The Public Services Network (PSN) - Is Your Business Ready?
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Why a Public Services Network (PSN)? The Public Services Network will create a ‘network of networks’ for the Public Sector from the existing commercial networks, and will develop a market place providing opportunities for industry, and savings for the Public Sector. The PSN will change the way Government Departments and Agencies, Local Authorities, and the Third Sector buy and use Voice and Data Networks. It will drive efficiencies in procurement, through a range of technical and service standards, which will lead to an open, collaborative environment for all UK Public Sector employees. Cabinet Office PSN Website November 2010
Contents Introduction 4 Business Summary 5 The Public Services Network – an Overview 5 PSN Implementation 5 A Look Ahead to the Benefits 6 Business Planning for PSN 7 Strategic Context for PSN 8 The Operational Efficiency Programme 8 The Government ICT Strategy 8 The Public Services Network 9 What is the PSN Programme? 10 Overview 10 PSN Compliance 11 PSN Procurement 11 Business Benefits of PSN 13 How to Plan for PSN 14 The Business Maturity Model 16 How Cisco Can Help 18 References and Reference Documents 19 Public Sector References 19 Cisco References 19 3
Introduction The Public Services Network (PSN) programme is a key programme for delivery of Government ICT. By 2014, PSN should contribute up to £631 million per year in savings to the Government’s efficiency and reform programme. Senior Public Sector management Part 1: Is Your Business Ready? We would welcome the opportunity are expected to understand the • Explains PSN to discuss PSN with you and to review PSN programme and begin business the contents and recommendations in planning now with the aim of capturing • Introduces the business benefits this paper. Simply contact your Cisco the full cost savings and other • Suggests ways to approach Account Manager. business benefits as quickly business planning. as possible. Part 2: Are you Technically Ready? This briefing gives you practical advice • Provides a technical overview that will increase your understanding of the task ahead and help you save • Assists with achieving technical time and costs. readiness • Advises on developing a technical It has been developed in two maturity model. parts for senior business and technical managers. 4
Business Summary This paper shares key knowledge acquired from our contribution to the Cabinet Office PSN programme since 2008 and our involvement as a technology supplier to the first wave of regional PSN networks in Wales, Kent and Hampshire. The Public Services Network – an Overview The Government ICT Strategy The Public Services Network will be PSN, however, is much more than offers a vision of driving down costs a single, holistic telecommunications just a network. It is a genuinely and transforming business in the infrastructure for the whole of the transformational programme that sets Public Sector. Covering infrastructure, public sector. It would replace the out to change how ICT infrastructure standards and capability, the existing approach where each public and services are specified, procured strategy’s ultimate aim is to create body designs, develops, installs and operated by the Public Sector. a shared ICT infrastructure for the and maintains its own network – an Its success will meet the Government’s whole of the Public Sector and use approach which has led to fragmented number one objective – to drive down it to deliver shared data, voice and and expensive service delivery. As costs. PSN will also act as a powerful video services. well as reducing operating costs catalyst for cultural and process and complexity, the Public Services change across the Public Sector. PSN is one of the key infrastructure Network opens up new opportunities deliverables and is described within for information sharing and increasing the strategy in the following way: local and national participation. PSN Implementation PSN will be implemented by individual Public Sector organisations and by ‘aggregator organisations’ with the mandate to implement on behalf of stakeholder partnerships. New partnerships may need to be PSN services fall into two main categories: implementation and operation. established to aggregate demand These services must meet the for shared infrastructure and 1. Infrastructure services – for PSN technical, security and service shared services, for example example network, security, hosting management standards specified. on a regional basis. and gateway services 2. Application services – for example They will also need to be certified as PSN will be implemented as a set of voice, video, collaboration, email PSN-compliant and be offered by PSN-compliant services, procured and messaging services. PSN-compliant service providers. from PSN-compliant service providers, using approved PSN These services are most likely to be commercial and governance models. supplied as managed services ready for 5
Compliance is the Key to Success Compliance criteria for services and industry best practice, is providers are defined in a set of PSN implemented by compliant service Codes. Compliance certification is providers with the right skills and is regulated by the PSN Authority. procured in the most efficient way. Compliance will guarantee that all Public Sector ICT meets agreed A Look Ahead to the Benefits PSN is expected to The main direct benefit is the reduced PSN provides rich shared services that cost of infrastructure and shared can create significant cost benefits deliver significant direct services. This is estimated at up to across the remaining 97%, including: and indirect benefits. £631 million across the whole of the • Location-independent workforce – Public Sector by 2014, a 20% saving costs and increasing reduction in total spend. productive time Direct Savings • Shared buildings and reduced size of estates – saving on the cost These fall into two main categories: of accommodation 1. Removing duplication in existing • Operational costs of buildings ICT provision, for example: – saving on the costs of security, • Shared network infrastructure building management and energy • Shared data centres • Standard business applications • Shared business and application and easy access to information – services. saving costs for multi-disciplinary teams and joining-up service 2. Streamlining how ICT is specified, delivery procured and operated, for example: • Effective project teams – driving higher quality outcomes, increasing • Reduced costs in the productive time and reducing procurement cycle expenses • Reduced ICT integration costs • Improved citizen contact – • Reduced operating costs. improving the quality of services and contributing to national Indirect Savings indicators such as ‘Avoidable ICT accounts for just 3% of the budget Contact’ and initiatives such of typical Public Sector organisations. as ‘Tell us Once’. The remaining 97% comprises the far greater costs of the workforce, the workplace, energy and resources. 6
Business Planning for PSN How Cisco Can Help Many organisations find it difficult to Our recommended steps are: plan effectively for PSN. We’ve seen • Vision and Strategy three main reasons for this: Cisco has contributed actively 1. Gather Information to the Cabinet Office PSN • PSN is complex and there has programme since 2008 and has been uncertainty around dates for 2. Establish Initial Stakeholder Partnerships been a major technology provider some aspects of the programme to the first wave of regional PSN • Each organisation or partnership 3. Create the Vision and networks in Wales, Kent faces a unique set of Strategy Document and Hampshire. organisational, technical and • Business Plans financial challenges We can support your business 4. Carry out ICT Infrastructure planning so you achieve results • Cabinet Office guidance on and Services Assessments faster by: business planning has not yet 5. Create a Technical been widely distributed. • Assisting with development Maturity Model of PSN vision and strategy We believe, however, that the time for 6. Create a Business • Carrying out infrastructure, planning is now right and recommend Maturity Model security and services an approach based on our work 7. Develop Outline Business Plans assessments with other major strategic business • Executive Sponsorship • Developing transition plans projects. This is to break down the planning exercise into sequential 8. Establish Executive Sponsorship that make best use of existing steps that fit into three key stages and Full Stakeholder Engagement. Cisco infrastructure of planning. • Supporting PSN business The Business Maturity Model forms plan development a key part of business planning and • Assisting with creation of a explains how a ‘shared service’ business maturity model. approach to ICT can be developed to drive greater commercial and Cisco is a major technology business convergence and greater supplier to the service providers business benefits. who will be offering PSN-compliant services. We can provide you with guidance on sourcing Cisco based PSN services to help maximise your investment in the skills of your workforce. 7
Strategic Context for PSN Operational efficiency and cost saving are the highest priority for the current administration but can only be achieved through business transformation that delivers cultural and process change. ICT is now recognised as a key strategic enabler of that business transformation and the Public Sector has to build shared data centre and network infrastructure. The Operational Efficiency Programme The OEP Final Report was published in from the use of shared infrastructure and Cabinet Office which has the operational April 2009 by HM Treasury and examined shared services, and from streamlined mandate to tackle waste and improve five areas for potential cost savings; back Public Sector ICT procurement. cost accountability across Government. office operations and IT, collaborative procurement, asset management and Since the Conservative – Liberal These structural changes have not sales, property and local incentives and Democrat administration came to power seen a formal update to the above empowerment. the findings of the Operational Efficiency savings targets. However the Budget of Programme have been retired to the June 2010, the Strategic Defence and The report identified savings of £35 billion National Archives. This area of work is Security Review and the Comprehensive across the whole of the Public Sector, now the responsibility of the Efficiency Spending Review suggest that, while including £3.2 billion annual savings, in Board, co-chaired by the Minister for the the overall strategic approach remains three years time, on Public Sector ICT. Cabinet Office and the Chief Secretary to unchanged, specific savings targets have This represents savings of 20% on the the Treasury. The board is responsible for become more aggressive. Public Sector ICT budget derived primarily the Efficiency and Reform Group within The Government ICT Strategy The previous Government’s ICT environment to ‘join-up’ up the Public contribute directly to cost savings; Strategy was published by the Cabinet Sector to deliver higher quality public • Data Centre Strategy (£300 million) Office in January 2010. It set out: services. That environment would be created by Public Sector organisations • Public Services Network (£500 • A vision of the ICT required by the million) Public Sector to achieve the target working in partnership to specify, procure savings of £3.2 billion defined and operate shared ICT infrastructure, • Common Desktop (£400 million) within the OEP Final Report applications and services. • Government Applications Store • A strategy to realise it. (£500 million) The strategy to deliver that vision was The vision was for ‘shared based on a set of fourteen delivery • Shared Services (key enabler of infrastructure to deliver shared and threads, of which six ‘Common overall efficiency) cloud services’ that would directly Infrastructure’ threads were to create • Government Cloud – G-Cloud drive down costs and provide an the shared services environment and (key enabler for the whole £3.2 billion savings). 8
These threads were to define best the deployment of network-based to depart substantively from the previous practice for Government shared ICT shared services such as voice, video vision - ‘shared infrastructure to deliver infrastructure – covering data centres, and collaboration. shared and cloud services’ – or to networks and common desktops. The make any substantial changes to the Information Security and Assurance The new administration is due to publish fundamentals of the PSN programme. thread defined how best to secure that a revised ICT strategy very soon. At this shared ICT infrastructure to accelerate point in time industry does not expect it The Public Services Network PSN was one of the key threads of the The PSN will deliver at least £500 2. Delivery of an environment for previous administration’s ICT Strategy million savings per year and will information and application and we believe it will continue as a allow voice and data services to be sharing strategic programme. Section 4.1 of delivered seamlessly to any location 3. Support for pervasive, location- that strategy summarised the purpose via a private and secure version of the independent access to voice and of PSN as follows: internet for the public sector. data services. The Public Services Network (PSN) This summary highlights the The PSN programme is run on behalf will create a single, more secure key principles behind the of Government by the Cabinet Office. telecommunications infrastructure. PSN programme: The Cabinet Office - working with It opens up new opportunities for 1. Creation of a single network for the Office of Government Commerce more efficient information sharing and the whole of the Public Sector – (OGC) and Buying Solutions – is will provide the operating environment an ‘Internet for Government’ developing a streamlined, framework- for the Government Cloud. based procurement strategy. 9
What is the PSN Programme? Overview The formal PSN programme was established in 2008. It is co-ordinated by Cabinet Office with substantial contributions from a broad cross-section of Government and industry stakeholders. The Cabinet Office adopted a work stream approach to the The five models are: programme, partnering with industry • Technical – how to build the to ensure alignment with current ICT PSN and PSN services best practice. • Security – how to secure PSN Four work streams - technical, • Service Management – how to security, service management and operate PSN governance - were established to • Commercial and Governance – define best practice models for PSN. how service providers and A fifth work stream – transition - was customers can operate within tasked with defining how best to a PSN ‘marketplace’. migrate from legacy environments. The PSN Operating Model, main The five work streams have now document provides the best largely completed their work, although high-level description of these there is still ongoing work on transition models and cross-references from legacy environments. They have documentation for more detail on developed five models that define the specific topics. PSN and PSN services, how they can be procured and how they can In July 2010 the PSN approach be operated. was mandated for all central Government departments, agencies and arms length bodies operating at Impact Level 3 (IL3) and below. In addition the CIO Council and the Local Government CIO Council have endorsed the PSN approach. 10
PSN Compliance Although PSN specifies how to create shared network infrastructure and shared services, there will be no central procurement and implementation. PSN services procurement and implementation will be the responsibility of individual organisations and partnerships so it is essential that each individual implementation is compatible with other implementations. For this approach to work it is critical 1. The Code of Interconnection (CoICo) governance arrangements for that all PSN services are confirmed to sets out the requirements for PSN compliance. A PSN Code Template – have met the requirements of the networks to connect directly to the based on the above codes – has been PSN technical, operational and GCN – the PSN backbone created to allow the PSN Authority to commercial models. 2. The Code of Practice (CoP) sets assess whether PSN service providers out the requirements for other PSN and customers are compliant. The PSN Authority is responsible for networks and network services confirming that these requirements In addition, PSN services and customer have been met and for issuing PSN 3. The Code of Connection (CoCo) environments must both pass a security Compliance Certificates for PSN sets out the requirements for accreditation and be designated ‘fit- services, PSN service providers and customer environments to connect for-consumption’. While this work will customer environments. to the PSN. The PSN CoCo is be carried out by a PSN panel, working based on the existing GSi and on behalf of Government Senior PSN compliance certification is issued GCSx codes of connection. Information Risk Owners (SIROs), on the basis of commitments made individual SIROs will still retain full by service providers and customers A PSN Compliance document sets out responsibility for managing their own against the requirements set out in the the obligations on service providers local information risk. three PSN Codes: and customers and defines the PSN Procurement A PSN procurement Public Sector organisations will be The currently proposed contents of able to procure PSN-compliant the two frameworks are as follows: strategy has been services in one of two ways: • PSN Framework 1 - will list defined jointly by • Same as today, either using OJEU national, regional and community Cabinet Office, OGC or existing frameworks of interest networks and encryption services along with six to eight and Buying Solutions • Using a streamlined process based service providers selected to on two, new PSN frameworks and is published on that are to be established and provide them the Buying Solutions administered by Buying Solutions. • PSN Framework 2 - will list around website. The second option is preferred twenty shared network services, in categories including voice, video, because you don’t have to create collaboration and hosting, along your own requirements specifications with a larger, but unspecified, and resource your own bespoke number of service providers best procurements. However, there is able to provide them. no indication, at this stage, that the PSN frameworks will be mandated Buying Solutions’ procurements for procurement. will be run to create the lists of service providers on each of the The current proposal is to create two two proposed frameworks. new frameworks, each listing PSN- services along with PSN-compliant service providers best able to provide them. 11
Business Benefits of PSN These will appear as direct and indirect benefits. The main direct benefit is the reduced cost of infrastructure and shared services. This is estimated as up to £631 million across the whole of the Public Sector by 2014, a 20% reduction in total spend. Direct cost savings fall into two • R educed ICT integration costs • O perational costs of buildings main categories: – because ICT will be available – ability to secure, manage and as PSN services that require no operate buildings under central Removing duplication in existing ICT bespoke integration policy control; saving on the costs provision, for example: of security and energy • R educed ICT operating costs • Shared networks – shared across – as a result of efficient PSN • S tandard applications and access Government departments and service providers. to information – standardising on agencies, shared across regions key business applications and on • S hared data centres – shared ICT, however, accounts for just 3% access to information; saving costs across Government departments of the budget of typical Public Sector for multi-disciplinary teams and and agencies, regions, the NHS, organisations and this limits direct cost joining-up service delivery and higher and further education savings. The remaining 97% of budgets • Effective project teams – comprises the far greater costs of the • Shared business and application unified communications, video workforce, the workplace and energy services such as voice, video, and collaboration tools enable and resources. Here, PSN provides rich collaboration, e-mail and more effective teaming within and shared services that can drive cultural messaging – shared across across stakeholder organisations; and process change in businesses and Government departments and creating more effective teams, create significant indirect benefits in agencies, regions, the NHS, and increasing productive time and the remaining 97% through: higher and further education. reducing expenses • Location-independent workforce – • Improve citizen contact – greater Streamlining how ICT is specified, ability of a modern, flexible ability to share web, contact centre procured and operated workforce to work from any location and face-to-face channels to join- and access applications and • R educed costs for requirements up service delivery; improving the information; saving on expenses gathering, for specification quality of service and contributing and increasing productive time writing and for procurement – to national indicators such as through streamlined procurement • Shared buildings and reduced ‘Avoidable Contact’ and initiatives from defined set of PSN-compliant size of estates – ability to share such as ‘Tell us Once’. services from PSN-compliant buildings and purpose estates to providers the needs of the workforce; saving on building costs 13
How to Plan for PSN Many organisations have found Our recommended steps are: 3. Create the Vision and Strategy it challenging to plan effectively Document – create a vision of • Vision and Strategy for PSN. We’ve seen three main how PSN will change ICT and reasons for this: 1. Gather Information – a clear business models; develop a understanding of the PSN strategy to realise that vision. • PSN is complex and there programme and the business has been uncertainty around • Business Plans benefits it can deliver is critical. dates for some aspects of the 4. Carry out ICT Infrastructure The PSN Operating Model programme and Services Assessments provides a good summary of • Each organisation or the technical, security, service – carry out assessments of partnership faces a unique management, commercial and all existing ICT infrastructure set of organisational, governance models for PSN. It and services – networks, data technical and financial also provides references to other centres, security provision, challenges documents, many of which can voice, video, collaboration, email be found on the Cabinet Office etc. – to determine existing (‘as- • Cabinet Office guidance on and Buying Solutions web sites is’) usage and current costs. business planning has not (see references section). Carry out a technical readiness been widely distributed. assessment for PSN. 2. Establish Initial Stakeholder Partnerships – the concepts 5. Create a Technical Maturity of shared infrastructure Model – to explain the series We believe, however, that the time for of steps to migrate legacy and shared services are planning is now right and recommend environments to the new PSN fundamental to PSN; this an approach based on our work model. This maturity model is implies partnerships between with other major strategic business particularly important as it will stakeholder organisations. The projects. This is to break down the explain how best to maximise next step for planning, therefore, planning exercise into sequential the return on investment for is to determine where there is steps that fit within the three key existing infrastructure and skills. opportunity for partnership; planning outputs and provide a it may lie with departments 6. Create a Business Maturity platform to move you directly into working with agencies; or Model – to explain the series of the implementation phase. with regional stakeholders steps by which PSN services working together; or with like can help transform businesses organisations, such as police and drive cultural and process forces, working together. Partners change. This maturity model must be identified, partnership should link directly into discussions convened and workforce, workplace and agreements reached. operating strategies. 14
7. Develop Outline Business Plans – an outline business plan should be drawn up based on the assessment information of the ‘as –is’ environment, the initial view of the target (‘to-be’) environment and the expected business benefits for PSN. The outline business plan should be used to increase executive sponsorship and the level of stakeholder engagement. The business plan should be updated periodically. • Executive Sponsorship 8. Establish Executive Sponsorship and Full Stakeholder Engagement – PSN will fundamentally change ICT and business models, acting as a major catalyst for business and service transformation. PSN, therefore, needs strong executive sponsorship and active stakeholder engagement from all partners. A steering group should be established to create and sustain the necessary project momentum. 15
The Business Maturity Model Shared infrastructure and shared services require stakeholder organisations to enter into partnerships. Here, strong executive-level sponsorship and full stakeholder engagement are essential to allow these partnerships to develop. 16
Shared services ICT partnerships can to ICT can be developed to drive • How shared infrastructure and deliver many of the direct benefits of greater commercial and business services will allow applications and the PSN programme, however the convergence and greater information to be shared across even greater indirect business benefits business benefits. organisations – so services can can only be fully realised if PSN is be joined-up allowed to act as a catalyst for The maturity model also sets out • How location independence and more substantive commercial and a plan – to explain the steps and ready access to citizen information business convergence. benefits for stakeholders as they will lead to front office – web, make the transition from independent contact centre and face-to-face That convergence may be applied business, to collaborative business, (F2F) - functions being shared to a range of different stakeholder to full business partner. across organisations. partnerships including: Government departments, agencies and NDPBs; The plan might include the following: The plan within the maturity model NHS Trusts; regional groupings • How shared networks and shared shows how to transition currently- including local authorities, NHS data centres will support location independent stakeholders into a Trusts, Police Forces and Fire and independence and shared buildings single delivery organisation. It is Rescue Organisations. There are a important that this is recognised number of well-established healthcare • How shared services, such as video and collaboration, will drive by all executive sponsors and ‘Community of Interest Networks’ organisational stakeholders. (COINs) where partner NHS Trusts cultural and process changes in have started to make this transition the workforce and these serve as good examples • How location independence and of best practice. shared services will lead to back office functions being shared The Business Maturity Model forms across organisations part of business planning and explains how a shared service approach 17
How Cisco Can Help Cisco has contributed We believe there are a number of Cisco Services have a global ways that Cisco teams could support consulting practice with the capability actively to the Cabinet you and accelerate the realisation of to provide advice and guidance on the Office PSN programme PSN business benefits: business planning recommendations contained in this paper. They can since 2008. • Assist with development of PSN advise on how best to execute them vision and strategy within your organisation or provide you • Carry out infrastructure, security with additional, skilled resources to and services assessments take on specific planning tasks. • Develop transition plans that make best use of existing Cisco We would welcome the opportunity infrastructure to discuss the contents of this paper and share our knowledge of the PSN • Support PSN business programme directly with you. Please plan development contact your Cisco Account Manager • Assist with creation of a business if you would like to discuss your maturity model. requirements in more detail. 18
References and Reference Documents Public Sector References A considerable amount of reference information is now available on the Cabinet Office website at: http://www.cabinetoffice.gov.uk/resource-library/public-services-network This has now been mirrored on the Buying Solutions website at: http://www.buyingsolutions.gov.uk/categories/ICT/psn/ The Buying Solutions website also provides an overview of the proposed procurement strategy for PSN at: http://www.buyingsolutions.gov.uk/categories/ICT/psn/psns/ Some of the key documents that define the technical, security, service management, commercial and governance models for PSN have been identified in this paper and they are available at the above websites. The best single document for providing an overview of PSN in all its’ facets is the PSN Operating Model, Main Document. In addition Cabinet Office maintains an internal document repository – Huddle – for final and working PSN documents. A request for access to Huddle can be made through the Cabinet Office contacts on the above websites or through psn@cabinet-office.x.gsi.gov.uk Cisco References Cisco has created a website to provide customers and service providers with information on PSN and on related Cisco products, technologies, architectures and services. The website can be found at: http://www.cisco.co.uk/psn This site will be updated frequently with new PSN information, PSN case studies and with product and technology announcements.
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