Summary

If the Veterans Benefits Administration is to reduce operating costs and improve critical service to nearly 27 million veterans and their dependents, it needs to streamline its business processes and take more advantage of information technology. However, VBA is experiencing many of the classic management and technical problems that have prevented federal agencies from reaping the benefits of substantial investment in information technology. This testimony discusses the steps VBA needs to take in the following three areas to improve its chances for success: (1) creating a credible business strategy and supporting an information resources management plan; (2) developing a better investment strategy for choosing and managing its portfolio of information technology projects in a more disciplined, businesslike way; and (3) strengthening its technical ability to develop software applications that are critical to its efforts to control costs and improve service to veterans.