Competitive sourcing is the process of studying the cost of public vs. Competitive sourcing is not simply outsourcing contracting out , but rather the analysis of whether commercial activities are best performed in-house or by contractors. The competitive sourcing process could result in retaining a function within the Department or outsourcing it, depending on which makes better business sense. Electronic and Information Technology EIT for purposes of providing accessibility includes information technology and any equipment or interconnected system or subsystem of equipment, that is used in the creation, conversion, or duplication of data or information. The term electronic and information technology includes, but is not limited to, telecommunications products such as telephones , information kiosks and transaction machines, World Wide Web sites, multimedia, and office equipment such as copiers and fax machines. The term does not include any equipment that contains embedded information technology that is used as an integral part of the product, but the principal function of which is not the acquisition, storage, manipulation, management, movement, control, display, switching, interchange, transmission, or reception of data or information.
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Information Technology Management Reform Act Of 1996
The law requires each agency head to establish clear accountability for IT management activities by appointing an agency Chief Information Officer CIO with the visibility and management responsibilities necessary to carry out the specific provisions of the Act. The CIO plays a critical leadership role in driving reforms to:  help control system development risks; better manage technology spending; and succeed in achieving real, measurable improvements in agency performance. The Act provides that the government information technology shop be operated as an efficient and profitable business would be operated. Acquisition, planning and management of technology must be treated as a " capital investment. Just as few businesses can turn a profit by allowing their employees to purchase anything they want to do any project they want, the Department also cannot operate efficiently with hardware and software systems purchased on an "impulse purchase" basis and installed without an overall plan. All facets of capital planning are taken into consideration just as they would be in private industry.
Information Technology Management Reform Act of 1996