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Department of Defense In-Transit Inventory
[Technical Report, Congressional Report]
United States General Accounting Office
Pagination or Media Count:
In response to your September 9, 1997, request, we are providing interim information from our ongoing analysis of the Department of Defenses DOD management of its in-transit secondary item inventory. This information was briefed to your offices in December 1997. This work is part of our continuing effort to address defense inventory management as a high-risk area in the federal government because of vulnerabilities to fraud, waste, and abuse. Inadequate management of such assets may also result in the procurement and accumulation of unnecessary supplies and may adversely affect readiness of military equipment if needed supplies are not available when they are required. As agreed with your offices, this letter provides information on the value and composition of in-transit inventory among DOD components. We are also providing our preliminary observations on the controls used to minimize fraud, waste, and abuse of such inventory. In this connection, our ongoing work provides some indication that adequate information was not available to confirm that inventory shipped from various locations was received by requisitioning activities. As agreed with your offices, we are reviewing this issue in more detail and will report to you on our findings later this year.
[A, Approved For Public Release]