DODIG-2023-123 - Recommendation D-2023-0123-D000AX-0001-0001.f

Rec. 1.f: The DoD OIG recommended that the Under Secretary of Defense for Acquisition and Sustainment require the Services, in coordination with the Defense Logistics Agency, to conduct an in-depth review of their respective spare parts forecasting process for Defense Logistics Agency-managed items. The review should also determine how the Services can improve the process and establish a plan of action with milestones with specific areas for improvement to include requiring the Services to coordinate with the Under Secretary of Defense for Acquisition and Sustainment and the Defense Logistics Agency to determine whether their spare parts forecasts add value to the Defense Logistics Agency's demand planning and purchase decisions and whether corrective actions are improving accuracy rates. The Services and the Defense Logistics Agency should consider removal of specific items from collaboration if the forecast accuracy rate cannot be improved or while forecast accuracy improvement plans are being implemented. The Services should justify keeping items with continuously low accuracy rates in the collaboration category and maintain a supporting audit trail.