Supply Management

The Postal Service manages contracts with commitment values totaling over $26 billion annually for its goods, transportation, and facilities related services. Over the past several years, the Postal Service implemented the supply chain management philosophy to maximize the effectiveness and efficiency of these expenditures. The OIG’s audit work will focus on the Postal Service's challenge in this area to control and reduce costs yet maintain efficient acquisition practices with effective controls to prevent fraud, waste, and abuse.

Supply Management provides strategically aligned leadership to the Postal Service’s supply chain partners. The Supply Management Directorate seeks to determine whether the Postal Service can achieve supply chain management excellence and reduce acquisition costs. To that end, they plan and direct audits and reviews of purchasing, contracting, and supply management activities. In addition, the OIG oversees Defense Contract Audit Agency (DCAA) and Defense Contract Management Agency (DCMA) audits. The OIG is also responsible for contract audits designed to assist Postal Service contracting officers in determining fair and reasonable contract prices, as well as to provide them with reviews of contractors’ financial systems.