Between the Lines

Larry Dignan, Andrew Nusca and Rachel King

Virginia governor calls for IT outage review on Northrop Grumman's tab

By | September 2, 2010, 12:59pm PDT

Virginia Governor Bob McDonnell said Thursday the state will order an independent review of its information technology outage that stretched on for a week and shelved key agencies. Northrop Grumman, the state’s IT vendor, will pay for the report.

The news comes Virginia’s systems are back up and running after a week-long outage. For instance, Virginia’s Department of Motor Vehicles is able to issue licenses now. The outage was pinned on an EMC storage area network failure. Also:

McDonnell said that the legislative audit and review committee and his administration will pick an independent third party to review the state’s IT fiasco. He added that the review will be designed to figure out exactly what happened .

In a statement, McDonnell added:

I have spoken personally with Northrop Grumman CEO Wes Bush. I expressed to him that extended lapses in state computer services was an unacceptable hardship on our citizens and employees…This recent computer failure is unacceptable. I look forward to learning exactly how this occurred, how we can prevent such a disruption in the future, and how we can improve responsiveness and data reclamation if future interruptions occur.

Northrop Grumman said it supported the independent review in a statement.

We are diligently working through the lessons learned from this unfortunate incident and revising the plan to improve process and response time for restoring agency operations. We look forward to hearing the results of the independent review.

The company added that it was committed to the IT partnership with Virginia.

Virginia set a bold course when it embarked on this first-of-its-kind project. The partnership has experienced its share of obstacles, not unusual with large transformation programs, but with this modernized system Virginia and her citizens should find themselves years ahead of other states with the service provided by its IT infrastructure.

Bush said Tuesday at a Morgan Stanley investment conference that Northrop Grumman has been moving away from state and local IT work. Bush said:

If you look at our Information Systems business, we organized by defense, intelligence and then civil. And civil has encompassed both the Federal civil, as well as historically state and local. We made a decision, it’s almost two years ago now, to tune down our state and local engagement, which essentially meant we were not interested in taking on additional state and local IT outsourcing work, we have not found that to be a particularly attractive line of business and so we have been shrinking intentionally our engagement across that part of the civil landscape. The federal part of that though continues to be a healthy business.

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Larry Dignan is Editor in Chief of ZDNet and SmartPlanet as well as Editorial Director of ZDNet's sister site TechRepublic.

Disclosure

Larry Dignan

Larry Dignan has nothing to disclose. He doesn’t hold investments in the technology companies he covers.

Biography

Larry Dignan

Larry Dignan is Editor in Chief of ZDNet and SmartPlanet as well as Editorial Director of ZDNet's sister site TechRepublic. He was most recently Executive Editor of News and Blogs at ZDNet. Prior to that he was executive news editor at eWeek and news editor at Baseline. He also served as the East Coast news editor and finance editor at CNET News.com. Larry has covered the technology and financial services industry since 1995, publishing articles in WallStreetWeek.com, Inter@ctive Week, The New York Times, and Financial Planning magazine. He's a graduate of the Columbia School of Journalism and the University of Delaware.

For daily updates, follow Larry on Twitter.

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RE: Virginia governor calls for IT outage review on Northrop Grumman's tab
tomlin21-24319035676893835085146735905770 11th Oct
This is certainly fairly stimulating function you have penned for us. Most individuals black ugg really have to understand that these matters can manifest to everyone. You could have unveiled to me an improved outlook now.
You outsource overnment services because you're too cheap to manage them yourself, then you want the contractor to pay your losses when your cheapness slaps you in the face.

What is a private - for profit firm doing with government databases anyway? perhapps getting the heads up on the lates defence contract bids coming up?
Bush's quote at the Morgan Stanley conference seems terribly out of place and I can't believe he isn't being called on it. Basically it translates to: Yeah we had huge outage in one of our state clients but we don't even want that business anyway.
So, cancel the contract and transition it to a provider who DOES want that business. This is the talk of a CEO?
He is basically stating that the Federal Government and the Military Industrial complex is a more lucrative environment because they never run out of money.

The state and local governments in our current economic environment are not an attractive prospect.

The Fed and Mil may want to review, so they don?t wake up one morning in the same boat.
0 Votes
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@powellwi Lots of Big Projects in the .mil/.gov sectors fail; seemingly the more capital-intensive and politically visible, the likelier failure (or at least delayed, redefined "success") becomes. I don't believe that's a function of the domain so much as it is of the fox being given the only keys to the henhouse over the last thirty years or so.

Large orgs NEED to wake up and realize that having "one neck to choke" may be convenient in theory, but since in practice that "neck" tends to be staffed by former/future colleagues with large political resources at their disposal (think campaign dollars), practice rarely matches theory.

The real solution has to be decentralization where possible, redundant independently-sourced and -managed systems where it's not. We've spent half a century getting Proxmired in a morass of "do it cheaper." This was summarized nicely by a colleague of mine when I was working as a Beltway contractor: "We will pay any price to cut costs." Often, that price is just too high.
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RE: Virginia governor calls for IT outage review on Northrop Grumman's tab
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RE: Virginia governor calls for IT outage review on Northrop Grumman's tab
tomlin21-24319035676893835085146735905770 11th Oct
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