In 1997, the Department of Housing and Urban Development (HUD) began a management reform effort, called the 2020 Management Reform Plan, to resolve its management and operational problems. GAO found that HUD has had some successes in implementing the management reforms, but challenges remain. Some initiatives, such as consolidating and streamlining operations, were achieved relatively quickly and are producing results. Other efforts, such as improving the efficiency of those operations and improving accountability, have been hampered by inefficient distribution of workload and other problems. HUD has made some progress toward improving accountability and control of its programs. Specifically, HUD developed a strategic planning process; enhanced monitoring tools; improved some aspects of its information and financial management systems; improved contracting procedures; and established centralized entities, such as an enforcement authority, to follow up on problem properties. HUD's efforts to refocus and retrain its staff have been somewhat successful. HUD faces several challenges in its efforts to consolidate and streamline its operations, improve accountability and control of its programs, and refocus and retrain its staff. Successfully addressing these challenges in the areas of human capital, information and financial management systems, and acquisition management will determine whether HUD can sustain the progress of its management reform efforts and become a high-performing organization.
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