Productivity Measurement in the Defense Logistics Agency Must Be Supported, Improved, and Used

FGMSD-80-41: Published: Apr 18, 1980. Publicly Released: Apr 18, 1980.

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Tight budgets and high inflation make it essential that Government agencies obtain the greatest output possible from their resources. In order to achieve productivity improvement, agencies need an effective productivity measurement system. The Defense Logistics Agency (DLA) has one of the best-designed measurement systems in the Government. Thus, a study was undertaken concerning the adequacy of efforts by DLA to use productivity and work measurement data in budgeting and staff management.

In reviewing the productivity measurement system of DLA, GAO found that DLA does not derive full benefits from the system because it fails to use data based on productivity and work measures in budgeting. Moreover, DLA barely uses such data for other management purposes. Additionally, limited management attention to the system has caused deficiencies which affect its credibility and use. Further, GAO found that budget review authorities are not requesting or using productivity data where such measurements were possible. Although some of the problems that DLA has which affect the productivity measurement system's usage could be corrected by the new work standards program of DLA, the program currently has serious management weaknesses which affect data credibility.

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