Department of Defence Annual Report 2008-2009

| Department of Defence |
The performance of the DOD’s logistics has been
hampered by a number of challenges such as a
backlog on policy review, update and development.
Resulting non-compliance with the regulatory
framework, exacerbated by weak internal controls
and the lack of qualied and competent personnel,
is a matter of concern. This is now being addressed
as a matter of priority as is evident in the mediumterm
business plan, and partly with outsourced
assistance.
Currently the DOD has only achieved 63.5%
serviceable materiel, which has led to a loss in
revenue. This was caused by a lack of accountability
and maintenance focus and discipline, limited
technical support due to the scarcity of artisans, the
diversity of deployed equipment and the resultant
required high skills level, and difculty in optimising
spares supply due to the limited management
information provided by accounting systems.
Progress was made in the nalisation of the two
outstanding land claims. In the case of the Madimbo
Corridor, the Regional Land Claims Commission
Limpopo Province needs to ensure that the land
that would be utilised by the DOD is surveyed. The
National Department of Public Works (NDPW)
is to compile a lease agreement to be signed by
NDPW, as representative of the State, as well as the
claimants. The DOD started the process to clear the
land, to be restored to the claimants, of unexploded
ordnance. In the Hell’s Gate Military Area, the
presence of unexploded ordnance on the land to
be restored delayed the nalisation of the claim.
However, the DOD has started the process to clear
the land of the unexploded ordnance.
Furthermore, the NDPW implemented major
process changes that resulted in delays and failures in
capital and maintenance programmes. The strategic
impact of non-repair and maintenance resulted
in further dilapidation of facilities that negatively
affected the principle of Batho Pele, that the DOD
will render a service to all members of the country.
The specic changes in procurement requirements
had to be adjusted to mitigate the negative inuence
of repair and maintenance of the DOD facilities.
However, a forum has been established at strategic
level between the DOD and NDPW, to ensure
better service delivery and liaison between the two
departments. A phased approach to create own
maintenance of facilities capability and migrate away
from reliance on NDPW (to improve effectiveness,
efciency, accountability, control and cash-ow) was
accepted by the DOD.
The continued lack of a single, optimised integrated
logistics management information system remains
a key risk. The DOD was forced to consider
possible enhancements to OSIS and CALMIS until
the implementation of the National Treasury’s
Integrated Financial Management System, and the
department’s Integrated Resource Management
System. Reporting the movement in tangible assets
was compromised by deciencies in the DOD’s
computerised asset register. The moratorium on
development and enhancement of the DOD’s
logistics systems was initiated so that the changes
to accounting requirements can be addressed, and
thereby preventing qualied audit reports.
Notwithstanding the complexity of logistics
challenges that have been recorded, the Logistics
Division has succeeded in providing most required
services to the accomplishment of force preparation
and employment objectives.
Purpose of the Programme
The General Support Programme provides general
support capabilities and services to the Department.
(Joint Logistics Services is a Subprogramme of the
General Support Programme).
Measurable Objectives
The Joint Logistics Services Subprogramme
contributes to the General Support Programme
purpose by:
• ensuring a 90% serviceability of deployed
equipment through a joint logistics operational
support group (this means that at least 90% of
equipment deployed is operational at all times);
and
• repairing and maintaining the Department’s
facilities over the next three years to a projected
total of 32 projects (12 in FY 2008/09, 10 in FY
2009/10 and 10 in FY 2010/11).
Output Detail
Table 9.1 below provides detail on General Support
Programme output, performance measures and
targets specied in the DOD’s Strategic Business
Plan FY 2008/09.
| Programme 7: General Support |
127 Annual Report FY 2008 - 2009