ANALYSIS OF TEST RESULTS

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Presentation transcript:

ANALYSIS OF TEST RESULTS THE FORSCOM IR TEST ANALYSIS OF TEST RESULTS REVISED BY OASA(FM&C) AS OF 22 JUNE 1996

Comparable Man-Years (CMY) Internal Command Review Audit (CA) Total Avail Man-Days 3,120 2,246 Less Liaison Man-Days - 250 -32 Comparable Man-Days 2,870 2,214 Divided by Days per YR 260 260 =Comparable Man-Years 11.04 8.52

FACTOR #1: INPUTS (COST) TEST RESULTS: FACTOR #1: INPUTS (COST) TOTAL COST OF OPERATIONS INTERNAL REVIEW $826.4K COMMAND AUDIT $687.8K TOTAL MAN-DAYS PURCHASED INTERNAL REVIEW 4,193 COMMAND AUDIT 2,934 COST PER MAN-DAY (MD) INTERNAL REVIEW $197. 09 COMMAND AUDIT $234.45 COST PER MAN-YEARS (MY) INTERNAL REVIEW $51.2K COMMAND AUDIT $61.0 COST PER MAN-YEAR $61.0K $51.2K NOTE: AVAILABLE MAN-DAYS AND CORRESPONDING COSTS WERE EXTRACTED FROM “INVESTMENT/INPUT” DATA SHEETS COVERING THE PERIOD 1 AUG 95 - 31 MAR 96

FACTOR #2: OUTPUT (PRODUCTIVITY) TOTAL AUDIT ENGAGEMENTS PER CMY: TEST RESULTS: FACTOR #2: OUTPUT (PRODUCTIVITY) TOTAL AUDIT ENGAGEMENTS PER CMY: TOTAL AUDIT ENGAGEMENTS COMPLETED INTERNAL REVIEW 88 COMMAND AUDIT 52 TOTAL CMY INTERNAL REVIEW 11.04 COMMAND AUDIT 8.52 TOT ENGAGEMENTS PER CMY INTERNAL REVIEW 7.97 COMMAND AUDIT 6.10 7.97 6.10 SOURCE: PRODUCTIVITY OUTPUT DATA SHEETS FOR THE PERIOD 10/01/95 - 03/31/96.

FACTOR #2: OUTPUT (PRODUCTIVITY) TEST RESULTS: FACTOR #2: OUTPUT (PRODUCTIVITY) TOTAL AUDIT ENGAGEMENTS: A CLOSER LOOK FORMAL AUDITS PER CMY: CONSULTING PROJECTS PER CMY: FOLLOWUP AUDITS PER CMY: IR 2.99 CA 1.41 IR 4.44 CA 1.41 IR .54 CA 1.41

MONETARY BENEFITS IDENTIFIED PER CMY: TEST RESULTS: OUTPUT MONETARY BENEFITS IDENTIFIED PER CMY: TOTAL MONETARY BENEFITS INTERNAL REVIEW $23.5M COMMAND AUDIT $11.9M TOTAL CMY INTERNAL REVIEW 11.04 COMMAND AUDIT 8.52 MONETARY BENEFITS PER CMY INTERNAL REVIEW $2.13M COMMAND AUDIT $1.40M $2.13M $1.40M DOLLARS SAVED (MILLIONS) $.46M SOURCE: PRODUCTIVITY OUTPUT DATA SHEETS FOR THE PERIOD 10/01/95 - 03/31/96.

ESTIMATED RETURN ON INVESTMENT: TEST RESULTS: OUTPUT ESTIMATED RETURN ON INVESTMENT: TOTAL MONETARY BENEFITS INTERNAL REVIEW $23.5M COMMAND AUDIT $11.9M ESTIMATED 6-MONTH OPERATING COSTS INTERNAL REVIEW $615K COMMAND AUDIT $526K ROI = BENEFITS / COSTS INTERNAL REVIEW 38.2 TO 1 COMMAND AUDIT 22.6 TO 1 38.2 TO 1 22.6 TO 1 ESTIMATED 6-MONTH OPERATING COSTS = COST PER M/D FROM 8 MONTH DATA * AVAILABLE MANDAYS DURING 6-MONTH TEST PERIOD.