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Expert urges 'revolutionary' IT leaders to step up as public-sector faces deep cuts
According to Jim Mortleman, a leading IT industry commentator, there will be massive repercussions for IT in the sector as budget reductions are ramped up. While George Osborne's cutbacks include £95 million of IT savings, the pain doesn't stop there, as the Government has also mandated £1.15 billion in 'discretionary areas' such as consultancy and a further £1.7 billion through the scrapping or renegotiation of existing contracts. "Since IT is a big user of consultancy services and a big contributor to overall spending on thirdparty suppliers, it is likely to have to swallow a fair chunk of these cuts too," he said in his blog on the 360°IT Event website.
And, he warns, individual government departments facing large cuts may decide to make IT shoulder an even greater share of their burden. Inevitably, says Mortleman, there will be job cuts in public sector IT as a result, not forgetting the knockon effect this will have on privatesector suppliers of IT products and services to government.
But, he argues, the big question is where Osborne and LibDem Chief Secretary to the Treasury David Laws will apply the paring knife next. "Over the course of this parliament, we've been told, cuts to tackle the deficit will need to be 10 times greater than last Monday's 'gentle introduction' to the coming austerity," he says.
So should IT leaders in the sector be bracing themselves for similarly exponential levels of budget reduction over the coming years?
Not necessarily, says Mortleman, but bold IT leaders must step up to the plate if their departments are to be seen as part of the solution rather than part of the problem. "I'd argue that if the publicsector needs to find £60 billion of cuts over the course of this parliament, and still maintain adequate service levels, IT will be key," he said, adding: "In almost every respect - from streamlining processes to automating manual tasks to driving innovation - IT is critical."
In addition, Mortleman notes IT will need to play a central role in delivering many other government commitments such as making departments more transparent and responsive to citizens, hitting energy efficiency targets, reducing bureaucracy and enabling collaboration among the wider public sector, private enterprise and social ventures.
He goes on to say it is vital IT leaders fight their corner with passion and conviction when it comes to continued investment and the imperative for innovation and transformational change. But, he argues, they will not have much of a case unless they deliver results fast - which means taking a radical approach.
They will, he says, need to wield the axe over inefficient systems, processes and infrastructure and reinvest in more flexible, nimbler and less costly alternatives. "They will need to rethink procurement processes, supplier management strategies and licensing arrangements - how can they reduce dependence on traditional vendors and open up to a wider range of smaller, more innovative partners? And they need to keep staff and teams motivated and engaged. It's a heady mix of technological, business, human and cultural challenges," he said.
So do they have the mettle for it? Mortleman, who has been researching and commenting on IT developments for almost two decades (in the trade and national press as well as online), says yes. And some wouldbe revolutionaries, he reports, are relishing the forthcoming battle since it will allow them to take a muchneeded radical approach to rethinking how publicsector IT operates.
"To these people I say, your time has come - now make it so," he said.
If you want to read more from Jim Mortleman' or comment on his 360°IT blog post visit: http://bit.ly/aggHaC
The 360°IT Blog is part of the new 360°IT - The IT Infrastructure Event, taking place on 22-23 September 2010 in Earls Court, London. For more on 360°IT the event that demonstrates how IT infrastructure solutions can help to achieve key business objectives such as improving service, reducing cost, managing risk and gaining competitive advantage and growth visit http://www.360itevent.com
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