ALCOAST 619/08
COMDTNOTE 7000
SUBJ: ASST COMDT FOR RESOURCES/CHIEF FINANCIAL OFFICER VISION,
MISSION AND ENABLING OBJECTIVES FOR FINANCIAL MANAGEMENT
MODERNIZATION
A. FINANCIAL MANAGEMENT TRANSFORMATION TASK FORCE DECISION MEMO
7000 DTD 9 NOV 06 (NOTAL)
B. COMDT COGARD WASHINGTON DC 271900Z MAR 08/ALCOAST 151/08
C. COMDT COGARD WASH DC 151410Z FEB 08/ALCGFINANCE 006/08, SPRING
2008 DHS CFO MENTORSHIP PROGRAM CALL FOR APPLICATIONS
1. INTRODUCTION: SINCE ASSUMING DUTIES AS CG-8/CFO, I HAVE BEEN
IMPRESSED WITH THE DETERMINATION AND PROFESSIONALISM OF THE
FINANCIAL MANAGEMENT (FM) COMMUNITY. WHILE THE FM COMMUNITY
OVERSEES OUR FINANCIAL PROCESSES, FINANCIAL/RESOURCE MANAGEMENT IS
TRULY A SERVICE-WIDE ACTIVITY AND REQUIRES COLLABORATION AND
COORDINATION ACROSS THE ENTIRE COAST GUARD. THIS IS ESPECIALLY TRUE
AS WE MODERNIZE THE COAST GUARD AND FURTHER OUR EFFORTS TO IMPROVE
MISSION EXECUTION AND SUPPORT. WHILE WE HAVE MADE PROGRESS TO DATE,
IN FM THERE IS MUCH TO DO TO FULLY REALIZE OUR VISION OF BI-LEVEL
SUPPORT, STANDARDIZED BUSINESS PROCESSES, NEW
INFORMATION/MANAGEMENT SYSTEMS, STRONG INTERNAL CONTROLS AND A
CLEAN FINANCIAL AUDIT OPINION. FROM MY FIELD VISITS AND
INTERACTIONS WITH THE HIGHLY DEDICATED PROFESSIONALS ACROSS THE
COAST GUARD, I AM CONFIDENT THAT WE ARE UNDERWAY ON THE RIGHT
COURSE TO FM SUCCESS. THIS ALCOAST SETS FORTH THE VISION, MISSION,
AND FOCUS AREAS FOR THE ENTIRE FM COMMUNITY.
2. FM VISION: A WORLD-CLASS FINANCIAL MANAGEMENT ENTERPRISE THAT
ENHANCES PREMIER MISSION EXECUTION.
3. FM MISSION: THE CFO SERVES AS A TRUSTED STRATEGIST AND FINANCIAL
ADVISOR TO COMDT (CCG) AND SENIOR LEADERSHIP. THE CFO IS THE
SERVICE FM TECHNICAL AUTHORITY TO DIRECT FINANCIAL MANAGEMENT
ACTIVITIES, MODERNIZE FINANCIAL MANAGEMENT SYSTEMS AND STRENGTHEN
REPORTING THROUGH INTEGRATED BUSINESS PROCESSES AND SOLUTIONS.
4. COMMUNICATIONS: PROVIDE ROUTINE UPDATES ON FM WITH EMPHASIS ON
AUDIT READINESS, BUDGET DEVELOPMENT AND FUNDS EXECUTION. I WILL
WORK DILIGENTLY TO EXPAND COMMUNICATIONS THROUGHOUT THE FM
COMMUNITY. WITHIN THE NEXT 30 DAYS I WILL PROVIDE AN EXPLANATION OF
THE FY2008 ANNUAL FINANCIAL STATEMENT AUDIT RESULTS, INCLUDING
AREAS WHERE WE MADE IMPROVEMENT, AND PROMULGATE ENTERPRISE GUIDANCE
FOR FY2009 AUDIT READINESS EFFORTS.
5. MODERNIZING BUDGET FORMULATION AND EXECUTION: THE RESOURCE
PROPOSAL (RP) PROCESS IS A FUNDAMENTAL BUILDING BLOCK IN OUR ANNUAL
BUDGET DEVELOPMENT PROCESS. IT PROVIDES AN EFFICIENT AND EFFECTIVE
METHOD TO DOCUMENT, DESCRIBE, JUSTIFY AND PRIORITIZE RESOURCE
REQUIREMENTS NEEDED TO SUPPORT COAST GUARD MISSIONS. WE WILL WORK
TO ENHANCE THE RP PROCESS BASED UPON RISK AND PERFORMANCE OUTCOMES.
THIS WILL IMPROVE BALANCE, CONSISTENCY, AND ALIGNMENT AMONG MISSION
EXECUTION AND SUPPORT.
6. HARDENING THE CONTROL ENVIRONMENT: PREPARE ALL ASPECTS OF THE
COAST GUARD FM SYSTEM (PEOPLE, PROCESSES, PROCEDURES AND STRUCTURE)
TO ACHIEVE AN INDEPENDENT AUDIT OPINION. EARLIER THIS YEAR THE VICE
COMDT (VCG) CHARTERED THE AUDIT READINESS PLANNING TEAM (ARPT) TO
ANALYZE AUDIT RESULTS, ASSESS WEAKNESSES AND DEVELOP CORRECTIVE
ACTIONS. THAT TEAM, COMPRISED OF COAST GUARD, DHS AND EXTERNAL
SUBJECT MATTER EXPERTS, PRODUCED A ROBUST ACTION PLAN FOR AUDIT
READINESS. SUCCESS WITH OUR FINANCIAL STRATEGY FOR TRANSFORMATION
AND AUDIT READINESS (FSTAR) VERSION 2.0 WILL REQUIRE CONSIDERABLE
AND SUSTAINED EFFORT TO IMPROVE PROCESSES AND ENHANCE INTERNAL
CONTROLS. THESE REMEDIATION ACTIONS WILL BE CLOSELY TRACKED AND WE
WILL REGULARLY REPORT PROGRESS TO DHS, DHS IG, OMB AND CONGRESS.
7. FINANCIAL INFORMATION SYSTEMS: MAINTAIN AND PREPARE OUR NUMEROUS
FINANCIAL SYSTEMS AND THOSE SYSTEMS THAT INTERFACE WITH THE
FINANCIAL SYSTEMS FOR MIGRATION TO A FUTURE DHS FM SOLUTION. OUR
CURRENT SYSTEMS HAVE MANY UNRESOLVED AUDIT FINDINGS THAT IMPEDE OUR
ABILITY TO OBTAIN A CLEAN AUDIT OPINION. DHS IS MOVING TO A SYSTEM
THAT WILL BECOME THE FINANCIAL SYSTEM OF RECORD FOR ALL DHS
COMPONENTS. WE WILL MIGRATE OUR FM PROCESSES AND INFORMATION TO
THIS NEW SYSTEM ONCE IT IS AVAILABLE, AND WE MUST BEGIN TO PREPARE
FOR THE MIGRATION NOW.
8. MEMORIALIZING THE GOVERNANCE STRUCTURE: ALIGN FM FORM AND
FUNCTION TO BEST SUPPORT MISSION EXECUTION AND SUPPORT. REF A, THE
FINANCIAL MANAGEMENT TRANSFORMATION TASK FORCE (FMTTF), RESULTED IN
SEVERAL KEY DECISIONS THAT ARE SHAPING OUR FM ORGANIZATION AND
PROCESSES AS WE GO FORWARD. THE RESOURCE PLANNING AND INTEGRATION
TEAM (RPAIT) AND THE RESOURCE MANAGEMENT IMPLEMENTATION TEAM (RMIT)
REPORTS ALSO DEVELOPED SEVERAL RECOMMENDATIONS FOR RESOURCE
MANAGEMENT IN THE MODERNIZED COAST GUARD. IN SOME CASES THESE
PROPOSALS ARE FAR-REACHING AND INVOLVE IMPROVING STRUCTURE, ATU
MANAGEMENT, FUNDS FLOW, AND THE PLANNING, PROGRAMMING, BUDGETING,
AND EVALUATION (PPBE) PROCESS. THESE DOCUMENTS PROVIDE THE ANALYSIS
REQUIRED TO FRAME AND BUILD OUR MULTI-YEAR FM MODERNIZATION PLAN.
9. BUILDING ORGANIZATIONAL COMPETENCY AND CAPABILITY: DEVELOP AND
IMPLEMENT A COMPREHENSIVE HUMAN CAPITAL STRATEGY TO INCREASE OUR FM
CAPABILITY, CAPACITY AND COMPETENCY. SINCE THE COAST GUARD STARTED
UNDERGOING THE CFO AUDIT AS A COMPONENT OF DHS IN 2003, THE
AUDITORS HAVE CONSISTENTLY CITED A LACK OF PROPER FM COMPETENCIES
AS AN IMPEDIMENT TO BOTH AUDIT SUCCESS AND INTERNAL CONTROL. WE ARE
DEVELOPING SHORT AND LONG-TERM INTERVENTIONS TO IMPROVE EXPERIENCE
AND COMPETENCY AMONG OUR MILITARY AND CIVILIAN WORKFORCES. REFS B
AND C ADDRESS SEVERAL OF THESE PROGRAMS.
10. CONCLUSION: I AM EXCITED ABOUT OUR FUTURE AND COMMITTED TO
KEEPING YOU INFORMED AS WE MOVE FORWARD. YOUR INVOLVEMENT IS
ESSENTIAL TO MODERNIZING FINANCIAL MANAGEMENT SYSTEMS, STRUCTURES
AND PROCESSES. WE MUST ALL REMAIN DEDICATED TO THE TASK IN FRONT OF
US - ONLY BY WORKING TOGETHER, WILL WE ACHIEVE OUR OBJECTIVES AND
ENHANCE MISSION EXECUTION AND SUPPORT.
11. RDML K. A. TAYLOR, ASSISTANT COMMANDANT FOR RESOURCES AND CHIEF
FINANCIAL OFFICER SENDS.
12. INTERNET RELEASE AUTHORIZED.