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• The US military faces significant challenges in 2025, impacting its readiness and performance.
• Key issues include increasing military readiness, protecting defense critical infrastructure, and improving financial management.
• These challenges are outlined in the Department of Defense Office of Inspector General’s (DoD OIG) latest report.

Quick Brief

2-Minute Digest

Essential Context

The Department of Defense (DoD) is grappling with several critical challenges that could significantly impact its management and performance in Fiscal Year 2025. These challenges are detailed in the DoD OIG’s “FY 2025 Top DoD Management and Performance Challenges” report.

Core Players

• Department of Defense (DoD)
• Department of Defense Office of Inspector General (DoD OIG)
• Inspector General Robert P. Storch

Key Numbers

• 6 – Major challenges identified by the DoD OIG report.
• $338 billion – Total DoD budget request for FY 2025 operations and maintenance.
• 100,000 rounds per month – Projected production capacity of 155mm rounds by summer 2025.

Full Depth

Complete Coverage

The Catalyst

The DoD OIG’s report highlights six significant challenges facing the DoD in FY 2025. These include increasing military readiness, strengthening the capabilities and capacities of allies and partners, protecting defense critical infrastructure, improving financial management, improving quality of life for military families, and building the future force.

Inside Forces

Internal dynamics within the DoD are crucial in addressing these challenges. For instance, the DoD is focusing on modernizing its forces through advanced technologies like hypersonics, robotics, and artificial intelligence. The Army is expanding its competitive space by increasing lethality and strengthening alliances through combined operations and training.

The budget request for FY 2025 emphasizes the importance of sustainment and maintenance of existing assets, which has often been overlooked in favor of procuring new items.

Power Dynamics

The power dynamics within the DoD and between the DoD and other government agencies play a significant role. The DoD OIG’s Oversight Plan is aligned with the Top Management and Performance Challenges and considers input from DoD senior leaders and Congress. This ensures effective use of resources in addressing critical issues.

“The rigorous process we use to develop our Oversight Plan ensures that our resources are used effectively to address critical issues through the performance of our audits and evaluations,” stated Inspector General Robert P. Storch.

Outside Impact

The broader implications of these challenges extend beyond the DoD. Global tensions, emerging conflicts, and challenges to the rule-based order underscore the need for the DoD to maintain a high state of readiness. The ongoing conflict in Ukraine, for example, highlights the pressing need to modernize defensive capabilities, especially in unmanned systems and electronic warfare.

Future Forces

Looking ahead, the DoD is set to continue its modernization efforts. Key areas include long-range precision fires, integrated air missile defense, command and control, and logistics. The focus on building the future force involves integrating emerging technologies and ensuring the health and effectiveness of the organic industrial base.

By summer 2025, the Army aims to increase its production of 155mm rounds to 100,000 per month, significantly enhancing its warfighting capacity.

Data Points

• November 15, 2024: Release date of the DoD OIG’s FY 2025 Top Management and Performance Challenges report.
• $338 billion: Total DoD budget request for FY 2025 operations and maintenance.
• 100,000 rounds per month: Projected production capacity of 155mm rounds by summer 2025.
• 2022: Russia’s invasion of Ukraine, leading to increased demand for military readiness and modernization.