IT Capital Investment

The Department has implemented a phased approach to the IT Capital Investment Management (ITIM) process.

Phase I of the IT Capital Investment Management Process began in 1999 during the development of the FY2001 budget request and enabled the Department to identify those initiatives that were directly related to the needs identified in the DOL IT Strategic Plan, and considered essential to improving the overall condition of the IT environment. These initiatives were reviewed, prioritized and approved using the Department's inter-agency collaborative IT Capital Investment Management process and then placed into the Department's three crosscutting areas:

1. Enterprise Architecture
2. Common Office Automation Suite Implementation
3. Security - Critical Infrastructure Protection

Crosscut initiatives address the needs of multiple DOL agencies and/or the entire Department. The three crosscuts are funded through a centralized IT investment fund managed by the Chief Information Officer (CIO). The CIO Council's IT Investment Portfolio System (I-TIPS) is used to support these processes.

Phase II activities were implemented in 2000 and included the use of I-TIPS portfolio manager, quarterly control reviews of IT crosscuts and major initiatives, development and implementation of a post implementation review methodology, and identification of lessons learned. A fourth crosscut, Common Management Systems, was added to the list of crosscut categories.

We are now in Phase III, which began in 2001. The Department is continuing to conduct quarterly control reviews of IT crosscuts and major initiatives and will increase the number of PIRS, while focusing on IT project performance measurement.

IT Investment Management Progress-to-Date. Over the past few years, we have strengthened the IT investment management and decision-making process. Here are some of the Department of Labor's accomplishments:

• Development and operation of the multi-tiered Investment Review Board
• Development of standardized risk and return evaluation criteria
• Establishment of IT investment review thresholds
• Implementation of I-TIPS
• Capture of FY 2001 above threshold selection information
• Implementation of an ITIM education/training program, including introductory courses in Risk Management, Project Management, Cost Benefit Analysis, and IT Performance Measures
• Implementation of Expert Choice, a decision-making support tool
• Enhanced portfolio development and performance oversight
• Use of I-TIPS Portfolio Manager
• Development of Agency-specific, IT Crosscut, and Departmental IT portfolios
• Portfolio presentations to the Technical Review Board
• Development of a Departmental data capture strategy to achieve full exposure of IT budgets
• Incorporation of IT security assessments
• Improved partnerships with Deputy Secretary, Budget Office, Office of the Chief Financial Officer, Office of the Inspector General, Procurement Executive, and Program Offices
• Conducted Quarterly Control reviews of IT crosscuts and major projects
  
• Development and implementation of Post Implementation Review (PIR) Methodology

Next Steps. We also have plans to keep moving forward, and here are highlights about our next steps:

• Continue to conduct quarterly Control reviews, evaluate Portfolio Performance, and conduct PIRs on select systems
• Continue integration of IT investment management process with other processes
• Continue collaborative approach with agencies
• Continue on-going institutionalization of the ITIM process
• Focus on IT project performance measurement and achievement
• Focus on the critical processes identified in the General Accounting Office ITIM Process Maturity Model
• Incorporate lessons learned from PIRs and improve process over time
• Improve ITIM competencies amongst DOL workforce