Past Performance Provides Valuable Lessons for Future Investments

e Navy set a goal in 2007 for a fleet of 330 ships. Since then, the Navy has:

fallen 50 ships short,

gone $11 billion over budget,

experienced many years of schedule delays,

delivered ships with less capability and lower quality than expected.

These poor outcomes persist because policy and processes enable the Navy to deviate from shipbuilding best practices.

The Navy is planning its biggest fleet size increase in over 30 years. This creates an opportunity for the Navy to improve how it buys ships, adopt a more disciplined approach, and avoid past difficulties.

This report summarizes GAO’s body of work on Navy shipbuilding.