DLA modernization still has a few mountains to cross, Falvey says

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Transformation in the Defense Logistics Agency has been fraught with challenges. DLA's David Falvey describes it as similar to scaling a mountain range that has a million landmines.

Transformation in the Defense Logistics Agency has been fraught with challenges. DLA's David Falvey describes it as similar to scaling a mountain range that has a million landmines.

At the center of DLA's transformation is the $500 million Business Systems Modernization program to replace two 1960s-era Cobol mainframe systems. Falvey, DLA's program executive officer, said the antiquated systems kept the agency from complying the Defense Department's Joint Vision 2020, which requires DOD agencies to use the Web to handle transactions.

DLA expects to finish the modernization in 2006, about four months later than originally anticipated. The new system will support 4,500 users who manage 4.6 million product lines, Falvey said today during a speech at an e-government program management conference in Washington.

Falvey said DLA established a Modernization Executive Board for senior level officials to meet every two weeks to discuss the progress of the effort and to approve commercial technologies.

The system is expected to cut costs, eliminate mistakes and reduce the time it takes to fill orders.

Falvey said DLA has accumulated a long list of lessons learned since 1998 when the modernization program first began.

'One of the most common reasons programs fail is lack of program leadership,' he said. 'Organizations tend to rally behind programs when the leadership rallies behind programs.'

In August 2000, DLA awarded the five-year systems integration contract for the project to Accenture LLP of Chicago. DLA is using enterprise resource planning software from SAP America Inc. of Newtown Square, Pa., advanced planning and scheduling software from Manugistics Group Inc. of Rockville, Md., and Procurement Desktop Defense applications from American Management Systems Inc. of Fairfax, Va.

NEXT STORY: OMB personnel changes: Chenok out, Anderson moving up

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