Federal Manager's Daily Report

The Department of Defense needs better management and

oversight of its supply pre-positioning program, the

Government Accountability Office has said.

It said long-standing problems are systematic of inventory

and recent supply chain management issues that it has

considered high risk for over a decade, and that “DoD faces

some near-term operational risks should another large-scale

conflict emerge because it has drawn heavily on its

pre-positioned stocks to support ongoing operations in Iraq.”

Insufficient oversight on the part of the department and the

military services has allowed long-standing problems with

determining program requirements and managing inventory to

continue, according to GAO-05-427.

It said DoD has not enforced a directive for centralized

oversight, and while DoD officials said they provide adequate

oversight in other ways, the report said requirements

underpinning some of DoD’s pre-positioning programs are

questionable and the services lack information on the

inventory level and maintenance condition of some stocks.

In its recently published defense strategy, DoD said the

programs need to be more flexible and innovative, but

according to GAO, “in the absence of a department-wide plan

or joint doctrine to coordinate the reconstitution and

future plans for these programs, the services have been

recapitalizing stocks and developing future plans without

an understanding of how the programs will fit together to

meet the evolving defense strategy.”

Without such a framework DoD cannot not ensure the billions

of dollars required to reconstitute stocks will be effective

or affordable, GAO said.