CCSF – Citywide IT Plan Current State Assessment December 18 th, 2008 Craig Holt, Consulting Director

Strategic Plan Framework  Current State Assessment  Validate City Vision for IT  Leverage MSAs to generate “best thinking”  Develop candidate improvement projects  Develop implementation “work plan”  Begin implementation

Key Drivers for Change  Customer Service –Demand for anytime anywhere access to government ( 311) –Impact of “free and easy” – shifting to web –Socially responsible manor – sunshine law and tech as enabler  Financial –Demand for cost cutting - $125 million now, $575 million later –Need for new sources of revenue –Need to use existing resources more effectively - consolidation  Operations –Ensure reliable services – at least 5 major systems are “aging” and would benefit the City significantly if replaced in the next 5 years –Develop innovative services - Social networking –Reduce organizational risk (security)  Organization and Staffing –Changing staff demographics - Generation X, Y and now Z –Absolute need for training to “keep up”, or “give up”

Historically re-occurring Themes  IT leadership for the City is important and needs to have the appropriate visibility, authority, and reporting structure,  The planning for IT needs to be coordinated City wide,  How the City organizes and delivers IT needs to be integrated better,  IT human resources (people) warrant a City wide view towards management, skill development, career planning, and capacity management,  IT as an Investment which recognizes the importance of IT generating a positive ROI,  Customer involvement & feedback with respect to IT project selection, rate setting, performance management and oversight,

Current State: IT Organization  Complex City organization structure –50+ Departments –Other organizations such as Commissions, CACs, etc.  Complex City technology organizational structure –City departments building capacity/capability –General fund departments increased 58% since FY –Movement away from central IT shop –DPH, PUC, Airport, HSA, MTA top 5 departments after DT in total IT staff –DT only 21 percent of total tech FTE –DT staffing reducing every year  Complex City technology governance structure –COIT – 11 members –4 Subcommittees – 37 members

Current State: IT Staffing  Skills an issue –Variation in skills and abilities –Industry benchmark is technology skills updated every 18 months, City is on 3 year cycle. Difficult to determine if maintained.  Recruitment an issue –Traditional recruitment methods don’t appear to be working  Hiring and Layoffs an issue –City tends to hire experienced people for legacy support, not people with most current technology skills –Layoffs eliminated some of the newest hires with recent skills  Aging IT workforce an issue –Most senior IT titles (Senior BA, IS Manager, etc) –Highest population (Programmer Analyst)

Current State: Technology  No one city inventory of various technologies exist –Hardware/software –Systems  Duplication of functions –Data Centers –Service and Help Desks  Little Standardization –Hardware such as Servers, PCs, Laptops, Printers –Software –Services  The City’s decentralized approach to technology often results in: –A complex technology structure that is difficult to maintain –A higher total procurement and operation cost –Lack of integrated Asset management

Current State: Process  City does not know, in aggregate, how much it spends on technology –Accounting system doesn’t track detail –Sharing of data between Departments doesn’t appear to be taking place  City has hundreds of business processes that are managed without benefit of technology.  Nearly all City business processes and associated applications lack documentation including standard operating; –Procedures / Policies –Software manuals –Training materials  Much has been said about the importance of customer feedback and good performance measurement, yet, the data doesn’t appear to exist to manage IT effectivel y

Internal and External Audits  3 (now 4) audits –Civil Grand Jury (One completed, and now a second one underway….) –Controller’s –Board of Supervisors  81 recommendations –Majority were operational construct 55% focused on business process –Remaining could be summarized into the following topics Organizational Structure (9%) People (13%) Technology/Vision (9%, 14%) –Difficulty focusing on vision

Assessment of Progress  75% (61 of 81) of recommendations have been addressed – in some fashion; – People: DT performs first internal skills assessment – Process : COIT develops new budget process – 30 participate in first phase – Structure: “Federated Model” roll-out begins - Transfer of functions – Technology : DT creates PMO, including “tools” for enablement  25% (20 of 81) of recommendations have not been addressed – in a substantive way; – People: Citywide IT human resource planning – Process: Citywide Funding Model for IT – people, technology, systems, etc – Structure: Consolidation and restructuring for efficiency – Technology: Management and Performance

Go Forward What When  Leverage MSA’s to generate “best thinking”  Develop candidate improvement projects, validate impact in advancing City Vision for IT  Develop implementation “work plan” for projects  Begin implementation and monitor/report on progress  January 2009  February 2009  March 2009