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Friday, November 04, 2011

DoD budget planning systems plagued by inefficiencies

The Defense Department's quest to be auditable in 2017 relies on using Enterprise Resource Planning systems, or ERPs, to perform tasks like accounting and supply chain management.

But according to a GAO report released last week, "To date, however, DOD's ERP implementation has been impaired by delays, cost increases, failures in delivering the necessary functionality, and a lack of compliance with required standards."

Asif Khan, director of Financial Management and Assurance Issues at the Government Accountability Office, has been looking at the ERPs at the Pentagon.
The GAO found six of the 10 ERPs that DoD identified as critical had "time slippages" of between two to 12 years, Khan said. And none of the programs had a master schedule.

A big hang-up for DoD is its collection of 2,000 legacy systems. These 10 ERPs are expected to replace more than 500 legacy systems.

-Jolie Lee, FederalNewsRadio.com

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