Pennsylvania Agency Collaboration Leads to More Than $1.1M in Savings for the Commonwealth

HARRISBURG, PA—May 23, 2013—State General Services Secretary Sheri Phillips announced the department's efforts to reduce the cost of government operations has resulted in an estimated $1,165,000 in savings through agency collaboration and consolidation of printing and publications services.

"For many state agencies, printed publications are a key method of informing the public about the programs and services they offer," Phillips said. "With thousands of publications printed each year, we looked at ways to reduce the costs of our printing operations without sacrificing the quality, convenience or accessibility to government services."

Secretary Phillips noted that a large portion of the savings was realized through the Bureau of Publications' use of technology to move from bulk printing—which requires warehouse space—to a "print on-demand" environment.

"Warehousing space was one of the biggest cost factors in terms of print operations for the commonwealth," Phillips noted. "By using technology to create 'virtual warehouses,' we've created a print on-demand environment to reduce 'bricks and mortar' costs and save money by only printing publications as they are needed."

Phillips pointed to two examples from the departments of Health and Public Welfare who saved $275,000 and $175,000 respectively by implementing the print on-demand technology and reducing their own print and warehousing operations. Through a reduction in its printed material and a cooperative leasing agreement for software, equipment and maintenance combined with bulk printing reduction, PennDOT has saved $230,000.

In addition to assisting other agencies in identifying potential cost savings, the department also evaluated its contracting practices for specialized and/or overflow print needs. By moving from a single vendor contract approach used in the past to a multiple-award contract, the department estimates it has already saved nearly $80,000 in outsourced print costs.

"In situations where we request quotes for print services, our multiple-vendor approach ensures a competitive process resulting in the lowest price, which benefits our customer agencies and the taxpayers," she added.

Phillips also indicated that further savings are anticipated as the department continues to identify ways to collaborate with agencies to streamline print operations and avoid redundancy.

The DGS Print Services and Publication Agency Collaboration was developed as part of the Governor's innovation initiative. Since its inception, the Governor's Innovation Office has worked with state agencies on efforts to reduce costs, increase efficiency and improve services. These initiatives have resulted in more than $150 million in savings and productivity gains. For more information about innovation in state government, visit www.innovation.pa.gov.

Source: Pennsylvania Department of General Services.