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Cost Savings

The visualizations and data on this page show the cost savings achievements for agencies for the past few years.

More information about how the agency plans to achieve their targets in DCOI optimization, closures, and cost savings can be found in agencies’ DCOI Strategic Plans, located at each agency’s public webpage.

The visualizations and data on this page show the cost savings achievements for agencies for the past few years.

More information about how the agency plans to achieve their targets in DCOI optimization, closures, and cost savings can be found in agencies’ DCOI Strategic Plans, located at each agency’s public webpage at the following location: [context:agencyWebsiteDisplay]/digitalstrategy/datacenteroptimizationstrategicplan.json. Specific actions the agency plans to undertake can be found at: [context:agencyWebsiteDisplay]/digitalstrategy/FITARAmilestones.json.

Since 2012, OMB’s Office of the Federal Chief Information Officer (OFCIO) has tracked agencies’ progress toward achieving cost savings and avoidance through IT reform efforts like PortfolioStat. In 2016, OFCIO took that data collection to the public space, requiring agencies to post their cost savings achievements on their public websites. The data and visualizations on this screen are powered by that data and are updated daily.

Below, cost savings are broken down into those generated through data center closures and optimization, PortfolioStat, and other IT reform initiatives. The Federal Information Technology Acquisitions Reform Act (FITARA) was signed into law in December 2014 with the intent of improving acquisition and management of Federal IT resources. Among other historic provisions, FITARA requires OMB to devise a goal for cost savings achieved through data center optimization and closure and to continue to oversee agencies’ savings from PortfolioStat and related efforts. The goals below fulfill these requirements.

For more information about FITARA, refer to Title VIII, Subtitle D of the National Defense Authorization Act (NDAA) for Fiscal Year 2015, Pub. L. No. 113-291 and OMB’s 2015 FITARA implementation guidance, “Management and Oversight of Federal Information Technology” (M-15-14).

Let's begin with a look at the combined cost savings for all agencies.

Cumulative Combined Cost Savings

 

Understanding Combined Cumulative Cost Savings:

This graph shows a combination of cumulative savings attributable to:

  • closing and optimizing of the agency data centers (DCOI Savings); and 
  • other (non-data center) agency savings achieved through PortfolioStat and other reform initiatives (PortfolioStat and Other Savings).

The forthcoming OMB memorandum, “Data Center Optimization Initiative” (DCOI), establishes a three-year government-wide goal for DCOI savings, as required under FITARA. FITARA also requires OMB to set a three-year goal for savings through PortfolioStat and other IT reform initiatives. These initiatives include strategies like contract consolidation or coordinating large-scale purchases of commodity IT to take advantage of economies of scale.

Next, we have broken out cost savings for those generated through data center improvements for all agencies.

Cumulative DCOI Cost Savings

Understanding DCOI Cost Savings:

This graph shows cumulative savings attributable to closing and optimizing of data centers for all agencies. The forthcoming OMB DCOI memorandum establishes a three-year goal for cost savings from data centers to be achieved Federal government-wide, as required by FITARA.

Similarly, we have broken out cost savings into those generated through PortfolioStat and other cost savings for all agencies.

PortfolioStat and Other Cost Savings

Understanding PortfolioStat and Other Cost Savings:

This graph shows cumulative savings attributable to all other (non-data center) efforts by all agencies, such as the PortfolioStat initiative. FITARA requires OMB to set a three-year goal for cost savings to be achieved through PortfolioStat and other IT reform initiatives. These initiatives include strategies like contract consolidation or coordinating large-scale purchases of commodity IT to take advantage of economies of scale.

Finally, let's look at our savings and long term goals and understand where we are heading year by year.

Cost Savings and Goals Table

Understanding Cost Savings and Goals:

Cost savings and goals are broken down by fiscal year for the three fiscal years covered under FITARA and the forthcoming OMB Memorandum, “Data Center Optimization Initiative” (DCOI). FITARA requires the Office of Management and Budget (OMB) to devise a goal for cost savings achieved through data center optimization and closure and to continue to oversee agencies’ savings from PortfolioStat and related efforts. The table summarizes each agency’s savings achievements over time towards those goals.