ECONOMY MEASURES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80B01676R000700070005-5
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 4
• Document Creation Date: December 20, 2016
• Document Release Date: August 9, 2006
• Sequence Number: 5
• Publication Date: August 18, 1964
• Content Type: MF

OFFICE OF THE DIRECTOR
/ Action Memorandum No. A-411
JDeputy Director for Central Intelligence
Executive Director-Comptroller Date 18 August 1964
Deputy Director for Intelligence
Deputy Director for Plans
Deputy Director for Support
Deputy Director for Science and Technology
Inspector General
General Counsel
SUBJECT : Economy Measures
1. On 22 July 1964 the President reviewed with the Cabinet the progress
made thus far in improving efficiency and economy in the operations of the
Federal Government, and he directed that further efforts toward these ends
be made in the months ahead. The President made it unmistakably clear
that it is the continuing policy of this administration to effect maximum
results with minimum expenditures. His instructions very specifically
were to "redouble efforts to reduce costs" through such measures as
simplifying procedures, streamlining field elements, setting up productivity
goals and imbuing contractors with this same spirit of cost consciousness.
He directed that employment controls are to be tightened so that operations
are conducted with the most restrictive staffing patterns possible. The.
President also made a special point of the need to eliminate nonessential
publications.
2. Over the past year the Agency has actively engaged in an economy
program. We can take pride in our accomplishments. I feel they have
been responsive to the President's program. However, our progress
must not lull us into complacency. Again I want to impress on each of
you personally and, through you, all personnel of your directorates and
offices that further real savings in manpower and dollars can and must be
effected in CIA.
A
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3. The manpower ceilings provided to you for FY 1965 and FY 1966
provide a first big step to this end. At the same time we must assure that
a sound and imaginative substantive program is maintained' thru 5
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the Agency's vital missions. Maintaining adequate program balance within
and between directorates will always be difficult, but especially where
retrenchments are required. We are all under the gun to assure that flexible
systems are provided in our organizations which will provide, within
established ceilings, sufficient maneuverability to meet changing priorities
and to adjust to new tasks without constantly upsetting on-going activities.
In this regard the Agency must consider programs in their entirety with each
part evaluated in light of the whole. Our cost consciousness and manpower
control is not a numbers game. It must reflect hard decisions and a positive,
objective and non-parochial outlook on the part of all members of our
management team. Activities which do not contribute directly to the
accomplishment of the Agency's missions must be phased out and discontinued.
At the same time we must hold other members of the Intelligence Community
responsible for their part of the intelligence task and not establish unwarranted
duplication of these efforts in CIA.
4. I have charged the DDCI and the Executive Director-Comptroller with
spearheading the Agency economy effort and providing strengthened and
improved centralized management review and control over our programs and
projects and their related manpower and budgets. I will expect from them
regular reports on the Agency's progress which I can study and report
forward to the President. My belief in active management at the top echelons
will cause some strain, but I know of no better way of producing results in
line with the President's goals. Even as I congratulate you for recent
achievements, I want to urge you on to greater progress in the knowledge
that the dollar and personnel ceilings currently in effect have behind them
my strong approval and my personal wish that no effort be spared to expedite
their attainment.
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EXECUTIVE OFFICE OF THE PRESIDENT Ez*cutive Regi,
BUREAU OF THE BUDGET
Washington, D. C.
July 24, 1964
On July 22, the President made a statement to the
Cabinet which he wishes to direct to the heads of
all Departments and Agencies. A copy of the state-
ment is enclosed herewith.
You will note that the President asks that your next
quarterly report on personnel control and management
improvement be in his hands by September 20, rather
than October 20.
The President wants me to convey to each of you his
tc6ndation for your agency's contribution to the
achievements reflected in the final expenditure and
employment figures for 1964. He looks forward to
even greater achievements in the months ahead.
Kermit Gordon
Director
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