Department of War FY 2026-2030 Strategic Plan The enterprise business operations strategic plan of the U.S. Department of War for fiscal years 2026 through 2030, establishing five strategic goals and 18 strategic objectives in support of the President's Management Agenda. Pursuant to the GPRA Modernization Act of 2010, the Department of War (formerly the Department of Defense, redesignated by executive order in September 2025) presents its FY 2026-2030 Strategic Plan focused on enterprise business operations goals spanning workforce, financial management, business operations, real property, and digital-first transformation. ^^ Converted to StratML format by Claude.ai and lightly edited in the StratML Part 1 form at https://stratml.us/forms/Claude/Part1.html. ^^ The National Defense Strategy is available in StratML format at https://stratml.us/docs/NDS2026.xml U.S. Department of War DoW uuid-2d2cdec2-8f6a-42b2-98ec-7a289f33dadd The Department of War (formerly the Department of Defense) provides the military forces necessary to deter war and ensure the nation's security. The Secretary of War serves as the principal assistant and advisor to the President on all matters relating to the Department. Pete Hegseth U.S. Secretary of War Peace through Strength uuid-3d5a609c-aa02-4f92-ad27-89fae87c205a To provide the military forces necessary to deter war and ensure our nation's security. uuid-bf1e2c2d-8baa-432d-a1fa-db13c98bc492 Civil Service Workforce Reshape the Civil Service Workforce: Implement measures to build an effective and efficient Federal workforce that attracts and retains the highest caliber civil servants, committed to achieving the freedom, prosperity, and democratic rule that the United States Constitution promotes. 13344343-4675-4ede-aa5d-327a219e29e1 1 Civil Service Workforce ~ Strategic Goal 1: Reshape the Civil Service Workforce. Lead: Office of the Under Secretary of War for Personnel and Readiness (OUSW(P&R)). Agency Priority Goal: By September 30, 2027, implement all elements of the Merit Hiring Plan. SES Appraisal Systems Adopt and implement Senior Executive Service and Senior Professional appraisal systems, performance plans, and fiscal year rating cycle to ensure Senior Executives and Senior Professionals faithfully fulfill their duties and are properly accountable to the President and the American people. bb52254c-efd2-4c84-8a72-7c6cbfbf54f5 1.1 Senior Executives and Senior Professionals DoW Senior Executive Service officials and Senior Professionals subject to OPM appraisal system and performance plan requirements. SES Appraisal Systems ~ Strategic Objective 1.1: Instituting requirements per OPM memoranda implementing Presidential directives: the February 25, 2025 OPM Memorandum on SES Performance Appraisal and the April 3, 2025 OPM Memorandum on Senior Professional Performance Appraisal. Lead: OUSW(P&R). Performance Management Implement Federal employee performance management guidance to ensure DoW employees faithfully fulfill their duties and are properly accountable to the President and the American people, adhering to the performance appraisal system mandated by 5 U.S.C. § 4302(c). 24c2f505-102a-4a66-95ef-84065f27a580 1.2 DoW Civilian Employees Approximately 69 percent of appropriated fund civilian employees covered by the Defense Performance Management and Appraisal Program (DPMAP). Performance Management ~ Strategic Objective 1.2: Implementing the June 17, 2025 OPM Memorandum on Performance Management for Federal Employees for DPMAP-covered civilian personnel. DoW will also establish guidance on incentivizing and rewarding top performers. Lead: OUSW(P&R). Merit Hiring Implement the Merit Hiring Plan issued by OPM on May 29, 2025, to reset DoW recruitment and hiring on merit, practical skills, and dedication to the United States Constitution, ensuring the Federal workforce is prepared to achieve American greatness. 7e3b1205-565d-49ef-ae7a-894d5ee478fe 1.3 DoW Job Applicants and New Hires Prospective and newly hired DoW civilian employees subject to merit-based recruitment, hiring, and SES talent development requirements. Merit Hiring ~ Strategic Objective 1.3 (APG): Implementing the May 29, 2025 OPM Merit Hiring Plan and OPM Memorandum on Hiring and Talent Development for the SES. Agency Priority Goal: By September 30, 2027, implement all elements of the Merit Hiring Plan. Lead: OUSW(P&R). Talent Management Cultivate a highly qualified and committed civilian workforce dedicated to the demanding mission of defending the nation and supporting its global warfighters, by overhauling talent management policies and launching targeted recruitment, development, and retention initiatives. 7f73323d-1154-4c24-9ae8-83ffbc2aa7a0 1.4 DoW Civilian Workforce Current and prospective DoW civilian employees across early career, technical, financial management, and cyber workforce categories. Talent Management ~ Strategic Objective 1.4: Leveraging Staffing Plans and Strategic Hiring Committees per EO 14356 and joint OPM/OMB guidance. Initiatives target early career recruitment (15% of FY26 new hires; 33% by FY27), shared certificate hiring (18% to 40%), SMART Scholarship retention (90% service commitment completion), FM certification compliance (90% to 95%), and cyber billet fill rates (15%). Leads: OUSW(P&R), OUSW(R&E), OUSW(C/CFO), DoW CIO. Financial Management Modernize Department Financial Management Operations: Improve financial stewardship by defending against fraud and improper payments, increasing transparency and auditability, boosting efficiency, reducing costs, and securing Federal payment systems against vulnerabilities. 5c9cfe89-e965-4031-90fd-f6251531d0bb 2 Financial Management ~ Strategic Goal 2: Modernize Department Financial Management Operations. Lead: Office of the Under Secretary of War (Comptroller)/Chief Financial Officer (OUSW(C)/CFO). Key milestone: achieve unmodified financial statement audit opinion for the DoW Working Capital Fund in FY 2027 and General Fund by December 31, 2028. Fraud Prevention Protect America's bank account against fraud, waste and abuse by transforming federal financial management through rigorous pre-certification verification of all payments, reducing improper payments, consolidating disbursing operations, and standardizing financial management systems. 2b5ffecf-3440-4214-82d5-1456edc513e3 2.1 American Taxpayers Taxpayers whose funds are disbursed through DoW financial systems, with interest in transparency, integrity, and prevention of fraud and improper payments. Fraud Prevention ~ Strategic Objective 2.1: Implementing EO 14249 through pre-payment integrity checks in entitlement systems, strategic reduction of Treasury Disbursing Offices (TDO) and Non-Treasury Disbursing Offices (NTDO), and transition to TDO/NTDO Daily reporting. Target: TDO 30% by FY26, 45% by FY27; NTDO Daily 15% by FY26 and FY27. Lead: OUSW(C)/CFO. Digital Payments Modernize payments to and from America's bank account by transitioning to digital payment methods for disbursements and receipts to phase out physical lockboxes, improving speed, security, and transparency while reducing administrative and operational costs. 031e75ee-667e-41d4-b4da-399871013bed 2.2 DoW Payment Recipients Service members, contractors, retirees, and other recipients of DoW disbursements transitioning to electronic funds transfer methods. Digital Payments ~ Strategic Objective 2.2: Implementing EO 14247 to expand Electronic Funds Transfer (EFT) options including direct deposit and prepaid card accounts. Targets: 99% of recipients enrolled in EFT payments in both FY26 and FY27. Spend plan variance maintained within +/- 3%. Lead: OUSW(C)/CFO. Audit Opinion Accelerate the path to an unmodified financial statement audit opinion by establishing an integrated and auditable financial environment that strengthens internal controls, modernizes systems, and improves data accuracy, achieving a clean opinion no later than December 31, 2028. e5a0ca48-68c9-445f-aec3-75fca25db436 2.3 Congress and the American Public Oversight bodies and the public with interest in the financial transparency and accountability of the Department of War's stewardship of taxpayer resources. Audit Opinion ~ Strategic Objective 2.3: Required by the NDAA for FY 2024. Targets per Audit Roadmap: 19 favorable audit opinions in FY26, 23 in FY27. Unmodified opinion for the Working Capital Fund targeted for FY 2027; General Fund by December 31, 2028. Lead: OUSW(C)/CFO. Funds Execution Maximize execution of available funds by identifying opportunities to use unobligated balances and expired funds for emergent requirements and DoW priorities, with a goal of returning less than one percent of available resources to the Treasury. 9437d2ac-22ab-49b5-90c9-52da4fdc87d2 2.4 DoW Components and Warfighters DoW military departments and components whose missions depend on maximized execution of appropriated funds. Funds Execution ~ Strategic Objective 2.4: Target is less than 1% of available funds cancelled in both FY26 and FY27. Addresses the complexities of budget execution that cause funds to expire or cancel due to factors beyond the Department's control. Lead: OUSW(C)/CFO. Business Operations Modernize Department Business Operations: Modernize and optimize the Department of War's enterprise business operations and cross-cutting functions to improve service delivery, operational efficiency, and mission readiness, reducing redundancy and ensuring consistent, high-quality outcomes across the enterprise. 9f9c1e86-26b5-402b-bad1-a0c737d7a8a8 3 Business Operations ~ Strategic Goal 3: Modernize Department Business Operations including supply chain, logistics, information technology, and acquisition. APG: By September 30, 2027, DoW Components must be 80% compliant with planned legacy Defense Business System retirements. Leads: DoW CIO, OUSW(A&S), OUSW(R&E). IT Portfolio Optimize the information technology portfolio and Defense Business Systems by identifying and retiring outdated or overlapping systems, reducing unnecessary spending and redundancy, and migrating to efficient, cost-effective, and interoperable platforms. 58afc96f-e663-4199-96ee-53fca1142005 3.1 DoW Components and Users DoW military departments, defense agencies, and end users who rely on enterprise IT systems and Defense Business Systems for mission execution. IT Portfolio ~ Strategic Objective 3.1 (APG): Retire legacy and duplicative Defense Business Systems (DBS). Agency Priority Goal: By September 30, 2027, DoW Components must be 80% compliant with planned DBS retirements per DITPR schedules. Targets: 80% DBS retired per projected DITPR date in FY26; 95% in FY27. Lead: DoW CIO. Defense Procurement Accelerate defense procurement and revitalize the defense industrial base by reforming antiquated acquisition processes to increase speed, flexibility, and execution, while building a workforce culture that rewards innovation and intelligent risk-taking. 5c032b29-eac3-4022-9414-c90b8579ca3e 3.2 Defense Industry and Warfighters Defense contractors, small and non-traditional partners, the U.S. defense industrial base, and warfighters who depend on rapid capability delivery. Defense Procurement ~ Strategic Objective 3.2: Establishing Portfolio Acquisition Executives (PAEs) in each service; updating DoW 5000 series directives; deploying $15B (FY26) and $30B (FY27) in Office of Strategic Capital loan assistance to critical industrial base sectors; targeting 80% of APFIT-funded efforts with small/non-traditional partners resulting in follow-on procurement. Leads: OUSW(A&S), OUSW(R&E). Real Property Use Real Property More Efficiently and Effectively: Optimize the use of real property owned or leased by the Department of War to ensure assets are managed efficiently and cost-effectively, supporting mission readiness, reducing waste, and delivering maximum value to the warfighter and the taxpayer. 531393b5-8913-405a-840a-c086b3e3cdd9 4 Real Property ~ Strategic Goal 4: Use Real Property More Efficiently and Effectively. APG: By September 30, 2027, terminate all leases deemed no longer needed. Lead: OUSW(A&S). Lease Reduction Reduce expenditures on leased facilities by 30 percent in administrative and warehouse lease costs by end of 2027 and by 25 percent overall lease cost expenditures by December 2029, by optimizing space occupancy and accommodating more missions within Department-owned facilities. 66579128-e3db-429d-9834-8d80a1f4df3c 4.1 American Taxpayers Taxpayers who fund DoW real property expenditures and benefit from reduced lease costs and redirected resources to higher priorities. Lease Reduction ~ Strategic Objective 4.1 (APG): Authorized by Section 2850 of the Servicemember Quality of Life Improvement and NDAA for FY 2025. Agency Priority Goal: By September 30, 2027, terminate all leases deemed no longer needed. Performance targets: 10% lease cost reduction by Q4 FY26; 18% cumulative reduction by Q4 FY27; 25% overall reduction by December 2029. Lead: OUSW(A&S). Property Utilization Effectively utilize the Department's real property portfolio at an occupancy rate greater than 60 percent by increasing use of existing buildings and infrastructure to accommodate more missions within the current footprint and reduce unnecessary sustainment costs. 7805d720-ac80-4e20-8a56-a6ef3724d62b 4.2 DoW Components and Mission Tenants DoW military departments, defense agencies, and mission tenants occupying DoW-owned and leased facilities subject to occupancy rate monitoring. Property Utilization ~ Strategic Objective 4.2: Authorized by Section 2302 of the Thomas R. Carper Water Resources Act of 2024. Performance targets: occupancy rate of 60% by Q4 FY26 (from 48% FY25 baseline); 65% by Q4 FY27. Data captured biweekly using sensors and form submissions. Lead: OUSW(A&S). Military Housing Ensure all service members and their families are housed in clean, comfortable, and safe Department housing by applying the Secretary of War's Barracks Task Force approach using standardized assessments, consistent oversight, and coordinated investment across all housing types. a883b8ce-2f20-4d9c-953d-e6f1b85eb42a 4.3 Service Members and Their Families Active duty military personnel and their families residing in government-owned, privatized, or unaccompanied DoW housing facilities. Military Housing ~ Strategic Objective 4.3: Targets for FY26/FY27: tenant satisfaction 80%/85%; Building Conditions Index ≥80% for 90%/93% of housing; unaccompanied housing privacy compliance 95%/98%; habitability compliance 90%/100%; family and unaccompanied housing utilization 90%/95%; MHPI tenant satisfaction 80%/83%; MHPI debt service coverage >1.25 for 90% of projects; MHPI occupancy 95%. One Big Beautiful Bill Act-funded barracks projects: 25% completed by FY26, 75% by FY27. Lead: OUSW(A&S). Digital Operations Drive Improvement Through Digital-First Operations: Drive improvements, transparency, and results by modernizing enterprise business operation workflows and leveraging automation and artificial intelligence to power the mission impact of the Department's civilian workforce. 56a3c146-5c1f-4b3f-9122-73a06fdd14d4 5 Digital Operations ~ Strategic Goal 5: Drive Improvement Through Digital-First Operations. APG: By September 30, 2027, achieve a 75% adoption rate of enterprise AI tools or capabilities. Underpinned by a $4 billion investment through FY27 to modernize the DoW's AI ecosystem and enabling infrastructure. Leads: OUSW(R&E), DoW CIO. AI Accessibility Modernize enterprise AI accessibility to deliver secure and accessible enterprise AI capabilities to all DoW personnel, breaking down data silos to accelerate mission cycles, strengthen deterrence, and drive a decisive information advantage in protecting national security. 5344633e-bde0-40ff-b035-f85021e6979f 5.1 DoW Personnel DoW civilian and military personnel requiring access to enterprise AI tools and capabilities via platforms such as genai.mil. AI Accessibility ~ Strategic Objective 5.1 (APG): Agency Priority Goal: By September 30, 2027, achieve 75% adoption rate of enterprise AI tools. Performance targets: establish FY26 baseline and achieve 40% adoption in FY26; 75% in FY27. AI-enabled workflow productivity improvement: 5% in FY26, 15% cumulative in FY27. Access to enterprise AI platforms: 75% of targeted mission personnel in FY26, 90% in FY27. CEQ data/technology standard adoption: 80% in FY26. Leads: OUSW(R&E), OUSW(A&S). Technology Innovation Advance technology and innovation to ensure the U.S. military maintains a decisive technological advantage by accelerating the transition of breakthrough capabilities from development to fielding across Critical Technology Areas including hypersonics, directed energy, quantum sciences, contested logistics, and biomanufacturing. 0b126991-d17b-4c47-b7af-0031fe482e8d 5.2 Warfighters and Mission Partners U.S. armed forces personnel and mission partners who depend on timely transition of cutting-edge technologies into operational capabilities. Technology Innovation ~ Strategic Objective 5.2: Five Critical Technology Areas (CTAs) each pursue project-driven "sprints": Biomanufacturing, Contested Logistics, Quantum and Battlefield Information Dominance (Q-BID), Scaled Directed Energy, and Scaled Hypersonics. Each CTA targets: initiate 2 new sprints per year; complete transition plan within 60 days; secure transition partner agreement within 180 days; deliver key technology products for transition by FY27. Lead: OUSW(R&E). AI Security Secure artificial intelligence across the Department by reducing cyber vulnerabilities in AI systems, incorporating management of AI software vulnerabilities and compromises into DoW's existing processes and interagency coordination mechanisms, and patching critical vulnerabilities to minimize operational impacts. b5602850-91e2-4cd7-b3e1-7a332b11ed3d 5.3 DoW Systems Operators DoW personnel and mission partners operating AI-enabled systems requiring protection from cyber vulnerabilities and compromises. AI Security ~ Strategic Objective 5.3: Performance targets: 90% of DoW processes and interagency coordination mechanisms incorporating AI software vulnerability management in FY26; 100% in FY27. Lead: DoW CIO. IT Access Modernize how the Department accesses IT through Identity, Credential, and Access Management (ICAM) to build a secure, efficient, and interoperable digital identity environment, ensuring authorized users access required resources while maintaining strong protection against insider and external threats. 5c7ff499-7deb-4e0f-86d3-3314cf002ee6 5.4 DoW Users and Mission Partners DoW personnel, devices, and robotic processes requiring authenticated access to DoW systems, and mission partners sharing information through federated identity frameworks. IT Access ~ Strategic Objective 5.4: Performance targets: 1,000 DoW systems onboarded to approved ICAM Service Providers in FY26; 1,500 in FY27. Zero Trust (ZT) coverage: 35% of DoW unclassified and secret-level IT infrastructure achieving ZT requirements in FY26; 75% in FY27. Lead: DoW CIO. C3 Capabilities Outpace adversaries with resilient and flexible Command, Control, and Communications (C3) capabilities by expanding the use of hybrid Satellite Communications (SATCOM) terminals to provide resilient, flexible enterprise services globally, strengthening communications continuity across the enterprise. 5f400c34-a6a5-45f9-a572-b73a41533316 5.5 Warfighters and Commanders U.S. military commanders and warfighters requiring resilient, high-bandwidth communications in contested and bandwidth-limited environments. C3 Capabilities ~ Strategic Objective 5.5: Performance targets: 497 platforms with hybrid SATCOM terminals deployed in FY26; 670 in FY27. Enterprise Satellite Communications Management and Control (ESC-MC) IT services implemented: 36% in FY26; 51% in FY27. Lead: DoW CIO. 2025-10-01 2030-09-30 2026-05-23 https://dam.defense.gov/Portals/47/Documents/Strategic%20Management%20Plan/FY26-30%20DoW%20Strategic%20Plan%206Apr2026%20r18.pdf Owen Ambur Owen.Ambur@verizon.net