Defense Programs: Opportunities to Reform Key Business Practices
Abstract
At your request, we summarized information on the defense budget and Department of Defense (DOD) infrastructure, inventory management, financial management, and acquisition programs. Since these programs are among the areas we have designated as high risk, that is vulnerable to waste and mismanagement, and in need of major reforms, we relied heavily on our recently issued series of reports on high-risk areas in preparing this letter for you. We have reported on problems and made numerous suggestions for improvements and efficiencies in DOD's infrastructure, inventory management, financial management, and acquisition programs for many years. While DOD has made progress in improving these programs, much remains to be done to fully implement the corrective actions needed to remove the high-risk designation. At the core of the high-risk problem areas is a lack of fundamental accountability. Until DOD incorporates accountability across its organization and programs and takes action to improve basic management practices and processes, it will continue to run inefficient operations that ultimately divert funds from more pressing needs. Furthermore, it will continue to lack the information needed to manage its vast resources of over $1 trillion in assets, 3 million military and civilian personnel, and a budget of over $250 billion. As you know, landmark legislation in the 1990s, including the expanded Chief Financial Officers Act of 1990 and the 1993 Government Performance and Results Act, established broad management reforms that, if implemented successfully, will help resolve high-risk problems and provide greater accountability in many government programs and operations. High-risk areas generally involve long-standing problems that are difficult to correct. Sustained management attention and congressional oversight are necessary to achieve full and effective implementation of legislative mandates, our suggestions, and corrective measures by agencies.
Document Details
- Document Type
- Technical Report
- Publication Date
- Mar 05, 1997
- Accession Number
- AD1170694
Entities
People
- Henry L. Jr Hinton
Organizations
- United States Government Accountability Office