Team A
What is a strategy?
“
“
Strategy is the
Strategy is the
direction
direction
and scope of an
and scope of an
organization over the
organization over the
long
long
-
-
term
term
: which achieves
: which achieves
advantages
advantages
for the organization through its
for the organization through its
configuration of resources within a challenging
configuration of resources within a challenging
environment
environment
, to meet the needs of
, to meet the needs of
markets
markets
and fulfill stakeholder expectations.
and fulfill stakeholder expectations.
”
”
“A strategy is a plan of actions designed to
achieve a particular plan.”
Selection of domains
Multi-tenants selection
Vendor criteria
SaaS Strategy
SaaS Strategy
Document
Document
Long-term opportunities
Long-term threats
• The Threat and Opportunity Matrix will help identify
and prioritize the long-term opportunities of
implementing a SaaS strategy.
• From the SaaS Universe we need to select those
domains that worth pursuing at the state level.
• Multiple agencies use a single software instance.
Identify the horizontal and vertical application domains.
SaaS strategy elements
SaaS strategy elements
• The Threat and Opportunity Matrix will help identify the
long-term threats of implementing a SaaS strategy.
• Brainstorm and select top essential and desirable
Long Term
Short Term
Hindrance
(Threat)
Help
(Opportunity)
Threat and Opportunity Matrix
Financial
Security
Staffing
Financial
Security
Staffing
Selection of domains
Multi-tenants selection
Vendor criteria
SaaS Strategy
SaaS Strategy
Document
Document
Long-term opportunities
Long-term threats
• The Threat and Opportunity Matrix will help identify
and prioritize the long-term opportunities of
implementing a SaaS strategy.
• From the SaaS Universe we need to select those
domains that worth pursuing at the state level.
• Multiple agencies use a single software instance.
Identify the horizontal and vertical application domains.
SaaS strategy elements
SaaS strategy elements
• The Threat and Opportunity Matrix will help identify the
long-term threats of implementing a SaaS strategy.
• Brainstorm and select top essential and desirable
¾
Sales force automation
¾
Customer service contact
center
¾
Enterprise marketing
management
Employee performance management ½
E-recruitment ½
Corporate learning system ½
CRM
HR
Supply chain planning ½
E-procurement
½
Supplier relationship
management ½
Document
Management
Finance
Collaboration
Procurement
Compliance
Others
Enterprise governance
(Risk and compliance
platform)
½
¾
Content management
¾
Financial /accounting software
¾
Expense management
¾
ERP
¾
Warehouse management
¾
Transportation management
¾
Web hosting and hosted
Cloud System Infrastructure
Service (IaaS)
E-mail archiving ½
Unified communication ½
Social software ½
SaaS
SaaS
Universe
Universe
What are the domains the State should pursue?
Finance
Document
Management
Collaboration
Compliance
Human
Resources
Procurement
CRM
Others
Selection of domains
Multi-tenants selection
Vendor criteria
SaaS Strategy
SaaS Strategy
Document
Document
Long-term opportunities
Long-term threats
• The Threat and Opportunity Matrix will help identify
and prioritize the long-term opportunities of
implementing a SaaS strategy.
• From the SaaS Universe we need to select those
domains that worth pursuing at the state level.
• Multiple agencies use a single software instance.
Identify the horizontal and vertical application domains.
SaaS strategy elements
SaaS strategy elements
• The Threat and Opportunity Matrix will help identify the
long-term threats of implementing a SaaS strategy.
• Brainstorm and select top essential and desirable
Multi-tenant approach
(
horizontal
vs. vertical applications)
Multitenancy refers to a principle in software architecture where a single
instance of the software runs on a server, serving multiple client
organizations (tenants).
ODOT DAS DHS …
…
Human Resources
Compliance
Collaboration
Procurement
Customer Relationship Management
Finance
Document Management
Other SaaS Products
Selection of domains
Multi-tenants selection
Vendor criteria
SaaS Strategy
SaaS Strategy
Document
Document
Long-term opportunities
Long-term threats
• The Threat and Opportunity Matrix will help identify
and prioritize the long-term opportunities of
implementing a SaaS strategy.
• From the SaaS Universe we need to select those
domains that worth pursuing at the state level.
• Multiple agencies use a single software instance.
Identify the horizontal and vertical application domains.
SaaS strategy elements
SaaS strategy elements
• The Threat and Opportunity Matrix will help identify the
long-term threats of implementing a SaaS strategy.
• Brainstorm and select top essential and desirable
How do we select vendors?
Essential criteria
Vendor selection criteria
Essential
Desirable
9
9
9
9
9
9
Essential
___________________
___________________
___________________
___________________
___________________
___________________
___________________
___________________
Desirable
___________________
___________________
___________________
___________________
___________________
___________________
___________________
___________________
Selection of domains
Multi-tenants selection
Vendor criteria
SaaS Strategy
SaaS Strategy
Document
Document
Long-term opportunities
Long-term threats
• The Threat and Opportunity Matrix will help identify
and prioritize the long-term opportunities of
implementing a SaaS strategy.
• From the SaaS Universe we need to select those
domains that worth pursuing at the state level.
• Multiple agencies use a single software instance.
Identify the horizontal and vertical application domains.
SaaS strategy elements
SaaS strategy elements
• The Threat and Opportunity Matrix will help identify the
long-term threats of implementing a SaaS strategy.
• Brainstorm and select top essential and desirable
Selection of domains
Multi-tenants selection
Vendor criteria
SaaS Strategy
SaaS Strategy
Document
Document
Long-term opportunities
Long-term threats
• The Threat and Opportunity Matrix will help identify
and prioritize the long-term opportunities of
implementing a SaaS strategy.
• From the SaaS Universe we need to select those
domains that worth pursuing at the state level.
• Multiple agencies use a single software instance.
Identify the horizontal and vertical application domains.
SaaS strategy elements
SaaS strategy elements
• The Threat and Opportunity Matrix will help identify the
long-term threats of implementing a SaaS strategy.
• Brainstorm and select top essential and desirable
Team A
What it a SaaS Strategy and why is it
important?
The Software as a Service (SaaS) strategy represents
the methodology and process guidelines for the ongoing
acquisition of SaaS solutions.
There are a variety of benefits to the State including
opportunities of lower cost of ownership, improved data
and process performance and process consistency. On
demand solutions historically have provided reduced
maintenance costs, faster implementation and adoption
times. This strategy provides the opportunity to foster
consistency of software applications across agencies,
improve quality and efficiency and reduce risk.
Stakeholders affected
1.
Agency business owners
2.
Citizens
3.
CIO’s
4.
IT staff
5.
Enterprise business owners
6.
Legislature (must adopt budget perspective)
7.
Local government
Long Term Strategies
Effective/Efficient Procurement Process
Effective ongoing menu of SaaS services (available
online)
Stakeholder engaged governance
At some point having all stakeholders provide input for a
hybrid model
A funding model that allocates funding for a SaaS model.
(Requirement for re-allocation of funding methodology)
Appropriate development of standards for SaaS
solutions
Long Term
Short Term
Hindrance
(Threat)
Help
(Opportunity)
Threat and Opportunity Matrix
Quality
improvement
Resource
efficiency
Cost savings
Quick
Business
Process
Improvement
Risk
Exiting
Funding
Standards
Data
Transition
Change
Adverse
Security
Process
Changes
Vendor
Addressing risk factors
DAS- SPO (State Procurement Office) Enterprise level Establish a few key common performance indicators & metrics
for the TCO model. Establish baseline for candidate SaaS opportunities
Lack of ability to determine TCO (ST)
DAS- SPO (State Procurement Office) Crafting a Procurement Process that is calculated to achieve
the outcomes that is necessary to achieve this strategy, Ensure agencies know how to state their requirements in a SaaS offering through an online menu of SaaS applications readily accessible to state agencies to establish an account.
Ineffective Procurement Process
Individual agency and Enterprise level
Applying Information Security Architecture Standards for SaaS applications
How to manage the data -- privacy
Enterprise level Developing Standards for SaaS applications
Existing Technology Inconsistency
Individual agency Work with SDC finance committee, Cost Benefit Analysis, TCO
considering sunk costs and planning cycles, prior investment made
Unable to realize savings due to SDC
Individual agency and Enterprise level
Develop a Transition Plan, incorporate terms and conditions in documents in how we would make a transition,
Transition
Enterprise level Cost Benefit Analysis, Part of Communications strategy,
outreach to staff and the unions Threat of Employee Job
Loss--cultural change-Impact to Workforce
Individual agency and Enterprise level
Master Change Facilitation to come to agreement. Workshops with stakeholders to come to common understanding.
Agency Agreement on Common Functions-Administrative Functions not valued
Designated party
to take action
Mitigation Actions
Risk Factors
Addressing risk factors (cont.)
Established in the contract, must meet DAS security standards and policies. Assessment and evaluation to comply with state and federal laws and communicated with vendor in the contract SLA’s. Understanding the risk going in at Potential Loss of Data or Data
breach -- Public Records, Privacy, Is the information on
Enterprise level Education, Socializing, Early successes, staged approach with
pilot Legislative Opposition
Enterprise level Partner with BAM and LFO to develop a funding strategy and
alternatives for SaaS that would be discussed with legislative committee
Funding and Budget Process
Enterprise level Formal agency buy-in and endorsement as you go. (When
you roll out programs start with small pilot, staged approach)
Executive Approval--executives burned at the stake for taking risks
DAS- SPO (State
Procurement Office) Establish a requirement with the SaaS vendor, evaluation prior
to the purchase (financial statements, backbone of the company)
Vendor support and reliability
DAS- SPO (State
Procurement Office) Published SaaS procurement process
The complexities and lead time for getting agreement with agencies to allow clear pathways for procurement process
DAS- SPO (State
Procurement Office) In the contract process mitigate these risks for an exit strategy
Changing vendors
DAS- SPO (State
Procurement Office) Establish a requirement with the SaaS vendor, evaluation prior
to the purchase Lack of Data Interoperability
Designated party
to take action
Mitigation Actions
Short and long term cost – when acquiring a new solution the TCO (Total Cost of Ownership)
Not applicable Yes
Stakeholder group – for horizontal application the State needs to select a multi-agency
team in charge of dealing with any issues related to the new solution. 13
Not applicable Yes
Enterprise authority – for horizontal solutions that will be implemented state-wide, the State
needs to assign an executive team in charge of high-level decision making for the new solution.
12
Yes Yes
Functionality – the basic attributes of the solution needs to be satisfy specific requirements
the agencies set 11
Yes Yes
Exiting – before acquiring a solution the State needs to develop an exiting strategy: this
refers to vendor change or even changing back to hosted solutions. 10
Yes Yes
Tiered pricing/service offerings – because of the large number of end-user inside the
agencies, the State needs to look at opportunities for achieving economies of scale. 9
Yes Yes
Security and privacy – the vendor needs to be able to address the security and privacy
requirements of the agencies. 8
Yes Yes
Scalability – the vendor needs to be able to deliver high quality solution to an increased
number of end users over time 7
Yes Yes
Cost and time of implementation – the benefits of implementation need to outweigh the
effort - financial effort as well as other resources required. 6
Yes Yes
Interoperability – the new SaaS solution needs to integrate well with the diverse applications
and systems the State agencies us 5
Yes Yes
Vendor capacity / Disaster recovery – the selected vendor needs to have the capacity to
satisfy the State needs for a large number of end-users. 4
Yes Yes
Vendor stability / maturity – the selected vendor needs to have a stable financial situation
and experience in delivering the solution; its track record needs to prove the maturity and stability.
3
Yes Yes
Enable business needs – the selected solutions has to directly address and help achieve
specific business needs of the agencies and state as an enterprise. 2
Yes Yes
Avoid duplication - the State should be using a single instance of the software.
1
Vertical
Horizontal
SaaS Solution Selection Criteria
No.
Action Plan
• TBD • CIOC and Multi- Agency Workgroups
• End-users • Conduct outreach to other States and
Federal agencies and document their
• December 2009
• Designated Procurement Officers • Diana Lancaster
• Agency CIOs and State CIOs office • DOJ - Business Transaction Unit • Review existing procurement practices
and develop streamline SaaS procurement methodology • See Team B’s results
• December 2009
• Agency CIOs
• Agency Business Managers
• Enterprise System Owners (DAS and other agencies)
• Review the inventory of common deployed software and identify SaaS opportunities
• See Team C’s results
• TBD • Designated Procurement Officers
• Diana Lancaster • Jan Dean
• Review best practices and industry standards to formulate/develop recommendations for the State procurement and RFP process
• TBD • ESO
• State Procurement
• Department of Justice (DOJ) • Archives
• Security and privacy, public records and legal approach – monitor vendor’s access to confidential data
• TBD • Human Resource Services Division
(HRSD )– Diana Foster
• Administrative Business Services Directors (ABSD)
• Staffing strategy- “Do no Harm”
re-allocation versus elimination of resources – (reallocation of IT staff that used to work on the hosted solution)
• On-going • November
2009 • CIOC Workgroup
• Multi- Agency Workgroups
• Ben Berry, Master Change Facilitator • Communications Plan for the SaaS
Strategy
