Source · Select Committees · Public Accounts Committee
Recommendation 32
32
Departmental reform efforts have made limited progress.
Conclusion
Departmental reform efforts have made limited progress. We note the NAO’s finding that the current Defence Transformation Programme, of which a key element is to change both processes and culture within the Department, is already behind schedule. A July 2021 internal review of the programme found that improvements were needed on nine of its 12 projects, as well as its overall governance and coherence.66 The resistance to change can be seen directly in the way the Plan is managed, where only approximately half of the NAO’s recommendations made since 2015 have been implemented.67
Government Response
Not Addressed
HM Government
Not Addressed
6.1 The government agrees with the Committee’s recommendation. Target implementation date: Autumn 2022 6.2 The department monitors progress of National Audit Office’s (NAO’s) Value for Money recommendations including Equipment Plan report recommendations. The status of the recommendations is reviewed annually. A summary of progress made on NAO and PAC recommendations is provided to the department’s Audit Assurance and Risk Committee (DARAC) on a quarterly basis. The department provided an update on the Equipment Plan PAC recommendations through refreshed Treasury Minutes published on 9 June 2022. One recommendation remains in progress under the Defence Equipment Plan 2020. 6.3 The department’s Acquisition Reform agenda includes work to promote critical acquisition behaviours and culture. This includes a ‘one team’ approach encouraging greater transparency on performance across organisational boundaries; applying judgement to tailor approaches based on ‘appropriate risk’ in support of timely evidence-based decisions; and embedding a ‘learning culture’. 6.4 Significant progress has been made in the use of management information, with data dashboards providing a single version of the truth being shared widely. 6.5 The department is forging closer links with industry through the Supplier Partnering Programme, to improve schedule alignment, risk and dependency management and management information sharing. 6.6 Further detail of progress with the recommendations and how this translates to changes to the plan will be provided as requested in the Autumn.