1. PRINT MANAGEMENT PROGRAM OFFICE Program Overview F EDERAL S TRATEGIC S OURCING I NITIATIVE

2. FSSI VALUE DRIVERS SUMMARY OF FSSI SOLUTIONS The Federal Strategic Sourcing Initiative (FSSI) promotes an effective acquisition system to meet government needs & ensure prudent use of taxpayer dollars IMPROVES VENDOR PERFORMANCE Increases clarity of requirements Optimizes supplier relationships Improves competition & contract structures DRIVES EFFICIENT GOVERNMENT OPERATIONS Lowers Total Cost of Ownership Enables better and more informed decisions by employees Minimizes complexity SUPPORTS ADMINISTRATION GOALS Drives achievement of sustainability and socio-economic goals Helps agencies achieve Administration savings targets Increases transparency & accountability GSA is leading a cross-agency FSSI Commodity Team to develop a government- wide strategic sourcing solution for Print Management FSSI SOLUTION KEY BENEFITS Office Supplies Savings estimated at ~$50M per year Incorporation of POS terms to increase ease-of-use Improved socioeconomic and green performance Domestic Delivery Services Savings of $40M+ per year Increased visibly into shipping patterns and hidden feeds Wireless TEMS Identification of “optimal” rate plans based on analysis of usage Reduced inventory costs and billing errors Print Management Pilot programs in place at VA and GSA Savings estimated at 25% - 40% to date strategy overview | 2

3. In FY2009, a Commodity Team was formed to develop a strategy to reduce the costs of network and personal printers, copiers, and multi-function devices Multi-Function Device (MFD) / Multi-Function Printer (MFP) Network Printer Desktop Printer Stand Alone Copier / Stand Alone Fax Traditionally managed by facility / administrative staff Best practice is to eliminate / minimize use Traditionally managed by CIO Office Best practice is to manage as IT equipment Best practice management approach Traditional agency management approach Agencies can adopt the FSSI Print Management solution for their entire enterprise fleet, for only printer or copiers/MFDs, or for individual office locations (or any combination thereof) strategy overview | 3

4. Over twenty-four agencies and organizations collaborated to develop a Print Management program which meets the needs of the Federal community strategy overview | 4 ADDITIONAL CONTRIBUTORS Office of Management and Budget Office of Federal Procurement Policy Various industry groups REQUIREMENTS DEFINITION & ACQUISITION STRATEGY TEAM Defense Logistics Agency Department of Agriculture Department of Commerce Department of Defense Department of Homeland Security Department of Energy Department of Health and Human Services Department of Justice Department of Labor Department of State Department of Transportation Department of Treasury Department of Veterans Affairs Environmental Protection Agency Executive Office of the President Federal Aviation Agency Food & Drug Administration Environmental Protection Agency General Services Administration Internal Revenue Service NASA Peace Corps Small Business Administration US Department of Agriculture

5. The program is comprised of three interrelated components to lower the Total Cost of Ownership of print devices BEHAVIORAL CHANGE STRATEGY A set of guidelines and tools to increase awareness of print costs and best practices to drive improved employee decision making FIRST GENERATION ACQUISITION STRATEGY An easy to use procurement vehicle for all print devices & services that will deliver savings and enable improved agency print management CONTINUOUS IMPROVEMENT STRATEGY Ongoing engagement, collaboration and facilitation of print management evolution through a government-wide community of interest strategy overview | 5

6. FSSI Commodity Team analysis has shown that the “sticker price” of print/copy devices is only a small fraction of the Total Cost of Ownership (TCO) ESTIMATED PRINTER / COPIER / MFD TOTAL COST OF OWNERSHIP FOR FY10 Due to similarities in the drivers of TCO and trends in the supply market, the scope of a Print Management strategy should include both printers and copiers/MFDs Agencies will benefit from ensuring visibility to enable acquisition decisions based on TCO Device costs Toner costs and yield Energy costs Maintenance costs End-of-life costs “Right-sizing” the print fleet would drive significant savings, but is not a prerequisite for implementation of a Print Management solution Due to similarities in the drivers of TCO and trends in the supply market, the scope of a Print Management strategy should include both printers and copiers/MFDs Agencies will benefit from ensuring visibility to enable acquisition decisions based on TCO Device costs Toner costs and yield Energy costs Maintenance costs End-of-life costs “Right-sizing” the print fleet would drive significant savings, but is not a prerequisite for implementation of a Print Management solution IMPLICATIONS Notes: 1) Other Direct Costs include maintenance agreements outside of lease contracts and other consumables such as toner drums 2) Support Costs include downtime costs; time to order consumables; device acquisition costs; asset management; support & help desk Source: FPDS Spend Data for FY08, GSA Advantage Line Level Spend Data for FY08, Censeo Analysis The direct costs for devices are a small fraction of TCO Consideration of consumables is critical to understanding the TCO of print devices potential acquisition strategy | 6 Although device vendors do not commercially provide paper, data collected through the solution will enable agencies to manage this spend Support costs are generally proportional to the number of installed devices & the approach used to manage the devices

7. The Commodity Team has developed an acquisition that will enable agencies to reduce the size of their print fleet and lower printing and copying costs strategy overview | 7 RFQ Component Products / ServicesKey Benefits Fleet Assessment Identification of all print devices in an agency / bureau / location Enables agencies to understand total print costs and carbon impact of operating the print fleet Analysis of optimal number, type, and placement of devices based on agency printing patterns Improves employee access to print devices while lowering total costs Typically results in reduced total number of deployed print devices (lowering costs and electricity consumption) “Device Plus”Compliant print & copy devices with low Total Cost of Ownership Ensures all print devices comply with security, accessibility, and environmental requirements Provides access to devices with the lowest total costs ConsumablesReduces redundant contracts & enables complete understanding of print costs Enables agency evaluation of total operating costs (not just device “sticker price) Service and MaintenanceEnsures device uptime & availability Minimizes burden on agency CIO staff Vendor Data Collection & Reporting Provides visibility into agency purchase and usage patterns Enables rapid creation of reports to comply with OMB / Executive Order requirements

8. BENEFITS OVERVIEW The Print Management program will support Federal sustainability, budgetary and operational goals ObjectiveDescription Sustainability Improved environmental performance  Projected annual paper reduction equivalent to up to 550,000 trees  Auditable reduction in electricity consumption Compliance with Executive Order 13514  Alignment with EO requirements including improved transparency, electronic product stewardship, and waste reduction Budgetary Over $1.1B in annual savings  Savings from short and long term behavioral changes are projected at up to $700M government-wide, driven by improved device selection and reduced consumables costs  Support cost savings are projected at up to $450M government- wide Operational Complexity reduction & security management  Reduction in number of deployed print devices (includes MFDs) and rationalization of print device models  Formalization of security requirements for print devices Improved mission focus  Increased ability of agency staff to focus on strategic priorities and mission delivery rather than the tactical management of print devices strategy overview | 8

9. The Print Management program will drive sustainability improvements throughout the government Sustainability Category Improvement Driver Details Reduced Energy Consumption & Carbon Emissions Energy STAR & Efficiency All devices must be Energy STAR certified, and energy consumption will be considered when devices are evaluated EPEAT Ratings Minimum EPEAT rating thresholds for printers and copiers will be incorporated into requirements when they have been finalized by EPA Improved Device Energy Settings Devices will be required to have optimized default settings for use of ‘sleep’ mode Reduced Device Footprint Reduction in the number of devices deployed throughout the government Improved Recyclability & End of Life Management Packaging Requirements Requirements will be included to drive minimization of device packaging material and to increase packaging recycled content Recycled Content Requirement Machines will be required to utilize a minimum percentage of recycled content & vendors will be encouraged to use remanufactured toner Device Disposal Machines will be required to be disposed of in an environmentally acceptable manner Reduced Paper Consumption Duplex Printing Requirement Devices will be required to have optimized default settings for use of ‘duplex’ printing Misc. Green Machine CLIN Separate CLIN awards will be made for devices that demonstrate the most advanced sustainability technologies Key Sustainability Features of the Print Management Program strategy overview | 9

10. Seven change management guidelines are provided to agencies to drive cost savings CategoryGuidelineOverall Savings / Sustainability Potential Changes To Device Settings Default use of ‘duplex’ (double-sided) printing Default use of ‘black and white’ printing Default use of ‘draft’ quality (rather than ‘high’ quality) printing Improved use of sleep mode Potential annual savings of over $320M Up to 550,000 trees saved per year Annual carbon reduction equivalent of up to 47,000 cars being taken off the road Changes To End User Applications Default use of toner-efficient fonts Changes To The Print Fleet Removal of existing personal printers Purchase freeze for new personal printers The Commodity Team has also developed a tool to enable agencies to track the savings driven by these guidelines POTENTIAL GUIDELINE ELEMENTS potential acquisition strategy | 10

11. The program is the first step in the government’s evolution to a low-cost, low- print environment PRINT MANAGEMENT MATURITY MODEL FUTURE GENERATIONS: Document Lifecycle Management Minimization of document print output through use of electronic archiving, workflow management, and other digital technologies FUTURE GENERATIONS: Document Lifecycle Management Minimization of document print output through use of electronic archiving, workflow management, and other digital technologies CURRENT STATE: Unmanaged Print Lack of visibility and control over print Total Cost of Ownership CURRENT STATE: Unmanaged Print Lack of visibility and control over print Total Cost of Ownership IMMEDIATE IMPROVEMENTS: Behavior Changes Improved print decisions by end users IMMEDIATE IMPROVEMENTS: Behavior Changes Improved print decisions by end users 1 st GENERATION ACQUISITION: Acquisition Improvement Selection of devices based on Total Cost of Ownership and emerging understanding of enterprise print patterns 1 st GENERATION ACQUISITION: Acquisition Improvement Selection of devices based on Total Cost of Ownership and emerging understanding of enterprise print patterns 2 nd GENERATION ACQUISITION: Continuous Process Improvements Balancing of print demand with device capability, resulting in net decreases in number of deployed devices and minimized enterprise Total Cost of Ownership 2 nd GENERATION ACQUISITION: Continuous Process Improvements Balancing of print demand with device capability, resulting in net decreases in number of deployed devices and minimized enterprise Total Cost of Ownership The first generation program provides agencies with the immediate cost savings and green benefits, and captures the data necessary for continued evolution Long term Commodity Management objective Achieved over multiple years as current agency contracts expire Current State (most agencies) Achieved in 90-days through development of behavior guidelines Enabled by the data collected through the 1 st generation solution Initial data collection through savings calculator Limited / no data Vendor collection & reporting of detailed usage data Data centricity Data-driven management strategy overview | 11

12. 2011 APRMAYJUNJULAUGSEP The Commodity Team is on pace to award an acquisition vehicle by mid- August with program kickoff occurring by August 30 Today Evaluation & Preparation for Program Launch Final RFQ Edits Draft RFQ Support of Agency Guideline Implementation RFQ Release to Industry and Vendor Bids Award Implementation SSWG Review Implementation Planning OFPP Review Notify Industry KEY DATES Commodity Team Meeting | 12 SSWG Review – June 9 RFQ Posted – June 16 Evaluation (Crystal City) – August 8-10 BPA Awards – August 18-19 Program Launch – August 30

13. Agencies can help the Print Management program achieve its cost savings and sustainability objectives FESWG SUPPORT REQUESTED Champion and support the Print Management program within your respective agencies Adopt the seven steps to lowering print costs within your agency For agencies who are not currently represented on the Commodity Team, identify potential team members and submit names to print.management@gsa.gov print.management@gsa.gov strategy overview | 13