Federal Times: On Oct. 5, 2017, Secretary of Defense Jim Mattis shared a memo with the Department of Defense outlining the need to bring business reforms to the Department, writing “This line of effort instills budget discipline and effective resource management, develops a culture of rapid and meaningful innovation, streamlines requirements and acquisition processes, and promotes responsible risk taking and personal initiative.”
At the same time, the passage of the FY2018 National Defense Authorization Act (NDAA) gives congressional instruction on business management reforms necessary for the DoD. With that in mind, it is an ideal time to examine business data on the most useful reform approaches.
Project Management Institute’s 2017 “Pulse of the Profession” survey, released last February, found that, for the first time in five years, more projects met original business goals while being completed within budget. The study found that, globally, organizations wasted an average of 9.7 percent, or $97 million for every $1 billion invested in projects and programs in 2016. The year prior, organizations wasted an average of $122 million per $1 billion invested.