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www.vita.virginia.gov

Improving How We Do Business in IT: VITA’s SWAM Initiative & Procurement Reform

Lemuel C. StewartChief Information Officer

Dept. of Business Assistance Economic Development Seminar

June 23, 2004

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Support for Improving SWAM Opportunities

• VITA has historically supported SWAM enterprises through a variety of strategies: • Including SWAM objectives in solicitations• Leveraging eVA’s broad SWAM reach• Tracking of VITA spend with our SWAM industry

partners and subcontractors• Utilizing SWAM suppliers for small purchases and

services to VITA

• Participating in Virginia Business Opportunities Despite these efforts SWAM utilization has been under 5% of

external VITA spend

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Support for Improving Procurement

• Other findings in technology-related procurement

– Virginia does not purchase IT cost-effectively

– Processes were slower than the pace of technological change

– Unreasonable terms and conditions (Ts and Cs)

– Virginia would rank 50th if it was in S&P500

– State has tremendous opportunities to leverage buying power and embrace and implement better solutions and tools

• IT Procurement Reform was launched during a time of major change in IT and state government

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Purpose

• To develop a new technology procurement business process based on best practices. Desired state:– Leveraging Virginia’s ample buying power– Increased access and opportunities for SWAM suppliers– Increased use and usefulness of statewide technology

contracts– Fast and flexible processes– Positive relationships with customers and partners– Value-oriented, not price-oriented– Business-driven and enterprise-oriented– Fair, standardized contract vehicles– Making Virginia much easier to do business with!

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Results

• Centralized IT procurement• Solutions-based RFP approach

– Limited terms and conditions as mandated

• Emphasis on partnerships– Encourage diversity of subcontractors– Innovative public/private partnerships

• Faster, simpler, less expensive procurements• SWAM Web site and business intelligence

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VITA’s SWAM Program

• Developing a sustainable program requires• Setting objectives • Removing barriers • Fostering two-way communication• Identifying opportunities

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Looking Ahead

•Create SWAM policy•Include procedures for solicitations

•Establish goals •Providing training •Inform SWAM suppliers of opportunities

•Provide data•Hire SWAM outreach officer

•Formalize recognition of subcontractors

•Develop small purchase procedures and other methods

•Solicit feedback •Monitor progress•Recognize exemplary performance

•Benchmark effectiveness

Raise Awareness

Improve Access

Encourage Feedback

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Contact Information

Please visit http://www.vita.virginia.gov to

learn more about our procurement efforts

Lemuel C. Stewart, Jr.Chief Information Officer of the Commonwealth

Virginia Information Technologies Agency

lem.stewart@vita.virginia.gov

(804) 343-9002