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The majority of large-scale acquisition programs in the DoD space portfolio have experienced problems during the past two decades that have driven up costs by billions of dollars, stretched schedules by years, and increased technical risks. To address the cost increases, DoD altered its acquisitions by reducing the number of satellites it intended to buy, reducing the capabilities of the satellites, or terminating major space systems acquisitions. Many space acquisitions are experiencing significant schedule delays resulting in potential capability gaps in areas such as missile warning, military commun., and weather monitoring. This testimony focuses on: the status of space acquisitions; factors of acquisition problems; and efforts to improve acquisitions. Illus.
Space Acquisitions: DOD Poised to Enhance Space Capabilities, but Persistent Challenges Remain in Developing Space Systems
"The majority of large-scale acquisition programs in the Department of Defense's (DOD) space portfolio have experienced problems during the past two decades that have driven up costs by billions of dollars, stretched schedules by years, and increased technical risks. To address the cost increases, DOD altered its acquisitions by reducing the number of satellites it intended to buy, reducing the capabilities of the satellites, or terminating major space systems acquisitions. Moreover, along with the cost increases, many space acquisitions are experiencing significant schedule delays--as much as 8 years--resulting in potential capability gaps in areas such as missile warning, military communications, and weather monitoring. This testimony focuses on (1) the status of space acquisitions, (2) causal factors of acquisition problems, and (3) efforts underway to improve acquisitions. In preparing this testimony, GAO relied on its body of work, including GAO reports on best practices, assessments of individual space programs, common problems affecting space system acquisitions, and the DOD's acquisition policies. We have made numerous recommendations to the DOD in the past on matters relating to overall best practices as well as on individual space program acquisitions. DOD often concurred with our findings and recommendations and has efforts underway to adopt best practices."--Highlights.
In conclusion, DOD space is at a critical juncture. After more than a decade of acquisition difficulties, which have created potential gaps in capability, diminished DOD's ability to invest in new space systems, and lessened DOD's credibility to deliver high-performing systems within budget and on time, DOD is finally positioned to launch new generations of satellites that promise vast enhancements in capability. Moreover, recent program cancellations have alleviated competition for funding and may have allowed DOD to focus on fixing problems and implementing reforms rather than taking on new, complex, and potentially higher-risk efforts. But these changes raise new questions. Specifically, when can investments in new programs be made? How can reforms really take hold when leadership is diffuse? How can reforms take hold when there are still organizational barriers that prevent effective coordination? And lastly, how can acquisitions be successful if the right technical and programmatic expertise is not in place? Clearly, there are many challenges ahead for space. We look forward to working with the DOD to help ensure that these and other questions are addressed.
DoD invests heavily in space assets to provide the warfighter with intelligence, navigation, and other info. critical to conducting military operations. Despite a substantial investment, senior military commanders have reported shortfalls in tactical space capabilities in each recent major conflict over the past decade. To provide short-term tactical capabilities as well as identify and implement long-term solutions to developing low cost satellites, DoD initiated operationally responsive space (ORS). Following a 2006 review of ORS, the Congress directed DoD to submit a report that sets forth a plan for providing quick acquisition of low cost space capabilities. This report focuses on the status of DoD¿s progress in responding to the Congress. Illustrations.
The majority of large-scale acquisition programs in the DoD space portfolio have experienced problems during the past two decades that have driven up cost and schedules and increased technical risks. The cost resulting from acquisition problems has resulted in cancellations of programs that were expected to require investments of tens of billions of dollars. Many programs are experiencing significant schedule delays resulting in potential capability gaps in areas such as positioning, navigation, and timing; missile warning; and weather monitoring. This testimony focuses on: (1) the condition of space acquisitions; (2) causal factors; and (3) recommend. for better positioning programs and industry for success. Charts and tables.
Each year, the Department of Defense (DOD) spends billions of dollars to acquire space-based capabilities to support current military and other government operations as well as to enable DOD to transform the way it collects and disseminates information, gathers data on adversaries, and attacks targets. In fiscal year 2009 alone, DOD expects to spend over $10 billion to develop and procure satellites and other space systems. At the same time, however, DOD's space system acquisitions have experienced problems over the past several decades that have driven up costs by hundreds of millions, even billions, of dollars; stretched schedules by years; and increased performance risks. In some cases, capabilities have not been delivered to the warfighter after decades of development. This testimony relies on the extensive body of work GAO has produced reviewing DOD space acquisitions. It comments on the persistent problems affecting space acquisitions, the actions DOD has been taking to address these problems, and what remains to be done.
The majority of large-scale acquisition programs in the DoD space portfolio have experienced problems during the past two decades that have driven up cost and schedules and increased technical risks. Along with the cost increases, many programs are experiencing significant schedule delays -- as much as 7 years -- resulting in potential capability gaps in areas such as positioning, navigation, and timing; missile warning; and weather monitoring. This testimony focuses on: (1) the condition of space acquisitions; (2) causal factors; (3) observations on the space industrial base; and (4) recommendations for better positioning programs and industry for success. Illustrations.
" Each year, the DOD spends billions on large space acquisition programs, which have in the past experienced cost and schedule overruns and increased technical risk. At present, though, the worst of these problems may be over, and programs long troubled are finally being launched. Challenges persist, but they are less significant than they were. With today's fiscal constraints, however, DOD must find ways to keep its new major space acquisitions on track, as operating in space is expensive and DOD is still replenishing legacy programs like missile warning, protected communications, and environmental monitoring. Significant barriers exist to ensuring such investments are optimized. To address the progress DOD has made this year, this testimony will focus on (1) the current status of space system acquisitions; (2) results of GAO's space-related reviews this past year; (3) actions taken to address DOD space acquisition problems; and (4) remaining challenges that stand in the way of DOD fully realizing the benefits of satellite acquisition improvements. This testimony is based on previously issued GAO products as well as analysis of DOD funding estimates. GAO does not make recommendations in this testimony. However, in previous reports GAO has generally recommended that DOD adopt best practices for developing space systems such as separating technology development from product"