Defense Logistics Agency Could Better Identify and Cancel Unneeded On-Order Material

Gao ID: NSIAD-84-42 January 10, 1984

GAO reviewed the Defense Logistics Agency's (DLA) procedures and practices for identifying and cancelling unneeded on-order material.

GAO found that DLA supply centers do not effectively identify and cancel such material, and management practices contribute to unnecessary procurement costs and inventory investment. To achieve better use of stock fund resources, GAO concluded that DLA needs to: (1) establish internal management controls; and (2) modify its procedures and practices for the identification and cancellation of excessive on-order material.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

Director: Martin M. Ferber Team: General Accounting Office: National Security and International Affairs Division Phone: (202) 275-5140


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