An analysis of the annual audit reports and audit opinions of the auditor-general of South Africa (AGSA) demonstrates a weak control environment and poor governance overall, including the governance of supply chain management (SCM). Various legislative requirements establish oversight bodies in the public sector and the Department of Defence (DOD). The purpose of this chapter is to reflect on the role of oversight bodies as part of the governance process in the DOD, highlighting existing oversight challenges and sharing possible recommendations to address some of these oversight challenges. This study is both descriptive and qualitative. A literature review on oversight bodies and their role in the public sector and the South African National Defence Forces was completed to complement the qualitative approach. Additional data for empirical research and analysis were obtained through scrutiny and an analysis of publicly available documents, including AGSA general outcome reports, DOD annual reports and studies on oversight bodies. The study was informed by two theoretical frameworks: agency theory and stewardship theory. The initial literature review indicates that few studies on the role and contribution of oversight bodies in the DOD have been completed, representing a lacuna in research. The research presented in this chapter will contribute to the body of knowledge on contemporary issues of governance in the DOD and existing governance challenges and will offer possible solutions and recommendations to improve governance and performance through oversight bodies. Despite rules and processes, the nonobservance of rules appears to persist and the enforcement of punitive measures for nonobservance other than the amended AGSA powers is lacking, allowing the AGSA to sanction and fine the individuals responsible for negative audit findings. Consistent messages among researchers and oversight bodies indicate poor consequence management, an ineffective implementation of fraud prevention measures, delays in investigating and clearing irregular, fruitless and wasteful expenditures instead of taking preventive measures, a weak control environment and insufficient expertise and resources. Current shortcomings in legal frameworks prevent oversight bodies from taking action against noncompliance with and nonresponse to rules and processes.