309United States Department of LaborManagement and Performance Challenges
cation staff on ways to reduce the number of overturns by CIS and improve the consis-tency of decisions made between CIS and DOL.
Financial and Performance Accountability
The Office of the Chief Financial Officer (OCFO) is pursuingan efficient and integrated approach that builds on government, industry, and projectmanagement best practices for acquiring a commercial off-the-shelf financial manage-ment package and the system integration expertise necessary for implementation. Thisapproach will use a performance-based acquisition strategy based on effective planningand requirements-gathering consistent with DOL information technology policy and sys-tem development life-cycle guidance. OCFO plans to manage the DOLAR$Replacement Project using critical components of earned-value management methods forprogram planning, reporting, and management. OCFO has also developed appropriateplanning documents, emphasizing different aspects of the effort, to ensure that the acqui-sition and implementation of a modern financial management system is cost-effective,efficient, and meets DOL business, technical, and compliance needs.
Managerial Cost Accounting.
The Department supports the use of managerial costaccounting (MCA) for results-oriented decision-making and measurement of programeconomy and effectiveness. Since March 2003, DOL has made significant progress in itsongoing initiative to enhance the Department’s managerial cost accounting capability.DOL seeks to enhance MCA through a program entitled Cost Analysis Manager (CAM),and to deliver value-added cost information throughout DOL to support program evalua-tion, decision-making, cost effectiveness in the delivery of programs, and attainment of strategic goals. To this end, OCFO formed a CAM Project Management Office anddeveloped a Plan of Action to complete CAM implementation by July 2004.DOL is currently implementing the roadmap defined in the Plan of Action, fully support-ed by senior executive management, to develop cost information that supports key busi-ness requirements of Agency Heads and senior management, operational needs of pro-gram managers, and financial reporting needs. Key progress to date includes:
Acceptance of Plan of Action by Agency Heads and the Deputy Secretary
Development and delivery of CAM training to 130 DOL finance and programmanagers
Commencement of MCA implementation for large major agencies, includingESA, ETA, MSHA, OSHA and EBSA
Identification and utilization of existing cost information and costing processes,including MCA pilots, information contained in the Department’s coreaccounting system, subsidiary ledgers, and the Statement of Net Cost
Definition of significant outputs (i.e., products and services) to define themajor programs of the five agencies listed above
Linking costs to these agencies’ programs and to the defined outputs
Quality Performance Data.
As OIG notes, ETA has launched a data validation initia-tive to ensure the accuracy of performance data and other program information collected