ID :
206955
Wed, 09/14/2011 - 06:08
Auther :
Shortlink :
https://oananews.org//node/206955
The shortlink copeid
Defense ministry expects to save costs with efficient management: official
SEOUL (Yonhap) - The defense ministry is expected to save costs over the next five years by adopting efficient management practices, a senior official said Wednesday.
In a press briefing, Lee Yong-gul, vice defense minister, said the ministry could shed up to 2.3 trillion won (US$2.1 billion) from defense budgets between now and 2015.
"We've been trying to eliminate any wasteful elements from our spending and to increase overall efficiency in defense management," Lee said. "Despite an increasing need for more defense spending, it's becoming more difficult to drive up defense budgets under this difficult economic environment. Through efficient management, we need to secure funding only for areas that are deemed absolutely necessary."
Lee said the ministry will adopt a business management strategy called "Lean Six Sigma," widely used in different industries to ensure efficiency by identifying and removing causes of problems and defects. Lee said this strategy will first apply to military equipment maintenance and later to military logistics, transportation and medical units.
The ministry plans to hire 37 retired technicians from the civilian sector to handle maintenance of armored vehicles, and Lee said this alone could save about 11.7 billion won annually.
In addition, the military will purchase more civilian products. Lee said civilian heavy equipment, such as trucks or trailers, are typically less expensive than military equipment. He also said the ministry will form a new committee to help determine quality standards for military products and ease some of the existing criteria to facilitate acquisition of civilian items.
Lee noted that the ministry has been operating a task force, including senior ministry officials and high-ranking officers, since September last year to monitor defense expenditure.
"Aside from saving costs, it's also important to establish a system that can help prevent wasting money," Lee said. "Military commanders should also take a mindset of business managers to run their units. We plan to offer officers more opportunities to learn more about civilian management techniques."
In a press briefing, Lee Yong-gul, vice defense minister, said the ministry could shed up to 2.3 trillion won (US$2.1 billion) from defense budgets between now and 2015.
"We've been trying to eliminate any wasteful elements from our spending and to increase overall efficiency in defense management," Lee said. "Despite an increasing need for more defense spending, it's becoming more difficult to drive up defense budgets under this difficult economic environment. Through efficient management, we need to secure funding only for areas that are deemed absolutely necessary."
Lee said the ministry will adopt a business management strategy called "Lean Six Sigma," widely used in different industries to ensure efficiency by identifying and removing causes of problems and defects. Lee said this strategy will first apply to military equipment maintenance and later to military logistics, transportation and medical units.
The ministry plans to hire 37 retired technicians from the civilian sector to handle maintenance of armored vehicles, and Lee said this alone could save about 11.7 billion won annually.
In addition, the military will purchase more civilian products. Lee said civilian heavy equipment, such as trucks or trailers, are typically less expensive than military equipment. He also said the ministry will form a new committee to help determine quality standards for military products and ease some of the existing criteria to facilitate acquisition of civilian items.
Lee noted that the ministry has been operating a task force, including senior ministry officials and high-ranking officers, since September last year to monitor defense expenditure.
"Aside from saving costs, it's also important to establish a system that can help prevent wasting money," Lee said. "Military commanders should also take a mindset of business managers to run their units. We plan to offer officers more opportunities to learn more about civilian management techniques."
