DRAFT – For Discussion Only HHSC IT Governance Executive Briefing Materials DRAFT April 2013

- 2 - DRAFT – For Discussion Only Governance specifies the decision-making authority and accountability to encourage desirable behaviors What is Governance? Governance is the decision framework and process by which enterprises make investment decisions and drive business value. What decisions require formal management (i.e. what is IT governing) Who is responsible and accountable for making IT decisions (i.e. which IT governance bodies and roles are responsible and accountable) How these decisions are made and monitored (i.e. what are the relevant IT governance processes, what is the right type of information needed to make effective decisions) Governance is the “what, who and how” Clear decision owners with accountability for making progress on identified priorities The right level and type of information for effective decision making Coordinated, clear meeting schedules that maximizes participants’ time The right people in the room to contribute to the decision making process Shared understanding of who is accountable Collaborative development of enterprise roadmaps (the clear road ahead) Governance enables:

ARCHITECTURE & SECURITY (e.g., SSP Framework, Data Governance. Portal Authority, Channel Management) Enterprise IT Strategy Eligibility Systems Portfolio Governing Body Portfolio Roadmap Project Prioritization Application Portfolio Management Contract Lifecycle Planning Medical Client Systems Portfolio Medical Client Systems Exec Steering Committee Portfolio Roadmap Project Prioritization Application Portfolio Management Contract Lifecycle Planning Health Services Portfolio Governing Body Portfolio Roadmap Project Prioritization Application Portfolio Management Contract Lifecycle Planning In Finance HR Facilities DLP Office 2010 TIERS EBT MAXIMUS CARE CRS WORXEDW TMHP ICD-10 Project Steering Committees, Application Change Control Boards, Contract Governing Bodies Enterprise Governance Enterprise Business Strategy HHSC GOVERNANCE MODEL Network Administrative Systems Portfolio Business Technology Council (with CFOs) Portfolio Roadmap Project Prioritization Application Portfolio Management Contract Lifecycle Planning Infrastructure & Shared Services Portfolio Business Technology Council Portfolio Roadmap Project Prioritization Infrastructure Portfolio Management Contract Lifecycle Planning Technology Roadmap Tactical Standards *HHSC agency-specific topics will also be discussed in HHSC specific forums HHSC Agency-specific*

Enterprise Governance Enterprise IT Strategy Enterprise Business Strategy HHS GOVERNANCE MODEL HHSC IT Governance Structure IT Portfolios HHSC IT Governing Bodies Portfolio Roadmap Project Prioritization Application/Infrastructure Portfolio Management Contract Lifecycle Planning Steering Committees, Other Governing Groups DADS Governance StructureDARS Governance StructureDFPS Governance StructureDSHS Governance Structure App Project Contract App Project Contract Infra- structure Cross-Agency Collaboration Technology Roadmap Tactical Standards ARCHITECTURE & SECURITY (e.g., SSP Framework, Data Governance. Portal Authority, Channel Management) HHSC (Agency) Governance Structure

- 5 - DRAFT – For Discussion Only Initial Observations – Portfolio Maturity Assessment The Portfolio maturity continuum provides: An assessment of current state processes An understanding of desired future state processes An identification of potential areas for enhancements for each portfolio NewMature**Evolving Eligibility Systems Portfolio Administrative Portfolio Infrastructure & Shared Services Portfolio Health Services Portfolio Mature: Established governance model and processes to provide the right information to make effective decisions & clearly assigned decision rights Strong organizational and cultural focus on continuous improvement and high level of communication between IT and the agencies New: Need more information/ documentation or segmentation of the applications within portfolio to understand existing governance models Evolving: Necessary governance policies exist, but have yet to be widely implemented and are only partially followed across the portfolio Only some policies and procedures exist for a particular application but need robust documentation Medical Client Systems Portfolio **In order to get all the portfolios to a mature state, in addition to the process changes, there is a culture shift that needs to occur

- 6 - DRAFT – For Discussion Only Portfolio Maturity Goals Infrastructure & Shared Services Portfolio Support each agency's business objectives and risk mitigation needs by enabling interoperability and cost savings by standardizing, streamlining and simplifying through common processes and technology Medical Client Systems Portfolio Establish governance mechanisms to coordinate decision making and prioritize IT resources among the multiple stakeholders of Client System portfolio applications Health Services Portfolio Define key relationships and ensure governance (including proper stakeholder engagement) of all applications, projects, and contracts with IT components Administrative Systems Portfolio Identify and then govern the Enterprise administrative systems by standardizing, streamlining and simplifying to achieve efficiencies (e.g., travel, HR, Accounts Receivable) Enable effective and consistent coordination of key activities to address business initiatives and prioritization of IT requests across all portfolio stakeholders Eligibility Systems Portfolio Goal New Evolving