DOD systems modernization continued investment in the standard procurement system has not been justified.
The amount of money that the Department of Defense (DOD) spends each year contracting for goods and services dwarfs the amounts spent by other federal agencies. For example, during fiscal year 1999, DOD reported that it spent about $130 billion on contracts for goods and services. By comparison, the second largest contractor of goods and services in the federal government was the Department of Energy, which reported that it spent about $15.5 billion during the same period.
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2000 economic analysis According agree with DOD’s Air Force American Management Systems Analysis and Evaluation Appendix Assistant Secretary Automated Information System billion business value CIO’s office Clinger-Cohen Act Contract Management Agency Defense Contract Management Defense for Command Defense Intelligence Agency Defense Logistics Agency Department of Defense DOD CIO DOD component organizations DOD policy DOD’s comments regarding DOD’s Office economically justified ensure implementing SPS incremental investment management Inspector investment decisions investment in SPS latest economic analysis legacy procurement systems legacy systems Logistics methodology net present value OMB Circular A-130 OMB guidance present value Program Analysis program commitments progress against commitments recommendation relevant reliable requirements and guidance responsibility for SPS risk schedule Secretary of Defense September 30 software releases SPS Commitments SPS economic analysis SPS Functionality SPS implementation SPS investment SPS program manager SPS program office Standard Procurement System Summary of SPS system solution updated validate vendor version 4.1
Página 30 - DOD Systems Modernization: Continued Investment in the Standard Procurement System Has Not Been Justified, GAO-01-682 (Washington, DC: July 31, 2001).
Página 11 - Act is that agencies should have processes and information in place to help ensure that information technology (IT) projects are being implemented at acceptable costs and within reasonable and expected time frames and that they are contributing to tangible, observable improvements in mission performance.
Página 21 - Incremental investment management involves three fundamental components: (1) developing/acquiring a large system in a series of smaller projects or system increments; (2) individually justifying investment in each separate increment on the basis of costs, benefits, and risks; and (3) monitoring actual benefits achieved and costs incurred on ongoing increments and modifying subsequent increments/investments to reflect lessons learned.
Página 11 - Environmental Security, Department of Defense Instruction (DoDI) 4715.9, Environmental Planning and Analysis, DoDD 5000.1, Defense Acquisition, and Department of Defense Regulation 5000.2-R, Mandatory Procedures for Major Defense Acquisition Programs and Major Automated Information System Acquisition Programs.
Página 28 - Net present value" is the difference between the present value of benefits and the present value of total costs.
Página 11 - In effect, these requirements and guidance recognize that one cannot manage what one cannot measure. Shortly after receiving our draft report for comment, the department initiated several studies to determine the program's current status, assess program risks, and identify actions to improve the program.
Página 5 - Standard Procurement System (SPS) In November 1994, DOD began the SPS program to acquire and deploy a single automated system to perform all contract management-related functions within DOD's procurement process for all DOD organizations and activities. The goal of SPS was to replace 76 existing procurement systems with a single Departmental system.
Página 11 - Office of Management and Budget (OMB), Circular A-130, Management of Federal Information Resources (November 30, 2000) and Circular A-ll, Part 3, Planning, Budgeting, and Acquisition of Capital Assets (July 2001).
Página 22 - DOD issued a change to its major system acquisition policy requiring incremental investment management. Specifically, the policy notes that a program's milestone decision authority must verify that each increment meets part of the mission need and delivers a measurable benefit, independent of future increments.