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Defense Depot Maintenance: Contracting Approaches Should Address Workload Characteristics

NSIAD-98-130 Published: Jun 15, 1998. Publicly Released: Jun 15, 1998.
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Highlights

Pursuant to a congressional request, GAO reviewed how the Department of Defense (DOD) manages contracting for depot maintenance, focusing on the: (1) characteristics of that contracting; and (2) implications of those characteristics for future depot maintenance contract management processes and procedures.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Defense The Secretary of Defense should require the development of a detailed implementation plan to guide future management improvement efforts to increase the cost-effectiveness of DOD's depot maintenance program, including issues related to improving the management and cost-effectiveness of contract depot maintenance workloads.
Closed – Implemented
On April 8, 1999, the DOD IG closed action on this recommendation. The IG determined that it was not practical to keep the recommendation open based on a March 26, 1999 letter from the Assistant Deputy Under Secretary of Defense (Maintenance Policy, Programs and Resources) that OSD was taking a new approach to development of its annual logistics strategic plan. The new approach began with the service Deputy Chiefs of Staff for Logistics outlining a top-down strategic plan to serve as the baseline for future plans. Follow-on meetings would be used to finalize the plan. Originally, OSD chartered an integrated product team to develop implementation planning for the maintenance-related portions of its 1998 logistics strategic plan. However, the team was terminated without coming to an agreement on a final product because of personnel changes at the Deputy under Secretary of Defense (Logistics) level.

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Topics

Competitive procurementDefense cost controlDefense procurementDepartment of Defense contractorsEquipment maintenanceMaintenance services contractsMilitary downsizingPrivatizationManagement reengineeringStrategic planning