Industrial Management

MAY-JUN 2015

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22 Industrial Management California is changing the way it manages technology in an effort to prove that government can mesh with the innovative information technology industry, The Sacramento Bee reported. According to the newspaper, California's Department of Technology is work- ing on a system that includes two things familiar with continuous improvement professionals: vendor grading and a stage-gate system. The grades would apply to those who provide IT products and services, although officials haven't said how they would affect California's business deci- sions. The state has spent about $900 million on three stalled or terminated IT projects in the last few years and has projects worth $4.6 billion in the pipeline. The stage-gate system would replace the practice of pitching products and services to the state with upfront cost estimates, a schedule and a rationale for the new technology, according to The Sacramento Bee . State officials could delay or ax the program if cost, scope or schedule changed. Instead, department officials would review projects at certain points in the schedule. The systems could make it through each "gate" by meeting defined standards. The goal is to put systems back on course before they careen into disaster. METRICS, GATES AND GOVERNMENT

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