INSPECTOR GENERAL'S SURVEY OF THE OFFICE OF THE DEPUTY DIRECTOR (INTELLIGENCE)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP62-01094R000100010013-3
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 24
• Document Creation Date: December 16, 2016
• Document Release Date: February 15, 2005
• Sequence Number: 13
• Publication Date: April 17, 1958
• Content Type: REPORT

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INSPECTOR GENERAL'S SURVEY
OF THE OFFICE OF THE
DEPUTY DIRECTOR (INTELLIGENCE)
Table of Contents
Page
I, PURPOSE AND SCOPE ....................................... 1
II. DISCUSSION ., ............................................ 2
A. The DD/I Area ....................................... 2
1. History ......................................... 2
2. Mission and Basic Organization .................. 6
B. The Position of the DD/I 10
C. Office of the DD/i .................................. 14
1. DD/I Staff Assistants 14
a. NSC and National Estimates .................. 14
(1) Responsibilities 14
(2) The NSC Planning Board ................. 14
(3) Special Assistant to DCI for NSC
Affairs 16
b. Administration 18
General ..............?.?.........o..... 18
Personnel .................>............ 19
Budget and Finance 23
her Activities ......< ................ 24
c. Planning .................................... 26
d. Field Coordination .......................... 30
(1) Responsibilities ...................?... 30
(2) The Overseas Program ....?...?..e?.?...e 31
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1:3) General Comments ........< ............... 34
2. Senior Research Staff on International Communism.. 45
3. Intelligence Support ........< .................... 56
4. Historical Intelligence Collection ............... 58
5. Building Liaison officer 60
6. Executive Assistant . . . . . . . . . . . . . . . . . . . . . . . . . . . ? . . 63
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I. PURPOSE AND SCOPE
A. The purpose of this survey is to review and appraise the mission,
functions, and place in the Agency's organizational scheme of the immediate
office of the Deputy Director Intelligence (DD/I) and to examine and
evaluate the degree of effectiveness with which this office accomplishes
its assigned tasks.
B. The scope of this survey is primarily concerned with matters
affecting the DD/I and his immediate staff. It does not attempt to
evaluate the activities or accomplishments of the component offices.
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c. Almost at the start of CIG the foundations were laid for
what later became the Office of Collection and Dissemination, more
recently the Office of Central Reference. As its original name implied,
this unit was :initially established as the primary liaison point with
the other intelligence agencies and other departments of the government
to collect from them the official documents and messages that were
required by CIG. Among OCD'a original functions was that of acting as
the focal and control point for all CIG liaison with other agencies.
This function passed out of existence at the time that the Deputyships
were created and the Agency became, in effect, three autonomous units.
In addition to this mission of collecting from other government agencies,
OCD established the CIA library and commenced the creation of the
Registries, starting with the Biographic--in conjunction with State--and
following with the Graphic, Industrial and Special. In the early days
d. The third intelligence office created was the Office of
Research and Estimates. This rapidly became one of the largest offices
in the organization with a sweeping charter which gave it the authority
to engage in research on every area of the world in nearly every field--
political, economic and military. It also wrote estimates, handled
scientific intelligence, geographic information, and engaged in
coordination. Its range ran all the way from the production of the
National Intelligence Surveys to basic research to current intelligence
to national estimates.
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e. The fourth intelligence office created was the Office of
Scientific Intelligence, which was set up in 1948 primarily as a result
of the study made of the defense agencies, including CIA, by the
Eberstadt Task Force of the first Hoover Commission. Noting the lack
of emphasis on scientific and technical intelligence--CIA's work being
confined to one division in ORE--the Task Force, following the insistent
urgings of Dr. Vanneveer Bush, urged strengthening the scientific effort.
This resulted in the establishment of OSI.
f. In 1950 a major reorganization of intelligence production
of CIA resulted in the breaking up of ORE, and a complete re-examination
of the missions and functions in which it had been engaged. First and
foremost, the estimating function was broken out and placed in a small
office by itself, thus creating the Office of National Estimates. The
same formula was applied to current intelligence, with the creation of
the Office of Current Intelligence. Finally, research was concentrated
in one office, the Office of Research and Reports, and an exchange of
communications with the Department of State delineated the research
responsibilities of the respective agencies. Under this agreement ORR
was to continue to be responsible for the coordination of the NIS
Program (basic intelligence) and for geographic intelligence. In
addition, it was to have responsibility within the intelligence community
for research on the Soviet economy, including China, and for research
on certain basic industries and commodities of a strategic nature.
g. In the meantime the general organization of the CIA was
changing. Prior to 1950 there had been seven offices, each headed by
an Assistant Director reporting directly to the Director of the Agency.
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During the period of rapid growth of CIA at the time of the Korean
War, and the creation of three offices in the place of one in the
intelligence production and research area, the span of command of
the DCI had broadened to a considerable extent. As a consequence,
a Deputy Director for Plans was created to oversee the activities of
what was then the Office of Special Operations and the Office of Policy
Coordination. Secondly, a Deputy Director of Administration (now DD/S)
was brought in to oversee the general administration of the Agency, and
to ultimately take under his command the so-called support offices.
Then, in 1952, the third deputyship was created, that of the Deputy
Director for Intelligence, to oversee the activities of ONE, OCI, OSI, ORR,
OCD (now OCR), and D.
h. Two new components were created in 1955? Primarily as
the result of general dissatisfaction in the intelligence community
on the handling of material on international Communism, and directly
as a result of a proposal of the Special Assistant to the Director
for Planning and Coordination, a Senior Research Staff on International
Communism was created as an immediate adjunct of the Office of the DD/I.
The present composition of the DD/I command was completed in 1955 when
the component responsible for the production of the National Intelli-
gence Survey was broken away from ORR and given an independent status
as the Office of Basic Intelligence. This was one of the recommendations
made that year by the Clark Task Force of the Hoover Commission.
i. Thus the present composition of the DD/I area is almost
exclusively units dealing with intelligence production and analysis.
The only exceptions are the
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(1) Office of Central Reference (OCR)
Charged with providing a central referencing
facility for all components of the Agency; also for maintaining
a central service for the coordination of intelligence require_
ments, the servicing of collection requests, and the dissemination
of intelligence materials.
(2.) Office of Research and Reports (ORR)
Responsible for the production of economic
intelligence on, the Sino-Soviet Bloc and geographic intelligence
on all areas outside the United States, and for coordinating intel-
ligence in these fields among the Federal departments and agencies.
(3) Office of National Estimates (ONE)
Charged with the production of National Intelligence
Estimates for issuance by the Director of Central Intelligence.
(1) Office of Current Intelligence (OCI )
Responsible for the production and dissemination
of all-source current intelligence, and for providing current intel-
ligence support to the DCI and components of CIA and other agencies
as directed.
(5) Office of Scientific Intelligence (OSI)
Charged with establishing and maintaining the Agency
scientific and technical intelligence research and production program,
producing intelLigence resulting therefrom, and advising the DCI and
other Agency officers and components on scientific and intelligence
matters.
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(6) Office of operations (00)
Responsible for the direct collection of intel-
ligence information from selected overt non-governmental sources,
including the conduct, as a service of common concern, of all
Federal monitoring of foreign radio propaganda and press broadcasts
for the collection of intelligence information, and the exploitation
of foreign language publications.
(7) Office of Basic Intelligences I)
Charged with implementation of the responsibilities
of the DCI for basic intelligence under the provisions of National
Security Council Intelligence Directive (NSCID) Number 3.
c. Orenization of the DD/I
(1) The basic organization of O/DDI consists of the DD/I
himself, an Executive Assistant, and four principal staff assistants
responsible for::
(a) NSC and National Estimates
(b) Administration
(c) Planning
(d) Field Coordination
(2) In addition, there are four further activities which
report directly to the DD/I, as follows:
(a) Adviser on CIA Historical Intelligence Collection
(HIC)--a special collection of books, documents, and related materials
having to do with all aspects of intelligence operations and doctrine
in the past. (Now transferred to OCR.)
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(b) Intelligence Support--Responsible for screening
all available intelligence for the purpose of keeping the DCI, DDCI, and
DD/I cognizant of critical situations and important trends.
(c) Senior Research Staff on International Communism
(SRS)--a group studying and conducting operational research on inter-
national Ccmununism.
(d) Building Liaison Officer--an officer charged
with coordinating the requirements of the various components of the
DD/I as related to the new building.
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B. The Position of the DD/I
1. Like the history of the DD/I area, the position of the DD/I
has also evolved with the development of the Agency. The Deputy
Director/Intelligence now has the following responsibilities: (1)
he has command over seven offices and one staff, plus representatives
abroad; (2) he is the CIA advisor to the National. Security Council
Planning Board;; (3) he is the principal intelligence advisor to the
DCI; (4) he provides intelligence support and guidance, both directly
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; (6) outside of the Agency he seconds for
and backstops the DCI as the CIA spokesman on substantive intelligence
matters; (7) he is head of the DD/I Career Services.
2. Command
a. The DD/I exercises command over his area by general policy
guidance and periodic review. He does not attempt to participate in
the day-to-day activities of the eight components and allows considerable
freedom of action to the Assistant Directors. This method of management
appears to be functioning reasonably well. That is not to say that
there aren't management problems in the DD/I area, because there are
some that could be dealt with by the direct intervention of the DD/I.
b. Perhaps the most apt description of the management pattern
applicable to the DD/I area is given in the Harvard Business Review for
March-April 19!58 (Vol. 36, No. 2) in an article, "How to Choose a
Leadership Pattern," by Tannenbaum and Schmidt on page 99:
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"Generally speaking, the manager can permit his sub-
ordinates greater freedom if the following essential conditions
exist:
"If the subordinates have relatively high needs for
independence.
"If the subordinates have a readiness to assume
responsibility for decision making.
"If they have a relatively high tolerance for ambiguity.
"If they are interested in the problem and feel that it
is important.
"If they understand and identify with the goals of the
organization.
"If they have the necessary knowledge and experience to
deal with the problem.
"If they have learned to expect to share in decision
making."
co Nearly all of the above conditions exist in the DD/I area.
However, even though it may be advisable to grant freedom to subordinates,
it is also a basic--and very sound principle of good management that
the senior supervisor should participate more actively in the guidance
of a subordinate component when problems exist that are not being
promptly and effectively solved at the lower echelon. Two illustrations
exist of where more active DD/I participation would be advisable today.
First, the two research offices--ORR and OSI--have basic management
problems that need solution. Second, the very extensive DD/I representa-
tion on IAC subcommittees and working groups needs more effective
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monitoring. In certain instances CIA has been guilty of the practice
of placing representatives on IAC committees who do not have suf-
ficient stature--a practice which CIA is quick to criticize if followed
by other agencies. The designation of the DD/I as Chairman of the
Critical Collection Committee, however, is a step in the right direction.
This latter is particularly important--although it could conceivably
be exercised by the DD/C--in view of the occasional failure of sub-
ordinates to bring inter-agency problems to the proper level for
adjudication.
3. Advisor to NSC
(See section C.l.a.)
Principal Intelligence Advisor to DCI
As the head of the intelligence production and analysis area,
the DD/I is logically the principal intelligence advisor to the DCI
on matters of substance. In this capacity he has delegated two
important aspects to Assistant Directors: that concerning National
Estimates to the AD/NE, and that concerning current intelligence to
the AD/CI. Similarly, the DD/I encourages direct relations by the
other Assistant Directors with the DCI on matters of substance. However,
the DD/I keeps himself generally currently informed on these matters.
5. Intelligence Support to the DD/P
While in general the intelligence support and guidance of the
DD/P area is handled at the working level, the ultimate responsibility
for seeing that it is effective rests with the DD/I. One of the advantages
of the Clandestine Services and the intelligence production units being
in the same over-all organization is the opportunity afforded for close
support. We feel that the DD/i area could profit by closer cooperation
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7. Spokesman on Substantive Matters
The position of the DD/i is overt and consequently affords
the Agency another public spokesman in addition to the DCI and DDCI.
During recent months the DD/I addressed Army, Navy and National War
Colleges, Armed. Forces Staff College, etc., within the government and
such non-government organizations as the "Association of Reserve City
Bankers," "Ohio State University National Security Policy Seminar,"
"Howard University Defense Studies Program" and the "Council on Foreign
Relations." These talks assist in the public relations of the Agency,
as well as assisting the cover of the Clandestine Services by focusing
attention on the overt side of the organization.
8. From the above, as well as from the details of the DD/I's
immediate office which follow, it is readily apparent that the responsi-
bilities of this office are more than enough for one man. While as an
expedient the practice of having an Assistant Director with responsi-
bilities for running an office also designated as Assistant DD/I may be
effective, it is not a sound management principle on a long-term basis.
It is acknowledged that the DD/I area is generally running well, but its
problems are the least complicated of the three major components of the
Agency. Further, it is obvious that not only would the DD/I area be
materially improved, but DD/I responsibilities and representation on
IAC committees would be more effective if there were a full-time Assistant
DD/I. It is
Recommended that:
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C. Office of the DD /I
1. DD /I Staff Assistants
a. Assistant for NBC
(1) Responsibilities
(a) The DD/I has as one of his major responsibiili-
ties the representation of the Agency on the NSC Planning Board. To
support him in this activity, he has established on his staff the posi-
tion of Assistant for NSC who in turn is provided with an assistant
and a secretary. This position is required by a provision of the
"Structure and Functions of the NBC" which states that members and
advisers will have an alternate known as Board Assistant and other
assistants as this size and demands of his agency require.
(b) The Board Assistants assist the Planning Board
in the drafting of papers and meet as required under the chairmanship
of the Director of the NBC Secretariat. They also attend Planning
Board meetings.
(c) As a part of his function as Board Assistant
and in support of the DD/I, the Assistant for NBC maintains close
contact with ONE to give guidance in the scope of NIE's prepared to
meet NSC needs. He maintains direct liaison with the Joint Intelli-
gence Committee. He also conducts a close relationship with the
Director's Staff Officer for OCB matters, coordinates intelligence
aspects of OCB papers, and is the focal point for Agency liaison with
the NSC Secretariat.
(2) The NBC Planning Board
(a) The Planning Board is described in the "Structure
and Functions of the NBC" as the principal policy formulating body of
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the Council. It is assigned two principal functions; (1) to antici-
pate and identify problems and situations affecting the security
objectives, commitments and risks of the United States, and initiate
action to provide the required analyses and draft policy statements
for the consideration of the Council, and (2) to facilitate the formu-
lation of policies during the process of drafting policy recommendations
by marshalling the resources of the respective departments and agencies.
(b) Officials participating in Planning Board func-
tions are established in three categories: Members, Advisers, and
Observers. Members include the Special Assistant to the President
for National Security Affairs as Chairman, and representatives of the
Departments of State, Defense, and Treasury, the Office of Defense
Mobilization and the Bureau of Budget. Advisers include representatives
of the Office of the Joint Chiefs of Staff and CIA, and the Special
Assistant to the President for Security Operations Coordination.
Observers are designated for several specified agencies and the
Chairman is authorized to invite others in accordance with the agenda
to be taken up at any particular meeting. The Board is supported by
a staff consisting of the Executive Secretary, NSC, his Deputy, and
the Director, NSC Secretariat.
(c) The Agency is permitted to submit through its
Adviser any ideas for policy formulation by the Planning Board and for
subsequent consideration by the Council. In keeping with the DCI's
concept of non participation in national policy making, the DD/I has
avoided using this means of initiating policy and has scrupulously
maintained his position as Adviser. This is not to infer that the
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Agency does not exert influence over national security policy. The
Board in its consideration of policy matters relies heavily on National
Estimates and upon the advice of the DD/I based on all sources of
intelligence. This process is repeated in NBC deliberations where
the DCI sits in a similar position on a higher level as Adviser to
the Council. Undoubtedly, national security policy is influenced by
Agency representation on the Planning Board and may even on occasion
be the direct result of advice provided by the DD/I. It can be said,
however, that the Agency does not deliberately generate national
security policy through this mechanism.
(3) The Position of "Special Assistant to the Director
of CIA for NSC Affairs"
(a) The "Structure and Functions of the NBC" is
described in a memo by the NBC Executive Secretary, dated 3 July 1957,
as a revision of a previously issued basic memorandum to serve as a
guide for those officially concerned with the operations of the
Council. It was approved for circulation by the President and is
generally accepted as the by-laws and ground rules for the operations
of the NBC, the Planning Board and the OCB.
(b) In providing for the membership of the Planning
Board, it stipulates that CIA will be represented by an Adviser who
is nominated by the head of the Agency and appointed by the President
with the title of "Special Assistant to the Director of CIA for NBC
Affairs." It also requires that the Adviser have direct access to
and personal confidence of the head of the Agency and have the authority
to utilize its resources to perform his Board function. The position
of the DD/I meets these qualifications fully.
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(e) There is a further stipulation, however, that
should be examined more closely. It states "the Adviser has as his
principal responsibility, which overrides all other duties and with
which no other duty can interfere, his work with the Board, including
preparation for and attendance at meetings; yet at the same time con-
tinues to be sufficiently in the stream of activity of his department
or Agency so as to be capable of representing its views." The require-
ment is fundamentally unrealistic and within the present organizational
structure of the Agency there is no existing position that can meet its
terms. The creation of a new position for this purpose is unwarranted
and probably could not be better designed than that of the DD/I.
(d) The DD/I meets most of the provisions. He does
not permit other duties to interfere with his work on the Board and
he attends meetings faithfully. He certainly is in the stream of
activity of the Agency and is capable of representing its views. In
fact, his representation of the Agency on the NSC Planning Board is
most effective. But it is not his principal responsibility which over-
rides all other duties. His principal responsibility is the direction
of the seven offices under his jurisdiction and he has many other duties
equally demanding of his time. In this respect, the assignment of
Adviser to the Planning Board is inappropriate to the DD/I. (See
Section 3 for further discussion of the position of the DD/I.)
(e) There is one other provision of the "Structure
and Functions of the NSC" that warrants comment. It is expressed as a
principle that Members and Advisers should serve for not less than two
years and should be changed periodically in order to bring fresh points
of view into Planning Board deliberations. The principle is sound and
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should be observed if possible. The DD/I has represented the Agency
continuously for about five years. During this period, he has made
periodic changes in his Board Assistants drawing on the higher levels
of ONE for the purpose. While this has served to inject "new blood"
into the function it does not fully accomplish the purpose expressed
in the principle. To change the assignment of Adviser periodically
would be desirable but difficult to accomplish since, as stated above,
the DD/I is the only one qualified by the nature of his position to
meet all the requirements.
(4) In summary, the DD/I provides excellent representa-
tion for the Agency on the NSC Planning Board. His Assistant for NBC
affairs functions competently and effectively and there are no major
problems requiring consideration or treatment at this time.
b. Administration
(1) !General
The Office of the Assistant for Administration is
located in the immediate Office of the DD/I, and consists of the
Assistant, his deputy and a secretary. This Office is responsible
for coordination of the administrative support requirements of the
several DD/I offices, to include personnel and budgetary matters in
their broadest application, and other activities of both a regular
and ad hoc nature which will be dealt with in detail in subsequent
paragraphs. In short, the Assistant for Administration handles all
DD/I matters of an administrative nature. He enjoys an extremely close
working relationship and a high degree of mutual understanding with the
DD/I, by virtue of which he is in a position to speak and act authori-
tatively, thereby reducing to a bare minimum the need for personal
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supervision and review of his activities by the DD/I. In the performance
of his principal mission the Assistant for Administration coordinates
administrative support requirements of the individual administrative
staffs which serve each DD/i component. These staffs vary in size
depending upon the personnel strength of the component they serve and
the complexity of the problems encountered. Basically, they are self-
sufficient units which function within the limits of DD/I administrative
policy as determined by the Assistant for Administration and set forth
in DD/I Notices and Memoranda.
(2) Personnel
The handling of personnel matters, including such
associated activities as Career Service, Training, and Management,
occupies roughly 50 per cent of the time of the Assistant for Adminis-
tration. It is his responsibility, for example, to:
(a) Review and approve all changes in organization
structure within the components whether brought about by realignment
of basic functions of the component or promotion requests requiring
T/O adjustment. The Assistant for Administration has a significant
responsibility in this area to insure that the grade structures of the
several components are carefully equated to the work performed and
show a minimum of disparity within a given component and among all com-
ponents. Individual grade changes within existing T/O's normally are
handled directly between the component and the Office of Personnel;
however, all promotions in the higher grades, as well as promotion
actions which are protested, are of direct concern to the Assistant
for Administration.
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(b) Insure the continued use and effectiveness of
the Vacancy Notice Procedure in all offices. This procedure was
adopted by the Assistant for Administration to make possible individual
transfers within DD/I which would open a greater opportunity for
qualified but "'slot-bound" employees in certain areas. The procedure,
by which each component notifies each other component of its existing
vacancies in Grade GS-7 and above on a monthly basis, met with immediate
approbation and success and during the period of its usage has made
a striking contribution to DD/I morale and efficiency. Present records
indicate that approximately 20 per cent of the "advertized" vacancies
are filled by personnel from outside the advertising component.
Following the success of this procedure within DD/I, vacancy lists
were made available to DD/P and DDS in the hope that a regular
exchange among the major Agency divisions might be initiated. At the
present time, the Assistant for Administration expects to be notified
in the near future of certain vacancies in DD/S; however, little
enthusiasm for the exchange of this information has been exhibited by
DD/P. While some reluctance on the part of DD/P to publicize the nature
of many Clandestine Services positions is understandable, there still
should remain a considerable area which could be opened to the vacancy
notice procedure with ultimate benefit to DD/P and to the Agency as a
whole.
(c) Monitor incoming employee assignments, and, with
regard to clericals, to see that placements are made in conformity with
relative priorities of the various offices. Review separation cases.
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(d) Administer the DD/I program designed to weed out
substandard and marginal personnel. In the fall of 1956, the Assistant
for Administration initiated this program by calling upon the seven
Assistant Directors to prepare lists of the following categories of
employees:
1. Those who were obviously substandard or
unsatisfactory.
2. Marginal employees, whose services could
well be spared without impairing the effectiveness of the office con-
cerned, and
3. Those ready for retirement who could be
urged to disassociate themselves, whether their performance had proven
good or bad.
Inspector General. Present indications are that budgetary considerations
will dictate an intensification of this program in the future. The
Assistant for Administration is well aware of this situation and is
prepared to initiate what action is required to meet circumstances as
they arise.
(e) Prepare management-type studies on personnel
strengths and functions in the seven DD/I components with a view to
25X1
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Approved For Release 2005/03/14: CIA-RDP62-01094R000100010013-3