In their fiscal year 2011 submissions, agencies reported the greatest  number of IT investments in Information and Technology Management  (1,536 investments), followed by Supply Chain Management (777  investments), and Human Resource Management (622 investments). GAO Has Previously Reported on Potential Duplication and the Challenges of Identifying Duplicative Investments

During the past several years, we have issued multiple reports and  testimonies and made numerous recommendations to OMB and federal  agencies to identify and reduce duplication within the federal  government’s portfolio of IT investments. In March 2011, we reported an overview of federal programs and  functional areas where unnecessary duplication, overlap, or  fragmentation existed. Selected Agencies Have Potentially Duplicative Investments; DOD and DOE Need to Do More to Address Them

Although the Departments of Defense, Energy, and Homeland Security  utilize various processes to prevent and reduce investment in duplicative  programs and systems, potentially duplicative IT investments exist. Further complicating agencies’ ability to identify and address duplicative  investments is miscategorization of investments within agencies. Each of  the agencies has recently initiated plans to address many of these  investments. DHS’s efforts have resulted in the identification and  elimination of duplication, but DOD’s and DOE’s initiatives have not yet  led to the elimination or consolidation of duplicative investments or  functionality. Until DOD and DOE demonstrate progress on their efforts to  identify and eliminate duplicative investments, and correctly categorize  investments, it will remain unclear whether they are avoiding investment  in unnecessary systems. Potentially Duplicative IT Investments Exist at Selected Agencies

Each of the agencies we reviewed has IT investment management  processes in place that are, in part, intended to prevent, identify, and  eliminate unnecessary duplicative investments. Even with such investment review processes, of the 810 investments we  reviewed, we identified 37 potentially duplicative investments at DOD  and DOE within three FEA categories (Human Resource Management,  Information and Technology Management, and Supply Chain  Management). Specifically, we identified
31 potentially duplicative investments totaling approximately $1.2  billion at DOD, and
6 potentially duplicative investments totaling approximately $8 million  at DOE. We did not identify any potentially duplicative investments at DHS within  our sample; however, DHS has independently identified several  duplicative investments and systems. Specifically, DHS officials have  identified and, more importantly, reduced duplicative functionality in four  investments by consolidating or eliminating certain systems within each of  these investments, including a personnel security investment, time and  attendance investment, human resources investment, and an information  network investment. DHS officials have also identified 38 additional  systems that they have determined to be duplicative. Similarly, DOE has plans under way to address each of the 6 investments  we identified as potentially duplicative.
Why GAO Did This Study

This testimony discusses the potentially duplicative information technology (IT) investments at selected agencies and actions these agencies are taking to address them. With at least $79 billion spent in fiscal year 2011 by the United States government on IT investments, it is important that federal agencies avoid investing in duplicative investments, whenever possible, to ensure the most efficient use of resources.
Last year, we issued a comprehensive report that identified federal programs or functional areas where unnecessary duplication, overlap, or fragmentation exists; the actions needed to address such conditions; and the potential financial and other benefits of doing so. More recently, we reported on the Office of Management and Budgets (OMB) and federal agencies oversight of IT investments and the initiatives under way to address potentially duplicative IT investments. Specifically, we recently reported that there are hundreds of IT investments providing similar functions across the federal government. For example, agencies reported about 1,500 investments that perform general information and technology functions, about 775 supply chain management investments, and about 620 human resource management investments.
Congress asked us to testify on our report being released today that describes the extent to which potentially duplicative IT investments exist within these three categories, including the actions agencies are taking to address them. In this regard, this testimony specifically covers potentially duplicative investments we identified at three of the largest agencies with respect to number of investmentsthe Departments of Defense (DOD), Energy (DOE), and Homeland Security (DHS).

What GAO Found

Although the Departments of Defense, Energy, and Homeland Security utilize various processes to prevent and reduce investment in duplicative programs and systems, potentially duplicative IT investments exist. Further complicating agencies ability to identify and address duplicative investments is miscategorization of investments within agencies. Each of the agencies has recently initiated plans to address many of these investments. DHSs efforts have resulted in the identification and elimination of duplication, but DODs and DOEs initiatives have not yet led to the elimination or consolidation of duplicative investments or functionality. Until DOD and DOE demonstrate progress on their efforts to identify and eliminate duplicative investments, and correctly categorize investments, it will remain unclear whether they are avoiding investment in unnecessary systems. Each of the agencies we reviewed has IT investment management processes in place that are, in part, intended to prevent, identify, and eliminate unnecessary duplicative investments. Even with such investment review processes, of the 810 investments we reviewed,we identified 37 potentially duplicative investments at DOD and DOE within three FEA categories (Human Resource Management, Information and Technology Management, and Supply Chain Management).
31 potentially duplicative investments totaling approximately $1.2 billion at DOD, and
6 potentially duplicative investments totaling approximately $8 million at DOE.
We did not identify any potentially duplicative investments at DHS within our sample; however, DHS has independently identified several duplicative investments and systems. Specifically, DHS officials have identified and, more importantly, reduced duplicative functionality in four investments by consolidating or eliminating certain systems within each of these investments, including a personnel security investment, time and attendance investment, human resources investment, and an information network investment. DHS officials have also identified 38 additional systems that they have determined to be duplicative.