Chapter 6: Implementation
Acceptance of my recommendations will lead to a major program of administrative reform and cultural change. For any such program in the public or private sector, successful implementation is not a foregone conclusion. Based on my experience of creating sustainable change in the UK public sector, there are two critical requirements which will determine the success of the proposed program: first, sustained leadership and drive at Ministerial and top official levels; second, ensuring the enablers of change are properly resourced not only in funding terms but also skills of the right calibre.
Once the Ministerial Committee has been established and a strong mandate given to the SIGB, it will be important that the early decisions of these two bodies send out clear signals about the pace and direction of change, and that this is then reinforced through their subsequent decisions.
However, it will also be essential to ensure that whole-of-government ICT approaches and arrangements are ‘fit for purpose’ before they are approved and implemented. This will require agencies to be fully involved in the development of whole-of-government ICT initiatives and for appropriate consultation to take place before approval. Where agencies are asked to take a lead role in the acquisition, development or operation of whole-of-government ICT applications, infrastructure or systems, the governance arrangements will need to ensure there is sufficient funding and that the requirements are specified to meet the business needs of all potential users.
Should the Government accept my recommendations, I recommend that an independent review of progress be undertaken in the first quarter of 2010.
The remainder of this chapter sets out a proposed implementation plan and schedule based on the assumption that the Government approves all the recommendations in November2008.
|
Priority |
Activity |
Responsibility |
Due date |
Benefits |
|---|---|---|---|---|---|
5.1.1 |
High |
Establish a Ministerial Committee on ICT |
PM&C (supported by Finance) |
Nov 2008 |
Clearer alignment of ICT with government policies and outcomes |
5.1.2 |
High |
Create a Secretaries' ICT Governance Board (SIGB) |
AGIMO |
Nov 2008 |
Whole-of-government ICT governance that defines the ICT strategies in agreed areas |
5.1.3 |
High |
Develop whole-of-government opt-out criteria from agreed activities, for approval by the Ministerial Committee |
AGIMO |
Mar 2009 |
Opt-out decisions taken from a whole-of-government perspective. Full benefits from whole-of-government activities are derived |
5.1.4 |
Medium |
Redefine AGIMO’s role |
SIGB |
Jan 2009 |
Proactive lead role in Government ICT. Coordinate whole-of-government approaches with lead agencies. Realise economies of scale and reduce duplication across agencies |
5.1.5 |
Medium |
Establish a Program Board |
PM&C, Finance and AGIMO |
Nov 2008 |
Effective and efficient governance overseeing the implementation of review recommendations and ensuring that the benefits are realised |
Priority |
Activity |
Responsibility |
Due date |
Benefits |
|
|---|---|---|---|---|---|
5.2.1 |
High |
Improve agency capability Develop a common organisational capability methodology, undertake three pilots and assess the results |
Cabinet Implementation Unit, AGIMO and agencies |
Sep 2009 |
Greater alignment of agency capability and IT investment. Increased likelihood of successful outcomes of projects as agencies undertaking these projects have a much better understanding of their capabilities. The Government is less likely to approve funding for new projects where agencies are not able to demonstrate a corresponding capability |
b |
High |
Roll out common organisational capability methodology across 28 large agencies and provide ongoing support |
Agencies |
Sep 2010 |
|
c |
High |
Large agencies to propose a target level of organisational capability that is independently validated, and develop a capability improvement plan |
Agencies |
Dec 2010 |
|
d |
High |
Develop and implement a ‘lite’ methodology for smaller agencies |
AGIMO |
Jun 2010 |
|
e |
High |
Agencies to undertake self assessment of organisational capability biannually to compare their actual capability against their target capability |
Agencies |
Sep 2012 |
|
5.2.2 |
Medium |
Strengthen the link between policy formulation and implementation |
|||
a |
Medium |
Include agency capability assessment in the two-pass investment approval process |
AGIMO |
Dec 2010 |
Alignment of agency capability and IT investment for 2011–12 Budget process |
b |
Medium |
Develop guidance on relative costs and benefits of COTS/GOTS |
AGIMO |
Mar 2009 |
Transparent decision making, understanding the full life costs and future liability |
c |
Medium |
Implement Gate 0 Gateway reviews and integrate Gateway Review outcomes into NPP process |
Finance |
Mar 2009 |
Improved investment decision-making and better planning/articulation by agencies of project outcomes and benefits |
d |
Medium |
Build on existing training and policy guidance for Senior Responsible Officials |
Finance |
Jun 2009 |
Improved governance/ management of projects through greater understanding by SROs of their responsibilities |
5.2.3 |
Low |
Identify a custodian of best practice in benefits realisation |
Cabinet Implementation Unit and AGIMO |
Jan 2009 |
Improved management of benefits realisation by agencies through provision of practical advice and support to help agencies develop capability in this area |
Priority |
Activity |
Responsibility |
Due date |
Benefits |
|
|---|---|---|---|---|---|
5.3.1 |
High |
Target to move the split between BAU and creation of new capability through the following: |
|||
a |
High |
Develop and agree a methodology, a common ICT chart of accounts and a common set of efficiency metrics |
Finance |
Oct 2008 |
|
b |
High |
Deploy ICT Review Teams to assist agencies identify reductions (phase 1). Seven teams to support 28 large agencies |
Finance, including external resources and agency secondees |
Mar 2009 |
Savings of approx $400M over 2 years, with release of resources for investment in developing new capability, as opposed to running the business. Inculcation of a culture of efficiency and cost-sensitivity within agencies |
c |
High |
Deploy ICT Review Teams (phase 2). Seven teams to support 28 large agencies |
Sept 2009 |
||
d |
High |
Assist smaller agencies to achieve target savings |
Finance |
Dec 2009 |
|
5.3.2 |
Medium |
Develop effectiveness metrics |
AGIMO/lead agencies |
Jun 2009 |
Potential for savings by identifying areas where agencies’ performance is not effective, through meaningful comparisons/ benchmarking across agencies |
b |
Medium |
Undertake annual benchmarking exercise |
AGIMO |
Dec 2009 |
| Priority | Activity |
Responsibility |
Due date |
Benefit |
|
|---|---|---|---|---|---|
5.4.1 |
High |
Create a whole-of-government ICT career structure Develop a whole-of-government strategic ICT workforce plan |
APSC, PM&C, AGIMO and lead agencies |
Mar 2010 Mar 2010 |
Better managed workforce – reduced costs and less delays for ICT projects. Improved staff retention also brings secondary benefits such as retaining corporate knowledge |
5.4.2 |
High |
Reduce total APS contractors and increase the number of APS ICT staff |
Agencies |
Oct 2010 |
|
5.4.4 |
High |
Examine current security vetting processes and identify best practice |
SIGB and AGD (PSPC) |
Sep 2009 |
Reduced transaction costs and facilitation of transfer of resources between agencies |
5.4.5 |
Low |
Equip organisational leaders’ to harness the potential benefits of ICT |
APSC and AGIMO |
Jun 2009 |
Promotion of greater understanding of ICT issues at senior levels of agencies will facilitate a more strategic focus on ICT and increased alignment with business priorities |
5.4.6 |
Low |
Establishment of a whole-of-government tele-working policy |
AGIMO |
Sep 2009 |
Assists with recruitment and retention making the government an attractive employer of ICT staff |
5.4.7 |
Low |
Sponsorship of annual ICT awards |
APSC and AGIMO |
Sep 2009 |
Making government employment more attractive through encouragement to ICT practitioners |
Priority |
Activity |
Responsibility |
Due date |
Benefit |
|
|---|---|---|---|---|---|
5.5.1 |
High |
Develop a whole-of-government data centre strategy |
AGIMO and lead agency secondees |
Sep 2009 |
Avoidance of a significant future cost through a coordinated approach to acquisition of data centre space as agencies currently have autonomous arrangements |
| |
Priority |
Activity |
Responsibility |
Due date |
Benefits |
|---|---|---|---|---|---|
5.6.1 |
Medium |
Make better use of the Government’s collective buying power: |
|||
a |
Medium |
Optimise the number of ICT panel arrangements established by agencies across government, including improving procurement arrangements for commodity products and services and volume sourcing arrangements for key items of software |
Finance and agencies |
Sep 2009 |
Reduce administrative and transaction cost |
b |
Medium |
Develop and implement |
Finance and agencies |
Dec 2009 |
Reduced costs to agencies through harnessing government collective purchasing power |
c |
Medium |
Implement strategic management of key ICT suppliers |
Finance and AGIMO |
Sept 2009 |
Will enable a whole-of-government (single customer) perspective on key suppliers, with potential savings through coordinated approaches to suppliers, more responsive supplier performance through relationship-building and proactive consideration of developments in the vendor market |
5.6.2 |
Low |
Work with industry to develop client and supplier codes of conduct |
AGIMO and industry |
Dec 09 |
Increased transparency and accountability in government procurement. More efficient market through entry of new vendors. Improve industry and government relationship |
5.6.3 |
Low |
Reassess current IP policy |
AGD, AGIMO and lead agencies |
June 09 |
Potential for reduced costs to agencies since vendors are able to grow revenue through leveraging IP |
5.6.4 |
Low |
Integrate the Government’s ICT and SME policies |
Finance and agencies |
Sep 2009 |
More efficient market through facilitation of entry of SME suppliers |
5.6.5 |
Low |
Consider the net benefit from the A$80K threshold under the Free Trade Agreement |
DFAT |
Sep 2010 |
Potential for reduced transaction costs for agencies and suppliers through a decrease in the number of tender processes |
Priority |
Activity |
Responsibility |
Due date |
Benefit |
|
|---|---|---|---|---|---|
5.7.1 |
High |
Develop a whole-of-government ICT sustainability plan |
AGIMO, DEWHA and agencies |
Dec 2009 |
Contribute to the government’s overall agenda to manage carbon emissions, and reduced rate of growth in energy costs |
b |
High |
Agencies to develop an ICT energy efficiency plan |
Agencies |
Mar 2010 |
|
c |
Low |
Develop Green ICT Procurement Kit |
AGIMO |
Dec 2009 |
|
5.7.2 |
Low |
Green ICT quick wins |
AGIMO |
Mar 2009 |
Enables energy efficiency savings and builds momentum for a whole-of-government initiative |
Image: Implementation Schedule - Click on image to enlarge
Implementation activities fall into two broad categories: Those enabling activities which are one off and need to be undertaken at the beginning of or early in the implementation phase (e.g. the development of efficiency metrics), and those activities that are ongoing (e.g. the implementation and ongoing use of efficiency metrics). In most cases an ongoing activity is preceded by an enabling activity.
Text description of Implementation Schedule image.
Contact for information on this page: ICTReview@finance.gov.au