CLIENT: A Large Midwest State – Information Technology Enterprise Infrastructure and Personnel Assessment 

BACKGROUND:

This engagement was focused on all 43 Executive Branch Departments and included over 1800 IT personnel, $140 million in IT funding and direct interaction with over 450 personnel.

Coeur Group provided a total IT infrastructure and organizational assessment with immediately actionable recommendations.  Coeur Group assessed and developed critical projects focused on the procurement processes, vendor management and sourcing strategies for the state.

CRITICAL ISSUE:

The State Legislature requested that Coeur Group conduct full IT Organizational study and develop optional scenarios to maximize efficiencies and effectiveness of the state’s multiple technology organizations. The population of information technology personnel this engagement covered included over 1800 IT personnel as part of the AFSME union.

HOW OUR CONSULTANTS HELPED:

As part of Coeur Group’s BusinessFirst approach 43 Department heads, 43 department management staff, the Governor’s office, Chief of Staff, Budget and Management Office, and legislators were interviewed to gain business, legislative and the Governor’s agenda input to the processes.  Funding levels for the Enterprise IT organizations were approximately $140 million per year.  Coeur Group identified an additional $40 million dollars in “Shadow IT” spend efforts. Coeur Group provided executive feedback and immediate actionable recommendations as well as identifying unique Critical Success Factors for each of the individual departments including Federal and State funding streams.

Workshops based on IT industry standards such as ITIL, CoBIT, PMI, OPM3 and IT Governace provided critical IT organizational input and collaboration.  and integration of standards were utilized to drive an improvement roadmap.

The complexity spanned direct interviews; feedback sessions and interaction with over 450 personnel to ensure the organizational recommendations, design and infrastructure assessment were validated and provided a true picture of events, costs and activities of the Enterprise IT organization. Workshops where conducted utilizing Control Objective for IT (CoBIT), Information Technology Infrastructure Library (ITIL), Project Management (PMI Standards) and Organizational Program/Project Management Maturity Model (OPM3).

The technical infrastructure complexity was significant since most of the 43 Departments had a separate CIO and IT organizational structure including separate procurement of technology.  Over 200 vendors were identified as being the primary suppliers of technology and applications.

Success criteria were based on the design and development of a Transition Roadmap for the IT organization.  Three workable Enterprise IT Organizational scenarios (complete with structure, Job functions and high level descriptions) were requested by the Legislature along with associated transition cost, for each organizational scenario.

Coeur Group not only provided three workable scenarios, but provided a basis of current operational readiness, infrastructure capabilities and capacity for change as well as identified cultural inhibitors and recommendations for enabling AFSME, IT management and Department head buy-in of the move forward process.

Coeur Group identified immediate (fiscal year) and long term (3 and 5 year windows) of cost savings and operational effectiveness improvements.

Coeur Group recommended a Shared Services scenario with Statewide IT Funding Governance. The Governor and Legislature approved moving ahead with this organizational scenario.

The “Business Plan” for the EIP project included an external “Government Trends” report detailing current and emerging technology trends in Government organizations, organizational constructs and a Benchmark study comparing all US States for organizational transformation, IT operations capacity as well as personal interviews with State CIO’s and IT Management.

PROJECT OUTCOMES:

Coeur Group utilizes Projects to drive transformation. Additionally the “Business Plan” provided for 8 distinct Programs which would enable the transformation from current organizational capabilities (not providing the state with required technology enablers, information exchange and skills levels), and structure to the desired state organization and IT Strategy.  Identified within the Business plan were cost savings, resource requirements, financial plans for 3 and 5 year periods as well as operational “Best Actions” to “Best Practices”.

Lesson learned included the client’s immediate capability to implement some of Coeur Group’s initial “Actionable Recommendations” and within 45 days gained a one year savings of over $800,000.00 dollars.  3 year savings will be significantly over 5 million from just three of the 8 programs defined by Coeur Group.

Based on the Coeur Group team, the Governor accepted the proposed program recommendations and requested funding from the Legislature. Coeur Group identified over $36 million dollars in savings and defined the Transitional Roadmaps to gain this value over the next 36 months.

8 specific programs were defined to gain over $36 million in identified savings.  Initial savings of over $800,000.00 were recognized within 45 days of Coeur Group’s actionable recommendations providing an immediate payback.