We have identified inventory management as a high-risk area since 1990. As such, the Navy has efforts under way to better define its aviation spare parts requirements. The aviation systems that we reviewed are vital to the Navy’s achievement of its missions but have had significant parts shortages problems. Parts Shortages Adversely Affect Navy Operations, Maintenance, and Military Personnel

The shortages of spare parts for the two aircraft systems reviewed not only have affected readiness but also have created inefficiencies in maintenance processes and procedures and have adversely affected the retention of military personnel. Multiple Reasons for Parts Shortages

The primary reasons for shortages of the 50 spare parts for the EA-6B and F-14 aircraft that we reviewed were (1) greater demands than anticipated for the parts, (2) delays in awarding contracts for the purchase and repair of parts, (3) contractors’ delivery delays, (4) delays in repairs at military facilities, and (5) other problems. III for a more detailed list of the reasons for the parts shortages discussed in this report.) 11) resulted in spare parts shortages. Overall Initiatives Exist to Address Problems

The Navy and the Defense Logistics Agency have initiatives under way or planned that may improve the availability of parts, including the use of best commercial inventory practices. The initiatives are intended to improve the efficiency and effectiveness of the logistics system and generally address the specific reasons for the shortages identified by our review. To identify initiatives that the Navy and the Defense Logistics Agency have under way or planned to address spare parts shortages for all aircraft, we interviewed Navy and Marine Corps headquarters officials and examined relevant documentation.
Why GAO Did This Study

The military's ability to carry out its mission depends on having adequate supplies of spare parts on hand for equipment maintenance. Shortages are a key indicator of whether the billions of dollars spent on these parts each year are used effectively, efficiently, and economically. The Navy has acknowledged in recent years that its aviation systems have significant readiness and supply problems. Since 1990, GAO has included Defense Department (DOD) inventory management, including spare parts, on its list of government functions at high risk for waste, fraud, abuse, and mismanagement. This report reviews (1) the impact of shortages of spare parts for two selected aircraft--the EA-6B Prowler and F-14 Tomcat, (2) the reasons for the shortages, and (3) the initiatives that the Navy and the Defense Logistics Agency have in place or planned to address overall spare part shortage issues.

What GAO Found

GAO found that spare parts shortages for the two aircraft have harmed Navy's readiness and the economy and efficiency of maintenance activities. Spare parts shortages have contributed to problems retaining military personnel. Navy managers attributed the spare parts shortages to the fact that more parts were required than the Navy originally anticipated and that problems arose in identifying, quantifying, or contracting with a private company to produce or repair the parts. The Navy and the Defense Logistics Agency have many logistics initiatives planned or under way to improve the logistic system and alleviate shortages of spare parts. The initiatives include best commercial inventory practices and generally address the causes GAO identified regarding spare parts shortages.