Defense Management: New Management Reform Program Still Evolving

The Secretary of Defense announced a new business transformation program in 2001 with the intent of improving the effectiveness and efficiency of Department of Defense business operations. Concerned that the previous administration's Defense Reform Initiatives (DRI) could not be successful without many years of sustained effort, the Senate Committee on Armed Services issued a September 2001 report directing GAO to assess which DRI initiatives have been carried forward. In completing this assessment, GAO also examined the management structure and types of initiatives contained in the new business transformation program. Also at the request of the Committee, more detailed information on the status of the logistics reform and electronic business/electronic commerce initiatives is provided in the GAO report. GAO interviewed officials involved with the former DRI initiatives, as well as officials operating at all levels of the new business transformation program. In commenting on a draft of this report, DOD concurred with GAO's findings.