Wednesday, November 07, 2012

7 years and counting

That's how long the GAO has been trying to get government agencies to buy smarter. In 2005 the Office of Management and Budget initiated the process of strategic sourcing and urged its adoption by government agencies, as companies had found that its use could lower the costs of procurement by a considerable amount.  GAO has just issued a report of their investigation of how four agencies (DOD, VA, DHS and Energy) use this process.  These four agencies make 80% of the government's purchases, so savings to us can be considerable, on the order of $50 billion annually.  

However, the GAO found that the process was really only being used to any degree by DHS (a surprise to me).  Will the publication of this report motivate the other agencies to get serious about the process?

I've said repeatedly that just following the GAO's recommendation will save us billions of dollars each year.  It's not that hard to find the recommendations.

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