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Defense Management: Foundational Steps Being Taken to Manage DOD Business Systems Modernization, but Much Remains to be Accomplished to Effect True Business Transformation

GAO-06-234T Published: Nov 09, 2005. Publicly Released: Nov 09, 2005.
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Highlights

For years, the Department of Defense (DOD) has embarked on a series of efforts to transform its business operations, including modernizing underlying information technology (business) systems. GAO has reported on inefficiencies and inadequate accountability across DOD's major business areas, resulting in billions of dollars of wasted resources annually. Of the 25 areas on GAO's 2005 list of high-risk federal programs and operations that are vulnerable to fraud, waste, abuse or mismanagement and in need of reform, 8 are DOD programs or operations, and 6 are government-wide high risk areas for which DOD shares responsibility. The Ronald W. Reagan National Defense Authorization Act for Fiscal Year 2005 required DOD to satisfy several conditions relative to its approach to managing its business system modernization program, including developing an enterprise transition plan, which GAO is currently assessing. DOD also recently established a Business Transformation Agency intended to advance defense-wide business transformation. GAO was asked to testify on DOD's business transformation, including its preliminary observations on 1) DOD's efforts to satisfy fiscal year 2005 defense authorization act requirements; 2) the Business Transformation Agency; and 3) DOD's efforts to provide the leadership, structures, and plans needed to effect transformation.

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AccountabilityEnterprise architectureInformation technologyInternal controlsPlanningStrategic planningSystems conversionsTechnology modernization programsTarget architectureBusiness operationsBusiness planning