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Defense Procurement: Work Measurement Programs at Selected Contractor Locations

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Report Type Reports and Testimonies
Report Date Nov. 4, 1987
Report No. NSIAD-88-43BR
Subject
Summary:

In response to a congressional request, GAO reviewed the Department of Defense (DOD) Work Measurement Program to determine whether: (1) contractors were complying with program requirements; (2) the program improved contractors' labor performance; and (3) contractors used the program results to estimate or negotiate labor hours for contract pricing.

GAO found that: (1) the four contractors it reviewed did not fully comply with work measurement program requirements; (2) because of ambiguities in the military standard and guidance for implementing the program, contractors reported higher labor productivity than actually occurred; (3) three contractors did not use work measurement data for contract pricing purposes; (4) one contractor did use the data and proposed lower contract costs as a result; and (5) although the program is intended to apply to all the armed services, only the Air Force has implemented it.

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