three services were now operating with standard ledger cards and uniform procedures. This was a significant step forward toward a unified Defence supply system. Reliance on a mainframe computer continued, with the Treasury’s computer—now upgraded to an IBM 360—remaining in use.[5]

In July 1967, approval was granted for a Defence computer installation, and the rental of an International Computers and Tabulators (ICT) ICT-1902 was authorised for installation at the Defence EDP Division in Porirua. This necessitated Defence staff retraining and converting projects from the Treasury’s IBM 360 system to the new system. However, the priority of EDP work remained unchanged, with supply taking precedence, followed by personnel and finance.[6]

By September 1968, Defence’s ICT-1902 computer was fully operational, supporting standard Defence systems. The following supply systems were in production:

• Stores Budgetary Control – Provided monthly reports by departmental expenditure code, detailing funds committed, paid, and outstanding for the Navy, Army, and Air Force. The system tracked approximately 400 vote code items and 90,000 stock lines.
• Federal Stock – Recorded receipt, issue, consumption, and provisioning data for 78,000 line items of U.S.-supplied equipment. This record was expected to expand significantly with the acquisition of A-4K Skyhawks and increasing U.S.-supplied equipment for the Army.
• Class A Stores – Tracked the location of all high-value and sensitive stores issued to Army units.
• Vehicles – Maintained records of all vehicles by unit, including a catalogue detailing vehicle types and associated equipment, such as tyres.[7]

At this stage, the Air Force, with a relatively new fleet of American aircraft, took the lead in developing a Defence supply system. This system was envisioned to cover approximately 200,000 line items for the Air Force alone and would gradually be extended to the Navy and Army.[8]

1970–1990: Expansion and Modernisation

The Defence Force replaced the ICT-1902 mainframe with a more capable ICL 1903 mainframe in the early 1970s, which improved the capacity for handling Defence logistics. Some key supply systems introduced during this period included:

• Stores Budgetary Control System – Monthly expenditure tracking for Army, Navy, and Air Force.
• Federal Stock Control System – Managed 78,000 US-supplied military items, which was set to expand significantly with the acquisition of A-4K Skyhawks.
• Class A Stores System – Tracked high-value and sensitive Army inventory.
• Vehicle Fleet Management System – Monitored vehicle holdings, maintenance, and associated equipment.

The Sperry Era

By 1981, the NZDF’s computing capability had fallen behind contemporary industry standards. A major overhaul took place when the ICL mainframe was replaced with a Sperry UNIVAC 1100/60E mainframe.[9]  Concurrently, a comprehensive data communications network was established, connecting major Defence locations to the computer at Porirua. This network featured 550 non-programmable (dumb) workstations across the defence infrastructure, each consisting of a keyboard and terminal.

The Sperry mainframe computer became fully operational by April 1982. However, as the S2 system was developed on an ICL 1903 computer, the conversion to the Sperry system proved difficult. The system suffered severe conversion problems with the programme, paving the way for implementing the Defence Supply System Retail (DSSR) project. The full implementation of DSSR was initially forecast for 1986/87. DSSR was conceived as a project to extend the mainframe’s technology to the depot and unit level, automating the functions conducted by the ICL system with minimal enhancements. The anticipated benefits of DSSR included:

• A more responsive reporting facility.
• An electronic data record in place of ledger cards.
• Automatic production of vouchers.
• Automatic updating of stock files.
• An up-to-date central overview of the stock situation.
• Automated production of statistics at both HQ and unit levels.
• An instantaneous enquiry system at unit level.
• Less dependence by units on higher Headquarters for stock information.

By 1983, RNZAF Base Auckland had implemented the DSSR system, with 1 Supply Company at Ngāruawāhia migrating their MD310s into the DSSR system. This concerted effort positioned 1 Sup Coy to input the ledger balances into the DSSR system once the necessary hardware, including terminals, keyboards, and printers, had been installed and the personnel of 1 Sup Coy had completed their training. These milestones were successfully achieved by late March 1984. As 1 Sup Coy went live, other RNZAOC units were cleansing their records in anticipation of integration into the DSSR system. The transition from the NCR Machines to DSSR was not seamless as the NCR machines were worn out and difficult to support by the vendor. Units such as NZAOD and 4 Sup Coy had by 1984 reverted to a manual accounting system. Although labour-intensive, manual accounting using the MD310 was found to be accurate, with stock figures held in PC&A Sections not too far out.[10]

DSSR represented just one of the computer applications employed by the RNZAOC. By 1988, the SPERRY Mainframe at Porirua supported additional applications alongside DSSR. Running on a third-generation programming language known as COBOL, the most well-known COBOL programs included:

• POLI (Personnel On-line Inquiry).
• AIRMAIL (Personnel On-line PON Input).
• DSSR (Defence Supply Systems – Detail).
• LOGIC (Logistics Inventory Control).
• Finance Interrogation (RI) System.
• Finance Expenditure (RS) System.
• Finance Commitments (RC) System.

Another mainframe application utilised by the RNZAOC was the Maintaining, Preparing, Producing Executive Report (MAPPER) application. While it could be used for programming, it was resource-intensive, making it less favoured by computer production management staff. The RNZAOC, along with the RNZEME, were significant users of MAPPER, employing it for:

• 1 BSB Stock Location System.
• Army Defect Reporting System (ADRS).
• Army Equipment Management System (AEMS).

The New Zealand Army Scales and Documentation Centre (NZASDC) Scales and Entitlements System Was introduced in 1986, automating the production of equipment scaling documents. The NZASDC system was based on a PRIME computer and incorporated data and graphics. One of the selling points for introducing this system was that it allowed the staff of NZASDC to overcome an estimated backlog of 150 man-years. The budget for this system in 1985 was $0.579m (2023 $1,835,352).

By 1988, access to the Defence Integrated Database System (DIDS)was introduced, allowing for enquiries against all overseas provided identification and technical information. This gave item managers access to other nation’s sources of supply.

Since the mainframe provided access to only limited applications and little scope for general computer familiarisation, the first Sanyo microcomputers were introduced into Defence in 1981. These offered access to programs for word processing, spreadsheets, and database access to Defence units. 1988 Defence expanded its microcomputer capability with a tender for a new range of microcomputers based on the IBM/MS-DOS standard. The selected machine was the 16-bit Compaq Deskpro 286. By the end of 1988, the number of Compaqs owned by Defence was over 700, with 140 installed within Army units. Standard software packages selected for these microcomputers include the following:

• WordStar 2000 Plus (Word-processor)
• dBase III Plus (Database)
• Lotus 1-2-3 (Spreadsheet)
• SuperCalc4 (Spreadsheet)
• FrameWork 2 (Integrated package)
• SideKick (Desktop assistant)

The Defence Supply System Development (DSSD) project was initiated in 1986 as the second phase to replace the NCR accounting machines and ledger cards in stockholding units, with the first phase, DSSR, implemented during 1983/5. Both DSSR and DSSD were considered interim solutions due to the urgency dictated by the inability to support the NCR accounting machines beyond 1988.

The Defence Supply Redevelopment Project (DSRP) was launched in 1986 to find a lasting solution. The goal was to replace the temporary DSSR and DSSD systems while tackling persistent issues like repairable item management and performance measurement.

Resource limitations made it impractical to develop both projects (DSSD & DSRP) in parallel and wasteful to develop both as interim solutions. Analysis of the fundamental problems with the supply system identified during the first phase of DSSR pointed to DSSD as a reasonable, simple and achievable data integrity and management solution.

DSSD was confirmed in 1987 as the baseline supply system for later enhancement by DSRP. This has involved a change in scope to allow repair processing and retail functions with DSSD replacing DSSR with more comprehensive processing. On completion of DSSD, it was intended to have a stable on-line supply system in place, containing each of the essential features required of a supply accounting and replenishment system in basic form, allowing the New Zealand military to meet its operating requirements. The planned implementation phases for DSSD were:

• Construct item identification records and complete depot purification by March 1988.
  • 1 Base Supply Battalion (1BSB) trial and conversion by March 1989.
  • Enhance 1 BSB office facilities and convert Air and Navy depots by January 1990.
  • Retail prototypes by September 1990.
  • Enhanced retail facilities and complete conversion by January 1991.
  • Develop future DSRP modules such as performance measurement starting in 1990.

With DSSR rolled out to most RNZAOC Units by 1987. However, the DSSD development team encountered difficulties with the LINC development environment, delaying the pilot system rollout at 1BSB until late 1989.

To enhance field support capabilities, the RNZAOC initiated computer experimentation in 1988. A significant milestone occurred during the 1988 Force Maintenance Group (FMG) Annual Camp when a mainframe terminal was introduced to the 21 Supply Company, granting access to the DSSR. Another notable advancement at the FMG Annual Camp involved the trial of a computer-based Frequency of Issue (FOI) calculation system designed and coded using dBase III. This system drastically improved efficiency, enabling the Ration Platoon staff to complete forty-eight man-hours of work in just four hours. Following this success, the FOI program underwent a thorough evaluation by a Quality Review Team established by the Directorate of Ordnance Services (DOS). It was subsequently extensively redeveloped and renamed COMRAT.

During the 1989 Exercise Golden Fleece, mainframe terminals were strategically placed in the exercise area to support 21 Supply Company, the Ordnance Support Group (OSG), and Workshop Stores Sections. Additional general-purpose terminals were deployed at the New Zealand Force and FMG Headquarters. Strong data communication links were established to the Defence mainframe through Telecon data circuits and RNZSigs radio relay facilities.

Furthermore, COMRAT was tested and evaluated by RNZAOC units deployed on Exercise Golden Fleece in New Zealand and on Exercise Taiaha Tombak X in Malaysia, utilising hardware in the form of a ‘ruggedised’ GRiDCASE laptop or Hewlett-Packard Portable Vectra CS laptop. These innovative approaches aimed to validate the procedures and facilities required to support logistics elements deployed alongside operational forces. However, the outcomes of these experiments were diverse, showcasing both successes and challenges. While progress was evident, it became clear that the ultimate goal of achieving a fully deployable logistics solution remained a work in progress.

Conclusion: A Transformational Shift in Military Logistics

The transition of the RNZAOC from manual, paper-based inventory management to computerised supply accounting between 1964 and 1990 was a significant milestone in New Zealand’s military logistics history. The slow adoption of Electric Accounting Machines (EAMs) in the 1960s evolved into a fully integrated digital system that modernised inventory tracking, procurement, and supply chain management.

By the early 1970s, the RNZAOC had established foundational digital processes, aligning with broader Defence Force initiatives to standardise logistics across the Army, Navy, and Air Force. Adopting mainframe computing, transitioning to the NATO Codification System, and implementing systems such as DSSR and DSSD demonstrated a commitment to efficiency, accuracy, and operational effectiveness.

Despite challenges—including evolving technology, delays in implementation, and the gradual phasing out of outdated systems—the RNZAOC emerged as a leader in military logistics modernisation. The advances during this period laid the groundwork for the more sophisticated supply chain management solutions of the 1990s and beyond.

Ultimately, the RNZAOC’s journey exemplifies the necessity of continuous innovation in military logistics. The evolution from handwritten ledgers to integrated digital systems was not just an administrative improvement—it was a fundamental shift that enhanced the Defence Force’s ability to sustain operations, respond to logistical demands, and support the modern warfighter.

This study of the RNZAOC’s supply accounting transformation is a testament to the adaptability of military logistics. It underscores the enduring importance of technological advancements in sustaining and supporting New Zealand’s armed forces. Further research into subsequent developments will help capture the full impact of these early digitalisation efforts on today’s Defence logistics systems.

Notes

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[1] Brigadier A.H Fernyhough C.B.E. M.C, History of the Royal Army Ordnance Corps 1920-1945 (London: Royal Army Ordnance Corps, 1965), 213.

[2] P.H. Williams, War on Wheels: The Mechanisation of the British Army in the Second World War (History Press Limited, 2016), 73.

[3] Army 246/1/12 Introduction of Electronic Data Processing into Stores Accounting Systems-NZ Army Dates 30 Sept 1965. “Stores – Account for General Instructions,” Archives New Zealand Item No R17188987  (1964 – 1967).

[4] Defence EDP Division 38/4/3 EDP Stores Accounting Systems Dated 28 June 1966. “Stores – Account for General Instructions.”

[5] “H-4 Report of the Ministry of Defence for the year ending 31 March 1967,” Appendix to the Journals of the House of Representatives  (31 March 1967 1967).

[6] “H-4 Report of the Ministry of Defence for the year ending 31 March 1968,” Appendix to the Journals of the House of Representatives  (31 March 1968 1968).

[7] “H-4 Report of the Ministry of Defence for the year ending 31 March 1969,” Appendix to the Journals of the House of Representatives  (31 March 1969 1969).

[8] “H-4 Report of the Ministry of Defence for the year ending 31 March 1970,” Appendix to the Journals of the House of Representatives  (31 March 1970 1970).

[9] New Zealand. Parliament, Parliamentary Debates: House of Representatives (1983).

[10] Major J.S Bolton, A History of the Royal New Zealand Army Ordnance Corps (Trentham: RNZAOC, 1992).