3-Year IT Strategy Update :: City of Palo Alto

Editor's Notes

1. 1:34 IT to employee ratio (Industry average is 1:25 for 1,000 employees)IT staff – full time, excludes hourly, does not include extra 1.55 FTEs in budget (1 is Marta S, .55 is Michael Hill)1416 (includes hourly employees as of 3/8/13). 937 of the 1416 are full time employeesOperating expenses: $9.7MM minus $1.2MM for IT investment projectsTechnology solutions include distinct product that can be acquired separately224 technology systems, of which 52 IT fully supportsOperating expenses: Total fund actual expenditures in FY 2012 were $9,716,095. Of this amount, $880,563 was capital related. Total operating expenditures were $8,835,532. Desktop refreshes $ is hardware only
2. 222 technology systems, of which 38 IT fully supportsAs of Mar 2013:Total number of servers: 160Total number of computers: 1100Total number of telephones: 1450Total number of locations: 30Average number of work orders closed per month: 820% of Virtualized Servers: 30%
3. Operating expenses: $9.7MM minus $1.2MM for IT investment projectsOperating expenses: Total fund actual expenditures in FY 2012 were $9,716,095. Of this amount, $880,563 was capital related. Total operating expenditures were $8,835,532.
4. As of 5/16/13$1,508,904 investment (27%)$4,085,342 maint (73%)
5. As of 5/16/13Pending approved projects:Pending due to funding and/or resources not available yetProject requests in other statuses:7 on hold7 wish list8 governance review/pre-approval
6. Identified as an area of opportunity from our internal audit team
7. Increased rigor on IT projects:37 projects cancelled from December 2012 through April 2013:2 conflicted with strategy3 existing solution identified5 merged with another project12 non-project (doesn’t meet project definition2 no longer a priority1 not supported by IT1 deferred11 duplicate
8. Project management trainingInfoSec awareness trainingPCI security training
9. Redesigned website (2.2MM visits from July 2012 – 4/16/13. 6k avg visits/day)New telephones: installed 860 new IP Phones, 65 new TDM phones (a few locations that couldn’t support IP phones), 150 analog lines for faxes, modems, conference rooms.(We still have Mitchell Park Library/Community Center, Fire Station 6, and Main Library coming soon, so that will add another 60+ phones)High speed data stats: 9,460 (as listed in SEA report),Locations re-cabled: 15 buildings and roughly 1,034 jacks/dropsLaptops – migrate over next 4 yrs
10. 40 of modules & integrations$11,791,960 spent since implementationAnnual maintenance: $2,569,807 for 14 employees including benefits plus $513k annual maintenance excludes employee resources cost, Operating costs:$250k for sierra consulting, annual main $263k# of transactions per day: execute 8,265 transactions per month.  That is about 1,106,906 SAP screens.$3.1MM spent since implementation
11. No longer in data center businessOperating ModelNew staffingInnovationLower cost & efficientChallenges along the wayFuture exercise to determine refresh costsWe don’t expect ops budget to increase, invest costs will increase, infrastructure upgrades funded by tech reserve, 6-8 months out we will understand break even piont where op costs go down