shared services canada, it modernization and emerging market opportunities for small and medium...

P U B L I C S E C T O R M A R K E T D E V E L O P M E N T

SHared SerVICeS CaNada, IT ModerNIZaTIoNAND eMerGING MarKeToPPorTUNITIeSFOR SMaLL aNd MedIUMeNTerPrISeS

PrePared For:Office of Small and Medium Enterprises andStrategic Engagement, Public Works andGovernment Services Canada

PrePared By:Kelly Hutchinson, MarketWorks Ltd.

The opinion, analysis, and recommendations presented within this report are drawn from research and analysis commissioned bythe Office of Small and Medium Enterprises, Public Works Government Services Canada, and independently conducted andprepared by MarketWorks Ltd. MarketWorks Ltd. (including its directors or employees or entity associated with MarketWorks Ltd.)accepts no liability or responsibility resulting directly or indirectly from the disclosure of the report findings to any third partyand/or the reliance, either in whole or in part, by any third party on the report. MarketWorks Ltd.’s opinions, analysis, andrecommendations relate to prevailing conditions and information available at the time of printing. The sole purpose and use ofthis report is to provide guidance to small and medium enterprises in the information technology field, and to assist inunderstanding government’s current and transformative landscape, and better navigate it as a result, and no express or impliedwarranty is provided. Any use or reference to any part of this report must cite MarketWorks Ltd.

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eXeCUTIVe SUMMary

The Government of Canada has embarked upon a modernization initiative designed to reduceoperational costs and upgrade its aging technical infrastructure. As part of this initiative, thegovernment created Shared Services Canada (SSC), an organization that will consolidate and managethe technical infrastructure that supports 43 government departments. This new information technology(IT) architecture will result in process and cost efficiencies that will have a direct impact on thegovernment’s bottom line.

Inevitably, the modernization project has disrupted a number of stakeholder groups, both inside andoutside government. Not only has it impacted the departments whose IT framework is beingtransitioned to SSC, but it has also reverberated up the supply chain that provides government with ITsolutions. Perhaps most impacted within this supply chain are small and medium enterprises (SMEs)who have come to depend on government contracts and procurement agreements that are modelledon yesterday’s framework.

In order to prosper within the new IT environment, many SMEs will have to expand their serviceportfolio and modify their approach to business development and relationship management.Fortunately, government is committed to helping them adapt to, and succeed in, the new framework byproviding guidance, resources and support. SMEs are encouraged to participate in government-industry engagement events, take advantage of funding programs, review all publicly availableinformation related to the modernization initiative and keep abreast of trends and advancements in theIT space. In doing so, they will develop the understanding, the relationships and the expertise requiredto effectively partner with government and support the modernization program.

As they orient themselves to their new environment and make the necessary changes to theirrespective business models, SMEs should continue to pursue business opportunities within the federalgovernment. Department executives are still responsible for IT projects and services independent ofSSC, and they require industry support to maintain, optimize and modernize their portfolio-specificoperations. SMEs are also encouraged to build relationships with organizations outside of the 43partner accounts that have transitioned their IT infrastructure to SSC. In supporting these organizations,SMEs will gain valuable experience, develop new areas of expertise, build strategic relationships andcreate new revenue opportunities.

More than ever before, government seeks to work with innovative, proactive, self-sufficient IT solutionsproviders. Government is committed to helping SMEs succeed, to their mutual benefit; however, theonus is on SMEs to seek out and make use of the available information, resources and opportunities tobetter understand the government’s objectives. When they do, they will demonstrate their value andwill elevate themselves from IT provider to IT partner.


TaBLe oF CoNTeNTS

Study Overview -----------------------------------------------------------------1

Objective ----------------------------------------------------------------2

Methodology -----------------------------------------------------------2

Findings --------------------------------------------------------------------------3

Recommendations for SMEs ------------------------------------------------7

Recommendations for PWGSC -------------------------------------------10

Appendices---------------------------------------------------------------------12

Appendix A - Footnotes --------------------------------------------12

Appendix B - Government Engagement-----------------------14

• w w w . m a r k e t - w o r k s . c a • page 1

STUdy oVerVIeW

Over the past several decades, the Government of Canada has adopted new technologies to betterserve Canadians. Indeed, Canada continues to be among the global leaders in leveraging technology tofacilitate interdepartmental collaboration, secure sensitive information and offer accessible services toits citizen stakeholders.

However, as it ages, the existing information technology (IT) infrastructure has begun to strain under thepressure of new demands exacted by over 100 government departments and millions of Canadianscoast to coast. No longer is it efficient or fiscally prudent to maintain disparate systems performingduplicate tasks. Not only is it wasteful in the context of a growing deficit, but it can also jeopardizeCanadians’ access to reliable government services—or, worse still, the security of their personalinformation. According to Corinne Charette, Chief Information Officer (CIO) of the Government ofCanada, “it became clear that renewing our IT environment ‘as is’ would simply not be feasible. It wouldpresent an important funding impact… and would most certainly not represent good value for moneyfor the taxpayer.”1

To reduce operational costs, modernize itsaging IT infrastructure and enhanceservice delivery, the Government ofCanada announced the formation ofShared Services Canada (SSC) on August4, 2011. SSC will enable IT infrastructureimprovements that will underpin modernprograms and the delivery of citizen-centric services that are more secure,more accessible and more cost effective.In all, SSC will consolidate more than

100 email systems, 300 data centres and 3,000 networks across 43 of the government’s most IT-intensivedepartments.

The creation of SSC—coupled with the cost containment measures of the Deficit Reduction Action Plan(DRAP)2—will help the Government of Canada balance the budget by 2014-2015. What’s more, byrelieving them of the burden of maintaining their own network and data centre infrastructure, it willallow key departments to focus on modernizing department- or program-specific IT services that theywill continue to manage.

Now over a year old, SSC is rounding into shape. The organization is in the process of learning abouttheir new partner accounts as they assume responsibility for a growing number of systems, platformsand applications. As part of this process, SSC has begun to group similar portfolios and infrastructurerequirements with a view to achieving greater efficiencies—both in terms of costs and effort. They arealso developing policies and protocols to support their mandate and the thousands of IT infrastructurecomponents they now oversee.

Change of this magnitude is inevitably—and purposefully—disruptive. Not only are SSC and dozens ofgovernment departments struggling with how to seamlessly transition and consolidate disparate systems,but hundreds of IT service providers are being forced to adapt to a new business reality almost overnight.Their biggest—and sometimes only—customer has become financially constrained as government hashad to freeze projects, reduce staff and transition resources as part of the modernization initiative. What’smore, the relationships and procurement channels on which they have built their business have changed.This is an unfortunate and unavoidable consequence of the restructuring.

Figure A: SSC Mandate: IT Infrastructure Renewal


The Government of Canada recognizes the critical importance of these IT service companies, not only interms of providing specialized products and expertise to government departments, but also in terms ofthe overall health of the IT industry and the larger economy. The continued success of government-focused small and medium IT service providers (SMEs) within the modernization framework is especiallyvital and of paramount concern.

STUdy oBjeCTIVe

The office of Small and Medium enterprises and Strategic engagement (oSMe-Se), a division of PublicWorks and Government Services Canada (PWGSC), commissioned this study from MarketWorks to:

• Explore the impacts on small and medium companies in the Information Technology field in thecontext of restructuring initiatives across government;

• Address recent questions from small and medium IT companies regarding their potential businessopportunities with the federal government as a result of these initiatives; and

• Provide feedback on how SMEs can play a role within the new procurement framework.

STUdy MeTHodoLoGy

In collecting information and compiling this study, MarketWorks relied on primary and secondaryresearch methods.

PrIMary reSearCH

• Consulted with resellers and vendors in the IT fieldto assess: how they have fared over the past yearsince the creation of SSC; how they have beenimpacted by the modernization initiative; and howthey plan to adapt to the new IT framework withingovernment.

• Met with Change Agents3 (officials withinorganizations responsible for driving themodernization agenda) to determine their vision forthe modernization project and the roadmaps andprocesses they have developed.

• Met with Stewards4 (officials within organizationsresponsible for facilitating government-industryengagement) to determine what resources andprograms are available to assist IT SMEs toinnovate and grow their business.

• Met with Clients5 (officials within the 43 departments that have transitioned IT infrastructure toSSC, as well as those in lesser-impacted departments and arm’s-length organizations) to seek theperspective of those being directly impacted by the modernization effort, as it relates to SMErelations and procurement.

BuyersSellers

Figure B: The Canadian Federal IT Community


SeCoNdary reSearCH

• Researched all organizations that contributed to the study, their documented plans and priorities,and other relevant material available online.

• Reviewed publicly available studies and documents, including the Data Centre Feasibility Study6

(Track 2), the Jenkins Report7 and the SSC Report on Plans & Priorities.8

• Attended industry sessions, including the Industry Engagement Day for the Email TransformationInitiative hosted by SSC and PWGSC, and a CIO Breakfast with Corinne Charette of Treasury BoardSecretariat on Software Transformation hosted by the Information Technology Association ofCanada (ITAC).

• Attended a Public Sector Business Committee meeting hosted by ITAC and an IT InfrastructureRoundtable discussion regarding SSC’s plans hosted by the Canadian Advanced TechnologyAlliance (CATA).

FINdINGS

CHaNGe aGeNTS

Those responsible for driving the modernization agenda suggest that small and medium companiesin the IT field currently selling into departments will need to change how they do business withgovernment in order to prosper. Many of these companies rely on business models that supportyesterday’s framework.

Government is moving away from the transaction-based supply chain IT to which resellers havegrown accustomed. They now seek creative and innovative solutions providers in all corners of thecountry that can support their modernization requirements. Truly innovative companies havedeveloped a broad solutions portfolio by working with a diverse clientele on many different projects.It is these types of companies that government will seek to partner with moving forward, and thatare most likely to succeed.

Change Agents who collaborated withMarketWorks on this study point outthat IT resellers who wish to work withgovernment must also be flexible. Thetransformation is a massiveundertaking, and procurement systemswill change accordingly. It will take timefor things to stabilize.

That said, there is currently plenty ofopportunity both within and outside ofSSC. Of the $4.75B that governmentspends each year on IT, more than halfis still controlled by CIOs at adepartment level. Departments outsideof SSC that are federally appropriatedhave been mandated under the DRAP

Figure C: SSC’s Organizational Structure: Portfolio Breakdown


to streamline, optimize and modernize their operations, and IT companies can help departmentexecutives with their portfolio-specific challenges.

Change Agents also recommend that SMEs focus on niche areas of IT, possibly supporting theScience Portfolio with vertical solutions that would enhance their operations value (see Figure C).

STeWardS

To date, the government’s IT buying behaviours have stunted the market somewhat. Lengthy federalsales cycles and intensive IT demands have distorted the federal IT community and have inhibitedsome departments and suppliers from keeping pace with technology. However, the modernizationinitiative should not come as a surprise to SMEs, given that government has been signalling theirintent to change for some time. Those that will be the most challenged have not adapted theirbusiness models to recent reforms.

Government is committed to helping SMEs succeed in the new business environment by providingresources and support. By organizing industry engagement sessions on specific solutionopportunities, collaborating with industry associations and commissioning reports like this, thegovernment will assist IT companies in navigating the new landscape. The onus is on the suppliercommunity to seek out and make use of the available resources.

Just as importantly, government is committed to working with its own departments andorganizations to help them understand how their respective supplier collectives can support thetransition. OSME-SE, the strategic engagement division within PWGSC, is working with impacteddepartments to ensure they are familiar with existing procurement systems and suppliercommunities.

Government also supports SMEs through programs that counsel, guide, develop, fund, test, andadopt innovative IT solutions. Programs such as the Canadian Innovation and CommercializationProgram (CICP)9 and the Industrial Research Assistance Program (IRAP)10 provide IT suppliers withthe support and resources required to transition and grow.

GoVerNMeNT aCCoUNTS

Within the 43 partner departments

Just as the IT supplier community is struggling to adapt to recent and ongoing changes, so too arethe government departments most impacted by the modernization initiative. Complicating thingsfurther is the fact that the scope of services provided by SSC continues to expand. SSC now offersoptional, peripheral services to support the infrastructure projects that remain their core area offocus. Partner departments now have the option to transition other projects and programs to SSC, ifit makes sense to do so.

Nevertheless, there continues to be opportunities for SMEs within impacted partner departments—including within the Canada Revenue Agency (CRA) who collaborated with MarketWorks on thisstudy. While many of their IT employees have transitioned to SSC, CRA has retained a complementof staff responsible for driving program-specific IT projects. They continue to seek support fromSMEs to provide and service desktop applications, business applications and hardware devices forprojects that are outside of SSC’s mandate.

CRA suggests that SMEs seek to assist SSC with their transition plans. It can take up to two years toarchitect and deploy a complex software solution, and suppliers may be able to add value to theprocess—particularly if they helped develop the current IT infrastructure for government.


With so many unknowns, and new questions and challenges cropping up every day, stability is a longway off. Officials within impacted departments and organizations recommend that SMEs need to“keep their ear to the ground” and stay abreast of new developments by becoming better informedand connected.

outside the 43 partner departments

By their very nature, agencies, Non-governmental Organizations (NGOs) and Crown Corporations—like the Bank of Canada who collaborated with MarketWorks on this study—are a step removed fromthe modernization initiative. However, like government departments, they are keen to work with thesupplier community, and they have high expectations when it comes to a potential supplier’spreparedness, level of expertise and capability to help them achieve their mandate.

These arm’s-length government organizations must adhere to the DRAP and must modernize their IToperations. While there are currently no plans to transition their IT infrastructure to SSC, they areinnovating in the same spirit—and may require comparatively more third-party support given thatthey continue to maintain their own IT infrastructure. It is possible that, at some point in the future,components of their IT infrastructure may be absorbed into SSC (excluding certain organizations orfunctions that must remain outside of direct government control). This possibility could become moreplausible and could be accelerated if SMEs do not help these organizations to sufficiently modernizetheir IT infrastructure.

SUPPLIer CoMMUNITy

IT resellers

The majority of federal IT providers are well-established companies that have been working with theGovernment of Canada for 10 years or longer. Typically, they are very dependent on governmentcontracts, with many deriving more than half of their revenues from government IT sales.

These federal IT providers have been significantly impacted by the modernization initiative to date.The SMEs that collaborated with MarketWorks on this study revealed that business is down 10% to25% on average, and the vast majority of companies surveyed are nearer the higher end of thisrange. Government business is down much more than anticipated, owing to budget cuts andworkforce layoffs resulting from the DRAP.

Nearly all of the federal SMEs surveyed stated that they are commodity focused, with more than 80%of their government revenues coming from IT hardware sales. While they work closely withdepartmental IT staff, they typically have not developed strong relationships with departmentexecutives. As a result, most are not well positioned to support an organization-wide IT restructuring.

The majority of SMEs surveyed stated that they are being negatively impacted by the government’smodernization initiative, or that they believe they will be negatively impacted in one to three years’time. Most plan to respond by seeking new opportunities outside of government, while others intendto grow their service portfolio, find new government customers and expand their hardware offerings.Interestingly, few SMEs stated their intent to increase their level of knowledge through training,education and advanced certifications.

Of the private sector SMEs that MarketWorks consulted, most have the expertise that governmentrequires, but few see value in pursuing government business. They view federal government businessas complex, hardware-centric, low margin and offering little opportunity to sell innovative IT solutions.


Technology Manufacturers and distributors

Technology manufacturers and distributors are important players in the government’s IT supply chainbecause they provide SMEs with logistics and solution delivery support. Like SMEs, they have seen adecline in revenues from government IT sales over the past year, and they are revisiting their channelstrategies and channel partnerships as a result.

Manufacturers and distributors surveyed by MarketWorks revealed that they are not convinced theirexisting sales channels—that is, the SMEs that resell their hardware—are properly equipped tosupport government’s modernization requirements. As a result, many are taking a “wait and see”approach, and will not finalize their channel plans until they have a clear indication of wheregovernment is headed. Others are looking to larger consulting companies like Deloitte, IBM andPricewaterhouseCoopers for development support, knowing that government has a history ofseeking guidance from these firms and thus surmising that developing these relationships mayimprove their position.

Most manufacturers had not considered working with private sector IT providers to support thegovernment’s new requirements. While these providers certainly have the expertise and serviceportfolio to support the modernization program, they are not currently authorized as suppliers on theNational Master Standing Offer (NMSO)11—nor have they shown an interest in pursuing governmentbusiness.


reCoMMeNdaTIoNS For SMes

GeT INForMed

The government did not transform overnight. It has taken several years of audits, reports,assessments, standing committees, industry engagements and trials to achieve the current state. Inthe spirit of transparency and open access, all of these resources are available to the federal ITcommunity.

SMEs who aspire to work with government clients within the new modernization framework areencouraged to first get informed. Only once they truly understand the government’s challenges,decisions and go-forward strategies can they effectively support their clients’ IT requirements. Thisanalysis will also help SMEs identify gaps in their service portfolios, which they can fill throughtraining or by partnering with another provider.

This is a time-intensive but critical step that will help SMEs elevate themselves from IT provider to ITpartner. The supplier market is now much more competitive, and government clients are expectingmore from SMEs than ever before. Providers who invest time up front will demonstrate theirpreparedness and, more importantly, their value as a partner.

CoNNeCT aNd CoLLaBoraTe

While government is driving the modernization initiative, they rely heavily on input from the industryto identify optimal and innovative solutions and the most pragmatic approach. Per the Jenkinsreport (Special Report on Procurement - Innovation Canada: A Call to Action), “procurement can beimportant in promoting business innovation because it is a complementary demand-pull instrumentwith greater direct impact than supply-push programs.”

Indeed, government is leveraging the modernization agenda to engage with the supplier communityearlier, more frequently and more openly than ever before to make them aware of their plans,

Figure D: How To Navigate Change and Align To Opportunity

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priorities and direction. Ultimately, everyone benefits as better collaboration results in a moreseamless execution and a higher-quality outcome.

SMEs that succeed in the new business environment will take advantage of the following networkingand information sharing opportunities:

Industry engagement days

Moving forward, government will host Industry Engagement Days before tendering major ITprojects. These half-day sessions will be the first phase of the procurement process, and will be aforum where government can share their plans to re-engineer, consolidate and standardize specificIT systems. Industry Engagement Days are posted on MERX, and all interested IT suppliers andassociations are invited to attend.

associations

Government works closely with many industry associations, including but not limited to: theCanadian Advanced Technology Alliance (CATA); the Canadian Information Technology ProvidersAssociation (CITPA); and the Information Technology Association of Canada (ITAC). In the interest oftransparency and collaboration, government participates regularly in meetings and events hosted bythese and other associations. Most of these associations have committees focused on public sectordevelopment through which SMEs can stay connected to government.

roundtables

Industry roundtables, like the quarterly IT Infrastructure Roundtable (ITIR), afford the opportunity forregular touch points and an open dialogue. These events allow government to keep abreast of themost innovative solutions and to seek guidance from the industry in order to validate their approachand make necessary adjustments. SMEs that participate in these roundtables will be on the front-lines of government engagement.

Portfolio discussions

Collaborating with government doesn’t have to happen only during planned events. SMEs areencouraged to reach out directly and regularly to those responsible for managing the variousportfolios within SSC to learn more about their plans and priorities and to explore ways in which theycan support specific components of the consolidated IT infrastructure.

SUPPorT ModerNIZaTIoN

The government’s modernization project is moving quickly and picking up steam. There are multipleways in which federal IT providers can actively support the modernization plans and develop newbusiness opportunities.

Partner to align with SSC opportunities

As government begins to seek input and guidance from larger consulting companies, shrewd SMEswill improve their position by building relationships and alliances with them. Despite their expansivesolution portfolio, these consulting companies will require third-party resources to support thegovernment’s IT requirements, and the current provider community is more knowledgeable when itcomes to these accounts.


Support the CIos

While departments have transitioned much of their IT infrastructure to SSC, many projects andservices remain the responsibility of individual departments. The CIOs who make IT decisions tosupport their respective lines of business control, collectively, a multi-billion dollar budget. Bysupporting and modernizing these projects, SMEs will ensure that there is no need for CIOs toengage SSC for help.

develop Business outside SSC accounts

While they do not yet have to transition their IT infrastructure to SSC, organizations outside of the 43partner accounts have been mandated to modernize under the DRAP. In fact, these organizations canvoluntarily engage SSC, which has been granted permission to take on additional clients outside ofthe 43 accounts designated by the Order of Council. By supporting these organizations and assistingthem in achieving their modernization objectives, SMEs will ensure that they do not seek outsidehelp.

Innovate Portfolio

SMEs are encouraged to expand their service offering by pursuing training and educationopportunities and by obtaining advanced professional certifications. Not only will this better positionthem to support SSC and their service portfolios, but it will also improve their ability to supportdepartment-specific solutions. Specialized solutions that meet a department’s unique needs are lesslikely to be absorbed into a “whole-of-government” approach down the road. (See Appendix forfunding programs and stewardship information that can provide SMEs with financial support andguidance to help them innovate strategically and cost effectively.)

MaINTaIN aLIGNMeNT

More than ever before, government seeks to partner with innovative, proactive, self-sufficientsolutions providers that can help them achieve their IT objectives. SMEs must become moreconnected to government and stay connected through associations, industry events and theStewards who are responsible for facilitating government-industry engagement. Government will relyon suppliers to keep abreast of solution trends in order to ensure that technology doesn’t outpaceprocurement processes as it has in the past. In short, government is looking to partner with a newbreed of SME, and those who take a more active and proactive approach will be best positioned tosucceed.


reCoMMeNdaTIoNS For PWGSC

The study findings have enabled MarketWorks to develop recommendations, at the request ofPWGSC, to improve engagement and information sharing between internal and externalstakeholders impacted by the modernization initiative. The successful execution of the strategies andtactics outlined below will facilitate government-industry engagement, as it relates to IT reform.

reCoMMeNdaTIoN # 1: Improve communication with SMes

1. Host a government-industry town hall. This annual event would bridge the communication gapby sharing the government’s “big picture” modernization strategy—including roadmaps, keymilestones and execution plans—with SMEs. This interactive session would foster innovation,facilitate alignment and motivate new and existing solution providers to support government’splans and priorities.

2. Incorporate a “Government Modernization” section within BuyandSell.gc.ca. Create a pageon BuyandSell.gc.ca to aggregate information related to the modernization initiative. By makingit easy for SMEs to access key documents and resources—including, but not limited to,presentations, reports, studies, funding mechanisms and information about government-industryevents—government will help them stay connected to the process and better navigate the newframework. Consider incorporating an RSS feed into the site to enable real-time updates. Notethat the site would have to be updated regularly for it to be of any sustained value to SMEs.

3. Modify communications strategy. Government should simplify its approach whencommunicating with SMEs and package information in succinct, digestible communiqués. Deliverless information more frequently to ensure clarity and to maintain close engagement. Shareinformation through new channels and amplify existing channels to reach a broader audience.

4. Offer training. PWGSC should consider offering a class to assist IT-focused SMEs, as an extensionof the basic and more general course that teaches suppliers how to do business with the federalgovernment. This advanced class could focus on helping IT solutions providers better navigateand grow within the new modernization framework.

reCoMMeNdaTIoN # 2: develop closer, more strategic relationships with distributors

1. Leverage distributors as a communications channel. Working with and through distributors,government can connect with virtually every SME across Canada. By leveraging distributors’communications vehicles and attending their events, government will be able to amplify theirmessage and reach SMEs in every corner of the country.

2. Consult more regularly with distributors. The Government will benefit from consulting moreregularly and more strategically with distributors. They will prove to be insightful advisors, giventheir procurement knowledge and their close relationship with SMEs. MarketWorks recommendsthat government host a quarterly or semi-annual roundtable to collaborate with distributors, toexplore ways to more effectively engage SMEs and help them succeed within the new ITframework.


reCoMMeNdaTIoN # 3: adopt new mechanisms to support impacted departments in their IT transformation

1. Develop an intradepartmental network. MarketWorks recommends that PWGSC work withOPO and SSC to create a formal committee to facilitate intradepartmental collaboration and thesharing of information and insights related to the transformation efforts. This will ensure a morecohesive and consistent approach to communicating IT modernization plans and priorities acrossimpacted organizations.

2. Host education sessions. By ensuring that the 43 partner departments are comfortablemanaging the IT systems and services that remain in their control, OSME will reduce thelikelihood that these departments will seek assistance from SSC. As a result, SMEs will stand abetter chance of maintaining current business and winning new contracts.

3. Re-evaluate in one year. OSME should reassess the state of government-industry relations in oneyear’s time. This will allow government to benchmark against the findings of this study, bydetermining where enhancements have been made and how government-industry engagementcould be further improved.


aPPeNdIX a - FooTNoTeS

1 GTEC 2011. Corinne Charette, Chief Information Officer, Government of Canada, Keynote Speech.http://www.tbs-sct.gc.ca/cio-dpi/gtec/ks-do-eng.asp. Accessed on September 20, 2012.

2 Deficit Reduction Action Plan (DRAP): Office of the Information Commissioner of Canada. 2012.http://www.oic-ci.gc.ca/eng/abu-ans_cor-inf-inf-cor_drap-pard.aspx. Accessed on September 20, 2012.

3 Change Agents: Federal government organizations that develop the plans and priorities related to ITmodernization and related transformation initiatives. Such as: officials within Shared Services Canada(SSC), the Acquisitions Branch of Public Works and Government Services Canada (PWGSC) and theChief Information Officer Branch of Treasury Board Secretariat (TBS).

4 Stewards: Federal government organizations that help those impacted by modernization to engage,align, navigate, and grow amid transformation. Examples: Office of Small and Medium Enterprises(OSME) in Public Works Government Services Canada (PWGSC), and Office of the ProcurementOmbudsman (OPO), and the Industrial Research Assistance Program (IRAP) in National ResearchCouncil of Canada (NRCC).

5 Clients: Departments, agencies and Crown Corporations within the Government of Canada that areimpacted by the IT modernization agenda, and related transformation initiatives. Examples: the Bank ofCanada, Canada Revenue Agency (CRA) and Canada Mortgage and Housing Corporation (CMHC)

6 Data Centre Feasibility Study (Track 2): PricewaterhouseCoopers. 2011. http://www.tpsgc-pwgsc.gc.ca/services/efcd-dcfs/documents/volet2-track2-eng.pdf. Accessed on September 20, 2012.

7 The Jenkins Report: (Innovation Canada: A Call To Action. Review of Federal Support to Research andDevelopment – Expert Panel Report). Industry Canada. 2011. http://rd-review.ca/eic/site/033.nsf/vwapj/R-D_InnovationCanada_Final-eng.pdf/$FILE/R-D_InnovationCanada_Final-eng.pdf. Accessed on: September 20, 2012.

8 Report on Plans and Priorities: Shared Services Canada (SSC). 2012-2013. http://www.tbs-sct.gc.ca/rpp/2012-2013/inst/gss/gss-eng.pdf. Accessed on September 20, 2012.

9 Canadian Innovation and Commercialization Program (CICP): Public Works Government ServicesCanada (PWGSC). 2012. https://buyandsell.gc.ca/initiatives-and-programs/canadian-innovation-commercialization-program-cicp/overview-of-cicp. Accessed on September 20, 2012.

10 Industrial Research Assistance Program (IRAP): National Research Council Canada (NRCC). 2012.http://www.nrc-cnrc.gc.ca/eng/irap/index.html. Accessed on September 20, 2012.

11 National Master Standing Offer (NMSO): An NMSO is a convenient method of supply commonlyused by departments and/or agencies that are repeatedly ordering the same goods or services. Forfurther information please reference: https://buyandsell.gc.ca/for-businesses/the-procurement-process/standing-offers. Accessed on September 20, 2012.

12 Auditor General Report on Aging Information Technology Systems: Office of the Auditor Generalof Canada. 2010 Spring Report. http://www.oag-bvg.gc.ca/internet/docs/parl_oag_201004_01_e.pdf.Accessed on September 20, 2012.


13 Report on the State of Aging IT Across The Government of Canada: Treasury Board of CanadaSecretariat (TBS). 2012. http://www.tbs-sct.gc.ca/it-ti/rsai-revt/rsai-revttb-eng.asp. Accessed onSeptember 20, 2012.

14 Reports on Plans and Priorities (RPP): Treasury Board of Canada Secretariat (TBS). 2008.http://www.tbs-sct.gc.ca/rpp/index-eng.asp. Accessed on September 20, 2012.


aPPeNdIX B - GoVerNMeNT eNGaGeMeNT

TyPE

CHANGEAGENTS

ORGANIzATION

Shared Services Canada

Public Works &Government ServicesCanada, ProcurementStrategy and PerformanceManagement Directorate


Public Works &Government ServicesCanada, Services andTechnology AcquisitionManagement Sector


Treasury Board of CanadaSecretariat, CIO Branch

Public Works &Government ServicesCanada, BusinessManagement Section

PARTICIPANT

Dan Murphy

John Penhale

Grant Westcott

Benoît Long

Erin Cimino

Normand Masse

Levent Ozmutlu

Jerome Thauvette

Corinne Charette

Pierre Boucher

Vicki Ghadban

TITLE

Consultant

Director

Chief OperatingOfficer

Senior AssistantDeputy Minister,Transformation,Service Strategyand Design

Advisor to theChief OperatingOfficer

Director General

Senior Director

EmailConsolidation

Chief InformationOfficer

Deputy ChiefInformation Officer

Director General ofTransformation

DATE

2012-04-26

2012-05-03

2012-05-08

2012-05-16

2012-07-12

2012-07-16

2012-08-07

PuRPOSETo identify how SSC willoperate, transformdepartments, transition servicedelivery and engage supplierswhile supporting SMEs.

To learn how theprocurement landscape isgoing to adapt to themodernization agenda.

To identify how SSC willoperate, transformdepartments, transition servicedelivery and engage supplierswhile supporting SMEs.

To learn how theprocurement landscape isgoing to adapt to themodernization agenda.

To identify how SSC willoperate, transformdepartments, transition servicedelivery and engage supplierswhile supporting SMEs.

To better understand theholistic vision behinddepartmental transformation,and how TBS sees SSC andothers working with SMEsgoing forward.

To learn about this new roleinside the AcquisitionsBranch, and discuss plans andpriorities around procurementreform.


TyPE

STEWARDS

CLIENTS

ORGANIzATION

Office of the ProcurementOmbudsman

National Research CouncilCanada, IndustrialResearch AssistanceProgram

Public Works &Government ServicesCanada, Office of Smalland Medium Enterprise

Canada Mortgage &Housing Corporation

Bank of Canada

Canada Revenue Agency,IT Contracting Section

PARTICIPANT

Frank Brunetta

Lorenzo Ieraci

Dr. Manfred Hubert

Shereen Miller

Dorène Hartling

Sylvain Chalut

Debra Lahey

TITLE

ProcurementOmbudsman

DeputyProcurementOmbudsman

A/ExecutiveDirector

Director General

Director

Chief, InformationTechnologyServices

Assistant Director

DATE

2012-04-26

2012-07-10

2012-08-07

2012-07-13

2012-08-13

2012-08-20

PuRPOSETo gain insight into the newcases brought forth currentlythat are a direct result of themodernization efforts. To alsoidentify how they see thisactivity changing in thecoming year.

To learn about the IRAPprogram and identify if thisprogram can helps SMEstransition and align to thenew IT agenda.

To learn how SMEs arereacting to date, how manyhave engaged their office,and where their concerns liein the face of ITModernization.

To understand how a CrownCorporation is supportingmodernization mandates andto also gain insight into theirplans and priorities for theirinternal services goingforward.

To understand how a CrownCorporation is supportingmodernization mandates andto also gain insight into theirplans and priorities for theirinternal services goingforward.

To understand how a linedepartment is supportingmodernization mandates andto also gain insight into theirplans and priorities for theirinternal services goingforward.


about MarketWorks Ltd.

MarketWorks is a marketing consulting firm focused on the Canadian public sector.We work with clients to bridge the government-industry gap to facilitate innovationand collaboration, and to improve delivery of public services. We are committed,responsive and passionate when it comes to helping government more effectively andefficiently serve Canadians coast to coast.

For More INForMaTIoN CoNTaCT

Kelly HutchinsonPresident, MarketWorks1 Rideau Street, Suite 700Ottawa, ON, K1N 8S7Tel: (613) [email protected]


P U B L I C S E C T O R M A R K E T D E V E L O P M E N T

shared services canada, it modernization and emerging market opportunities for small and medium...

Technology

government departments

government contracts

andoutside government

new environment

e t w o r

shared services canada

modernization initiative

medium enterprises smeswho