Maine State
Government
Dept. of
Administrative & Financial Services
Office of
Information Technology
IT Product Acquisition
(COTS) Policy
I. Statement of Policy
The Office of Information Technology (OIT) values the
first re-use, then buy, then build philosophy. It is in the best interest
of the state to apply evaluation criteria to measure factors beyond cost.
II. Purpose
This policy provides evaluation
guidance for entities making investments in technology assets. Adherence to
acquiring commercial off the shelf (COTS) products has the potential to save
costs, reduce risks and deliver a more mature system much quicker than with a
modified or custom built solution.
III. Guidelines and Procedures
A best value evaluation
should, at a minimum, consider total cost of ownership over the entire period
the IT solution is required, maximize flexibility and reuse, fit with
identified business requirements, reliability, performance, scalability,
security, maintenance requirements, legal risks, ease of customization, and
ease of migration.
A. Selection
Criteria
1.
Value - Business Requirements have to be
balanced with the Value (Return on Investment). Value considerations
should be holistic, encompassing both the one-time cost of acquisition as
well as the lifetime costs of operation. These combined criteria should
be given the highest weight.
2.
Viability - If a technology asset has a
large installed base within the State and the State is already comfortable
supporting it, it makes sense to continue with that technology asset and
negotiate a deeper volume discount from the vendor. Supportability, scalability
and sustainability are important from an enterprise perspective.
3.
Alignment with Long-term Architecture - It
is in the best interests of the State to select technology assets that are part
of the installed base as well as in alignment with its long-term architecture
vision, as defined by the Architectural Bricks.
4.
General Excellence & Market Position -
State agencies utilize technology assets that were originally acquired for singular
purposes. It is in the best interests of the State to invest in products that
command positions of excellence in the marketplace
5. Practical Considerations - Migrations have to be managed
very carefully to mitigate any disruption. Sunk investment (in
terms of the installed base) is also another important practical consideration.
IV. Applicability
This policy is intended to manage the acquisition of all technology
assets by:
1.
Executive Branch and semi-autonomous State agencies
2.
Agencies from other Maine State government branches that provide
technology based solutions.
If it is determined that an
existing technology asset cannot meet current requirements, the State should
explore an off-the-shelf product that comes closest to satisfying such unmet
requirements.
V. Responsibility
A. The
Application Directors, in partnership with the Agencies, shall
1. Conduct a best value
evaluation for IT investments. This evaluation should consider, at a minimum,
the total cost of ownership over the entire period the IT solution, the fit
with identified business requirements, reliability, performance, scalability,
security, maintenance requirements, legal risks, ease of customization, and
ease of migration.
2. Examine all possible
solutions, including open standards compliant open source and proprietary
software as well as open standards compliant public sector code sharing at the
local, state and federal levels.
3. Conduct market research to
determine whether commercial items or non-developmental items are available
that could meet the agency’s requirements;
4. Acquire commercial items
or non-developmental items when they are available to meet the needs of the
agency; and
5. Require prime contractors
and subcontractors at all tiers to incorporate, to the maximum extent practicable,
commercial items or non-developmental items as components of items supplied to
the agency.
6. Work with the agencies to
validate that major upgrades or changes to existing applications or systems
comply with this policy.
7. Assist the agency in
meeting the requirements of this policy.
B. OIT will
propose, adopt and implement standards, operating procedures and best practices
in support of this Policy.
C. Systems
Integration and Governance Director shall
1. Set the strategic
direction for the application suite, as it relates to shared or common
solutions.
2. Work across OIT to
leverage the “buy one - use many” philosophy.
D. Technical
Business Consultants, in partnership with Application Directors shall
1. Raise awareness of COTS
solutions both in current and future IT needs.
2. Examine potential cost
savings for projects that begin a new lifecycle or are eligible for contract
renewal.
E. Directors
of Networking and Hosting Services shall
1. Raise awareness of COTS
solutions both in current and future IT needs.
2. Examine potential cost
savings for projects that begin a new lifecycle or are eligible for contract
renewal.
VI. Definitions
A. COTS:
Commercial Off the Shelf Software; COTS is a term for software or hardware, generally
technology or computer products, that are ready-made and available for sale,
lease, or license to the general public.
B. Application
Director: Senior Manager within OIT responsible for delivery of
application services to the Agencies.
C. TBC:
Technical Business Consultant, OIT customer representative.
D. AGENCY:
The State of Maine agency or department whose business is being served by
acquisition of Software.
E. Architectural
Bricks - In the Gartner Strategic I.T. Plan for Maine State Government, a Brick is defined as a discrete component of
the I.T. architecture that is purchasable in the vendor marketplace of
products.
VII. Document
Information
A. Document
Reference Number: 37
B. Category:
Computing Environment and Platform
C. Adoption
Date: February 3, 2010
D. Effective
Date: February 3, 2010
E. Review
Date: February 3, 2011
F. Point of
Contact: Director of Systems Integration and Governance, Steve Campana
624-8800.
G. Approved
By: Richard B Thompson, Chief Information Officer, State House Station
#138, Augusta, ME 04333, (207) 624-8800.
H. Position
Title(s) or Agency Responsible for Enforcement: Director of Systems
Integration and Governance.
I. Legal
Citation: Title 5, Maine Revised Statutes, Chapter 163 §1973, Section 1,
Paragraph B authorizes the CIO to “set policies and standards for the
implementation and use of information and telecommunications technologies.
