The document discusses strategies for reducing government spending and debt. It notes that the national debt is over $17 trillion and unfunded liabilities top $125 trillion. It advocates for strategic sourcing to aggregate purchases and realize savings of 10% or $50 billion annually. Examples are provided where consolidating systems, adopting cloud services, and eliminating paper processes have saved hundreds of millions to billions of dollars. Data center consolidation and reducing duplicate systems are projected to save billions more by 2015. The document promotes principles of simplifying processes, automating manual tasks, modularizing systems, standardizing on open solutions, continuously innovating, and ongoing training to operate more efficiently.
2. US Debt & Liabilities
National Debt. - 17 Trillion Dollars
Increasing - 4 Billion Dollars every day
Unfunded Liability > 125 Trillion Dollars
(Soc. Sec. + Medicare + Prescrip. Drugs)
3. Can we meet the Challenge?
Yes, we can. We have done it before.
We continue to be innovative,
creative and resilient.
4. Public Servants – Our Commitment
• To serve the American People
• To do our part to reduce govt. expenses, and
increase peace and prosperity of the nation
• Reduce cost without reducing Citizen Services
• Continue to Innovate, Evolve, Change and Adapt -
to become more Efficient and Effective in High
Quality Citizen Service Delivery
5. How to reduce cost?
Strategic Sourcing:
Move from numerous individual procurements to
aggregate purchases (Products, Licenses, Services, etc.)
Annual Federal Spending – 537 Billion
Potential Savings (10%) – 50 Billion
(GAO Report 2013)
6. Success Story
Strategic Sourcing Examples:
Dept. of Homeland Security (DHS)
FY 2010 - Saved 200 Million – Office
Supplies, Shipping, etc.
FY 2011 – Saved 386 Million (FEMA, Coast
Guard, Customs and Border Protection)
7. Cloud eMail at USDA
21 separate email systems (duplication of HW, SW,
people, process, etc.)
Moved to one private cloud-based SaaS
Cost reduction of 66% or $500 million
Per mail box cost dropped from $24 to $8 per month
1st
Cabinet Level Agency to adopt email Cloud
Computing
8. Data Center Consolidations
Example : USDA Enterprise Data Centers
• 40% decrease in HW and SW infrastructure
• 20% decrease in service cost in the past 2 years (IaaS, PaaS)
• Server builds - from weeks to hours
• 1st
to get FedRAMP Certification (in the Federal Govt.)
• Savings: 19.4 million / year for US taxpayers (Source: FCW
March 20, 2013)
9. SNAP - ALERT System
Supplemental Nutrition Assistance Program
- $86.2 Billion (FY 2012 – 58% of USDA budget)
- ALERT Fraud Detection System – 3 billion
transaction per year analyzed
- Disqualify fraudulent retailers
Result: Saving taxpayers $330 million per year
10. Secretary Vilsack’s Blueprint for Stronger Service
has saved US Taxpayers more than
Source: http://www.usda.gov/....blueprint_for_stronger_service.html
12. FDCCI
Target: Eliminate 1,200 datacenters by 2015
(40% reduction) – Expected savings in billions
Total Datacenters: 3,133 (current)
13. Shared Services
Success Story : National Finance Center (NFC)
• Payroll Services for USDA and 170 agencies in
all 3 branches of Federal Govt.
• 655,000 paychecks (35% of civilian workforce)
every two weeks
14. Digital Documents
Examples:
Air Force move to digital document sharing,
electronic forms and electronic publishing – 80
million savings in next 5 years (FCW, Sept. 2012)
NASS – USDA: Digital Surveys (using iPads instead
of paper forms) saving US taxpayers about 3-5
million annually (Source: FCW, July 2013)
15. IT Efficiency Enablers
(convergence)
• Cloud Computing (Virtualization - Compute, Storage
and Networks - Shared Services)
• Big data (Structured, Unstructured, In Memory db,
Predictive Analysis, Machine Learning, MapR, etc.)
• Mobility (VDI, IAM, apps, phones, tablets, telework)
• Social Media – Facebook, Twitter, LinkedIn, Google
+, mySpace, YouTube, Pinterest, CafeMom, meetUp
17. Uncle SAM’S IT
Simplify: Complexity is costly
Takes too many resources to manage
and maintain. Keep it simple. It makes
everyone's life a lot easier.
18. Uncle SAM’S IT
Automate: Manual processes are error-prone and
expensive.
Decrease Cycle time. Be agile. Adapt quickly to
changing situations and operational environments.
Remove unnecessary steps that add no value to the
product or service to the Citizens.
19. Uncle SAM’S IT
Modularize: Self contained modules with clearly
defined interfaces (APIs) are easy to manage and
maintain (think Lego blocks) – Plug and Play.
Loosely-coupled and tightly-integrated functionality.
Avoid building big monolithic monster systems that
take too long to build and are too costly to manage
and maintain.
20. Uncle SAM’S IT
Standardize: Avoid customizations and proprietary
architectures, protocols, interfaces, frameworks,
models and systems as much as possible.
Use widely-accepted standards for easy integration,
maintenance and interoperability – COTS, Commodity
HW, Open and International Standards, SEI-CMM, ITIL,
Notations, Nomenclatures, etc.
21. Uncle SAM’S IT
Innovate: Continuously improve process,
products and services.
Do it better at a lower cost
Adopt Kaizen, Lean Six Sigma, Balanced Square
Card, BPR, CMMi, ITIL, Malcolm Baldrige, TQM,
etc., principles as needed.
22. Uncle SAM’S IT
Train: Continually educate/train/develop
employee new skills – for evolving and new
technology (Cloud, BigData, Mobility, DevOps),
business process, customer service, etc.
Employees are critical. Treat them fairly and
appreciate their contributions.
23. Uncle SAM’S IT
Simplify: Complexity is costly
Automate: Manual process – error-prone and expensive
Modularize: Self-contained modules with clearly-defined interfaces (APIs)
are easy to manage and maintain (Lego blocks) – Plug and Play
Standardize: Avoid customizations and proprietary systems as much as
possible. Use widely accepted standards for easy integration and
interoperability – COTS, Commodity HW, Open Standards
Innovate: Continuous improvement (Kaizen) to do it better, at lower cost
Train: Constantly educate/train/develop employee new skills for
evolving technology, business process, customer service, etc.
24. Uncle S A M ’S I T
(Simplify, Automate, Modularize,
Standardize, Innovate and Train)
