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Decentralizing Information Technology

Vision for the future? The first of a three-part series

As a result, the reorganization attempted to cut OIT's bloated bureaucracy and streamline its services.

For Margulies, the change has so far consisted largely of demolition work: reducing overhead, closing departments and eliminating employees.

"We've downsized to make UIS more efficient...and the volume of our work has gone up," Margulies says.

Beginning last spring, Margulies began a staff reduction program to eliminate 15 percent of employees through voluntary and involuntary layoffs. To date, OIT has trimmed its 260-person staff by 36 percent through voluntary layoffs.

In May, employees were given personalized information on the status of their jobs in the new UIS organization, so they could evaluate what was in their best interest. Voluntary layoffs were encouraged by offering severance pay based upon one's years of service.

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In particular, Margulies says the program targeted the bloated management at OIT. Nearly 50 percent--24 of 50 managers--were eliminated.

To quantify the monetary results of these changes, Margulies points to overhead reductions at the Technology Product Center (TPC), where students and faculty can buy computers at educational discounts.

Previously, TPC charged a 35 percent margin to the buyer above cost in order to sustain itself. That margin has been cut to 10 percent.

The reorganization of OIT also eliminated its governing board, putting all control into the provost's office.

Finally, the University changed the mission of the organization, which had previously tried to promote a vision for information technology.

UIS's primary goal is "to provide efficient and effective information technology services [for the University]," according to Margulies.

Out of Touch

Faculty members continuously accuse OIT of having been out of sync with Harvard's work ethic.

"The problem is that there are too many people in the central administration who grew up in business and they're used to doing business the way business does business," says Bossert.

In fact, Hall, the former director of OIT, came to Harvard from a consulting firm.

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