This report fulfills the requirement outlined in Section 901 of the National Defense Authorization Act (NDAA) for Fiscal Year 2012. This legislation directs the Secretary of Defense to submit to the congressional defense committees a report on Department of Defense business systems compliance not later than March 15 of each year from 2012 through 2016. This legislation further directs the Secretary of Defense to include a copy of the most recent report of the Chief Management Officer of each military department on implementation of business transformation initiatives by such department in accordance with section 908 of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009.
This report outlines the Army's advancements in the areas of improving business process, strengthening financial systems, promoting resource-informed decision making, implementing an integrated management system, and enhancing Army energy security.
To sustain Army readiness in a period of declining resources, we are shifting from a budget and reporting focus to a cost and performance culture in the Institutional Army. Near- and mid-term focus remains managing the enterprise resource planning systems which allow resource-informed decision making and ensure the Army achieves audit readiness goals in 2014 and 2017. We will also apply Lean Six Sigma/Continuous Process Improvement to complete the mapping of our 15 end-to-end business processes across the enterprise and within supporting commands to reengineer business processes. These efforts create efficiencies and improve effectiveness while reducing complexity and cycle times. Our energy projects will make the Army more efficient and more resilient. Finally, the Army continues to aggressively pursue a variety of initiatives that will help us drive efficiency gains into everything we do.
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