Shared corporate services initiatives have produced good results for the NSW Government. We have made progress to reduce expenditure, consolidated corporate applications and control corporate services staffing levels, but we can achieve more. All agencies are required to meet the Council on the Cost and Quality of Government benchmarks for corporate services as part of the Agency Efficiency Improvement Strategies announced in the February 2006 Economic and Financial Statement and in the 2006-07 Budget Papers. Meeting the benchmarks is expected to achieve estimated savings of $170 million within two years (by 2007-08). The Chief Executive Committee has endorsed the attached revised corporate services strategy  The Future of Shared Corporate Services: Supporting the Machinery of Government  to gradually increase the use of existing shared service providers and further reduce the number of supporting business systems. To achieve greater efficiency in corporate services, the long-term goal is to have a small number of shared services providers using a narrow range of technologies and fewer and simpler administrative processes. This will be achieved gradually, with most consolidation happening when agencies reach natural investment points to upgrade or replace existing corporate systems. The tenets of the original strategy - consolidating corporate services, using available technology, simplifying administrative processes and setting a savings target - are still sound but need to be implemented under closer governance. The Chief Executive Committee has agreed to the establishment of a Senior Officers Working Group of three central agencies and four other agencies under an independent chair to implement the new strategy. The Working Group will implement the new strategy using existing mechanisms such as the new People First ICT strategic plan. The Working Group will also monitor and verify achievement of savings targeted in the February 2006 Economic and Financial Statement by working with agencies and utilising data on shared services captured by the Government Chief Information Office. The Working Group will report to the Cabinet Standing Committee on the Budget and the Chief Executives Committee through the Director-General of the Department of Commerce and be supported by the Government Chief Information Office. For further information Marilyn Livesley, Project Manager, Government Chief Information Office, on 9372 8239 or email [email protected] (signed) Col GellatlyDirector General, Premier's Department