Government Accountibility Office Says More Work Is Needed

Defense Business Transformation: DOD Needs to Take Additional Actions to Further Define Key Management Roles, Develop Measurable Goals, and Align Planning Efforts

According to GAO-11-181R January 26, 2011, the Department of Defense still needs to make progress In some key areas:

1. To establish ongoing accountability and better leverage the unique positions of the CMO and DCMO to provide the leadership necessary to follow up the Secretary's recent efficiency initiative for the long term, the Secretary of Defense should assign specific roles and responsibilities to the CMO and DCMO for integrating the Secretary's efficiency initiative with ongoing reform efforts, overseeing its implementation, and otherwise institutionalizing the effort for the long term

2. To enhance DOD's ability to set strategic direction for its business transformation efforts, and better align and institutionalize its efforts to develop and implement plans and measure progress against established goals, the Secretary of Defense should direct the CMO to ensure that DOD's revised SMP contains measurable goals and funding priorities linked to those goals.

3. To enhance DOD's ability to set strategic direction for its business transformation efforts, and better align and institutionalize its efforts to develop and implement plans and measure progress against established goals, the Secretary of Defense should direct the CMO to issue guidance to establish a strategic planning process with mechanisms---such as procedures and milestones---for routinely updating the SMP and military department business transformation plans. In particular, this guidance should include elements such as how DOD and the military departments---including the CMO, DCMO, and military department CMOs---will reach consensus on business priorities, coordinate review and approval of updates to plans, synchronize the development of plans with the budget process, and monitor the implementation of reform initiatives, and report progress, on a periodic basis, towards achieving established goals.