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Perspectives

The new federal shared services vision

Not the same old SaaS

If executed properly, shared services can allow agencies to better focus on their mission, achieve cost savings from fewer duplicated functions across the government, and improve standardization and internal controls. Does it really make sense for each agency to implement and operate its own administrative systems?

Why the new federal shared services vision isn’t the same old SaaS

The US federal government has been on the shared services journey for quite some time. If executed properly, shared services can allow agencies to better focus on their mission, achieve cost savings from fewer duplicated functions across the government, and improve standardization and internal controls. One area that has been a particular focus for government sharing has been administrative systems. Does it really make sense for each agency to implement and operate its own administrative systems?

As the government has made progress on having agencies share other agencies’ administrative support systems, a major issue has challenged its progress—funding for providers’ investment in solutions and capacity.

USSM recently released a new vision for Federal shared services to address this challenge by reducing upfront investment in systems. This paper attempts to demystify the new vision and discuss how, once realized, it can benefit the federal government. The two primary differences between USSM’s vision and the existing Federal shared services environment are

  1. How the solution is priced and 
  2. How the solution is delivered
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