Defence Procurement Agency (Hansard, 26 April 2001)

§ Mr. Hoon

Five key targets have been set for the Chief Executive of the Defence Procurement Agency for the financial year 2001–02.

The first key targets apply to projects covered by the Major Projects Report which have passed their main gate approval. Key targets 2 and 3 are consistent with targets set in the Department's 1999–2002 Public Service Agreement (PSA), adapted to cover cumulative performance. The fourth key target relates to improvement in DPA customer satisfaction and the fifth to a reduction in the cost of running the agency. Key target 5 exceeds the target featured in the PSA. The key targets are: Key target 1: Key requirements compliance Predicted achievement of customers' key requirements for projects¹: 97 per cent. Key target 2: Average cumulative In-Service Date slippage Average cumulative slippage of In-Service Dates² at 31 March 2002 not to exceed 11.4 months. Key target 3: Average cumulative cost growth Average cumulative cost variation³ at 31 March 2002 not to exceed 2.5 per cent. Key target 4: Customer Survey Satisfaction rating Customer Satisfaction Rating 70 per cent. Key target 5: Agency Running Costs While continuing to meet the demands of the procurement programme, reduce the operating costs of the DPA in relation to the 1997–98 costs of the Procurement Executive by 22 per cent. ¹ Key requirements for projects in the MPR have been established that define the essential characteristics of the equipment. ² Variation between in service date (ISD) approved at Main Gate (the major investment decision point) and currently predicted ISD. ³ Variation between cost approved at Main Gate and current estimate.