Agencies’ Initial IT Reviews Reveal Major Savings Potential, Federal CIO Says

July 11, 2012

Investment review board meetings aimed at rooting out waste and duplication in government information technology portfolios have turned up $500 million in potential savings at just the six agencies reviewed so far, the federal chief information officer said Wednesday.

Federal CIO Steven VanRoekel plans to hold similar PortfolioStat reviews at 20 more agencies through early August, he told members of the of the President's Advisory Management Board.

The agencies reviewed so far account for $6.2 billion in IT spending or about 16 percent of the government's civilian IT budget. The savings estimate was based on reducing spending on particular line items at those agencies to governmentwide averages.

The agencies spent an average of $3,400 per employee on computer mainframes and servers, for example, compared with a governmentwide average of $2,000. Closing that gap would save $376 million, VanRoekel said. 

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