Air Force ADP:

Logistics Systems Modernization Costs Continue to Increase

IMTEC-89-7FS: Published: Dec 28, 1988. Publicly Released: Jan 19, 1989.

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Pursuant to a congressional request, GAO provided cost and schedule information on nine logistics modernization system projects within the Air Force Logistics Command's (AFLC) Logistics Management Systems (LMS) Modernization Program and four other AFLC automated information system projects that were not formally part of the LMS Program.

GAO found that AFLC: (1) reduced the number of existing information systems to be replaced by the LMS projects from 94 to 72; (2) increased its cost estimates for completing the LMS projects from $715.4 million in 1985 to $994.3 million in 1988; (3) originally planned to complete all LMS projects by 1990; (4) completed two LMS projects and estimated completion of remaining projects by September 1994; (5) experienced schedule slippages of up to 65 months for individual projects; (6) estimated that the other four projects would cost more than $200 million; and (7) considered only one of the four to be operational and estimated completion of the other three projects between July 1989 and June 1993.

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