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DOD Business Systems Modernization: Billions Being Invested without Adequate Oversight : General Accounting Office (GAO) , April , 2005

April 2005

General Accounting Office (GAO)

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From the report: "DOD’s business and financial management weaknesses have resulted in billions of dollars wasted annually in a time of increasing fiscal constraint. These weaknesses continue despite DOD requesting over $13 billion in fiscal year 2005—about $6 billion less than in fiscal year 2004—to operate, maintain, and modernize its existing duplicative business systems. The difference is more a reclassification of systems rather than an actual spending reduction. Some of the reclassifications appeared reasonable and others were questionable due to inconsistent information. At the same time, DOD reported an increase in the number of business systems to 4,150 as of February 2005—an increase of about 1,900 systems since April 2003. The duplicative and stovepiped nature of DOD’s systems environment is illustrated by the numerous systems in the same business area. For example, DOD reported that it has over 2,000 logistics systems—an increase of approximately 255 percent since April 2003."


General Accounting Office (GAO)


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