Saturday, June 11, 2011

The Business of IT - Facing Down the Budget Crisis

The Federal budget crisis is clearly affecting business as usual for all Federal agencies. Federal CIOs are dealing with the leading elements of the budget crisis - short-term funding and more active cross-government oversight of IT spending and projects. Federal CIOs are also in the vanguard of those addressing the Obama administration's IT reform initiative, which is largely focused on consolidation and large-project risk management.

While this crisis creates many difficulties for CIOs, in many ways IT offers the potential for addressing budget shortfalls. IT costs are steadily declining on a price/performance basis, and the CIOs have tremendous opportunity to use their IT dollars more effectively through consolidation and avoidance of duplication. Perhaps more importantly, IT also provides the capability to manage mission programs better by streamlining processes, incorporating new technologies and more fully engaging the citizenry in "self-service" delivery of government services.

Are you seeing the impacts of the budget crisis beginning to affect longer-term strategy? Are components of your agency beginning to work together more cooperatively? Is your senior leadership using the budget as a leverage to deliver meaningful change? Is your CIO organization equipped to play a bigger role in agency transformation?