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 <subject>Civilian employees</subject>
 <subject>Federal employees</subject>
 <subject>Personnel management</subject>
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 <subject>Human resources utilization</subject>
 <subject>DOD National Security Personnel System</subject>
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 <title>Human Capital: DOD&apos;s Civilian Personnel Strategic Management and the Proposed National Security Personnel System</title>
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<abstract>People are at the heart of an organization&apos;s ability to perform
its mission. Yet, a key challenge for the Department of Defense  
(DOD), as for many federal agencies, is to strategically manage  
its human capital. With about 700,000 civilian employees on its  
payroll, DOD is the second largest federal employer of civilians 
in the nation. Although downsized 38 percent between fiscal years
1989 and 2002, this workforce has taken on greater roles as a	 
result of DOD&apos;s restructuring and transformation. DOD&apos;s proposed 
National Security Personnel System (NSPS) would provide for	 
wide-ranging changes in DOD&apos;s civilian personnel pay and	 
performance management, collective bargaining, rightsizing, and  
other human capital areas. The NSPS would enable DOD to develop  
and implement a consistent DOD-wide civilian personnel system.	 
Given the massive size of DOD, the proposal has important	 
precedent-setting implications for federal human capital	 
management and OPM. This testimony provides GAO&apos;s preliminary	 
observations on aspects of DOD&apos;s proposal to make changes to its 
civilian personnel system and discusses the implications of such 
changes for government-wide human capital reform. Past reports	 
have contained GAO&apos;s views on what remains to be done to bring	 
about lasting solutions for DOD to strategically manage its human
capital. DOD has not always concurred with our recommendations.</abstract>
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<identifier type="preferred citation">GAO-03-493T</identifier>
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<note>Testimony</note>
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 <topic>Civilian employees</topic>
 <topic>Federal employees</topic>
 <topic>Personnel management</topic>
 <topic>Strategic planning</topic>
 <topic>Human resources utilization</topic>
 <topic>DOD National Security Personnel System</topic>
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  <title>United States Public Law 296 (107th Congress)</title>
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