To outsource or not to outsource?For most agencies, that is <i>not</i> the question. The question now is: When and how?
BY RICHARD W. WALKER
ATF farmed out its desktop and network services without cutting jobs, CIO Patrick Schambach says.
'We failed miserably' in selling the concept of ODIN to employees, NASA's Mark Hagerty, left, says. Rep. Tom Davis (R-Va.) wants to review all aspects of outsourcing.
A-76 is 'broken process'
GCN, April 16, Page 1
|Case file: OSD|
Who: Office of the Secretary of Defense
What: OSD in January awarded Lockheed Martin Systems Integration of Owego, N.Y., a 10-year contract through the General Services Administration's IT outsourcing program. The contract will cover 7,000 seats on the Non-Classified IP Router Network.
Description: Lockheed Martin's Systems Solutions of Manassas, Va., will supply seat management, network services, application packages and development, information assurance, document management and enterprise e-mail. Lockheed Martin Information Support Services of Seabrook, Md., will support OSD's desktop systems and related infrastructure.
Scott Ducar, technical director of network operations in the Office of the Assistant Secretary of Defense for Command, Control, Communications and Intelligence, said Lockheed so far has rolled out about 1,000 seats. 'C3I is the guinea pig,' he said.
Upshot: 'It wasn't to save dollars, although we are very cost-conscious,' Ducar said. 'The real reason was to improve service to our users. They were not getting the level of service they needed to fulfill their missions.'
The organization also wanted to identify its total cost of ownership. 'Many of our IT expenditures were hidden in line items hither and yon,' Ducar said. 'We didn't have a clear idea of [what] we were spending on IT.'
Another benefit: Lockheed Martin's large R&D lab. 'We're leveraging off their lessons learned on what they're doing for other customers,' Ducar said. 'We couldn't afford to do that ourselves.'
|Case file: HCFA|
Who: Health Care Financing Administration
What: HCFA in June 1999 struck a three-year, $25 million deal with Science Applications International Corp. of San Diego under the Outsourcing Desktop Initiative for NASA program for managed PC services at HCFA headquarters in Baltimore, its Washington office, 10 regional sites and 14 other locations.
Description: HCFA wanted to move to a common computing environment and be year 2000 ready in one sweep. SAIC, one of seven ODIN contractors, replaced a jumble of PC brands and operating systems with Microsoft Windows NT running on IBM Corp. hardware. The company had installed 3,500 seats by September 1999. It now serves 5,500 seats across the country, including 300 notebook PC users.
Upshot: 'I think we've met our expectations and then some,' said Ed Gray, manager of HCFA's Desktop Replacement Initiative. HCFA has kept costs down and technology up-to-date, he said.
SAIC has just completed a 1,000-seat hardware upgrade to IBM NetVista PCs, Gray said, adding that HCFA's hardware is on an 18-month refresh cycle. Later this year, the contractor will embark on an enterprisewide software upgrade to Windows 2000 and Microsoft Office 2000.
'Your relationship with your contractor is a big thing,' Gray said. 'The partnership approach works so much better than an antagonistic one. That's true in a lot of areas, but it's especially true in seat management.'
NEXT STORY: Notebook PCs go wireless