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August 14, 2008 By Merrill Douglas
in some cases, the federal government - to determine which ones offer the best rates. Then, city officials and vendors will explore how the city can obtain better volume discounts. "We sit down and have some discussions about moving to more enterprise licensing," Levin said.
As of late April, ITA had completed this process with two vendors and was working to do the same with six more, she said. Because it's not easy to calculate the total amount agencies have spent in the past with individual vendors, Levin said she couldn't predict how much money this process might shave off the city's technology costs. "But we know there is a lot of money out there to be saved," Levin said.
Strategic sourcing is just one of several lines of attack ITA is pursuing to control costs as Los Angeles heads into a new fiscal year with a deficit of about $406 million. In another related strategy, ITA is examining the software applications in use throughout the city government and trying to reduce that number.
"As you reduce the portfolio, you generally reduce the number of vendors, contractors or other parties that are involved," Levin said. "By doing that, we would reduce our costs."
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