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B-173749 1 (1971-08-19)

handle is hein.gao/gaobaafgg0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTI WASHINGTON, D.C. 20548 DEFENSE DIVISION AUG 19 1971 Dear Mr. Secretary: LM095538 The General Accounting Office has made a study of the program estab- lished by the Department of Defense (DOD) to reduce and control the number of management systems imposed on contractors by the military services-and defense agencies. The Government requires that contractors establish and maintain management systems to provide information for their own management purposes as well as to provide a basis for furnishing information to the military services so that they may be assisted in managing contracts from the standpoint of the Government. Costs incurred by contractors to provide the various systems required by the services ultimately are borne by the Government. The purpose of our study was to obtain information on the status of the program, the procedures used in carrying out the program, and the prob- lems being encountered in its implementation. During our study we inter- viewed personnel from various offices of the Secretary of Defense, the mili- tary departments, the Defense Supply Agency, and military procurement cen- ters. We also discussed the program with officials of the Council of De- fense and Space Industry Associations (CODSIA) and selected contractors. In November 1966 DOD and CODSIA formally chartered an Advisory Commit- tee for Management Systems Control. The objective of this joint effort was to curb the proliferation of management systems, which was resulting from the varied requirements then imposed on contractors by the individual services and defense agencies. Efforts were directed toward making recommendations for reducing the duplication and overlapping of existing systems and for establishing procedures to eliminate further proliferation. The advisory committee examined into the need for and use of management systems; reviewed the directives, instructions, and regulations which pre- scribed the systems; and recommended revisions or improvements. It also drafted procedures to be followed in developing new systems and applying them on contracts. The committee recommended that DOD (1) publish the procedures as in- structions, (2) publish a single list of authorized management systems, and (3) include in the Armed Services Procurement Regulation (ASPR) a provision to ensure adherence to the use of the authorized list when contracts are being prepared. The report on the committee's work, containing its recommendations, was submitted to the Assistant Secretary of Defense (Comptroller) in March 1968. BEST DOCUMENT AVAILABLE 50 TH ANNIVERSARY 1921- 19710

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