Most of the agencies required to appoint a CAO spend a substantial  amount of funding each year through contracts to acquire goods and  services in support of their missions, as shown below in table 1. However, very  few agency CAOs have acquisition management as their primary duty,  the third key requirement of the SARA legislation. The CAO noted that this structure gave him the  ability to integrate planning, budgeting, risk management, human  resources, as well as acquisition to achieve the agency’s mission. Generally,  CAOs saw their role as providing high-level oversight of the acquisition  function as opposed to day-to-day management, for which they typically  relied on the Senior Procurement Executive and other senior procurement  officials. Many CAOs told us that the amount of their involvement is  related to several factors, such as the nature of goods and services that  the agency buys and the extent the agency has a centralized or  decentralized acquisition function. Clearly defined roles and responsibilities for each stakeholder in the  acquisition process is a key element of an effective acquisition function,  as outlined in GAO’s framework for assessing the acquisition function  within federal agencies. CAOs Reported Few Significant Challenges and Generally Did Not Identify Changes Needed to Improve Their Effectiveness

CAOs at the 16 agencies generally did not report facing significant  challenges related to the CAO position, such as the level of influence they  have in their agency’s acquisition process, amount of control over  acquisition budget resources, and access to agency leadership. However,  most CAOs reported that not having enough staff to manage acquisitions  was moderately to extremely challenging. Not all agencies have these, however,  and may be missing an opportunity to ensure that the CAO position is  fully institutionalized within agencies’ acquisition management and senior  leadership structures. Recommendation for Executive Action

To strengthen the functions of CAOs in acquisition management, we  recommend that the Administrator of the Office of Federal Procurement  Policy, working with the CAO Council, issue guidance to agencies  directing them to ensure that CAO roles and responsibilities are more  clearly defined in accordance with law and regulations, tailored to suit the  agency’s acquisition activities, and documented as appropriate. Appendix I: Objectives, Scope, and Methodology

Our objectives were to assess: (1) how agencies have filled the Chief  Acquisition Officer (CAO) position; (2) the extent to which CAOs are  involved in performing the acquisition management functions set forth in  the Services Acquisition Reform Act of 2003 (SARA) legislation and  Office of Management and Budget (OMB) guidance, and (3) what  challenges, if any, agency CAOs report in fulfilling their responsibilities for  acquisition management. To provide additional information on CAOs’ characteristics, involvement in  acquisition management functions and challenges faced, as well as to  corroborate information provided in the questionnaire responses, we  collected and reviewed agencies’ organizational charts that showed the  CAO’s position relative to the head of the agency and other senior  officials; letters of delegation or other documents that formally designate  the appointment of the CAO, the CAO’s resume or curriculum vitae  describing their qualifications and experience related to the CAO position;  applicable policies, guidance, position descriptions or functional  statements for both the CAO and Senior Procurement Executive  positions; applicable policies or orders that delegate the CAO’s  responsibilities to other acquisition officials; agency acquisition function  assessments performed under OMB Circular A-123; Acquisition Human  Capital Plans or similar documents; agency strategic plans and  performance reports; agency-specific acquisition regulations and  acquisition manuals; and descriptions of acquisition metrics or  performance measures the agency tracks.
Why GAO Did This Study

Federal agencies spent more than half a trillion dollars in fiscal year 2011 through contracts to acquire goods and services in support of their missions, but have historically faced significant acquisition management challenges preventing them from getting the best return on their investments. The SARA legislation requires 16 federal civilian agencies to appoint a Chief Acquisition Officer to advise and assist agency leadership to help ensure that the agencys mission is achieved through the management of its acquisition activities. GAO was asked to examine: (1) how agencies have filled the CAO position; (2) the extent to which CAOs are involved in performing the acquisition management functions set forth in the SARA legislation and Office of Management and Budget (OMB) guidance; and (3) what challenges, if any, agency CAOs report in fulfilling their responsibilities. GAO administered a questionnaire to 16 CAOs, reviewed documentation on CAOs roles and responsibilities, organizational placement, and backgrounds, and interviewed a number of CAOs and other acquisition officials.

What GAO Found

Most agencies have appointed Chief Acquisition Officers (CAO) in accordancewith two of the three key requirements in the Services Acquisition Reform Act of2003 (SARA): that the CAOs be political appointees and have agency SeniorProcurement Executives report directly to them. However, few CAOs haveacquisition management as their primary duty; other areas of responsibilityincluded financial, information, and human capital management.
Several CAOs noted that their additional responsibilities were not a detriment. Rather, they believe that performing multiple roles helps them positively influence acquisition management across their agencies. For example, the CAO at the Department of Commerce stated that his additional responsibilities gave him the ability to integrate planning, budgeting, risk management, human resources, and acquisition to achieve the agencys mission.
CAOs reported varying levels of involvement in the acquisition management functions for which they are responsible. Generally, CAOs see their role as providing high-level oversight of the acquisition function as opposed to day-today management, which they typically delegated to the Senior Procurement Executive or other officials as permitted by the legislation. Many CAOs said that the amount of their involvement is related to several factors, such as the nature of goods and services that the agency buys and whether the agency has a centralized or decentralized acquisition function.
Having clearly defined roles and responsibilities of stakeholders in the acquisition process is a key element of an effective acquisition function. Yet at many agencies, the statutory roles and responsibilities of the CAO position are not described in detail in acquisition regulations, policies, or other documentation. These agencies may be missing an opportunity to fully institutionalize the CAO position within their senior leadership structures.
CAOs at the 16 agencies generally did not report facing significant challenges related to the CAO position, such as the level of influence they have in their agencys acquisition process, amount of control over acquisition budget resources, and access to agency leadership. Consistent with our prior work on the acquisition workforce, however, most CAOs reported that not having enough staff to manage acquisitions was moderately to extremely challenging.

What GAO Recommends

GAO recommends that the Administrator of OMBs Office of Federal Procurement Policy work with the CAO Council to issue guidance directing agencies to more clearly define CAOs roles and responsibilities. The Administrator agreed with the recommendation.