We also analyzed laws mandating aspects of SBA’s current organization. SBA Staff Identified Organizational Problems

Senior SBA officials in headquarters and the field identified aspects of the current organizational alignment that contribute to the challenges faced by SBA management, including cumbersome communication links between headquarters and field units; confusion over the mission of district offices; complex, overlapping organizational relationships; and a field structure not consistently matched with mission requirements. SBA managers would need to obtain extensive input from internal and external stakeholders first to identify (1) how well the current structure is aligned with the agency’s mission and strategic plan and establishes clear lines of authority and accountability, (2) how well the current structure facilitates communication with both internal and external customers, (3) how well the number and location of offices facilitates the agency meeting its mission as efficiently and effectively as possible, and (4) the extent of buy-in for the current structure from internal and external customers. Without this acceptance, restructuring is impeded. For example, we reported in 2000 that employee resistance to organizational changes was hampering restructuring efforts at the Department of Agriculture. Observations

SBA’s current organizational alignment has some weaknesses that contribute to challenges in delivering services to the small business community. 1780 (1978) Small Business Administration Authorizations, P.L.
Why GAO Did This Study

GAO's recent performance and accountability series report on the Small Business Administration (SBA) described major management challenges and program risks to efficient delivery of services. However, that report did not discuss how well SBA's organization was aligned to achieve its mission.

What GAO Found

GAO found that SBA's current structure contributes to the challenges SBA faces in delivering services to the small business community. In particular, ineffective lines of communication; confusion over the mission of district offices; complicated, overlapping organizational relationships; and a field structure not consistently matched with mission requirements combine to impede the effective deliver of services. Restructuring efforts by other federal agencies may prove instructive in addressing the problems with SBA's current structure. Efforts at other agencies also demonstrate the need for buy-in from both internal and external stakeholders and the importance of agency efforts to consider the human impact of restructuring activities, including the closure of field offices.