Stepped up data center consolidation, growing cloud migration and hard-hitting TechStat assessments of federal IT programs are netting more than $6 billion in cost saving implications this year, according to Federal CIO Steven VanRoekel.
VanRoekel used the one year anniversary of the launch of the Federal IT Reform Initiative and the 25 Point Management Reform Plan to tout some of government’s IT accomplishments over the last year in his presentation Federal Information Technology: Doing More with Less through Strategic Investments.
He also described the new Presidential Technology Management Fellows Program launched in October.
“This will create a new class of young professional technology people in government as well as IT program manager career path that can really have an impact.”
VanRoekel said great strides had been made in delivering on 25 Point Plan. In fact, deliverables for 19 are already done; another three are on track; and only three are behind schedule.
He was proud of how data center consolidation is being embraced by government IT managers. By expanding their efforts, the number of closures will increase to 962 by 2015, far above the stated 800 goal.
He also expressed pride over $5 billion to 6 billion in savings already generated.
TechStat – Nearly $1 Billion In Cost Saving Implications
VanRoekel said within last year agencies have yielded nearly $1 billion in savings related to TechStat by eliminating duplication they found, improving governance, reducing scope or even terminating programs within government.
TechStat is a data driven way to assess IT programs and investments in government, initiated by VanRoekel’s predecessor, Vivek Kundra. The goal of a TechStat is to analyze investments that are either mismanaged or underperforming, then make recommendations to turn-around, eliminate duplication, rescope, improve governance or terminate the program.
As an example, VanRoekel explained how the Interior Department saved $10 million on a point-of-sale (POSS) system using TechStat to rescope one project.
So far, there have been 294 agency-led TechStat decisions leading to $931.7 million in savings.
“We have lots of examples and part of today’s announcement is that on www.CIO.gov we are producing a TechStat report across agencies and I am most excited about the nearly $1 billion in cost implications that were driven by this process.”
Draft Shared Services Strategy Announced
In his first public speech in October, VanRoekel talked about a strategy that stressed “firsts”, building on Cloud First model now employed. As a result, today the first draft of a Shared Services strategy was released.
VanRoekel said the strategy document is the first step in a “broader process to do more with less and cull out duplication and waste that we see in duplicating efforts.”
The plan looks calls on agencies to look for ways to consolidate commodity IT and share services such as email and procurement. The strategy will be open to public comment from agencies and the private sector.
By March 2012, the goal is to assess the current state of Shared Services, identify two Commodity IT areas and incorporate current and future shared service areas into EA transition plans. By May 2012 it is to develop the roadmap to improve quality and uptake.
Van Roekel also used the presentation to announce the launch of FedRAMP. FedRAMP provides a standardized “do once, use often approach” framework for cloud security; one VanRoekel said will save money and reduce staff time needed to conduct security assessments, thus allowing the government to better purchase and leverage cloud technologies.
“We are eliminating duplication and are saving a lot,” he said. “The cost is being moved in our “cut and invest” strategy, which is we cut on data centers and find ways to invest in new things that will make better for business and citizens and make us a more effective and efficient government.”
The trade group, TechAmerica praised the progress of the plan, but also raised concern about future funding for many of its initiatives.
“The implementation of the 25 Point Plan has been a priority for TechAmerica and we are not surprised that the biggest remaining challenges are the requirement to identify and implement more flexible funding options for IT programs, said Trey Hodgkins, senior vice president of National Security and Procurement Policy for TechAmerica.
“For there to be true IT acquisition and management reform success, we must convince Congress that the old model of funding in silos is broken in an information age. Without that change, we will always be hampered in driving true enterprise level IT efficiencies and savings,” he said.