PROGRAM BUDGETING. LONG-RANGE PLANNING IN THE DEPARTMENT OF DEFENSE
Abstract
A new planning and programming process is described that was initiated within the Department of Defense in early 1961. Planning is considered in long-range terms of missions, forces, and weapon systems, i.e., resource outputs, rather than in terms of the standard appropriation categories of procurement, construction, personnel, etc., i.e., resource inputs. In the course of budget review, the need for quick decisions, with their obvious drawbacks, on major programs has been reduced considerably. The new process incorporates an up-to-date, five-year force structure and financial program, expressed in terms of forces, manpower, and dollar requirements. In this system, approval thresholds are established to concentrate attention on the major current or prospective issues, this being an obvious application of ''management by exception.'' These thresholds are in terms of total obligational authority requirements, for the current or budget fiscal year and on a total basis. A progress reporting procedure for about 200 of the most important materiel items is employed. Milestone schedules are established to reflect the events and activities upon which the financial plan is based. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Nov 01, 1962
- Accession Number
- AD0289851
Entities
People
- David Novick
Organizations
- RAND Corporation