The strategic management

The strategic management of human capital is an integral part of day to day business operations within DFAS. The human capital strategy demonstrates the commitment of the organization to support employees in the critical dimensions of human capital: leadership, talent and environment. In order to meet the customers’ need and provide the greatest solutions possible, DFAS must dedicate resources to develop the people, processes and systems necessary to accomplish the strategic targets. This initiative will allow the customers to:

1) Obtain consistent, high-quality and seamless delivery of future service 2) Receive superb customer service and have professional interactions with DFAS employees 3) Have available financial consulting and advisory services By defining the skill set of DFAS future employees with the context of the business strategy, DFAS will be able to recruit, support, develop, and retain the talent it needs to realize the strategic goals and vision. Furthermore, this will also provide DFAS with the opportunity and resources to have the right talent with the right skills at the right time for the right cost.

How DFAS will implement the Strategy To ensure successful implementation of DFAS’ strategic plan, DFAS will need t identify target masters responsible for each strategic target, launched the development of an operating plan, and committed to supporting a set of management initiatives. (Example, Strategic Target: Pay Services Members what they are entitled; Target Master: Military & Civilian Pay Business Line Executive).

The target master is accountable to the agency Director for the successful of the target. The progress of each target will be reported monthly to the DFAS executive leadership and significant events will be communicated to the DFAS work force. Operational Plan The operating Plan will identify short-, mid, and long-term objectives, and delineate the key initiatives that must be implemented to achieve the desired results. Progress against the operating plan will be monitored by DFAS’ executive leadership.

Management Initiatives DFAS will continue to champion a set of management initiatives that contribute to the success of each strategic target and its overall vision. These initiatives help the organization achieve success through increased efficiency, improved business management and more accurate performance measures. Using the Balance Scorecard to measure Strategy As Kaplan and Norton (1996) said measurements matters: “If you can’t measure it, you can’t manage it.” The DFAS Balance Scorecard provides a comprehensive framework that translates the DFAS vision and strategy into a reasoned set of performance measures. The measures relate to the strategic outcomes and align within the following four performance: customer, financial, internal, and growth and learning perspective


This strategic plan provides direction and focus for all aspects of the DFAS functions, from operations to customer service. From the plan’s goals, outcomes and objectives, the DFAS leaders and managers can establish the initiatives that will ultimately allow the agency to realize its potential to be the world’s best finance and accounting partner for the nation’s military men and woman. However, what does mean this plan means to many groups that will impact?

For the DFAS employees, this plan requires their commitment and participation in transforming the agency while maintaining and exceeding the standards of service and support they provide to customers. It is their experience that will allow specific initiatives to make a real difference in how agency does business now in the future. Understanding the overall direction that DFAS is heading will make their input all more effective.

The DFAS customers, from military members and civilian employees to contractors and DoD leadership, have maintained consistently high expectations for the finance and accounting services the agency provides. This plan directs all the agency’s efforts, from transformation programs to development of faster, smarter, and more accurate pay processes, to meeting the growing and diversified needs of all the DFAS customers. From this strategic plan, these varied groups can take confidence that they will and will be the agency’s prime focus.

DoD leadership depends on the DFAS to provide the very best business intelligence and accounting services. The demands on decision makers in a time of rapid change and the Global war on Terror and War on Iraqi Freedom continue to rise. The need for accurate data in making these critical choices is crucial. The goals contained in this plan will result in more up to date financial information that leaders can use with utmost confidence.

Confidence is also the agency’s aim for stakeholders, including the American taxpayers. Every aspect of the DFAS organization, operations, and system reflects the responsibility for financial stewardship placed upon the agency. The DFAS Strategic Plan 2007-2017 will be dynamic and guiding documents for the agency’s evolution. It forms the foundation that DFAS can use to realize its strategic vision of transforming to day to be the trusted financial partner for tomorrow’s warfighter.


Assistant Secretary of Defense manual. (2005). Strategic Plan. Retrieved from website on May 29, 2007 ASA(FM;C). (2007). DFAS Manual 7097.01.

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