REPORT OF AUDIT OF SUPPLY DIVISION 1 JUNE 1962 - 30 JUNE 1963

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-04608A000100010015-7
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 2
• Document Creation Date: December 12, 2016
• Document Release Date: January 8, 2002
• Sequence Number: 15
• Publication Date: October 21, 1963
• Content Type: MF

DD/S 63-4378
Approved For Release 2002/ RDP78-04608A00010W5-e
MEMORANDUM FOR: Director of Logistics
SUBJECT : Report of Audit of Supply Division
1 June 1962 - 30 June 1963
2 1 O CT 1963
1, I have read the Report of Audit of the Supply Division with some care
and I am concerned about the number of points of general exception which
have been noted. In particular, however, I am disturbed about the several
detail comments which appear to me to constitute a serious condemnation of
your computer applications.
2. I realize that the Supply Division was among the first customers for
the RCA-501 computer and that your early efforts were experimental to a
degree. I am also aware that some of the present problems exist because
the records were converted directly from the former electric accounting
machine methods to computer usage without what is generally considered to
be an adequate preliminary systems study. These points have been made in
previous Audit Reports as well as in the report prepared by the consultants
who reviewed the utilization of the RCA-501 computer nearly two years ago.
I am distressed, however, that we have not made more progress toward
correcting the noted deficiencies.
3. Referring particularly to paragraph 11 of the attached Audit Report,
I note that the task force, composed of representatives of the Supply Division,
the Office of the Comptroller, and the Automatic Data Processing Staff
(Office of Computer Services), which was formed more than a year ago, has
made little progress toward accomplishing the necessary systems analysis.
Perhaps this typifies one of the most common problems of the task force
approach which is that responsibility and control tend to be dispersed among
members of the group, particularly when they each represent a different
component of the organization. Nevertheless, the supply system of the
Agency is a function of the Office of Logistics, and the Director of Logistics
is directly responsible for its success .or failure regardless of what
management tools and equipment are used to make the system function.
I look to you, therefore, for the correction of the deficiencies noted in this
Audit Report and for the accomplishment of the systems analysis necessary
to make your use of the computer effective.
Approved For Release 2002/01
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4. Separate from your response to the Audit Report, I would like to
have, no later than 1 November 1963, your assessment of the current
situation and specific recommendations for the action you propose to take
or believe should be taken in order to complete an adequate systems study
and correct the present deficiencies.
ite
Deputy Director
(Support)
Attachment:
Subject Report of Audit
SECRET
Approved For Release 2002/01/31 : CIA-RDP78-04608A000100010015-7