FY2011 DoD budget continues management reform efforts

////FY2011 DoD budget continues management reform efforts

FY2011 DoD budget continues management reform efforts

Under Secretary of Defense (Comptroller) Robert Hale, in a briefing on the FY2011 DoD budget, stated that DoD continues to enhance efforts to reform how DoD does business.  Mr. Hale cited acquisition reform, especially implementing the Weapons Systems Acquisition Reform Act passed last year, and the in-sourcing initiative as key elements of reform.  These reform efforts and continuing financial management improvements are discussed in more detail in Chapter 5 (Reforming How DoD Does Business) of the Overview of the FY 2011 Defense Budget.  Three areas of interest to acquisition and financial managers are:  increasing the civilian workforce through the in-sourcing initiative; modernizing financial systems; and prioritizing financial management improvement efforts.  DOD will utilize the in-sourcing initiative to hire about 13,500 new civil service employees in FY2010 and will authorize hiring19,800 new civilians through FY2011.  Enterprise Resource Planning (ERP) systems move forward in FY2011 with the military services’ deployment of: 1) the Navy ERP at the Naval Sea Systems Command; 2) the Army ERP (GFEBS) at about 30 installations; 3) the Air Force ERP (DEAMS) at TRANSCOM; and the Defense Agencies’ ERP (DAI) at DISA.  The FY2011 budget reinforces the Financial Improvement and Audit Readiness (FIAR) priorities (supported by the FY2010 Defense Authorization Act) for budget and missions critical asset information.  Budget Information priorities will focus improvement work on processes, controls, and systems that result in:  1) control over funds management; 2) accurate obligations data; 3) reductions in improper payments and unmatched disbursements; and 4) unqualified opinions on Statements of Budgetary Resources (SBRs).  Mission Critical Asset Information priorities will focus on improving the processes, controls, and systems used to acquire, manage and maintain mission critical assets (including military equipment, real property, and supplies).  DoD’s goal here is to benefit the warfighter by improving asset stewardship and capital planning.

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