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GAO-01-514R 1 (2001-03-20)

handle is hein.gao/gaocrptanep0001 and id is 1 raw text is: 




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







          March 20, 2001

          The Honorable Donald H. Rumsfeld
          Secretary of Defense

          Subject: Defense Planning: Opportunities to Improve Strategic Reviews

          Dear Mr. Secretary:

          For the past several years, the General Accounting Office (GAO) has reviewed the
          Department of Defense's (DOD) efforts to strategically plan for the nation's defense
          needs and prepare related budgets. In particular, we evaluated DOD's methodology
          for conducting the 1993 Bottom-Up Review and the 1997 Quadrennial Defense
          Review (QDR), and its preparation of several Future Years Defense Programs
          (FYDP). As the Department begins a new effort to review its strategic priorities,
          consider alternatives to current forces, weapons programs, and support operations,
          and reach investment decisions, we would like to share some observations based on
          our past work for your consideration. In particular, these areas relate to the
          importance of 1) using realistic assumptions and integrated analyses to reach force
          structure and modernization decisions, 2) preparing FYDPs that clearly link strategy
          and resources, and 3) ensuring the Department's review efforts carefully scrutinize
          opportunities to reduce support infrastructure and improve business processes.

          USE OF REALISTIC ASSUMPTIONS AND
          INTEGRATED ANALYSES NEEDED TO FULLY
          ASSESS FORCE STRUCTURE AND
          MODERNIZATION ALTERNATIVES

          Our evaluation of the 1993 Bottom-Up Review and the 1997 QDR identified
          limitations in DOD's analytical approach to assessing defense needs and
          opportunities to strengthen future review efforts.'




          ' Bottom-Up Review: Analysis of Key DOD Assumptions (GAO/NSIAD-95-56, Jan. 31, 1995) and
          Quadrennial Defense Review: Oiortunities to Imrove the Next Review (GAO/NSIAD-97-144,
          June 25, 1998).


GAO-01-514R Defense Planning


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