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Report to Senate Committee on Governmental Affairs:



United States General Accounting Office:



GAO:



December 2002:



ACQUISITION WORKFORCE:



Status of Agency Efforts to Address Future Needs:



Aquisition Workforce:



GAO-03-55:



GAO Highlights:



Highlights of GAO-03-55, a report to Senate Committee on Governmental 

Affairs:



ACQUISITION WORKFORCE

Status of Agency Efforts to Address Future Needs





Why GAO Did This Study:



The federal government is dramatically changing the way it purchases 

goods 

and services—by relying more on judgment and initiative versus rigid 

rules 

to make purchasing decisions. At the same time, agencies are dealing 

with 

reductions in the civilian acquisition workforce. GAO was asked to 

determine what efforts federal civilian agencies are making to address 

their future acquisition workforce needs.



What GAO Found:



GAO looked at the efforts six civilian agencies are undertaking to 

address 

their future acquisition workforce needs. Together, these agencies 

account 

for about 72 percent of civilian agency contracting dollars. All of 

these 

agencies are taking steps to address their future acquisition

workforce needs.  

Three—the Departments of Energy and Veterans Affairs (VA) and the 

General 

Services Administration—are developing specific plans to strengthen 

their 

acquisition workforces, and three others—the Departments of 

Treasury and 

Health and Human Services and the National Aeronautics Space 

Administration 

(NASA)—are including their acquisition workforces in their overall 

plans to

strengthen human capital. All are implementing new or strengthening 

existing 

career development and training programs. NASA and VA are also 

developing new 

information management systems. The agencies, however, are facing 

considerable 

challenges to making their human capital strategic plans and 

training programs 

a success. Principally: (1) Most acquisition professionals will 

need to acquire 

a new set of skills focusing on business management. Because of 

a more 

sophisticated acquisition environment, they can no longer be merely 

purchasers or 

process managers.  Instead, they will also need to be adept at 

analyzing business 

problems and assisting with developing strategies in the early stages

of the 

acquisition; (2) Beyond this immediate transformation, it is difficult 

for agencies 

to forecast what will be needed in terms of numbers of workers, skills, 

and 

expertise in the years to come.  Rules, regulations, and agency 

missions are always 

changing, and budgets are constantly shifting, and (3) Many agencies 

simply lack good 

data on their workforces, including information on workforce size 

and location, 

knowledge and skills, attrition rates, and retirement rates.  This 

data is critical 

to mapping out the current condition of the workforce and deciding 

what needs to 

be done to ensure that the agency has the right mix of skills and 

talent for the future.

In overcoming these challenges, agencies can learn from the Department 

of Defense (DOD), 

which has made progress in acquisition workforce strategic planning 

and has addressed 

some of the same issues.  DOD officials learned that the strategic 

planning effort was 

going to take a long time and that effective leadership and guidance, 

along with 

technology and sound methodology, were required to accurately forecast 

workforce needs.



What GAO Recommends:



GAO is recommending that the Office of Federal Procurement Policy 

(OFPP) work with 

procurement executives to ensure that the lessons learned from 

agencies’ efforts to 

address future acquisition workforce needs are shared with all 

federal agencies. All 

the agencies that reviewed a draft of the report generally agreed 

with GAO’s 

findings and recommendations.



To view the full report, including the scope

and methodology, click on the link above.

For more information, contact David Cooper at (202) 512-4125 or 

cooperd@gao.gov



Contents:



Letter:



Results in Brief:



Background:



Status of Civilian Agencies’ Efforts to Develop Strategic Plans for 

Their Acquisition Workforces:



DOD Experience in Workforce Planning Provides Useful Lessons Learned:



Conclusions:



Recommendation:



Agency Comments and Our Evaluation:



Scope and Methodology:



Appendix I: Comments from the Department of Defense:



Appendix II: Comments from NASA:



Appendix III: Comments from the Department of Health and 

Human Services:



Appendix IV: Comments from the Department of Energy:



Tables:



Table 1: Various Organizations’ Roles Concerning Acquisition Workforce 

Issues:



Table 2: Summary of Agencies’ Status:



Table 3: Highlights of Initiatives to Strengthen Overall and/or 

Acquisition Workforces:



Table 4: Highlights of DOD’s Lessons Learned:



Figure:



Figure 1: DOD’s Framework for Developing a Mature Human Capital 

Strategic Planning System:



Abbreviations:



CAMEO Center for Acquisition Materiel Management and 

 Education On-line:



DCAA  Defense Contract Audit Agency:



DCMA  Defense Contract Management Agency:



DLA   Defense Logistics Agency:



DOD   Department of Defense:



DOE   Department of Energy:



FAI   Federal Acquisition Institute:



FPDS  Federal Data Procurement System:



GSA   General Services Administration:



HHS   Department of Health and Human Services:



NASA  National Aeronautics and Space Administration:



OFPP  Office of Federal Procurement Policy:



OPM   Office of Personnel Management:



PEC   Procurement Executives Council:



VA    Department of Veterans Affairs:



United States General Accounting Office:



Washington, DC 20548:



December 18, 2002:



The Honorable Joseph Lieberman

Chairman

The Honorable Fred Thompson

Ranking Minority Member

Committee on Governmental Affairs

United States Senate:



The federal government is dramatically changing the manner in which it 

purchases goods and services. It is also striving to maximize the value 

of the $200 billion it spends annually by taking advantage of the 

opportunities offered by the commercial marketplace. As a result, rigid 

procurement rules have given way to rules that allow the use of more 

judgment and initiative on the part of the individuals who make up the 

acquisition workforce. At the same time, some agencies are contending 

with the fact that the acquisition workforce has decreased by 22 

percent in the last decade.



Industry and government experts alike recognize that a key to making a 

successful transformation toward a more sophisticated acquisition 

environment is having the right people with the right skills. Leading 

public organizations here in the United States and abroad have found 

that strategic human capital management must be the centerpiece of any 

serious change management initiative and efforts to transform the 

cultures of government agencies. Workforce planning provides managers 

with a strategic basis for making human resource decisions and allows 

organizations to address systematically the issues that are driving 

workforce change.



You requested that we (1) determine the efforts civilian federal 

agencies are making to address their future acquisition workforce needs 

and identify the challenges, if any, they have encountered and (2) 

identify any “lessons learned” from the Department of Defense’s (DOD) 

efforts to develop strategic plans for its acquisition workforce. We 

included the following six civilian agencies in our review: the General 

Services Administration (GSA), the National Aeronautics and Space 

Administration (NASA), the Department of Energy (DOE), the Department 

of Veterans Affairs (VA), the Department of Treasury, and the 

Department of Health and Human Services (HHS). We did not assess the 

effectiveness of the agencies’ efforts.



Results in Brief:



The civilian agencies we reviewed are taking steps to address their 

future acquisition workforce needs. All the agencies have published or 

drafted human capital strategic plans for their overall workforces, and 

three agencies are developing plans specifically for their acquisition 

workforces. The other three agencies do not intend to develop strategic 

plans specifically for their acquisition workforces, either because 

they are developing an overall workforce plan that includes the 

acquisition workforce, or because the acquisition workforce comprises 

only a small fraction of the overall workforce. The agencies that are 

not developing acquisition workforce strategic plans are taking other 

steps, such as revamping training, recruiting, and retention programs, 

to address their future workforce needs. All agencies have encountered 

challenges in their efforts. In particular, because of shifting 

priorities, missions, and budgets, agencies have difficulty predicting 

with any certainty the specific skills and competencies the acquisition 

workforce will need. This uncertainty is exacerbated by the fact that 

the role of the acquisition staff is changing considerably--from merely 

a purchaser or process manager to a business manager who must work 

hand-in-hand with program managers to ensure that the goods and 

services being acquired will maximize the agency’s performance. Another 

challenge that affects all agencies is difficulty in sharing 

information about lessons learned or best practices that deal with 

acquisition workforce issues.



Based on its experience so far, DOD has gained some insights from its 

strategic planning efforts that could benefit civilian agencies. DOD 

recognizes that implementing a strategic approach to reshaping the 

workforce involves substantial challenges, and that laying the 

foundation for successful strategic planning takes time. To put its own 

effort on a better footing, DOD has initiated efforts to acquire the 

systems and tools needed to develop accurate and accessible data about 

the workforce and to make projections for the future. It is also 

striving to make a cultural shift from viewing human capital as a 

support function to viewing it as a mission function in order to 

provide its strategic planning effort with the level of importance and 

leadership attention it deserves. Addressing these challenges includes 

providing guidance that clearly specifies DOD’s goals for its 

acquisition workforce, ensuring that planning is being carried out at 

the appropriate organizational level, and ensuring that managers buy 

into and have the authority they need to carry out planning efforts.



We are recommending that the Administrator of the Office of Federal 

Procurement Policy work with procurement executives to leverage the 

experiences of federal agencies’ efforts to strengthen the acquisition 

workforce.



Background:



The federal government is facing several significant challenges when it 

comes to its acquisition workforce: the number of workers is declining, 

while the workload and the demand for more sophisticated technical, 

financial, and management skills are increasing. DOD’s contracting 

workload, for example, has increased by about 12 percent in recent 

years, but the workforce available to perform that workload has been 

reduced by about half over the same period. Meanwhile, the federal 

government is implementing various ways of contracting, such as 

performance-based contracting methods, commercial-based pricing 

approaches, and the use of purchase cards.



High-performing public organizations have found that strategic planning 

and management can address human capital shortfalls. Strategic human 

capital planning begins with establishing a clear set of organizational 

intents, including a clearly defined mission, core values, goals and 

objectives, and strategies, and then integrating a human capital 

approach to support these strategic and programmatic goals. It requires 

systematic assessments of current and future human capital needs and 

strategies--which encompass a broad array of initiatives to attract, 

retain, develop, and motivate a top quality workforce--to fill the 

gaps. To ensure lasting success, the top leaders of an organization 

need a sustained commitment to embracing human capital management. They 

need to see people as vital assets to organizational success and must 

invest in this valuable asset.



While many organizations have developed models for workforce 

planning,[Footnote 1] putting aside variations in terminology, the 

models share the following common elements. They:



* identify organizational objectives;



* identify the workforce competencies needed to achieve the objectives;



* analyze the present workforce to determine its competencies;



* compare present workforce competencies to those needed in the future 

(sometimes referred to as a “gap analysis”);



* develop plans to transition from the present workforce to the future 

workforce; and:



* periodically evaluate the workforce plans, review the mission and 

objectives to assure they remain valid, and make adjustments as 

required by changes in mission, objectives, and workforce competencies.



This process is simple in concept, but it can be difficult to carry 

out. First, it requires a shift in the human resource function from a 

support role to a role that is integral to accomplishing an agency’s 

mission. Second, it requires developing accurate information on the 

numbers and locations of employees and their competencies and skills, 

data on the profile of the workforce, and performance goals and 

measures for human capital approaches. We have previously reported that 

agencies may find that they lack some of the basic tools and 

information to develop strategic plans, such as accurate and complete 

information on workforce characteristics and strategic planning 

expertise.[Footnote 2]



Four organizations--the Office of Personnel Management (OPM), the 

Office of Federal Procurement Policy (OFPP), the Procurement Executives 

Council (PEC), and the Federal Acquisition Institute (FAI)--have roles 

to play in dealing with workforce and acquisition workforce issues. 

Highlights of these different roles are presented in table 1.



Table 1: Various Organizations’ Roles Concerning Acquisition Workforce 

Issues:



Organization: OPM; Roles: Help agencies get the right people in the 

right jobs with the right skills at the right time; ensure that 

agencies are incorporating effective workforce planning and strategic 

rewards into their strategies for accomplishing their goals and 

objectives..



Organization: OFPP; Roles: Provide governmentwide guidance for agencies 

other than DOD concerning acquisition workforce issues. The OFPP 

Administrator currently serves as the chair of the PEC..



Organization: PEC; Roles: Provide a senior-level forum for monitoring 

and improving the federal acquisition system, including the acquisition 

workforce. The PEC is an interagency council consisting of procurement 

executives in the executive branch..



Organization: FAI; Roles: Under the direction of the OFPP, promote the 

development of the acquisition workforce and develop a governmentwide 

management information system that will allow departments and agencies 

to collect and maintain standardized acquisition workforce information 

and conform to standards established by OPM for its Central Personnel 

Data File..



Source: GAO analysis.



[End of table]



Status of Civilian Agencies’ Efforts to Develop Strategic Plans for 

Their Acquisition Workforces:



All six agencies that we reviewed have published or drafted human 

capital strategic plans for their overall workforces and are taking 

actions specifically targeted at strengthening their acquisition 

workforces. Three agencies are developing specific acquisition 

workforce plans. Agencies are in varying stages of these efforts. The 

agencies are facing challenges in completing workforce plans--in 

particular, they are finding it difficult to predict and respond to 

future needs given the rapid pace of change occurring within 

acquisition and the lack of reliable data on workforce characteristics. 

Agencies are also hampered by difficulty in sharing information about 

best practices and lessons learned in addressing acquisition workforce 

issues.



Progress Made:



In developing strategic plans for their overall workforces, all six of 

the agencies we reviewed have identified their organizational 

objectives. Three of these, DOE, HHS, and Treasury, have gone as far as 

conducting a gap analysis, which involves comparing present workforce 

competencies to those that will be needed in the future. Some agencies 

are developing these plans at an agencywide level, while others are 

developing them at a bureau or operating division level.



Four agencies included in our review--VA, GSA, DOE, and NASA--believe 

that the acquisition function is central to accomplishing their 

missions. There are clear reasons for this. About 90 percent of NASA’s 

funds, for example, is spent on contracts for projects such as the 

international space station and the space shuttle. DOE contracts out 

about 94 percent of its budget. VA purchases goods and services, such 

as medical supplies, pharmaceuticals, and information technology. And 

GSA’s primary function is to assist federal agencies in procuring goods 

and services.



Recognizing the importance of acquisition to their missions, VA, GSA, 

and DOE are all developing or have developed strategic plans 

specifically targeted at strengthening their acquisition workforce. 

NASA is developing an overall workforce plan that will include the 

acquisition workforce. VA and GSA have defined the objectives for their 

future acquisition workforces. GSA has also established the 

competencies that workforce will need and has begun its gap analysis. 

DOE has studied its acquisition workforce, identified competencies and 

gaps, and is now implementing actions it believes are needed to 

strengthen the acquisition workforce. NASA is in the process of 

identifying the competencies its workforce possesses. All four of these 

agencies have also developed training and career development programs 

that are aimed at ensuring their acquisition workforces have the skills 

to accomplish the agencies’ missions.



Treasury and HHS view acquisition as critical to mission success. 

However, unlike GSA, for example, acquisition is not a primary function 

of these agencies. Each agency spends less than 25 percent of its 

budget on acquisitions. Nevertheless, Treasury and HHS have undertaken 

initiatives such as training, career development, and intern programs 

to ensure that their acquisition workforces have the necessary skills 

and training to accomplish their missions.



Tables 2 and 3 highlight progress being made by the agencies we 

studied. Detailed information on each agency’s efforts is provided at 

the end of this section.



Table 2: Summary of Agencies’ Status:



Does the agency view acquisition as critical to mission?; Agency: DOE: 

YES; Agency: GSA: YES; Agency: VA: YES; Agency: NASA: YES; Agency: HHS: 

NO; Agency: Treasury: NO.



Percentage of acquisition workforce to total workforce[A]; Agency: DOE: 

3%; Agency: GSA: 21%; Agency: VA: 3%; Agency: NASA: 4%; Agency: HHS: 

1%; Agency: Treasury: <1%.



Percentage of total budget spent on acquisition[B] , c; Agency: DOE: 

94%; Agency: GSA: [D]; Agency: VA: 12%; Agency: NASA: 90%; Agency: HHS: 

1%; Agency: Treasury: 23%.



Is the agency developing an overall workforce plan?; Agency: DOE: YES; 

Agency: GSA: YES; Agency: VA: YES; Agency: NASA: YES; Agency: HHS: YES; 

Agency: Treasury: YES.



Is the agency developing an acquisition workforce plan?; Agency: DOE: 

YES; Agency: GSA: YES; Agency: VA: YES; Agency: NASA: NO; Agency: HHS: 

NO; Agency: Treasury: NO.



What is the status of the acquisition workforce plan?; Agency: DOE: Gap 

analysis completed. Implementing transition plans.; Agency: GSA: 

Identified agencyís objectives and competencies needed; gap analysis 

underway.; Agency: VA: Has begun analysis of current workforce.; 

Agency: NASA: Not applicable; Agency: HHS: Not applicable; Agency: 

Treasury: Not applicable.



[A] Agencies differ in who they include in the acquisition workforce; 

as a result, the numbers may not be comparable.



[B] Data on amounts spent on acquisition are taken from the Federal 

Procurement Data System (FPDS) Federal Procurement Report for fiscal 

year 2001. These amounts do not include credit card purchases.



[C] Data in the FPDS Report on amounts spent on acquisition sometimes 

varied from an agency’s annual procurement report. To be consistent, we 

used data from the FPDS Report except in the case of NASA, where the 

difference was significant. NASA’s Annual Procurement Report for fiscal 

year 2001 showed a total of $12.7 billion, while the FPDS Report showed 

a total of $10.6 billion. NASA’s total budget for fiscal year 2001 was 

$14.2 billion.



[D] About 96 percent of GSA’s revenues of about $45 billion flow 

directly from customers to suppliers of goods and services. Only about 

4 percent of GSA revenue is directed to internal operations.



Source: GAO analysis of agency-provided data.



[End of table]



Table 3: Highlights of Initiatives to Strengthen Overall and/or 

Acquisition Workforces:



DOE; Analyzed the acquisition workforce, performed a gap analysis, and 

is now implementing a new career development program to address the 

gaps identified. The program partly focuses on developing future 

leaders of the acquisition workforce..



GSA; Established a new Office of Acquisition Workforce Transformation 

to develop a succession plan, develop and implement recruiting 

programs, and ensure that appropriate training is provided to 

acquisition workers; established Education/Training Center as part of 

ongoing strategy to address skill gaps..



HHS; Implementing a new intern program and an emerging leaders program 

in which it has included acquisition workers; initiated a new training 

program for acquisition workers..



NASA; Developing an agencywide workforce planning system that will 

track distribution of its workforce across programs, critical skills, 

and management experience and will permit NASA to identify gaps between 

skills required and skills available. NASA plans to have the system 

implemented by September 2003. Implemented Career Development and 

Procurement Certification Programs to provide training for acquisition 

professionals..



Treasury; Established a Treasury Acquisition Institute, which provides 

a curriculum to meet the needs of an evolving acquisition workforce. 

The program includes courses on communication, information technology, 

project management, and leadership..



VA; Implementing a new information system to capture data on training 

and education of its acquisition workforce. The system should help to 

identify current skills and competencies..



Source: GAO analysis of agency-provided data.



[End of table]



Challenges Facing Agencies:



Major challenges facing the agencies we reviewed were difficulty in 

forecasting their missions in the future because of shifting priorities 

and budgets and difficulty in predicting the characteristics that the 

future workforce will need. Also, acquisition rules and regulations are 

changing, making it difficult for agencies to predict what will be 

required of their acquisition workforce in years to come. Officials at 

DOE said that given the dynamic nature of the agency’s mission focus 

and budget direction, forecasting the future represented a formidable 

challenge. Officials at HHS also noted that improving the focus on the 

agency’s mission and the skills sets needed to accomplish the mission 

was their biggest challenge. Officials at VA told us that they are 

still trying to determine how the department would be conducting its 

acquisitions in the future, and therefore they could not yet predict 

the kind of acquisition workforce VA would need.



Compounding the uncertainty of the future environment is the changing 

role of the acquisition professional from merely a purchaser or process 

manager to a business manager. Uncertainty is also caused by an 

increased focus on performance and outcomes, which requires greater 

integration of functions such as acquisition, financial management, and 

program management. In order to make this transition, acquisition 

workers will need to acquire an entirely new set of skills and 

knowledge, according to the agency officials with whom we spoke. For 

example, in addition to having a firm understanding of contracting 

rules and processes, acquisition workers will need to be adept at 

consulting and communicating with line managers, and they will need to 

be able to analyze business problems, identify different alternatives 

in purchasing goods or services, and assist in developing strategies in 

the early stages of the acquisition. Finally, a deeper understanding of 

market conditions, industry trends, and the technical details of the 

commodities and services being procured will be required.



Another challenge for agencies is the lack of data on the 

characteristics of the current workforce (e.g., size of workforce; 

deployment across the organization; knowledge, skills and abilities; 

attrition rates; retirement rates; etc.). NASA and VA are developing 

their own management information systems to capture this data. In 

addition, the FAI is developing a management information system, called 

the Acquisition Career Management Information System, to help agencies 

and departments collect and maintain standardized data on their 

acquisition workforces. The director of the FAI stated that the system 

is expected to be operational by January 2003.



An additional challenge cited by some agency procurement officials is 

the lack of a means to share information among agencies about best 

practices or lessons learned in dealing with acquisition workforce 

issues. One potential mechanism for providing such leadership is the 

PEC, which was created to provide a senior-level forum for monitoring 

and improving the federal acquisition system. The OFPP Administrator 

currently serves as the chair of the council.



The council established an Acquisition Workforce Committee in 1999 to 

focus on the changing role of the acquisition workforce and to identify 

methods and strategies to equip this workforce with the knowledge, 

skills, and abilities to successfully meet the challenges of change. 

According to the committee chair, the council has only recently 

recognized that it needs to take a leadership role in coordinating 

agencies’ efforts to strengthen the acquisition workforce. However, 

assuming this leadership role will present its own challenges. For 

example, the PEC has yet to reach a consensus on how best to fulfill 

this role, in part because of the difficulty in finding common ground 

among several federal agencies with different agendas and missions. In 

addition, agencies currently lack formal mechanisms for sharing 

information about best practices or lessons learned on dealing with 

acquisition workforce issues.[Footnote 3]



The Acquisition Workforce Committee had chartered working groups to 

research acquisition workforce needs, establish a governmentwide 

Acquisition Management Intern Program, develop retention strategies and 

incentives, and determine the ideal skills and characteristics of the 

future acquisition professional. According to the chair of the 

committee, although some of these initiatives, such as the intern 

program, have been successful, the effort to develop a broader 

governmentwide approach to building and implementing a model for the 

future acquisition workforce has been slow because the PEC has been 

realigning itself and redefining its strategic initiatives to support 

the President’s Management Agenda and to respond to issues related to 

homeland security.



The following information provides details of the civilian agencies’ 

efforts to address acquisition workforce issues. The check marks in the 

Status section indicate each agency’s progress in developing strategic 

plans for its overall workforce and for its acquisition workforce, if 

applicable.



General Services Administration: Size and Role of Acquisition 

Workforce: As the government’s primary procurement arm, GSA’s role is 

to assist agencies in procuring supplies and services, office space, 

equipment, telecommunications, and information technology. The GSA 

acquisition workforce comprises about 2,950 personnel out of a total of 

about 14,000.; ; GSA considers its primary acquisition workforce to 

include contract specialists (GS 1102), procurement clerks (GS 1106), 

purchasing specialists (GS 1105), property disposal agents (GS 1104), 

contracting officers, and contracting officer representatives /

contracting officer technical representatives. In the near future, GSA 

will expand this definition to include program managers..



General Services Administration: Size and Role of Acquisition 

Workforce: GSA sees its acquisition workforce as integral to 

accomplishing its mission. To keep up the trend toward purchasing 

highly complex and technical goods and services, GSA will need its 

acquisition workforce to build knowledge on market conditions, industry 

trends, and the technical details of the commodities and services being 

acquired. GSA also envisions broadening the knowledge base of 

acquisition professional beyond the procurement field into areas such 

as budget, finance, and program management. A little over 26 percent of 

the acquisition workforce will be eligible to retire by 2007..



General Services Administration: Size and Role of Acquisition 

Workforce: Agency has published/drafted human capital strategic plan; 

Defined vision/objectives; Identified competencies needed; Identified 

competencies present; Gap analysis; Transition plans Evaluate/adjust.



General Services Administration: Size and Role of Acquisition 

Workforce: Separate human capital strategic planfor acquisition 

workforcea; Defined vision/objectives; Identified competencies needed; 

Identified competencies present; Gap analysis; Transition plans 

Evaluate/adjust.



General Services Administration: Size and Role of Acquisition 

Workforce: GSA has established the Office of Acquisition Workforce 

Transformation to foster the development of the acquisition workforce. 

Among other things, the office is responsible for developing a 

succession plan, developing and implementing recruitment programs, and 

developing and managing education/training standards and data.; GSA has 

identified acquisition as one of its mission-critical occupations, and 

has established the competencies needed by the acquisition workforce. 

However, GSA currently does not know whether its acquisition workforce 

has the requisite competencies. Therefore, it has established the 

Applied Learning Center to measure whether the acquisition workforce 

has the competencies to carry out its duties successfully. The pilot 

project will begin in 2003 and will be completed that calendar year. 

The results of the pilot will provide an indication of the skills gaps 

in GSA’s acquisition workforce. As a part of its ongoing strategy to 

address the skills gaps identified, GSA has also established an 

Education and Training Center to provide the needed training..



General Services Administration: Size and Role of Acquisition 

Workforce: GSA currently tracks its acquisition workforce data manually 

and maintains it in a database. GSA will migrate this data to the 

Acquisition Career Management Information System when it comes on line 

in the January 2003 timeframe..



[A] GSA published its Human Capital Strategic Plan in August 2002. The 

acquisition workforce strategic 

plan is incorporated in the Human Capital Strategic Plan.



[End of table]



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Out of a total of about 18,000 employees, 

approximately 680 comprise NASA’s acquisition workforce. NASA contracts 

out about 90 percent of its budget; it spent about $12.7 billion in 

fiscal year 2001. The acquisition function is essential because NASA is 

a research and development (R&D) agency, and the ability to achieve its 

mission is dependent on the acquisition function of awarding R&D 

contracts. NASA’s missions are: to advance and communicate scientific 

knowledge and understanding of the Earth, the solar system and the 

universe; to advance human exploration, use, and development of space; 

and to research, develop, verify, and transfer advanced aeronautics and 

space technologies.; ; NASA includes contract specialists (GS 1102), 

purchasing specialists (GS 1105), contracting officers, and procurement 

clerks in its acquisition workforce..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Since 1993, the acquisition workforce has been 

reduced more than 30 percent, from about 1,000 in fiscal year 1993 to 

about 680 in fiscal year 2002. By the end of 2007, another 27 percent 

of the remaining acquisition workforce will be eligible for retirement. 

However, NASA does not perceive a crisis in its acquisition workforce 

because of current hiring and an emphasis on an intern program that is 

expected to continue to bring in new acquisition employees.; ; Also, 

NASA does not anticipate a big shift in the role of its acquisition 

workforce because the goods and services it purchases are not likely to 

change..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Agency has published/drafted human capital 

strategic plan; Defined vision/objectives; Identified competencies 

needed; Identified competencies present; Gap analysis; Transition 

plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Separate human capital strategic planfor 

acquisition workforce; Defined vision/objectives; Identified 

competencies needed; Identified competencies present; Gap analysis; 

Transition plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Currently, each of the NASA Enterprises and 

Centers is responsible for identifying the workforce size and skills 

that it needs to accomplish its mission, but NASA recognizes that it 

has limited capability for personnel tracking and planning. To address 

this issue, it is developing an agencywide workforce planning system 

that will allow better management of the existing workforce and enable 

better strategic decisions about future workforce needs. The system 

will track the distribution of workforce across programs, personnel 

critical skills, and personnel management experience, and will permit 

NASA to identify gaps between skills required and skills available. 

NASA officials responsible for developing the system said that it could 

be used to determine and predict gaps in the acquisition workforce. 

NASA hopes to have the system implemented agencywide by September 

2003.; ; NASA’s Office of Procurement has three initiatives to address 

entry-level, mid-level and senior-level staff development needs: NASA’s 

Contracting Intern Program ensures a pipeline of well-trained, college-

educated candidates to offset demographic trends; NASA’s Career 

Development and Procurement Certification Programs ensure that 

acquisition professionals receive training that meets or exceeds 

statutory requirements; and NASA’s Rotational Assignments with Industry 

provide senior acquisition professionals with corporate experience and 

the tools needed to assume acquisition management and other leadership 

positions..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: DOE has about 14,100 federal employees, with a 

contracting workforce of 464. The contracting workforce includes 

contracting officers and contract specialists (GS 1102), purchasing 

specialists (GS 1105), and other series with significant acquisition 

responsibilities assigned to DOE procurement offices. DOE contracts out 

about 94 percent of its budget, using a widespread network of 

contractors. In fiscal year 2001, DOE spent approximately $18.6 billion 

on contracts. The department manages an extensive array of energy 

programs over a nationwide complex that includes headquarters 

organizations, operations offices, field offices, national 

laboratories, power marketing administrations, special purpose 

offices, and sites now dedicated to environmental cleanup. With over 

100,000 contractor employees who manage approximately 50 major 

installations across the county, acquisition is critical to 

accomplishing the department’s mission.; ; In addition to the series 

listed above, the DOE acquisition workforce includes procurement clerks 

(GS 1106), project/program managers, property managers, financial 

assistance specialists, and contracting officer representatives..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: In fiscal year 1995, DOE began a 5-year period 

of downsizing. During this period, it essentially stopped hiring. As a 

result, the average age of the DOE workforce increased. In 1998, the 

DOE procurement executive conducted a demographic study of the 

acquisition workforce because of concerns that 4 years of downsizing 

had created potential short-and long-term problems regarding the 

ability of the workforce to meet future needs. The study found that DOE 

was likely to lose its acquisition leadership because of retirements 

and therefore needed to develop leadership skills in the remaining 

workforce. In addition, DOE’s assessment of the acquisition environment 

identified education and developmental needs in project/program 

management, property management, financial assistance, and contractor 

human resource management. A survey conducted in 2001 showed that the 

department would continue to face the same issues as revealed by the 

1998 study.; ; In response to the 1998 study, DOE initiated its 

Acquisition Career Development Program to address the gaps identified. 

The program is designed to ensure that the department will have 

sufficient numbers of personnel with adequate education and training to 

perform the acquisition mission..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Agency has published/drafted human capital 

strategic plan; Defined vision/objectives; Identified competencies 

needed; Identified competencies present; Gap analysis; Transition 

plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Separate human capital strategic planfor 

acquisition workforce; Defined vision/objectives; Identified 

competencies needed; Identified competencies present; Gap analysis; 

Transition plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: The elements of the Acquisition Career 

Development Program include an intern program, a training and 

certification program, and a program to develop future leaders of the 

acquisition workforce by providing educational and experiential 

opportunities. This program includes course work in acquisition-related 

areas, rotational assignments with industry, attendance at a leadership 

institute, and a developmental assignment as Acting Director at 

Headquarters..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Some of the challenges cited by DOE officials 

included the difficulty of forecasting the mission of the agency in an 

environment of shifting budgets and priorities, the lack of lower-level 

(i.e., below office director level) management support for workforce 

planning efforts, and the lack of funding and resources to implement 

developmental programs..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: The VA sees its acquisition workforce as 

integral part to accomplishing its mission. The acquisition workforce 

of 6,000 represents about 2.5 percent of the total workforce of 

240,000. The acquisition workforce’s primary role is to purchase 

pharmaceuticals, medical-surgical supplies, prosthetic devices, 

information technology, construction, and services for America’s 

veterans and their families. VA spent about $5.9 billion on contracts 

in fiscal year 2001, which represented about 12 percent of its budget.; 

; The acquisition workforce includes contract specialists (GS 1102), 

purchasing specialists (GS 1105), contracting officers, contracting 

officer representatives, contracting officer technical 

representatives, and other acquisition-related positions such as 

program managers and procurement clerks..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: The Secretary of Veterans Affairs established a 

Procurement Reform Task Force in June 2001 to review VA’s acquisition 

system and develop specific recommendations for optimizing the system. 

The task force found that the acquisition workforce is in a vulnerable 

position because the nature of its work is changing rapidly, requiring 

broader competencies and more complex skill sets. In addition, it found 

an increased need for employees with higher educational levels, general 

management proficiency, and the ability to leverage information 

technology. The task force also recognized that a critically high 

number of VA’s acquisition employees are eligible for retirement..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Agency has published/drafted human capital 

strategic plan; Defined vision/objectives; Identified competencies 

needed; Identified competencies present; Gap analysis; Transition 

plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Separate human capital strategic planfor 

acquisition workforce; Defined vision/objectives; Identified 

competencies needed; Identified competencies present; Gap analysis; 

Transition plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: The procurement reform task force proposed a 

workforce development strategy consisting of several initiatives that 

would ensure a sufficient and talented acquisition workforce. However, 

the task force report noted that the implementing a strategic plan for 

the acquisition workforce would bind these initiatives together and 

ensure that the workforce is managed as a single entity, rather than as 

a loose collection of related occupations.; ; VA is in the early stages 

of developing a strategic workforce plan for its acquisition workforce 

and is in the process of implementing some of the task force’s 

recommendations. For example, it has implemented the Center for 

Acquisition and Materiel Management Education On-line (CAMEO), a 

centralized management information system to capture data on the 

training and education of its acquisition workforce. This data will 

help identify the skills and competencies the acquisition workforce has 

currently. VA acquisition personnel began populating the CAMEO database 

in January 2002. 

; In addition to serving as a database, CAMEO provides on-line 

training. VA’s first on-line training course became available to its 

acquisition workforce in December 2001. VA develops and provides 

training programs and courses following the curriculum established by 

the FAI. VA also conducts continuing education sessions tailored to the 

nonmanagerial and managerial members of the acquisition workforce..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: While the task force report articulated a broad 

vision for the acquisition workforce, VA is trying to identify the 

specific skills and competencies the acquisition workforce currently 

has and what will be needed in the future. VA does not have a 

centralized database with complete and accurate data that will enable 

it to identify the skills and competencies for its current workforce. 

Because the VA is in the process of changing its acquisition practices 

and processes, it cannot yet predict precisely what kind of workforce 

will be needed..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Treasury’s acquisition workforce provides a 

support function for the department’s 15 bureaus. The Treasury 

acquisition workforce of 640 represents less than 1 percent of the 

total workforce of 134,577. The total of 134,577 does not include 

seasonal workers. Treasury does not plan to develop an acquisition 

workforce plan since it does not identify the acquisition workforce as 

a challenge in accomplishing its mission.; ; Treasury’s acquisition 

workforce includes contract specialists (GS 1102), purchasing agents 

(GS 1105), and procurement clerks; (GS 1106)..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Historical data indicate that Treasury GS 1102s 

have a low attrition rate of 13 percent, which is balanced by a one-

for-one new hire ratio of 12.9 percent. About 22 percent of the GS 

1102s will be eligible to retire in 2004, with the percentage rising to 

44 in 2009. However, an October 2001 Workforce Planning Report by the 

Treasury Deputy Assistant Secretary for Human Resources cites OPM data 

that indicate most federal employees wait 3 years past their 

eligibility date to actually retire. In light of the above data, the 

department has not identified the acquisition workforce as a management 

challenge. However, Treasury has recognized that the role of the 

acquisition workforce is evolving from simply purchasing to that of 

business advisor as the government procurement environment changes..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Agency has published/drafted human capital 

strategic plan; Defined vision/objectives; Identified competencies 

needed; Identified competencies present; Gap analysis; Transition 

plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Separate human capital strategic planfor 

acquisition workforce; Defined vision/objectives; Identified 

competencies needed; Identified competencies present; Gap analysis; 

Transition plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Treasury is implementing initiatives to ensure 

that the acquisition workforce does have the skills and competencies 

needed currently and in the future. For example, the agency has 

established the Treasury Acquisition Institute, which offers a 

curriculum to meet the needs of its acquisition workforce. Besides 

procurement, the institute offers courses in interpersonal 

communication and computer capabilities, as well as courses in project 

management, competitive sourcing, and leadership. The institute and the 

office of the Treasury Procurement Executive also conduct 

nontraditional training such as procurement conferences and other 

procurement training as needed.; ; Treasury has established a Treasury 

Procurement Intern Program to recruit hire and train new contract 

specialists, an Acquisition/Business Career Management Program and a 

Fulfillment Program.; ; Treasury officials stated that the department 

is actively participating with the FAI to develop and establish a 

standard set of skills and competencies that may be used 

governmentwide. FAI planned to implement the set of skills and 

competencies by late 2002..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Treasury officials noted that the lack of a 

standardized, governmentwide set of skills and competencies for the 

future acquisition workforce made it difficult to assess the current 

workforce..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: The acquisition workforce is considered a 

mission support activity that provides assistance to the 11 operating 

divisions to accomplish their mission of protecting the health of all 

Americans and providing essential human services, particularly for 

those least able to help themselves. The HHS acquisition workforce of 

963 makes up 1.5 percent of the total HHS workforce of 64,836. In 

fiscal year 2001, the agency spent about $6.2 billion on federal 

contracts, which represented about 1 percent of its total budget.; ; 

The acquisition workforce includes contracting officers (GS 1102), 

purchasing agents (GS 1105), and procurement technicians..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: About 15 percent of the acquisition workforce is 

currently eligible to retire. However, according to HHS officials, this 

percentage is not out of line with the HHS workforce as a whole. In 

addition, neither retirements nor overall attrition among this 

workforce has shown itself to be a problem in recent years. 

Consequently, HHS does not view the acquisition workforce as a 

management challenge.; ; In terms of the future acquisition workforce, 

HHS, like other agencies, envisions its acquisition workforce evolving 

into business managers..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Agency has published/drafted human capital 

strategic plan; Defined vision/objectives; Identified competencies 

needed; Identified competencies present; Gap analysis; Transition 

plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: Separate human capital strategic planfor 

acquisition workforce; Defined vision/objectives; Identified 

competencies needed; Identified competencies present; Gap analysis; 

Transition plans; Evaluate/adjust.



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: HHS and its operating divisions have developed 

human capital plans for ensuring that the overall workforce has the 

skills needed to manage their programs. HHS has implemented initiatives 

such as the HHS Emerging Leaders program and a training program for its 

acquisition workforce. The department has also participated in the 

governmentwide Acquisition Management Intern Program. These 

initiatives are aimed at ensuring that the acquisition workforce will 

have the skills and competencies to accomplish the agency’s mission and 

evolve into the business managers/advisors that will be needed in the 

future..



National Aeronautics and Space Administration: Size and Role of 

Acquisition Workforce: HHS officials said they faced the following 

challenges in trying to address their future acquisition workforce 

needs: the lack of standardized equivalencies for acquisition training 

courses taken at other government agencies to help determine skill 

levels and competencies, a lack of data to identify/characterize the 

workforce, and a need to improve focus on the agency mission and 

develop competencies for effective acquisitions to support that 

mission..



[End of table]



DOD Experience in Workforce Planning Provides Useful Lessons Learned:



DOD has been working for several years to strengthen its civilian 

acquisition workforce.[Footnote 4] The acquisition workforce comprises 

a large proportion of the overall workforce, and DOD views the 

acquisition workforce as critical to accomplishing its 

mission.[Footnote 5] DOD has analyzed its current workforce and made 

projections for the future. But in doing so, it recognized that 

implementing a strategic approach to reshaping the workforce involves 

substantial challenges. The overriding challenge for DOD was the need 

to overcome cultural resistance to the strategic approach and build a 

solid foundation for planning, which DOD recognized could take years to 

accomplish. The civilian agencies we studied may face some of the same 

challenges as they press forward with their own planning efforts. The 

specific lessons learned from DOD’s efforts to address its challenges 

are highlighted in table 4.[Footnote 6]



Table 4: Highlights of DOD’s Lessons Learned:



Leadership: Because the strategic planning effort takes time, 

particularly when key planning tools are lacking, sustained commitment 

by managers is needed.; Planning Foundation: Ensure that the 

organization has accurate and accessible data to carry out workforce 

analyses. Acquire new systems or modify legacy systems, if needed..



Leadership: Ensure that planning is carried out at the appropriate 

level of the organization. Individual components or business units may 

be better suited than headquarters to develop plans because they have a 

better sense of current and future needs and capabilities.; Planning 

Foundation: Ensure that the organization has the right tools to make 

projections about the workforce. Acquire the tools, if necessary, and 

provide training on their use..



Leadership: If planning is being carried out at lower organizational 

levels, be sure managers have the authority they need and that they 

support the effort.; Planning Foundation: Provide guidance for the 

planning effort. Make sure it clearly identifies strategic and 

performance goals..



Source: GAO analysis of agency-provided data.



[End of table]



DOD Planning Efforts:



During the past decade, DOD has downsized its civilian acquisition 

workforce by half. It now faces what it considers to be serious 

imbalances in the skills and experience of its remaining workforce and 

the potential loss of highly specialized knowledge if many of its 

acquisition specialists retire. DOD created the Acquisition 2005 Task 

Force to study this problem and develop a strategy to replenish 

personnel losses. The task force’s first recommendation was to develop 

and implement a human capital strategic plan for the civilian 

acquisition workforce.[Footnote 7]



In response to this recommendation, DOD components[Footnote 8] 

undertook a strategic planning effort in 2001 in tandem with an array 

of other initiatives aimed at strengthening the acquisition workforce, 

including personnel demonstration projects[Footnote 9] and new 

recruiting and new training initiatives. In its first strategic 

planning cycle, DOD engaged a consultant to provide training on the 

workforce planning process, which took about 2 days, and then set out 

to develop the plans.



According to DOD officials, despite encountering problems during the 

first cycle, the effort was useful in that the components had begun to 

think strategically about their workforce. However, the officials 

recognized that the results were imperfect. For example, none of the 

initial plans submitted by DOD’s components contained a complete 

analysis of potential gaps for the civilian acquisition workforce. The 

components attributed this problem to deficiencies in the first attempt 

at the planning process. Specifically, due to the time constraints and 

the timing of the process, the components lacked sufficient planning 

guidance from the Office of the Secretary of Defense, such as the 

Defense Planning Guidance and the Quadrennial Defense Review, which had 

not yet been issued. In addition, inadequate modeling capability made 

the process less than optimum. Furthermore, the output was hampered 

somewhat by inconsistent accuracy of personnel data.



DOD still found that the first cycle provided a valuable experience 

because it highlighted the key planning barriers that needed to be 

overcome. In addition to a lack of specific guidance, data, and 

modeling tools, other barriers included ad hoc policy decisions, 

cultural resistance to workforce planning, limited strategic workforce 

planning expertise, and the lack of an institutional structure to 

support strategic workforce planning. DOD also recognized that 

overcoming these barriers would not be easy because they require DOD to 

acquire new systems and tools and to make a cultural shift from viewing 

human capital as a support function to a mission function. As figure 1 

illustrates, DOD now estimates that it will take as long as 5 years to 

mature the human capital strategic planning process.[Footnote 10]



Figure 1: DOD’s Framework for Developing a Mature Human Capital 

Strategic Planning System:



[See PDF for Image]

[End of Figure]



Several specific lessons learned from DOD’s experience are highlighted 

below.



Leadership:



An overriding lesson learned from DOD has been that making the cultural 

shift from viewing human capital as a support function to a mission 

function requires strong and sustained leadership involvement. GAO’s 

guidance on human capital strategic planning also emphasizes the shift 

in the role of the human capital function from a support function to 

one that is integral to achieving the agency’s mission. In addition, 

leadership is needed to foster an agency’s vision, align organizational 

components, and build commitment to the vision at all levels of the 

organization.[Footnote 11]



For DOD, leadership involvement from leaders at lower levels of the 

organization was particularly critical since it became apparent in the 

first cycle of planning that attempting to develop a workforce plan at 

an agencywide level for a disparate organization such as DOD was almost 

impossible. This is because the various business units within an agency 

have very different missions, workforce characteristics, and needs. At 

the same time, DOD recognized that additional authority needed to be 

provided to managers within business units for making any needed 

changes as they developed their plans. For example, these managers 

might not have had additional hiring authority to address the gaps they 

identified. DOD officials noted that providing such authority may 

require policy, regulatory, or statutory changes.



Another leadership challenge facing DOD was that some DOD components 

lacked buy-in on the importance of acquisition workforce planning. A 

consultant hired to assist DOD’s acquisition workforce planning efforts 

said that one reason managers view workforce planning skeptically is 

because the results of such efforts are difficult to measure, and the 

costs can be significant. DOD officials acknowledged, however, that 

although the costs may be significant, the costs of making decisions 

without the necessary information would be equally significant and 

could lead to worse problems. Our guidance reflects this view as 

well.[Footnote 12]



Another deficiency identified by DOD in its first planning effort was 

the lack of guidance that identified what DOD’s goals were for human 

capital and how planning efforts should be carried out. Without a 

clearly articulated statement of intent, DOD components lacked a strong 

rationale for developing a view of what the future workforce should 

look like. Moreover, without guidance on how the planning should be 

done, components took differing approaches to their analyses.



Planning Tools:



In assessing the results of its first planning cycle, DOD found that it 

lacked essential strategic planning tools, including systems that could 

accumulate and report all data needed for its forecasting efforts, 

models for projections, and planning guidance. Our own guidance 

recognizes such tools as essential to successful strategic planning. 

For example, our guidance points out that valid and reliable data are 

critical not only to assess an agency’s workforce requirements, but 

also to heighten an agency’s ability to manage risk by allowing 

managers to spotlight areas for attention before crises develop and 

identify opportunities for enhancing agency results.[Footnote 13]



Another factor complicating the components’ workforce planning efforts 

was the difficulty in obtaining data needed to develop plans. Officials 

at one DOD component, for example, told us that they had to use three 

different data systems in an attempt to identify the characteristics of 

the current workforce, and even then they were not sure that the data 

was accurate. One system was used to obtain data on such things as pay 

grade, job series, and location; another system was used to extract 

retirement data; and a “home-grown” attrition model was used to project 

how many people would leave, die, and retire based on historical 

trends. A consultant in the first planning effort also told us that 

most of the models used to make projections were rudimentary, at best, 

and that forecasting data important to making projections was 

incomplete, missing, and/or inaccurate.



DOD Has Taken Steps to Address Challenges:



DOD is working to overcome the problems experienced during the first 

planning cycle. It held working group meetings with the components to 

gather lessons learned and develop recommendations to improve the 

quality of the data for the second planning cycle, which began in 

January 2002. For the second cycle, DOD issued guidance that was 

expected to help components identify future workforce requirements. DOD 

officials expect that each cycle will improve as the planners gain 

experience.



As part of the institutionalization of the human capital strategic 

planning process, the Under Secretary of Defense for Acquisition, 

Technology and Logistics has issued a policy directing that the 

planning will occur annually. The policy also directs that forecast 

data will be tied to budget information. DOD components will collect 

and array data that includes a focus on end-strength projections and 

expected costs to reach those projections. According to DOD officials, 

the issuance of this policy and the guidance provided previously should 

help to overcome resistance to strategic planning. They noted that the 

number of DOD components that want to participate in the next cycle has 

increased to 11 (from 6 in the first year), because the components see 

the value of strategic planning for the acquisition workforce.



DOD is now implementing a workforce data management strategy to improve 

the collection and storage of personnel data. The intent is to identify 

new data requirements and information needs for strategic planning. In 

addition, DOD is working to develop more sophisticated modeling tools. 

As part of the second strategic planning cycle, DOD hosted a workshop 

for its components to discuss tools that would support the workforce 

planning effort. These tools included a workforce model that provides a 

current view of the workforce, an aging projection model that predicts 

what the current acquisition workforce inventory would look like within 

a certain period of time, and a future requirements determination model 

that ties workload to resource allocation and projects how changes in 

workload will affect resource use in the future. DOD officials expect 

that these tools will improve the results of the second planning cycle 

and also expect the tools themselves to improve in the future.



Conclusions:



Procurement reforms, technological changes, and downsizing have placed 

unprecedented demands on the acquisition workforce. Acquisition workers 

are now expected to have a much greater knowledge of market conditions, 

industry trends, and the technical details of the commodities and 

services they procure. For this reason, any agency that relies heavily 

on acquisition to accomplish its mission stands to benefit greatly by 

developing strategic human capital plans that define the capabilities 

that will be needed by the workforce in the future, as well as 

strategies that can help the workforce meet these capabilities.



While the civilian agencies we reviewed are generally in the early 

stages of this process, DOD’s experience highlights the need to provide 

the right foundation for planning. This includes obtaining appropriate 

data collection and modeling tools, planning expertise, and management 

buy-in. More important, DOD’s experience has shown that strategic 

workforce planning is not an easy task and can take several years to 

accomplish. This makes it especially important for agencies to sustain 

strong leadership and support for the planning effort and to be able to 

learn from each other’s experiences, with assistance from procurement 

executives and organizations such as the OFPP.



Recommendation:



In order to leverage the experiences of federal agencies’ efforts, 

including those of DOD, to address future acquisition workforce needs, 

we recommend that the OFPP Administrator work with procurement 

executives to ensure that the lessons learned from these efforts are 

shared with all federal agencies as they continue with their 

initiatives to improve the acquisition workforce.



Agency Comments and Our Evaluation:



DOD, NASA, HHS, and DOE provided written comments on a draft of this 

report. OFPP and Treasury provided comments via e-mail. VA and GSA 

chose not to provide comments. All the agencies generally agreed with 

our findings and recommendation. However, OFPP noted that the role of 

the PEC is likely to change in the future and therefore suggested our 

recommendation direct the Administrator of the OFPP to work with 

procurement executives, rather than with the PEC. We have made this 

change.



DOD and NASA concurred with our findings and had no further comment. 

Their comments appear in appendix I and appendix II, respectively.



HHS concurred with our findings, but provided technical comments, 

including clarifying that it views acquisition as critical to mission 

success, although acquisition is not a primary function of the agency. 

We incorporated these technical comments as appropriate. HHS’s formal 

comments appear in appendix III.



Treasury provided technical comments, including one focused on 

distinguishing between permanent and seasonal workers in its workforce. 

We incorporated the comments as appropriate.



DOE provided technical comments, which we incorporated as appropriate, 

and it expressed four concerns. First, DOE made the distinction between 

its acquisition workforce and its contracting workforce. We added 

language to reflect this distinction. Second, DOE noted that our report 

does not appear to recognize its ongoing efforts to evaluate and adjust 

its overall workforce and acquisition workforce strategic plans, nor 

does our report note that DOE continually evaluates the effectiveness 

of its programs. We asked DOE to provide more information on the 

evaluation process, and a DOE official stated that while evaluation 

does occur, there is no formal process for doing so, nor is there any 

documentation of such evaluation. Third, DOE asked us to provide more 

detail about its formal succession plan program. We believe our report 

already captures this information, but in a summarized manner. The 

information on pages 10 to 15 is meant to display the highlights of 

agencies’ efforts to address acquisition workforce issues. Finally, DOE 

believed that the lack of management support did not pose a challenge 

to its efforts to improve the acquisition workforce, but that a lack of 

resources to implement developmental programs has been a challenge. 

While we agree that DOE’s top management has been supportive of 

workforce planning, our allusion to the lack of management support for 

workforce planning efforts refers to a lack of support at lower levels 

of management. We have modified the report to explain this issue and to 

address the lack of resources. DOE’s comments appear in appendix IV.



Scope and Methodology:



To determine civilian agencies’ efforts to address their future 

workforce needs, we interviewed the procurement executives and other 

acquisition officials at GSA, NASA, DOE, VA, HHS, and Department of 

Treasury, and we reviewed documents that they provided. These six 

agencies accounted for about 72 percent of the federal dollars 

contracted by civilian (non-DOD) agencies in fiscal year 2001. We did 

not assess the effectiveness of the agencies’ efforts or validate the 

data they provided. In addition, we contacted officials at OPM and OFPP 

to determine what guidance may have been provided to assist agencies 

with their acquisition workforce planning efforts. We also interviewed 

officials with the PEC to obtain their views on future acquisition 

workforce issues.



To identify the lessons learned from DOD’s efforts to develop strategic 

plans for its acquisition workforce, we reviewed DOD’s report on the 

implementation of the Task Force 2005 recommendations. We interviewed 

officials from the Office of the Under Secretary of Defense for 

Acquisition, Technology and Logistics; acquisition management 

officials for the military services; and other officials representing 

DCAA, DCMA, and DLA. In addition, we obtained relevant documents and 

interviewed DOD and contractor officials involved in DOD’s strategic 

planning efforts.



We conducted our review between December 2001 and October 2002 in 

accordance with generally accepted government auditing standards.



As agreed with your office, unless you publicly announce the contents 

of this report earlier, we plan no further distribution of it until 30 

days from the date of this letter. At that time, we will send copies to 

other interested congressional committees; the secretaries of Defense, 

Army, Air Force, Navy, Energy, Health and Human Services, Treasury, and 

Veteran’s Affairs; and the administrators of the General Services 

Administration, the National Aeronautics and Space Administration, and 

the Office of Federal Procurement Policy. We will also make copies 

available to others upon request. In addition, the report will 

available at no charge on the GAO Web site at http://www.gao.gov.



Please contact me at (202) 512-4125, or Hilary Sullivan at (214) 777-

5652, if you have any questions regarding this report. Major 

contributors to this report were Vijay Barnabas, Cristina Chaplain, 

William Doherty, Enemencio Sanchez, Sylvia Schatz, and Edward 

Stephenson.



Sincerely yours,



David E. Cooper

Director

Acquisition and Sourcing Management:

Signed by David E. Cooper:



[End of section]



Appendix I: Comments from the Department of Defense:



ACQUISITION. TECHNOLOGY AND LOGISTICS:



OFFICE OF THE UNDER SECRETARY OF DEFENSE:



3000 DEFENSE PENTAGON WASHINGTON, DC 20301-3000:



5 NOV 2002:



Ms. Hilary Sullivan:



Assistant Director, Acquisition and Sourcing Management U.S. General 

Accounting Office:



441 G Street, N.W. Washington, D.C. 20548:



Dear Ms. Sullivan:



This is the Department of Defense (DoD) response to the GAO draft 

report, “ACQUISITION WORKFORCE: Status of Agency Efforts to Address 

Future Needs,” dated October 11, 2002, (GAO Code 120108/GAO-03-55). 

Human capital strategic planning is the first item on the President’s 

Management Agenda and a top priority for the Department. The GAO report 

emphasizes the importance of such planning in shaping the future 

Federal workforce, as well as pitfalls in its implementation. We 

believe that the GAO has done an excellent job capturing DoD’s 

challenges in human capital strategic planning with this report.



We consider the portion of the report regarding the DoD Acquisition, 

Logistics & Technology (AT&L) workforce human capital strategic 

planning fair and equitable. It addresses both the progress that we 

have made and problems that we have encountered. We are continuing to 

refine and improve our human capital strategic planning process. As you 

point out, we are overcoming the initial barriers.



The report acknowledges that the DoD AT&L workforce is a complex and 

disparate group. It encompasses 13 different career fields, with 

personnel serving at DoD sites throughout the world. That complexity 

requires that we build a sophisticated plan covering a wider variety 

of positions, reporting arrangements, locations, and career patterns 

different than other Federal agencies.



We are progressing toward a process and product that will meet all 

DoD’s needs. The current process is becoming much more efficient and 

effective with each planning cycle. We have come a long way in a short 

time, and we are confident that we will achieve a mature process before 

the five year timeframe estimated in the report.



We appreciate the opportunity to comment on your report, and look 

forward to continued cooperation in our human capital challenge.



Sincerely;



Donna S. Richbourg:

Director, Acquisition Initiatives:

Signed by Donna S. Richbourg:



[End of section]



Appendix II: Comments from NASA:



National Aeronautics and Space Administration:



Office of the Administrator Washington, DC 20546-0001:



October 29, 2002:



Mr. David E. Cooper Director:



Acquisition and Sourcing Management United States General Accounting 

Office Washington, DC 20548:



Dear Mr. Cooper:



NASA has reviewed the draft GAO report “Acquisition Workforce: Status 

of Agency Efforts to Address Future Needs” (GAO-03-55) and thanks you 

for the opportunity to provide comments.



We were pleased the report included no recommendations for NASA. We 

were also pleased you recognized the fact we are taking steps to 

address our future acquisition workforce needs and that we are 

developing an overall workforce plan that will include:



the acquisition workforce. We have developed training and career 

development programs that are aimed at ensuring our acquisition 

workforce has the skills to accomplish the Agency mission.



If you have any questions or require additional information, please 

contact Tom Luedtke, Assistant Administrator for Procurement, at (202) 

358-2090.



Cordially,



Frederick D. Gregory: 

Deputy Administrator:

Signed by Frederick D. Gregory:



[End of section]



Appendix III: Comments from the Department of Health and Human 
Services:



NOV 8 2002:



Mr. David E. Cooper:



Director, Acquisition and Sourcing Management United States General:



Accounting Office Washington, D.C. 20545:



Dear Mr. Cooper:



The department has reviewed your draft report entitled, “Acquisition 

Workforce: Status of Agency Efforts to Address Future Needs,” and has 

no comments at this time.



The department provided several technical comments directly to your 

staff.



The department appreciates the opportunity to comment on this draft 

report before its publication.



Janet Rehnquist:

Inspector General:

Signed by Janet Rehnquist:



The Office of Inspector General (OIG) is transmitting the department’s 

response to this draft report in our capacity as the department’s 

designated focal point and coordinator for General Accounting Office 

reports. The OIG has not conducted an independent assessment of these 

comments and therefore expresses no opinion on them.



[End of section]



Appendix IV: Comments from the Department of Energy:





Department of Energy Washington, DC 20585 OCT 2 4 2002:



Ms. Hilary Sullivan, Assistant Director U.S. General Accounting Office 

Acquisition and Sourcing Management Central Region - Dallas Office:



1999 Bryan Street, Suite 2200 Dallas, TX 75201-6848:



Dear Ms. Sullivan:



Thank you for the opportunity to comment on the draft report entitled 

“Acquisition Workforce: Status of Agency Efforts to Address Future 

Needs” (GAO-03-55). We offer the following comments, all pertaining to 

page 16 of the document.



Under the section “Size and Role of Acquisition Workforce,” the first 

paragraph states that the Department of Energy (DOE) has an acquisition 

workforce of 464. In the second paragraph of that section, the 

composition of the DOE acquisition workforce is provided. A casual 

reader would likely assume that DOE’s entire acquisition workforce, 

including the functional areas identified in the second paragraph of 

the section, is 464. The number 464 includes only GS-1102s and GS-I 

105s, and other series with significant acquisition responsibilities 

assigned to procurement offices within DOE. DOE has not yet quantified 

the project/program management and property management workforce. The 

number of Contracting Officer Representatives is over ?00. The first 

sentence would therefore be more accurate if it stated that “DOE has 

about 14,100 Federal employees, with a contracting workforce of 464.” 

The second paragraph of the same section refers to “financial assistant 

specialists.” The word “assistant” should be changed to “assistance.”:



The section entitled “Status of Overall Workforce Strategic Plans” and 

“Status of Acquisition Workforce Strategic Plans,” does not appear to 

recognize the ongoing efforts to evaluate and adjust the plans. DOE 

continually evaluates the effectiveness of the programs. Just recently, 

changes in the curriculum of the management and leadership development 

programs were implemented to ensure a more cost effective and efficient 

approach.



In the section entitled “Efforts,” developmental assignments are 

identified as part of the management/leadership development program of 

the DOE “Masters” and Top XX Programs. Developmental assignments are 

also available as Acting Director of one of the five senior procurement 

offices within the Office of’Procurement and Assistance Management, in 

addition to the Director of the Office of Procurement and Assistance 

Management. The section would be more accurate if a second sentence 

were added, as follows: “A formal succession plan program, that offers 

developmental assignments as Acting Director of one of the five offices 

within the Office of Procurement and Assistance Management, is also 

part of the Acquisition Career Development Program.”



Finally, in the section entitled “Challenges,” management support for 

the workforce planning efforts has been instrumental in launching and 

maintaining the current program. Therefore, the phrase “the lack of 

management support for workforce planning efforts” should be deleted. 

Further, the phrase “the lack of resources to do workforce planning,” 

does not reflect the true challenges faced by the Department. The 

section would be more accurate if it were revised to read as follows: 

“Some of the challenges cited by DOE officials included the difficulty 

of forecasting the needs of the agency in an environment of shifting 

budgets and priorities, and the lack of funding and resources to 

implement developmental programs.”:



We hope these comments are useful and appreciate the opportunity to 

review the draft report. If you have any further questions, please feel 

free to contact Mrs. Cynthia Yee of my staff, at 202-586-1140.



Sincerely,



Robert M. Webb:

Acting Director Office of Procurement and Assistance Management:

Signed by Robert M. Webb:



cc:

Merley L. Lewis, ME-1.1:



[End of Section]



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OPM has a Web site dedicated to workforce planning (www.opm.gov/

workforceplanning), which contains information about what some federal 

agencies are doing with respect to workforce planning and provides 

contact information for each agency. OPM officials responsible for this 

site told us that they are in the process of constructing a “workforce 

planning best practices” section on the Web site. However, the Web site 

does not contain specific information on acquisition workforce issues.



FOOTNOTES



[1] For example, OPM’s Workforce Planning Model (http://www.opm.gov/

workforceplanning/wfpmodel.htm) and U.S. General Accounting Office, 

Exposure Draft: A Model of Strategic Human Capital Management, 

GAO-02-373SP (Washington, D.C.: March 2002).



[2] U.S. General Accounting Office, Acquisition Workforce: Department 

of Defense’s Plans to Address Workforce Size and Structure Challenges, 

GAO-02-630 (Washington, D.C.: Apr. 30, 2002). 



[3] DOD refers to its acquisition workforce as its acquisition, 

technology, and logistics workforce.



[4] DOD includes a wider variety of disciplines in its acquisition 

workforce, compared to most civilian agencies. See U.S. General 

Accounting Office, Acquisition Workforce: Agencies Need to Better 

Define and Track the Training of Their Employees, GAO-02-737 

(Washington D.C.: July 2002) for a discussion of this issue.



[5] Department of Defense, Report to the Committees on Armed Services 

of the Senate and House of Representatives: Implementation of the 

Acquisition Workforce 2005 Task Force Recommendations (Washington, 

D.C.: March 2002).



[6] Department of Defense, Acquisition 2005 Task Force Final Report, 

Shaping the Civilian Acquisition Workforce of the Future (Washington, 

D.C.: October 2000).



[7] DOD components refer to the military services (i.e., Air Force, 

Army, and Navy) and the defense agencies. Strategic plans were prepared 

by the Air Force, Army, and Navy and three defense agencies: the 

Defense Contract Audit Agency (DCAA), Defense Contract Management 

Agency (DCMA), and the Defense Logistics Agency (DLA).



[8] See U.S. General Accounting Office, Acquisition Workforce: 

Department of Defense’s Plans to Address Workforce Size and Structure 

Challenges, GAO-02-630 (Washington, D.C.: July 29, 2002), for a 

discussion of DOD’s Acquisition Workforce Personnel Demonstration 

Project.



[9] Department of Defense, Report to the Committees on Armed Services 

of the Senate and House of Representatives: Implementation of the 

Acquisition Workforce 2005 Task Force Recommendations (Washington, 

D.C.: March 2002).



[10] U.S. General Accounting Office. Human Capital: A Self-Assessment 

Checklist for Agency Leaders, GAO/OCG-00-14G (Washington, D.C.: 

September 2000).



[11] U.S. General Accounting Office, Exposure Draft: A Model of 

Strategic Human Capital Management, GAO-02-373SP (Washington, D.C.: 

March 2002).



[12] GAO-02-373SP.



[13]



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of the federal government for the American people. GAO examines the use 

of public funds; evaluates federal programs and policies; and provides 

analyses, recommendations, and other assistance to help Congress make 

informed oversight, policy, and funding decisions. GAO’s commitment to 

good government is reflected in its core values of accountability, 

integrity, and reliability.



Obtaining Copies of GAO Reports and Testimony:



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engine to help you locate documents using key words and phrases. You 

can print these documents in their entirety, including charts and other 

graphics.



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20548: