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MASAD-82-29 1 (1982-04-19)

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 Comptroller General
                                                          RELEASED

 OF THE UNITED STATES



 Cost Growth And Delivery Delays

 In Submarine Construction At Electric Boat

 Are Likely To Continue



 The chairman of the Subcommittee on Seapower and
 Strategic and Critical Materials, House Armed Servi-
 ces Committee, and the chairman of the Subcommit-
 tee on Defense, House Appropriations Committee,
 a ked GAO to evaluate Electric Boat's ability to build
 s bmarines in a timely and cost-effective manner
 arnd review other aspects concerning Electric Boat
 arnd its submarine construction programs. GAO
 found that

   --although the Navy and Electric Boat have taken
   steps to improve their quality assurance pro-
   grams, more improvement is needed;

   --cost growth on the SSN-688 and Trident subma-
   rine contracts are likely to continue; and

   --some SSN-688 and Trident submarine delivery
   dates may not be met unless unfavorable human
   resources and productivity trends are reversed.

The Navy should improve its reviews and evaluations
of Electric Boat's quality assurance procedures and
m nitor the implementation of Electric Boat's up-
graded quality assurance program. The Department
of Defense should periodically report to the approp-
riate congressional committees on the status of cost
ar d schedule progress at Electric Boat.

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                                                                MASAD-82-29
     CCUt4r                                                     APR IL 19, 1982

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