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GAO-03-690R 1 (2003-04-18)

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   I


       Accountability * Integrity * Reliability
United States General Accounting Office
Washington, DC 20548


         April 18, 2003

         The Honorable Solomon P. Ortiz
         Ranking Minority Member
         Subcommittee on Readiness
         Committee on Armed Services
         House of Representatives

         Subject: DOD Personnel: DOD Comments on GAO's Report on DOD's Civilian
         Human Capital Strategic Planning

         Dear Mr. Ortiz:

         In response to your request, we issued a report in March 2003 to you on the
         Department of Defense's (DOD) strategic planning efforts for civilian personnel at
         DOD and selected defense components, including the four military services and two
         defense agencies.' In that report we made recommendations to the Secretary of
         Defense to strengthen civilian human capital planning, including integration with
         military personnel and sourcing initiatives.2 DOD's response to our March 2003
         report and recommendations were received too late to be included in that report. To
         provide our perspective on DOD's comments, we briefly summarize our March 2003
         report's objectives, results, and recommendations and DOD's comments, along with
         our evaluation of the comments. DOD's comments provided by the Under Secretary
         for Personnel and Readiness are included as an enclosure to this report.

         Summary of Objectives,
         Results, and Recommendations

         DOD's civilian employees play key roles in such areas as defense policy, intelligence,
         finance, acquisitions, and weapon systems maintenance. Although downsized 38
         percent between fiscal years 1989 and 2002, this workforce has taken on greater roles
         as a result of DOD's restructuring and transformation. Responding to congressional
         concerns about the quality and quantity of, and the strategic planning for, the civilian

         'U.S. General Accounting Office, DOD Personnel: DOD Actions Needed to Strengthen Civilian
         Human Capital Strategic Planning and Integration with Military Personnel and Sourcing
         Decisions, GAO-03-475 (Washington, D.C.: Mar. 28, 2003).

         2Sourcing initiatives, which are undertaken to achieve greater operating efficiencies, include such
         efforts as public-private competitions under the Office of Management and Budget (OMB) Circular A-
         76 for commercial activities and functions; direct conversions (converting positions from one sector to
         another without public-private competition); public-private partnerships; and privatization, divestiture,
         and reengineering.


GAO-03-690R DOD Personnel

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