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Pursuant to a congressional request, GAO reviewed the Department of Defense's (DOD) decision to centralize and consolidate DOD cataloging operations in Battle Creek, Michigan, focusing on: (1) the likelihood that DOD's decision will result in the estimated personnel reductions and savings; (2) challenges DOD may face when implementing the consolidation effort; and (3) proposals made by two employee groups that state that DOD could achieve even greater personnel reductions and savings by centralizing and consolidating cataloging operations in other locations.

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Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Defense 1. Before cataloging personnel are transferred to Battle Creek, Michigan, the Secretary of Defense should direct the Director of DLA to develop a clearly defined plan for standardizing the cataloging processes.
Closed - Implemented
DLIS opted to begin moving cataloging personnel before having a clearly defined standardization plan in place. DOD is working on establishing this clearly defined plan for standardizing all cataloging processes. However, DOD has already completed phase I of its consolidation to Battle Creek with the move of Army, Air Force and DSC Columbus cataloging personnel. As an alternative to GAO's recommendation, DOD developed a business plan for each service prior to its move.
Department of Defense 2. DOD should develop a full assessment of the costs and savings of the consolidation and determine the time required for savings to offset the implementation costs.
Closed - Not Implemented
DOD stated that it has already conducted a Business Case Analysis (BCA) with contractor assistance. DOD further stated that although the BCA was done 2 years ago and granted that some of the assumptions might have changed, conducting another BCA and developing another implementation plan would needlessly delay any effort to consolidate and centralize.

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