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GAO-03-684R 1 (2003-05-21)

handle is hein.gao/gaobaamex0001 and id is 1 raw text is: I G ~GAO Accountability * Integrity * Reliability United States General Accounting Office Washington, DC 20548 May 21, 2003 The Honorable C.W. Bill Young Chairman Committee on Appropriations House of Representatives The Honorable Jerry Lewis Chairman Subcommittee on Defense Committee on Appropriations House of Representatives Subject: Defense Inventory: Air Force Item Manager Views of Repair Parts Issues Consistent With Issues Reported in the Past Since 1990 we have consistently identified the Department of Defense's (DOD) management of secondary inventory (spare and repair parts, medical supplies, and other items to support the operating forces) as a high-risk area because inventory levels were too high and management systems and procedures were ineffective. In addition, DOD has attributed readiness problems to parts shortages. Previously, we reported on the wide variety of reasons for inventory of spare parts being above or below the levels needed to satisfy current inventory requirements.' This is one in a series of reports addressing defense inventory vulnerabilities to fraud, waste, and abuse. You asked that we specifically obtain the views about defense inventory imbalances from item managers, i.e., those who are responsible for maintaining the right amount of inventory.2 This report 1 U.S. General Accounting Office: Air Force Inventory: Parts Shortages Are Impacting Operations and Maintenance Effectiveness, GAO-01-587 (Washington, D.C.: June 27, 2001); Army Inventory: Parts Shortages Are Impacting Operations and Maintenance Effectiveness, GAO-01-772 (Washington, D.C.: July 31, 2001); Navy Inventory: Parts Shortages Are Impacting Operations and Maintenance Effectiveness, GAO-01-771 (Washington, D.C.: July 31, 2001); Defense Logistics: Much of the Inventory Exceeds Current Needs, GAO/NSIAD-97-71 (Washington, D.C.: Feb. 28, 1997); and Air Force Supply: Management Actions Create Spare Parts Shortages and Operational Problems, GAO/NSIADi/AIMD-99-77 (Washington, D.C.: Apr. 29, 1999). 2 Item managers perform materiel management functions such as worldwide item distribution and redistribution, materiel requirements determinations, budget estimates, cataloging, repair programs, and other related functions. GAO-03-684R Defense Inventory Page 1

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