The Army's Facility Construction and Maintenance Process: An Assessment
Abstract
The Army and private sector follow similar steps in facility construction and maintenance, but they differ in carrying them out, especially in budget allocation and management. These differences-caused by the Army's operating environment-result in higher costs in its design and construction, and higher costs and lower efficiency in maintenance. It does not encounter the competitive market forces that shape efficient organizational behavior and mandate sound financial and organizational management. Consequently, it builds more facilities than it can afford to maintain. To address these problems and reduce costs, this report recommends amending the requirements development process, considering the full program cost of military construction during budget development, emphasizing building designs with shorter "intended-use" design lives, creating web portals permit installations to connect directly with Corps of Engineers "expert assistance centers," establishing standard features for housing designs, using the design-build approach, establishing a user fee for units and activities, establishing a working capital fund to finance operations and maintenance activities, and instituting effective installation property management. These actions require a modest investment to establish the working capital fund and upgrade the computerized maintenance management system. The benefits are significant%cost savings of over $500 million annually within 7 years.
Document Details
- Document Type
- Technical Report
- Publication Date
- Dec 01, 2000
- Accession Number
- ADA386348
Entities
People
- David R. Gallay
- Mark Corfman
- Paul R. Ober
- Thomas Muller
- William B. Moore
Organizations
- LMI