Scale of change in the Department

3.8  The Department's headcount reduction programme is occurring against a background of profound change in the rest of its business. There is currently a portfolio of some 47 change programmes and initiatives in the Department, only some of which have a significant and direct role in reducing headcount. Change on this scale represents a significant burden on senior management who have a finite amount of time and must also supervise the Department's day-to-day business.

Figure 8

Link between unemployment and military personnel leaving voluntarily (voluntary outflow)

Source: Departmental analysis of UK unemployment rate, military personnel leaving voluntarily, Office for Budget Responsibility unemployment forecast and Departmental forecast for military personnel leaving voluntarily

3.9  An experienced Director General Transformation and Corporate Strategy, with overall responsibility for all change programmes, has been appointed to provide management focus and expertise. The various change programmes and initiatives are organised into three tiers and report to the Defence Operating Board (Transformation) which meets on a weekly basis. Tier one contains the most complex and high-risk programmes, while tier two contains programmes of a more moderate complexity and tier three contains smaller initiatives. Oversight and reporting arrangements are in place for these programmes and initiatives.

3.10  The Department is aware that leadership is important in changing how people work and is seeking to improve its capabilities in this area. The 2009 Capability Review of the Department also highlighted that leadership needed to be developed. Additionally, in staff surveys only 22 per cent of military respondents and 12 per cent of civilian respondents agreed that the Department handles change well. In response, the Department has made leadership a central component of its behavioural change programme and has launched a number of initiatives to improve leadership.