10/02/2004Nineveh Open Source Conference1 The Penguin: sinking costs, or drowning innovation? Richard Steel MBA Head of ICT London Borough of Newham

10/02/2004Nineveh Open Source Conference2 Need? Pop 243,000  Young People 40% < 25 Minority Ethnic 61% Deprivation Income Levels Jobs Community Cohesion Great Opportunities

10/02/2004Nineveh Open Source Conference3 Vision 2010 Civic partnership - deliver a Vision All Public Services Political Leadership and accountability Meeting needs and statutory duties Service quality Government Agenda and National targets Making a Difference

10/02/2004Nineveh Open Source Conference4 Specific Aims Reducing Crime & ASB Cleaner streets Improving Social Services Raising Educational achievement Regenerating Newham- physical and social Improving efficiency Delivering the Vision

10/02/2004Nineveh Open Source Conference5 Challenges Comprehensive Performance Assessment Laming- Green Paper Service aspirations Government control and funding regimes Prioritisation and focus Deliver more, in a tougher environment, with less resource

10/02/2004Nineveh Open Source Conference6 What does the CE want from ICT? Cost effective business systems To support and enable service outcomes Access to data to enable delivery of our Aims Joined-up customer /user contact and info Cheap means of paying and receiving money To enable social inclusion To be able to sleep at nights

10/02/2004Nineveh Open Source Conference7 ICT has... Automated routine tasks been one of our key foundations for success Revolutionised communications Given us the world at our finger-tips Enabled us to do jobs that we didn’t know needed doing! Given us hackers, spam and computer viruses! Created the “information overload”! Lost me my hair!

10/02/2004Nineveh Open Source Conference8 Isn’t ICT meant to reduce our costs? End of 1998… 3,576 mail users 20k messages per day 30Gb. mail storage End of 2002… 5,336 mail users 85k messages per day 280Gb. Mail storage + Offline storage ICT Hardware & Software Infrastructure As well as exponential growth in anti virus & security requirements

10/02/2004Nineveh Open Source Conference9 Funding development of the personal computer network 15 years ago - “No IT Manager was ever fired for buying IBM” Since then... – Project based capital investment – External grants – End of year under-spend – “Back pockets” – Now - Ubiquitous Windows networks, but piecemeal, non-standardised, diverse

10/02/2004Nineveh Open Source Conference10 New ICT Challenges Flexible working Data & voice integration Wireless Varied access devices Thin client versus thick technology roadmap

10/02/2004Nineveh Open Source Conference11 Upgrade to Windows XP 64% of Newham’s work-stations would need to be upgraded 14% could not run it at all Only 22% would run it without upgrade

10/02/2004Nineveh Open Source Conference12 Functionality for Productivity... or Vulnerability? Most users don’t need the level of functional sophistication provided Most people use added functionality inappropriately Unregistered databases Unsupported macros Incompatible standards Inappropriate skills Inefficient code

10/02/2004Nineveh Open Source Conference13 The software “Gravy Train”? More Innovation More Power More Functionality More new products More Sales

10/02/2004Nineveh Open Source Conference14 Virtues of Open Source? Less (unneeded) functionality? – requires less power Cheaper? More secure? GPL? Standardised? XML Compliance?

10/02/2004Nineveh Open Source Conference15 The trouble with Microsoft! Personal computing Near monopoly Remote – US dominated multinational – Deal through intermediaries – Lacks market focus Target for hackers etc. homogeneity

10/02/2004Nineveh Open Source Conference16 Newham’s Approach Two consultancy studies – Opposing views? Microsoft (CGEY) Net Project Stimulate/ contribute to the debate Likelihood of a hybrid approach? Work with others

10/02/2004Nineveh Open Source Conference17 Results Both highlighted the need for server rationalisation Gartner TCO said we currently need 132 FTEs Following investment in Microsoft upgrade, we could reduce to 113 Currently, we have 97! Savings from Open Source were not realisable in the short term

10/02/2004Nineveh Open Source Conference18 Results (cont.) Decided move to OS was high risk – Needed to avoid loss of valued functionality such as Group- Ware – Staff resistance - change management, training etc. – Integration with other products – Relative immaturity of OS Newham executive acknowledges case for sustained investment in maintaining up-to-date infrastructure Pleased with Microsoft response...

10/02/2004Nineveh Open Source Conference19 Microsoft Unlimited Access Framework Licensing Model – Flexible per seat pricing (& price reductions) Finance package for hardware technology refresh New vertical focus on Government sector reporting to Steve Ballmer Spirit of real partnership Support for Local Authority Software Consortium (LASC) Patch management Various joint initiatives for local government

10/02/2004Nineveh Open Source Conference20 Combined with new infrastructure vision An end to “Laissez Faire” – Corporate workstation, not personal, locked-down Single log-on, anywhere on the network or from home / “on location” Configuration & resources determined by JD 4 year hardware technology refresh and standardised workstation operating environment Database & development software by special application & consent, only

10/02/2004Nineveh Open Source Conference21 Vision (cont.) Aim for Gold FAST accreditation – Best-in-class software asset management – Robust HR policies on security Server rationalisation & improved storage management linked to Freedom of Information requirements Lower support costs - commodity technology Greater integration - voice, CCTV

10/02/2004Nineveh Open Source Conference22 Conclusions The time is now for ICT to deliver upon its promise Low Cost Flexible Stable Integrated across all departments Linux / OS may offer a way forward for relatively unsophisticated sites? It is already creating a more competitive market!

10/02/2004Nineveh Open Source Conference23 Thanks for listening! ?