National Defense System Acquisitions
Federal agencies, such as the Department of Defense, Department of Homeland Security, and the National Aeronautics and Space Administration, face significant challenges in managing their largest acquisitions.
The federal governments annual budget for developing and acquiring major defense, homeland security, and space systems is about $90 billion. These systems include fighter aircraft and submarines, electronic baggage screening equipment, and telescopes intended to explore the universe each of which will cost billions of dollars to acquire.
Managing complex, major system acquisitions has been a long-standing challenge for the federal government. Systems often cost more and take longer to develop and produce than originally planned, which forces agencies to request more funding to complete them, make trade-offs among programs, defer other priorities, or cancel programs after significant amounts of money have already been spent.
Federal agencies can reduce risk on major system acquisitions by focusing on several areas:
- Setting realistic requirements and holding them stable by conducting early systems engineering analysis of requirements, working closely with industry to ensure requirements are clearly defined, and making trade-offs as necessary.
- Establishing reliable cost and schedule estimates that reflect best practices and are based on high levels of knowledge about program attributes, such as its requirements and the technology needed to meet them.
- Acquiring key product knowledge before moving forward bydemonstrating the maturity of critical technologies, completeness and performance of the design, and predictability of manufacturing processes by key points in the acquisition process.
- Maintaining stable program funding by balancing investments in major systems with available funding and making decisions to reduce the number of programs if funding needs outstrip an agencys projected resources.
- Developing strong program managers who are experienced, willing to engage in direct and candid communication, and empowered to make good decisions.
GAO-12-833: Published: Sep 18, 2012. Publicly Released: Sep 19, 2012.
GAO-12-120G: Published: May 30, 2012. Publicly Released: May 30, 2012.
GAO-12-400SP: Published: Mar 29, 2012. Publicly Released: Mar 29, 2012.
GAO-12-207SP: Published: Mar 1, 2012. Publicly Released: Mar 1, 2012.
GAO-09-3SP: Published: Mar 2, 2009. Publicly Released: Mar 2, 2009.
GAO-15-469: Published: Jun 11, 2015. Publicly Released: Jun 11, 2015.
GAO-15-675T: Published: Jun 10, 2015. Publicly Released: Jun 10, 2015.
GAO-15-620T: Published: May 14, 2015. Publicly Released: May 14, 2015.
GAO-15-345: Published: May 6, 2015. Publicly Released: May 6, 2015.
GAO-15-492T: Published: Apr 29, 2015. Publicly Released: Apr 29, 2015.
GAO-15-541T: Published: Apr 22, 2015. Publicly Released: Apr 22, 2015.
GAO-15-171SP: Published: Apr 22, 2015. Publicly Released: Apr 22, 2015.
GAO-15-423R: Published: Apr 17, 2015. Publicly Released: Apr 17, 2015.
GAO-15-385: Published: Apr 15, 2015. Publicly Released: Apr 15, 2015.
GAO-15-392R: Published: Apr 14, 2015. Publicly Released: Apr 14, 2015.