An Analysis of Department of Defense Business Systems Modernization Efforts and Recommendations for Improving the Process
MBA professional rept.
NAVAL POSTGRADUATE SCHOOL MONTEREY CA
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The Department of Defense DoD is in the midst of a transformation effort under the leadership of Secretary of Defense Donald Rumsfeld. A large portion of military transformation is focused on DoD business practices. It has been estimated that up to 5 percent of the annual DoD budget could be saved by improving and streamlining defense business operations. This initiative is critical given the large numbers of legacy business systems and the steady increases in annual maintenance costs associated with these outdated systems. This report explores the legislative history leading to the development of the Business Management Modernization Program BMMP. The current state of DoD business systems is examined, as well as case studies on specific system modernization initiatives conducted proceeding and immediately following the implementation of BMMP. The authors recommendations for successful business systems modernization efforts include senior leadership supporting the need for change, understanding the implications of using commercial off-the-shelf COTS products, properly structuring the acquisitions process, and emphasizing the importance of systems integration.
- Administration and Management
- Economics and Cost Analysis
- Government and Political Science