Welcome!

Government Cloud Authors: Yeshim Deniz, Elizabeth White, Pat Romanski, Dana Gardner, Liz McMillan

News Feed Item

Feds Can Save $27.9 Billion Annually With IT Shared Services

MeriTalk, a public-private partnership focused on improving the outcomes of government IT, today announced the results of its new report, “Shared Services: Ready or Not?” The study, underwritten by ServiceNow, found that shared services could cut Federal IT costs by $27.9 billion annually – more than a third of the Federal government’s total IT budget.

The study found that 87 percent of Feds believe cloud computing has transformed their view of shared services, but just 53 percent use shared services today. Fewer – 44 percent – say their agency currently offers IT services to other agencies.

“Federal missions are evolving faster than legacy technology, IT resources, and acquisition strategies and cycles can support. Shared service initiatives drive innovation and transformation of service delivery models,” said Steve Alfieris, vice president of Federal Solutions, ServiceNow. “In addition, government user expectations and demands are being driven by their personal experiences as consumers. The good news is that centralized and standardized processes across all service domains drive true economies of scale and an intuitive and unified user experience across the agency.”

Despite the potential savings and stated strategic importance, many agencies are not taking key first steps to prepare. Less than half (40 percent) have defined goals and objectives, just 32 percent have established Service Level Agreements (SLAs), and even fewer – 16 percent – have developed the financial model and chargeback system to position their IT department as a “broker of services.”

Agency culture (82 percent) and security (68 percent) have slowed implementation, even though 72 percent of respondents say their CIOs have identified shared services as a strategic initiative for 2014. Respondents also struggle with split leadership, estimating CIOs control just 44 percent of their annual IT budget.

“Here’s some statistical insight for FITARA,” said Steve O’Keeffe, founder, MeriTalk. “Less than half of Fed CIOs own their IT budgets. Shared services is the key to centralizing control, accountability, and efficiency.”

Nearly three out of four respondents believe agencies need government-wide shared service brokers to realize shared service goals. To enable government-wide shared services, agencies call for senior leadership support (81 percent), SLAs (75 percent), and a governance process for IT services (66 percent).

Support from leadership and team communications are vital to successfully leveraging shared services. Feds map out key recommendations for agencies:

  • Educate and energize senior leadership on the benefits of shared services
  • Build a strong foundation for long-term success, including defined goals, SLAs, and chargeback systems
  • Leverage cloud to unlock savings
  • Define your services; invest in innovation to deliver
  • Ensure support from executive level is strong

Shared Services: Ready or Not?” is based on in-person surveys of 138 Federal government IT professionals in January 2014. The report has a margin of error of +/- 8.31 percent at a 95 percent confidence level. To download the full study, please visit www.meritalk.com/shared-services.

About MeriTalk

The voice of tomorrow’s government today, MeriTalk is a public-private partnership focused on improving the outcomes of government IT. Focusing on government’s hot-button issues, MeriTalk hosts Big Data Exchange, Cloud Computing Exchange, Cyber Security Exchange, and Data Center Exchange – platforms dedicated to supporting public-private dialogue and collaboration. MeriTalk connects with an audience of 85,000 government community contacts. For more information, visit www.meritalk.com or follow us on Twitter, @meritalk.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

IoT & Smart Cities Stories
Nicolas Fierro is CEO of MIMIR Blockchain Solutions. He is a programmer, technologist, and operations dev who has worked with Ethereum and blockchain since 2014. His knowledge in blockchain dates to when he performed dev ops services to the Ethereum Foundation as one the privileged few developers to work with the original core team in Switzerland.
Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settlement products to hedge funds and investment banks. After, he co-founded a revenue cycle management company where he learned about Bitcoin and eventually Ethereal. Andrew's role at ConsenSys Enterprise is a mul...
René Bostic is the Technical VP of the IBM Cloud Unit in North America. Enjoying her career with IBM during the modern millennial technological era, she is an expert in cloud computing, DevOps and emerging cloud technologies such as Blockchain. Her strengths and core competencies include a proven record of accomplishments in consensus building at all levels to assess, plan, and implement enterprise and cloud computing solutions. René is a member of the Society of Women Engineers (SWE) and a m...
If a machine can invent, does this mean the end of the patent system as we know it? The patent system, both in the US and Europe, allows companies to protect their inventions and helps foster innovation. However, Artificial Intelligence (AI) could be set to disrupt the patent system as we know it. This talk will examine how AI may change the patent landscape in the years to come. Furthermore, ways in which companies can best protect their AI related inventions will be examined from both a US and...
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, discussed how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team at D...
Bill Schmarzo, Tech Chair of "Big Data | Analytics" of upcoming CloudEXPO | DXWorldEXPO New York (November 12-13, 2018, New York City) today announced the outline and schedule of the track. "The track has been designed in experience/degree order," said Schmarzo. "So, that folks who attend the entire track can leave the conference with some of the skills necessary to get their work done when they get back to their offices. It actually ties back to some work that I'm doing at the University of San...
When talking IoT we often focus on the devices, the sensors, the hardware itself. The new smart appliances, the new smart or self-driving cars (which are amalgamations of many ‘things'). When we are looking at the world of IoT, we should take a step back, look at the big picture. What value are these devices providing. IoT is not about the devices, its about the data consumed and generated. The devices are tools, mechanisms, conduits. This paper discusses the considerations when dealing with the...
Bill Schmarzo, author of "Big Data: Understanding How Data Powers Big Business" and "Big Data MBA: Driving Business Strategies with Data Science," is responsible for setting the strategy and defining the Big Data service offerings and capabilities for EMC Global Services Big Data Practice. As the CTO for the Big Data Practice, he is responsible for working with organizations to help them identify where and how to start their big data journeys. He's written several white papers, is an avid blogge...
Dynatrace is an application performance management software company with products for the information technology departments and digital business owners of medium and large businesses. Building the Future of Monitoring with Artificial Intelligence. Today we can collect lots and lots of performance data. We build beautiful dashboards and even have fancy query languages to access and transform the data. Still performance data is a secret language only a couple of people understand. The more busine...
Enterprises have taken advantage of IoT to achieve important revenue and cost advantages. What is less apparent is how incumbent enterprises operating at scale have, following success with IoT, built analytic, operations management and software development capabilities - ranging from autonomous vehicles to manageable robotics installations. They have embraced these capabilities as if they were Silicon Valley startups.