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SINGAPORE CUSTOMS: DOING
MORE WITH LESS

When the Customs & Excise Department of
the Singapore Ministry of Finance was reconstituted as the Singapore Customs
(SC), incorporating trade-related units from the International Enterprise
of Singapore, its IT Branch seized the opportunity to consolidate various
computing resources such as mainframe computers, servers, faxes and service
level agreements, at the same time weeding out redundancies in resources.
With the aim of maximizing the value of every IT dollar spent, the IT
Branch embarked on a year-long initiative tagged "Doing More with
Less". The end result: savings of $1.5 million per year for the department's
IT operating budget.
Making
the dollar stretch
The department used a different perspective to review the capacity requirements
for mainframe computing needs. Instead of mapping out projected growth
and transaction volume, the department used a phased approach to align
to new limits. Minor deductions of computing resources were made gradually
and with close monitoring to ensure no major disruption to the business
operation and the system performance remains acceptable. This amounted
to a cost saving of $1 million.
Instead of purchasing
new servers to host applications brought over by the International Enterprise
of Singapore, the department re-used, enhanced and made good existing
servers to take on the additional loads. This resulted in capital savings
of half a million, in terms of cost avoidance to purchase new servers
and networking equipment. An additional annual savings was also made from
expenses otherwise incurred to maintain and host the new servers.
In addition, the department
re-hosted its internal applications and centralised the faxing and messaging
system from the previous 4 disparate systems, each on different supporting
platforms. This cut down the hosting costs, software licensing and system
maintenance costs.
Other than tuning
the IT systems, the department also reviewed and consolidated various
IT contracts, through revising the supporting service level agreements
based on system criticality and availability requirements. This netted
substantial saving from the contract costs.
Non-monetary
benefits
Besides achieving significant savings, the initiative resulted in improved
ICT management and cut short the learning curve for staff who did not
have to familiarise themselves with the use and support of new systems,
but could instead tap on their existing knowledge for similar applications.
This meant improved operational efficiency within the department. All
these were achieved without any deterioration in system response to external
customers (despite computing resources being reduced by 14%).
Conclusion
Although the initiative did not involve the use of any new or emerging
technology, Singapore Customs has creatively pooled its various resources
together to bring better cost value to the Government.

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