Air Force Service Day: The State of FM.

[The following was taken from the transcript of Mr. John G. Vonglis's Air Force Service Day presentation at the American Society of Military Comptrollers Professional Development Institute 2005.]

Thank you for that kind introduction. Before I delve into my formal remarks, let me first reassure you--I'll be brief! Those of you who have worked with me in the past know that I am acutely aware that long speeches can be painful--so rest assured, this won't be one of them!

But I would like to thank you all for the warm welcome you've given me since I've taken over as acting FM. I've worked hard to maintain the high standards of leadership that Michael Montelongo laid out for us, and I will continue to support our goals as spelled out in our FM vision and strategic plan. I greatly appreciate your help, which has ensured the smooth transition I've enjoyed.

And for this I applaud you.

Lately, with the ongoing transformation buzz continuing to spread, you might think I'm going to talk to you about a transformed Air Force financial management community, celebrating a twenty-first century victory over the finances--financial managers of a future generation who might balance the books with the grace of an Olympic skater or the skill of a Jedi knight. But I know you've already heard a lot about the FM of tomorrow, and you'll no doubt hear more in the days, weeks, and months ahead.

So I got to thinking: Wouldn't it be nice to talk about the FM of today for a change--the FM of 2005--because you've got a lot to be proud of, and I don't want your accomplishments to get lost in all the talk of tomorrow. So today, instead of talking only about the future, I'll give a brief outline of what I call "The State of FM." While it might not be as exciting as the President's State of the Union [address], dare I say it will most certainly take up less of your time--because every good financial manager knows that time is money.

So, What Is the State of FM?

Fellow financial managers, today I have the pleasure of reporting to you all that the state of our FM team is strong! This past year has brought many hard-fought successes. In short, your sacrifices have made a powerful difference to the Air Force, the Defense Department, and the nation. Let me give you some examples.

First and Foremost--The Budget and the Global War on Terrorism 

I know that [Major] General [Stephen R.] Lorenz will be briefing you on the Air Force budget, but let me just remind you all that our Air Force financial managers continue to finance the Global War on Terrorism. We are a vital spoke in the wheel of national defense. Just ask our enemies. Ladies and gentlemen, the budget we help fund--the budget we help fund--drives one heck of a U.S. military steamroller!

Our FM people have helped secure $10 billion in supplemental funding in FY [fiscal year] 2004 and, most recently, approximately $8 billion in FY 2005--helping to fund the forces supporting operations Enduring Freedom and Iraqi Freedom. When our forces on the ground face a determined enemy, they know they can call on the Air Force. When a soldier or a marine makes that call--the call for help from the "wild blue yonder, for a fast mover"--it's hard work on the financial front that helps to ensure that the jets are fueled, the bombs are armed, and the good guys get the job done. And the bad guys? Well, let's just say [they get] the justice they deserve!

Our swift wings and sharp talons owe much to your financial expertise.

Beyond Iraq and Afghanistan, our Financial Management and Comptroller team has supported so many contingencies that it's often difficult to keep track. But you've managed to keep the financial chess pieces moving by providing outstanding financial and comptroller support to our Air Expeditionary Force deployments and critical financial support to commanders and deployed personnel all over the world.

Next, Technologies

There have been equally important, if somewhat less glorious, success stories concerning some of the technology we've brought on line to make us more efficient. Technologies like Wide Area Work Flow have clearly made an impact. We all know how great our old paper receipt system was. But we also know that on some very rare occasions, at least a few paper receipts and invoices had a habit of getting "misplaced." Who knows--perhaps they just plain "walked away." (I know, it doesn't work for me at home, either....)

Regardless, we never saw that paperwork again. It's now a problem that FM and the Defense Department have largely succeeded in fixing because of the success of Wide Area Work Flow. As a result of your efficient work and the Wide Area Work Flow program, we're now able to spend less time tracking down paper invoices and receipts and more time making sure the vendors are paid and the books are balanced.

Currently our FM people have successfully deployed Wide Area Work Flow to 89 active duty bases and provided training to a dozen Air Force reserve bases. Our hard work--your hard work--has amounted to a 35 percent reduction in interest penalty payments since last year. That's millions of dollars more that we can spend on bombs, bullets, and, of course, our Air Force people. And that's just a small example of your recent successes.

Some Ongoing Successes

Concerning cost estimating, your work today is paving the way for tomorrow's success. Our independent cost estimates for systems such as the F/A-22 [Raptor], the Global Hawk [unmanned aerial vehicle], and the Small Diameter Bomb continue to earn kudos. And let's not forget our ongoing development of the Defense Travel System, which will revolutionize how we travel by using an end-to-end automated travel system. Or the Defense Enterprise Accounting and Management System (DEAMS), which will provide senior leaders (Air Force and DoD-wide) the tools they need to make informed decisions.

Your customer service efforts continue to expand as we use tools such as myPay to provide enhanced services with more flexibility to our customers. Our team members have tested and implemented paperless delivery of leave and earning statements via myPay. And myPay is now mandatory for the military as the result of SECAF [Secretary of the Air Force] and CSAF [Air Force Chief of Staff] support--lest there be any doubt. Your efforts have been paying off: At the end of FY 2004 our service had less than 4,700 members with pay problems--a decrease of over 50 percent from previous years.

Not only have we been helping finance the fight and serving our customers, but our FM team has also provided first-class support during a very difficult year for natural disasters. It will be a long time before any of us can forget this past hurricane season. Need I remind you of the names: Isabel, Ivan, Charley. From hurricane landfall to hurricane cleanup, our FMers were on call, doing what we do best. And we mustn't fail to mention the recent tsunami relief efforts. Throughout it all, our customer service has been top notch. To put it bluntly, you care--and it shows in all that you do!

These are just a few of the things today's Financial Management and Comptroller team does that have had such a dramatic impact on our Air Force. However, since no FM speech would be complete without discussing transformation, let's talk a little about it.

Transformation

If we plan well, we can build on today's successes and turn them into a better, brighter tomorrow. We are the stewards of the next generation of financial managers. It's our FM team that will pass the torch. It is our FM team that will ensure that those who walk in our footsteps, a generation from now, will be able to take the lessons we've learned and apply them to an even better FM. And that's where transformation does come into play.

We've already begun mapping a path toward tomorrow, and the trail we've selected is a strong path, a confident one--one that makes you the trailblazers. Through our FM operational framework, we've begun enacting our Six Lanes of Transformation, which include:

* Financial Services Transformation

* Financial Advisor Transformation

* Operations and Maintenance Center of Expertise

* Combat Comptroller Initiative

* FM Education, Training, and Development

* FM Budget Operations Reengineering

These improvements promise to substantially change and improve how we deliver financial services to our customers at every level.

Simply put, it's about leaving FM a better place than we found it.

Conclusion

So there you have it--FM from today to FM tomorrow, via important, ongoing transformation. I don't want to bore you with the details because you live it and breathe it every day. Besides, this is the first time I've gotten to meet many of you, and I've learned that talking too much isn't a very good way to make a first impression. So with that I'd like to turn it back to our host and to remind you that if you ever need to ask about the state of FM, before you check the Web site; before you ask your squadron commander; before you call the MAJ COM--Take a look in the mirror--because you are FM!

Thank you for listening, enjoy the rest of your stay in Salt Lake City, and keep "Financing the Fight!"

John G. Vonglis

Acting Assistant Secretary of the Air Force (Financial Management and Comptroller)