Defense Transportation

Migration Systems Selected Without Adequate Analysis Gao ID: AIMD-96-81 August 29, 1996

A migration system is an automated information system that replaces several systems that performed similar functions. Defense transportation systems support common-user transportation needs in the armed forces. As part of its Corporate Information Management initiative, the Defense Department (DOD) plans to migrate from an inventory of about 130 defense transportation systems. DOD has little assurance, however, that its transportation migration system choices are cost-effective. In April 1994, DOD developed a structured approach to identify, select, and implement these systems. In its haste to meet a March 1997 deadline, however, DOD selected transportation migration systems without fully analyzing the alternatives, such as acquiring new systems or contracting for services. In making a quarter of its transportation migration system selections, DOD relied on incomplete and unverified data. Moreover, DOD did not assess how making significant changes to transportation operations--through reengineering and outsourcing--would affect its migration systems. The upshot is that DOD has no guarantee that it will reap the savings anticipated from migration.

GAO found that DOD: (1) has little assurance that its transportation migration systems are cost-effective; (2) selected its transportation migration systems without fully evaluating government or commercial alternatives; (3) relied on incomplete and unverified cost data in making its selections; (4) selected migration systems that will lose money if implemented; (5) did not consider developing new systems or contracting for services; (6) made some of its selection decisions based on the judgement of transportation experts; (7) reviewed commercial off-the-shelf transportation software products while making migration system selections; (8) did not analyze the extent to which unmodified software could meet its requirements, identify software modification costs, or provide a hands-on view of the software in operation; (9) did not assess how changes to its transportation operations would affect the migration systems; and (10) did not ensure that the new migration system would yield savings.

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.

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