Child Care Administrator’s Improper Payments Information Technology Guide

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D. Conclusion

As initial steps in considering alternative IT investment approaches, States may be wise to clearly define their needs and conduct a strategic analysis, including their direction, infrastructure, and the availability of COTS products and open-source solutions. These analyses can help States to align their investment decision with their Agency’s and State’s future programmatic and technical direction, as well as help identify other existing information systems investments by other programs and State Agencies (within or outside their State) that may be leveraged, saving time and money.

The next step in the decision process is performing an alternatives analysis to compare the efficacy of choosing in-house development, integrating available COTS products, or contracting. The best approach depends upon a variety of factors, including the existing technical infrastructure, staff skills and experience, availability of funds, user requirements, legal mandates, and executive sponsorship. Given the myriad of considerations that go into a decision, a number of formal analyses and clear criteria for decision making can help child care administrators make a good decision.

The three IT investment paths are different, and each has distinct advantages and challenges. Additionally, the three approaches are not exclusive, and States may consider hybrid approaches that maximize the advantages of each approach and attempt to mitigate the challenges. As States embrace SOA development, the opportunities for leveraging existing services developed by other organizations increase as will the ease of combining development efforts of internal staff with COTS products and the services provided by third-party contractors. For example, many State agencies and local governments in Virginia could benefit by using SPIDeR.

Once a State makes a decision on alternative approaches, States then need to find the best means to procure their solution(s). Chapter III provides information about the procurement process.