From: Communications and Public Affairs To: Media Advisory


From: Communications and Public Affairs

Sent: Wednesday, 10 August 2011 8:49 AM

To: Media Advisory

Cc: AGIMO - All

Subject:Media Advisory: Wednesday 10 August 2011 [SEC=UNCLASSIFIED]

Attachments: Wong 10.08.2011.pdf; Department 10.08.2011.pdf

Good Morning,

Wednesday 10 August 2011 s22

AGIMO, Minister Wong and Minister Gray are mentioned in an article regarding Ian Reinecke’s report into IT spending cuts (ITNEWS).

Locate article by searching “AGIMO” and/or “Penny Wong” and/or “Gary Gray”. s22

Minister Sherry is not mentioned into today’s Newscentre.

New media releases, speeches and transcripts

Minister Wong

* Statement

The above articles are attached or available via hyperlink. To locate additional articles of interest, use the search function at To log in, use the details below: s22

If you have any questions or require training on the Newscentre, please contact CaPA at

Communications and Public Affairs

Portfolio Coordination and Communications Branch

Department of Finance and Deregulation


Attachment A


Government yet to respond to Reinecke IT review

More than a year after receiving the report.

Source: itnews: 10 August 2011,government-yet-to-respond-to-reinecke-it- review.aspx?utm_source=twitterfeed&utm_medium=twitter

By John Hilvert

The Federal Government has still not formulated a response to Ian Reinecke ’s report into IT spending cuts the 2008 Gershon review, more than a year after the report was handed down.

Speaking to officials and industry representatives at the Technology in Government & Public Sector

Summit , special minister of state Gary Gray said the Reinecke report was being “actively dealt” with by the Government.

He said it “took him a while to get on top of things in a way that gives me sufficient confidence to make the kind of decisions that you would expect a Minister to mak e.”

The Gershon review recommended that the Government reduce inefficiencies in its everyday IT activities.

Reinecke ’s report revealed the havoc that confronted several agencies when required to implement the recommendations to achieve Gershon's proposed savings.

It also recommended a clearer and more effective role for the Australian Government Information

Management Office (AGIMO).

AGIMO did not have the right mix of skills or sufficient resources to cover the full span of its responsibilities from developing policy to supporting delivery, Reinecke found.

In response, Reinecke proposed the creation of another Government IT czar - a Chief Technology

Officer (CTO) - to work alongside the present Chief Information Officer (CIO).

Further, he urged that AGIMO be more closely integrated with the Department of Finance to provide implementation support under the leadership of a Chief Technology Officer.


Gray ’s prepared speech to the Summit highlighted the benefits of whole of government procurement arrangements.

He said the eight coordinated procurement arrangements in place for the supply of desktop computers, internet connections, mobile phones and data centre facilities would increase purchasing power.

The Microsoft software group purchase, which consolidated licensing for over 80 agencies, had saved over $60 million since the contract was established in January 2009.

Further savings of $8.6 million were made on computer hardware costs in the first year of the desktop hardware panel.

He said the Government had been paying 56 percent more than the Australian average price for desktop computing in the past. Now it was paying 30 percent less.

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