Meeting the Technology Challenge of Shared Services in Government (Technology Focus)

The creation of shared services will generate a number of technical challenges for government agencies. Vendors need to be able to help vendors to address both the IT challenges of a shared service and the other questions about how the shared service will be run.


Report Highlights


This report will explore the technical and logistical questions lying behind shared services and how vendors can help to overcome them.
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DATAMONITOR VIEW 1
CATALYST 1
SUMMARY 1
ANALYSIS 2
Shared services will generate demand for a wide range of IT services 2
Standardization is the main technology challenge facing governments adopting a shared service 2
Shared services will generate demand for a wide range of IT services 3
The medium term opportunities from shared services will come from outsourcing 4
A wide variety of shared service models will be used to meet different business needs 5
Political considerations can be as important as maximizing value in the choice of model 5
Financial considerations will not be limited to total cost 6
Existing assets will play a key role 6
The level and type of government agencies will shape the controls required 6
Broad and narrow political interest will be decisive 7
Vendors need to carefully examine the consequences of a particular contract structure 7
Many government agencies will move slowly up the solutions stack with shared services 7
Slow creep experiments with sharing will begin at a pure infrastructure level 8
The spread of service orientated architecture (SOA) will drive shared services 8
Compatibility and integration are the key prerequisites of successful shared services 9
ACTIONS 10
Adapting to the right shared service model will be crucial to success 10
Vendors will need to offer government the scale to cope with their technology needs 10
Pursing an SOA technology story will help in wining shared services deals 10
APPENDIX 12
Definitions 12
Methodology 12
Further reading 12
Ask the analyst 13
Datamonitor consulting 13
Disclaimer 13
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Figure 1: IT services revenue from shared services projects 4
Figure 2: Slow creep up the solution stack 8
Figure 3: A service orientated architecture 9
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