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Defense Management: Electronic Commerce Implementation Strategy Can Be Improved

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Report Type Reports and Testimonies
Report Date July 18, 2000
Report No. NSIAD-00-108
Subject
Summary:

Through its Joint Electronic Commerce Program, the Defense Department (DOD) expects to reduce operating costs and streamline business processes. DOD faces several implementation issues that, if not resolved, could undermine the success of the program. So far, DOD has not completed a detailed plan to implement its strategic vision. Officials have been unable to draft a DOD-wide implementation plan that is acceptable to the military services and agencies, and the plan has been put on hold. DOD has not developed a systemwide electronic commerce architecture, which is needed to integrate the individual parts or systems. If DOD components develop separate architectures, they may be redundant or unable to share information. DOD has not determined how best to manage the electronic commerce program, although it has established an office; however, the office's authority is unclear and its chain of command is cumbersome. Finally, DOD has not fully implemented key security measures that are needed. Electronic business-related initiatives have been or are being implemented. Although the initiatives may improve aspects of the business processes, it is not yet clear if and how they will fit into DOD's electronic commerce architecture and support its strategic vision.

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