Office 365: Governments’ secret weapon for reducing costs

The U.S. Environmental Protection Agency expects to save $12 million over four years. The City of Chicago anticipates saving $1.3 million over the same length of time. And the State of Minnesota expects to save at least $800,000.

Governments of all sizes are finding ways to reduce IT costs while improving efficiency. What’s their secret weapon?

With public sector budgets shrinking in many places around the globe, smart governments are making taxpayer dollars stretch further by migrating from an on-premise environment to Microsoft Office 365 in the cloud.

By moving to Office 365, governments can reduce both their capital and operating costs. And by saving money, they can make taxpayer dollars go further during a time when budgets are tight and there’s often less revenue to work with.

So how exactly can Office 365 save governments money? First, governments can cut back on the capital cost of investing in more computer servers. Second, they can reduce the administrative cost of having to maintain an IT environment. Third, they can lower their energy costs by reducing the size of their data centers. And they can also reduce costs using the many tools within Office 365 that improve employee efficiency.  According to a study conducted by Forrester Consulting, Office 365 delivers an ROI of 321 percent with a payback period of two months for a composite midsize organization. That translates into huge value for public sector organizations!

Among the government agencies that anticipating money saved by implementing Office 365 is the Environmental Protection Agency. The agency expects to save $12 million over four years by moving to the cloud and Office 365. Some of those savings will be in energy costs as the agency relies on Microsoft to operate its data centers. “The EPA will continue to lead the pack on environmental stewardship, and moving an IT environment to the cloud is a natural part of that,” says Greg Myers, vice president of Microsoft Federal. “There is tremendous potential in the cloud, not only for transforming the way government employees work, but also for helping agencies meet their environmental and energy efficiency goals.”

Likewise, the State of Minnesota expects to save hardware and administrative costs with its move to Office 365. The state expects to reduce costs by avoiding future upgrade investments, repurposing existing hardware for other IT purposes, and lowering ongoing maintenance of its on-premise infrastructure. For example, the move to Exchange Online as part of its Office 365 subscription will save the State of Minnesota an estimated $800,000 in future upgrade costs for its existing Exchange Server (calculated using an industry average upgrade cost for Exchange Server). “I am personally very proud of the State of Minnesota for making the shift to the cloud,” says Carolyn Parnell, Commissioner and Chief Information Officer for the State of Minnesota. “We now have what we consider one of the most advanced communication and collaboration ecosystems in the public sector.”

The City of Chicago also anticipates saving money by moving to Office 365. By migrating its email and desktop applications to the cloud, the city expects to help its 30,000 employees perform their jobs more effectively while saving taxpayer dollars, decreasing duplication among departments, and streamlining its operations. Overall, the move is expected to save taxpayers $400,000 per year or $1.3 million over its four-year agreement with Microsoft. “We are leveraging new technologies to streamline and modernize the way we do business in order to provide the residents of Chicago with the best service at the best price,” says Chicago Mayor Rahm Emanuel.

Indeed, Office 365 offers a great service at a great price. That’s why governments are moving to Office 365 — it’s their secret weapon for improving efficiency while at the same time saving taxpayer dollars.

To learn more, please see our Microsoft in Government website.

Four reasons why governments trust Microsoft

As governments strive to become more responsive and transparent, it’s important for them to make public information easily accessible to citizens. At the same time, it’s critical that they protect confidential data.

A key reason why governments choose Microsoft Office 365 is Microsoft’s leadership in the industry when it comes to privacy, security, and compliance practices. In short, governments know they can trust Microsoft to help protect their data.

So how does Microsoft demonstrate leadership and why exactly do governments trust Office 365 to help protect their data? Here are four reasons:

  1. We respect your privacy. Google is under criticism for its privacy practices. Office 365 does not build advertising products out of customer data, unlike other companies. Nor do we scan your email or documents for building analytics, data mining, or advertising, or to improve the service. What’s more, you own your data. Office 365 customer data belongs to the customer. Customers can remove their data whenever they choose.
  2. Office 365 is independently verified. Office 365 is compliant with many world-class industry standards, and it is verified by third parties. For example, Office 365 is the first major business productivity public cloud service to have implemented the rigorous set of physical, logical, process, and management controls defined by ISO 27001, one of the best security benchmarks available in the world. In addition, Office 365 is the first major business productivity public cloud service provider to sign the standard contractual clauses created by the European Union (“EU Model Clauses”) with all customers. Office 365 also implements security processes that adhere to the Federal Information Security Management Act (FISMA) required by U.S. federal agencies and to the Health Insurance Portability and Accountability Act (HIPAA).
  3. With Office 365, you know where your data is located. Office 365 customers know where major Office 365 datacenters are located, who can access that data, and under what circumstances that data can be accessed. In addition, you can choose to receive updates regarding data center location changes, as well as security, privacy, and audit information. What’s more, with Office 365 for Government, your data is stored in a segregated community cloud (U.S. Government customers should contact a Microsoft partner or Microsoft representative for purchasing the community cloud plans).
  4. Microsoft is relentless on security features. Microsoft’s security practices and policies were developed based on 15 years of experience providing security technologies for online data. The Microsoft Secure Development Lifecycle ensures that security and privacy features are incorporated into our products by design, from software development to service operations. In addition, data is secured in five different layers-data, application, host, network, and physical. Microsoft also proactively monitors Office 365 services to identify threats and predict malicious behavior.

Among the governments that have benefited from the security and privacy features of Office 365 is the County of Santa Clara. The county has numerous remote field staff, which creates the need to share information electronically in a confidential manner, consistent with regulations that govern privacy and other sensitive information. “The selection of this solution and our IT consolidation efforts have enabled us to nearly double the number of employees covered and will provide our staff with new tools and collaboration technologies to help better serve our residents,” says Joyce Wing, the county’s chief information officer. “

Likewise, the State of Minnesota chose Office 365, in part, because of its robustly secured architecture. Says Tarek Tomes, assistant commissioner for the State of Minnesota: “The robust security and reliability that Microsoft was providing with Office 365 was essential-we would not have agreed to a hosted solution without making sure that the state’s data would be secured.”

The County of Santa Clara and the State of Minnesota join a growing list of other governments that are implementing Office 365 including the Federal Aviation System, the U.S. Veterans Administration, the U.S. Department of Agriculture, the Defense Information Systems Agency, the Environmental Protection Agency, the states of California and New York, and the cities of New York, San Francisco, and Chicago.

It’s no wonder so many governments are choosing Office 365. Simply put, Office 365 is a cloud-based service governments can trust.

To learn more about Office 365 security practices, please check out the Microsoft Office 365 Trust Center.

RATB is on Office 365

Today, we’re pleased to announce that The Recovery Accountability and Transparency Board (RATB), is on Office 365 for Government and has granted the Authority to Operate (ATO) under the Federal Information Security Management Act (FISMA).  RATB was one of Microsoft’s first customers to migrate to the Office 365 for Government, a multi-tenant service that stores US government data in a segregated community cloud.

RATB is a non-partisan, non-political agency created by the American Recovery and Reinvestment Act of 2009. The Board’s mission is to promote accountability by coordinating and conducting oversight of Recovery funds to prevent fraud, waste, and abuse. 

The organization is unique in that it was the first federal agency to move a government wide information system to a public cloud.  Their initial migration of Recovery.gov to a public cloud provider was the first step in what has become a scalable, multi-cloud enterprise solution. 

After evaluating other messaging offerings, such as Google Apps for Government, RATB decided Microsoft was more secure, would allow the agency to reduce costs, minimize disruption for existing users while avoiding user retraining costs.  More importantly, Microsoft was uniquely able to offer RATB a hybrid deployment model that created a seamless experience for end users who had the same client experience throughout the agency’s migration to the cloud. 

With the help of Office 365, RATB is focused on providing transparency, detecting and preventing fraud, waste and mismanagement of Recovery-related funds.

Related Information:

The Federal Aviation Administration is flying high with Office 365

FAA flying high with O365The Department of Transportation’s Federal Aviation Administration has selected Office 365 to provide 80,000 of its employees with secure access to email, instant messaging, calendaring and webconferencing tools.  Computer Sciences Corp. (CSC) will lead the agency’s cloud implementation.

…(read more)

Announcing Office 365 for Government: A US Government Community Cloud

Today, I’m pleased to announce some great news for government customers in the United States.

First, we’re introducing Office 365 for Government.  Office 365 for Government is a new multi-tenant service that stores US government data in a segregated community cloud. Like other Office 365 offerings, it includes productivity and collaboration services including Exchange Online, Lync Online, SharePoint Online, and Office Professional Plus.  Customers can contact their Microsoft representative for details and to explore the service.

We also know that security and privacy play a big role in any decision to move to the cloud.  Today, Office 365 supports the most rigorous global and regional standards such as ISO 27001, SAS70 Type II, EU Safe Harbor, EU Model Clauses, the US Health Insurance Portability and Accountability Act (HIPAA), the US Family Educational Rights and Privacy Act (FERPA), and the US Federal Information Security Management Act (FISMA).  To meet evolving needs, we also plan to support IPv6 in Office 365 for Government by September of this year, and we’re taking steps to soon support Criminal Justice Information Security (CJIS) policies. 

We look forward to working with our government customers on these initiatives in the coming months.

Kirk Koenigsbauer 

Corporate Vice President

Microsoft Office Division

Office 365