SecArmy Designates Under Secretary as CMO and Establishes Office of Business Transformation

Friday March 12, 2010

What is it?

The Secretary of the Army, the Honorable John McHugh, designated the Under Secretary of the Army (USA), Dr. Joseph Westphal, as the Army's first Chief Management Officer (CMO) pursuant to the National Defense Authorization Act (NDAA) for Fiscal Year 2008. In his role as the CMO, the USA exercises primary management responsibility for the business operations of the Army. As such, the secretary of the army has assigned the CMO those duties and authorities necessary to effectively and efficiently organize the business operations, to include all business transformation matters and overarching responsibility for achieving a fully integrated management system for business operations-the end-to-end, top-to-bottom integration through collaborative partnerships that engender innovation.

What has the Army done?

In February, the secretary of the army designated the Office of Business Transformation (OBT) as "an Army Secretariat activity within the Office of the Secretary of the Army, reporting directly to the under secretary of the Army in his role as the Army's chief management officer." The OBT has organizational responsibility for executing the statutory requirements of the USA/CMO. The USA/CMO will use this organization to assist in adjusting a broad transformation agenda, promoting business transformation initiatives, and supervising business operations management of the Army.

What continued efforts does the Army have planned for the future?

Acting through the USA/CMO, the secretary of the army's vision for Army Business Transformation is: the Army's generating force continuously adapts to meet the changing priorities and needs of the total Army and the secretary's strategic and resource guidance through effective and innovative business operations and systems that are fully integrated and at best value.

The Army will continue to adapt its institutions by shifting our focus from inputs to a clear focus on mission-oriented outputs and outcomes; from stovepipes and sub-optimal behaviors to cross functional teams and 'best for the Army' thinking; from authority expressed through command and control to problem solving and innovation through collaboration and cooperation; and from resourced unconstrained thinking to cost consciousness and value driven behaviors.

The OBT will promote Army Business Transformation by assisting the USA/CMO as the horizontal integrator across the activities of the Army Secretariat and the vertical integrator between the secretariat and the Department of the Army Staff.

Why is this important to the Army?

The OBT will clearly articulate the Army's transformation vision, goals, strategy, portfolios, initiatives, performance measuresand targets for business transformation.


Under Secretary's Web page

Office of Business Transformation Web site





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