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

2. Comparable Man-Years (CMY)
Internal Command
Review Audit (CA)
Total Avail Man-Days 3, ,246
Less Liaison Man-Days
Comparable Man-Days 2, ,214
Divided by Days per YR
=Comparable Man-Years

3. 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 $
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 MAR 96

4. 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/ /31/96.

5. 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

6. 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/ /31/96.

7. 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 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.