Managing Technology Investments to Provide Value to Citizens in Virginia

1. Commonwealth IT Investment Management (ITIM) Standard Managing Technology Investments to Provide Value to Citizens in Virginia Presenter Presenter’s Title Group/Event Name Date 1

2. Why is ITIM important for the Commonwealth? Commonwealth goal of continuous improvement “Expand constituent impactthrough lower operation costs” “We must pursue more aggressive, transparent goals” Governor Tim Kaine • The Commonwealth must find ways to meet increasing demands through cost savingsand increased productivity. • Investment managementcan contribute to loweroperating costs and thegeneration of internal capital. • The Commonwealth must be innovative in the way in which it invests in IT.

3. How does ITIM support Commonwealth business? • Maximizes business value • Allows the Commonwealth to select IT investments that align with business goals and objectives Examples: Business Need IT Strategy Your business drives Commonwealth IT investments

4. What can ITIM do for my agency? ITIM is a proven business investment methodology that will help you: • Align investments to business goals and objectives • Identify and track spending on IT investments • Control and monitor IT investment projects • Confirm that IT investments are meeting business objectives • Leverage IT investment opportunities that may generate internal capital • Make informed decisions on an IT investment portfolio by assessing value and risk

5. What is the ITIM Standard? • The ITIM Standard documents the current Commonwealth IT investment governance process, for better stakeholder understanding, that allows the ITIB and CIO to meet Code-directed responsibilities in collaboration with business leaders • The ITIM Standard utilizes best practices that are commonly used in both the public and private sector, around the world

6. ITIM answers key investment questions for business leaders Commonwealth Strategic Planning Process Business Plans & Needs What proposed IT investments potentially solve business needs? Pre-Select Investment Results Which IT investments best meet the business needs? Commonwealth Technology Portfolio Evaluate Select Did the selected IT investments deliver the expected business value? Are the selected IT investments performing as planned? Control

7. What benefits have we already seen? • There have been no failed major projects in past 5 years • Projects are completing and meeting performance goals • The Commonwealth has significantly lowered project failure risks and improved decision-making capabilities • IT investments are aligned with business strategy • The Commonwealth has a systematic approach for managing portfolio risk and controlling investment activities • The Commonwealth has identified new opportunities such as shared services

8. As an agency, what do I need to do? • Identify and document business needs derived from: • Citizen needs • Council on Virginia’s Future • Grant funding • Code of Virginia • Agency Strategic Plans • Consumer boards • Governor’s initiatives • Commonwealth Strategic Plan for IT • Federal and State mandates • Evaluate, score, and rank IT investments • Prioritize IT projects • Identify business needs and prioritize potential investments • Develop Investment Business Cases • Research possible enterprise/collaboration opportunities • Update the Agency Strategic Plan and Commonwealth Technology Portfolio

9. A Commonwealth ITIM success story - VDOT Fleet Equipment Management Information System (FEMIS) • VDOT had a business need to track and manage fleet equipment • Documented need for IT investment in the Agency Strategic Plan and Commonwealth Technology Portfolio • Business need aligned with the goals and objectives from the Council on Virginia’s Future

10. A Commonwealth ITIM success story – VDOT (continued) Fleet Equipment Management Information System (FEMIS) • Commonwealth CIO reviewed the Investment Business Case in theportfolio and saw a potential for multi-agency solution • VDOT worked with the CIO to establish a shared service that will benefit multiple agencies • Commonwealth contract is now in place for all agencies • Shared service will reduce Commonwealth costs to set up future independent contracts • Enterprise investment opportunity and resulting shared-service would not have been identified without following ITIM best practices

11. As an agency, what do I need to do next? • Translate business value into performance measures • Develop detailed project plans and execute projects as directed in the Commonwealth Project Management Standard • Develop applications in accordance with statewide technical and data standards for information technology • Submit monthly status reports, requests for baseline adjustments greater than 10%, and IV&V reports for each Major IT Project (as scheduled)

12. A Commonwealth story where ITIM governance and oversight played an important role - SBE VA Election & Registration Information System (VERIS) • SBE had a business need for a new statewide voter registration and election management system • Project started fine, but began to run into serious problems • Vendor missed deliverables and milestones • Assumptions and user requirements were not clearly understood by all the stakeholders • Vendor did not clearly understand the business problem

13. A Commonwealth ITIM success story - SBE (continued) VA Election & Registration Information System (VERIS) • ITIM governance and oversight helped recover a failing IT investment • Internal Agency Oversight Committee (IAOC) identified problem areas and escalated them to the Cabinet level • Secretary of Administration consulted with CIO on action plan • CIO recognized need for new Project Manager and weekly assistance to the Project Management team • A “Help America Vote Act (HAVA)” compliant system was finally delivered, but there were several key lessons learned along the way

14. A Commonwealth ITIM success story - SBE (continued) VA Election & Registration Information System (VERIS) • Lessons learned • VERIS Post Implementation Review Report dated September 19, 2008 stated, “Ensure that the state standards for project management and development are followed” • Stakeholder identification and commitment is vital to success • Assumptions and user requirements must be identified and validated early in the investment lifecycle • The statement of work with the vendor must be detailed and accurate • A realistic, achievable, and detailed project plan is critical to success

15. As an agency, what do I need to do next? • Conduct Post Implementation Reviews on Major IT Projects using the asset performance measures established in the Control Phase • Use asset performance measures to measure the business value • Document IT asset performance • Analyze gaps between current business needs and performance of IT assets • Make a determination to maintain, migrate, improve, or retire each IT asset in the agency technology portfolio

16. Using the ITIM Standard • Each phase of the ITIM process is clearly explained • At the end of each phase, roles and responsibilities are clearly identified 4.3 Control Phase The purpose of the Control Phase is to ensure, through timely oversight, quality control, and executive review, that IT investments are developed and placed in operation using a disciplined, well-managed, and consistent process.

17. Control Using the ITIM Standard (continued) Pre-Select At the end of the Standard, stakeholder responsibilities are listed in bullets and grouped together by phase for quick reference Select Evaluate

18. 2003 Council on Virginia’s Future Long Term Objectives Commonwealth Strategic Planning Process 2005 CommonwealthInformation Technology Investment Management (ITIM) Agency Strategic Plans I.T. Strategic Plans Service Area Plans Commonwealth Strategic Plan for Information Technology 2006 How does ITIM fit within the Commonwealth’s existing strategic planning and performance management model? Commonwealth Strategic Planning Efficiency &Effectiveness ITIM insures that IT investments are aligned with the Council on Virginia's Future long term objectives and The Commonwealth Strategic Plan for Information Technology

19. Next steps ITIB approved September 30, 2008 Enhance investment portfolio management tool to better support ITIM Execute an education and awareness campaign; enhance stakeholder understanding

20. Questions? Contact Information AITR Name 804-phone number Email address Commonwealth ITIM Contact Constance Scott Manager, ITIM Office (804) 416-6179 constance.scott@vita.virginia.gov