CIOB Update The changing landscape of IT in the Government of Canada

Transcription

1 FMI Development Week: 2011 Seizing Opportunities CIOB Update The changing landscape of IT in the Government of Canada Patricia Sauvé-McCuan Project Executive, Financial Management Business Solutions Project, Grants & Contributions Systems Chief Information Officer Branch (CIOB) Treasury Board of Canada Secretariat (TBS) 22 November 2011

2 CIOB Update The changing landscape of IT in the Government of Canada Agenda Government of Canada Strategic Direction Deficit Reduction & Improved Service Delivery Strategic drivers Budget 2011: Standardize, Consolidate, Re-engineer Chief Information Officer Branch (CIOB) - Strategic Direction Enterprise approach IT Expenditure Management & Reporting Alignment to OCG Strategic Direction Other IT Enterprise Initiatives 2

3 Government of Canada Strategic Direction Deficit Reduction & Improved Service Delivery Departmental Strategic Reviews Administrative Services Review Citizen centric approach effective government Budget 2011 identify opportunities for additional savings and to improve service delivery 3

4 Citizen-centric Approach Whole-of-government framework: Create economies within Government to enable better services to Canadians Accountable, transparent, and responsive government Safe and secure Canada Healthy Canadians Social Affairs Diverse society that promotes linguistic duality and social inclusion Vibrant Canadian culture and heritage Well managed and smoothly operating government machinery Clean and healthy environment Fair and secure marketplace Strong economic growth Income security and employment Economic Affairs Innovative and knowledge-based economy Government Affairs Strong and independent democratic institutions Prosperous Canada through global Commerce International Affairs Global poverty reduction through sustainable development Safe and secure world thru international cooperation Strong and mutually beneficial North American partnership 4

5 Budget IT Strategy Foundation element of the IT Strategy of the GC is to examine government-wide solutions that will standardize, consolidate and reengineer the way it does business Standardize Consolidate Re-Engineer Standardization - the essential first step to modernization of IT Government taking a significant step in IT services consolidation with SSC Portfolio management: clustering of platforms and enterprise systems Reengineering service delivery internally & externally 5

6 The Case for GC IT Change Strategic Direction to operate the Government of Canada (GC) as an Enterprise Technology evolving faster than our ability to manage evergreening Interoperability of systems is necessary Aging IT is a significant problem requiring new approaches to IT sustainability Few departments have multi-year, systematic approaches to renewing mission-critical and other applications and systems 6

7 Shared Services Canada New Agency reporting to Minister of PWGSC Strengthened authorities, mandatory service Consolidate IT resources and personnel from 44 departments and agencies for IT Infrastructure service delivery: Datacenter: facilities, servers, equipment Networks GC wide SSC Key Focus over next 6 months Maintaining service levels while establishing their new organizational processes 7

8 Re-engineering Value Model for Standardization, Consolidation and Re-engineering ONE Client Maintains High Cost & Duplication High Diversity High Value High Complexity ONE Back End Consolidation Standardization 8

9 CIOB Strategic Direction Government Mandate Protect and Serve Government Strategic IT Objectives Efficiency Effectiveness Agility Innovation Government IT Challenges Aging IT Diversity Lack of Standards Fragmentation CIOB Mandate Government Standardization, Consolidation and Re-engineering DCE Applications & Database Production Operations Telecomm (Voice & Data) Strategy and Policy Directives Standards Security Priorities Aging IT Datacentre Cloud Network Applications DCE icoe SOA Portals 9

10 IT Expenditure Management IT Assets IT Costs IT Performan ce Indicators Ability to manage effectively, respond to questions, change course, optimize, 10

11 IT Expenditure Management & Reporting Private sector and public sector practices Dept 1 Distributed Computing Application/ Database Development and Maintenance Production and Operations Computing Telecommun ications (Data and Voice) Hardware $ $ $ $ $ Software $ $ $ $ $ Salaries $ $ $ $ $ External Services $ $ $ $ $ Facilities $ $ $ $ $ Transfer $ $ $ $ $ IT Security Hardware and Software Costs possible through Financial System Challenges with sufficient detail in Chart of Accounts and financial coding practices Salaries Often not available at granular level from a Financial System Organizational charts supplemented with methods of time attribution allows approximation External Services and Transfers Costs possible through Financial System Challenges with sufficient detail in Chart of Accounts and financial coding practices Facilities Costs often managed at an Enterprise level, and not available directly from a Departmental Financial System Special purpose facilities (eg data centres) need separate treatment 11

12 GC IT Expenditure Cost Model Building a comprehensive picture of how IT dollars are spent Hardware Technology Category Software Personnel Outsourcing/Services Skill and Activity Application development Application support IT Cost Model Platform Management and administration Data centre Network Line of Business Helpdesk Desktop Maintain Strategic Imperative Evolve Innovate 12

13 IT Expenditure Management & Reporting How much are we spending on IT? Discovering the total IT cost is more complex than is often imagined Is this the right level of expenditure for our organization? Having begun to understand the total expenditure on IT, the second question becomes both is this the right amount and what am I getting for that expenditure The bulk of IT allocation is related to keeping the lights on Source: Business Opportunity 22% Innovation 8% Mandatory 7% Maintenance 63% Adapted from 2007 IT budget and spending benchmarks, CIO executive board,

14 IT Expenditure Management & Reporting Leveraging OCG Departmental Charts of Accounts Department and Agency Requirements (information, policy, process) GC-Wide COA, RG (CFMRS), etc. Responsibility Dept/Agency 3 Characters XXX Financial Reporting FRA 5 Characters XXXXX Authority Program Object Authority 4 Characters XXXX PAA 5 Characters XXXXX ECON 4 Characters XXXX Transaction Type I/E Indicator 1 Character X Departmental Common Chart of Accounts Responsibility / Organization Allotment Program Activity Line Object Internal / External Delegated authorities (budget, costs) Funds, budgets, allotments, suballotments Program Activity, Sub-Activity, Sub-Sub Activity G/L Account, Financial Reporting, I/E, Trading Partner Related elements, master data, etc. Project Internal Order Product Asset Vendor Procurement Item Focus of LOBJ modifications to facilitate IT costing * Source: OCG CEDI Project 14

15 IT Expenditure Management & Reporting Bringing IT Value to Organizations Hardware Technology Category Software Personnel Outsourcing/Services Skill and Activity Application development Application support IT Cost Model Platform Line of Business Strategic Imperative Management and administration Data centre Network Helpdesk Desktop Maintain Evolve Innovate Data gathering Inferences filling in the blanks Identified areas of opportunity Develop detailed plans and implement for cost takeout, refocused investments, sourcing decisions, renegotiations, Initial scoping Depth of Analysis and Details of implementation options Quality and Completeness of Data 15

16 IT Expenditure Management & Reporting IT Balanced Scorecard Financial To succeed financially, how should we appear to our shareholders? Internal Business Processes To satisfy our customers, what business processes must we excel at? Vision and Strategy Customer To achieve our vision, how should we appear to our customers? Learning and Growth To achieve our vision, how will we sustain our ability to change and improve? 16

17 Finance & Materiel Systems Strategy Standard data models, business processes and platforms are being created Common Enterprise Data initiative (CEDI) Financial Management Business Process initiative (FM-BP) Financial Management Business Solutions Project (FM-BSP Departments are to move to GC-wide standard configurations Defined in the draft Standard on Enterprise Resource Planning Systems TB Submission for FM-BSP led by OCG Moving Forward (Jan 2012) PWGSC finalizing blueprint with SDAs for common FM solution Opportunities for the standardization and consolidation of ancillary financial and materiel systems will to be pursued e.g. Procure to Pay functions (Financial Management, Financial Reporting, Materiel Management, etc) 17

18 Finance & Materiel Systems Strategy (cont d) Systems are to be considered horizontally within the GC to derive efficiencies, economies of scale and maximize business value IT investments related to Financial and Materiel Management must not proceed independently without CIOB and OCG guidance Opportunities for consolidation (systems and infrastructure) must be considered Realization of the strategy will result in improved decision making and improved reporting e.g. Parliament, Central Agencies, etc. 18

19 Discussion and Questions 19

20 Contact information: Patricia Sauvé-McCuan Project Executive, Financial Management Business Solutions Project, Grants & Contributions Systems

21 QUESTIONS? 21