Audit of FLITE Program Management’s Implementation of Lessons Learned

The Office of Inspector General conducted an audit to determine whether VA was effectively managing the development of the Financial and Logistics Integrated Technology Enterprise (FLITE) program. FLITE program managers have not fully incorporated Core Financial and Logistics System (CoreFLS) lessons learned into the development of FLITE: program managers need to take additional steps to improve program oversight. As a result, issues similar to those found during the implementation of CoreFLS have already occurred within the FLITE program. Critical FLITE program functions were not fully staffed, non-FLITE expenditures were funded through the FLITE program, and contract awards did not comply with competition requirements. This occurred because FLITE program managers have not implemented management controls needed to ensure that effective and efficient monitoring of the lessons learned takes place. They also were not taking actions to ensure that the lessons learned were completed or adequately resolved problems. Without management’s attention to address the issues identified, the program faces an increased likelihood that mistakes made during CoreFLS will reoccur and prevent the successful implementation of FLITE. The Assistant Secretaries for Information and Technology and Management; and the Executive Director, Office of Acquisition, Logistics, and Construction agreed with our findings and 11 recommendations and provided acceptable implementation plans. The Assistant Secretaries and Executive Director have already implemented 7 of our 11 recommendations. Implementing these recommendations is expected to improve FLITE program managers’ oversight of the FLITE program, which in turn is expected to increase the probability of FLITE’s success. The planned actions for the remaining four recommendations are acceptable. Accordingly, we consider all planned actions acceptable, and we will follow up on their implementation until all proposed actions have been completed.