UI Modernization Whitepaper

UI Modernization Whitepaper

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Executive Summary

The Federal-State unemployment compensation (UC) program, (also referred to as the unemployment insurance [UI] program), created by the Social Security Act (SSA) of 1935, offers the first economic line of defense against the effects of unemployment.[1] Over the years, though, this critical asset of the U.S. economy has been reliant on either an ever-aging infrastructure or, at best, so called “modernized” systems built around expensive technology years out of date and little improved over their predecessor systems.  The U.S. General Accounting Office found that states are facing multiple challenges in modernizing their systems while at the same time recognized the significant dependency on and criticality of UI applications.[2] This creates an untenable situation. With so much at stake it is critical that those Agencies charged with the administration of UI programs have at their disposal modern, reliable, configurable, economical systems that meet and exceed expectations for service delivery and integrity.

Despite the available funds, attention, and recognized need for state UI applications to be both brought current and to operate accurately, the predominant experience in the sector has been one of challenge and pervasive failure.  The Standish Group[3] calculated a general success rate of 10% for IT projects budgeted at over $10M. McKinsey Consulting reported that 50% of IT projects w/budget greater than $15M deliver 56% less functionality than planned[4]. Consistent with these findings, in recent UI Modernization projects resources have been wasted and projects have failed to be delivered on time, if at all. Many who have “modernized” have done so with technology already years out of date and have been plagued by errors in design and execution resulting in costly, publicized failure and scrutiny. Requirements and features originally key to these projects have been compressed or abandoned to make up for missed deadlines. Worse still, the resulting applications have proven an unbearable strain on state IT budgets and resources. A new solution is needed.

By analyzing the challenges of the past while utilizing current software architectural design principles and decades of UI experience, On Point Technology has developed the OPTimum Framework and UI Benefits and Tax Application. With OPTimum UI, On Point Technology has crafted a solution that meets these challenges while providing state UI programs with a platform that will support their evolving business needs and priorities into the future. Unprecedented in the UI sector, OPTimum is a micro-service, configurable application framework built along the same design principles used by tech giants such as Amazon and Google, and utilizing those same principals to enable innovation and efficiency through agility. Our configurable, hybrid-cloud technology enables the OPTimum Platform to not only minimize hardware, development, training, deployment and maintenance costs, but also minimizes risk with quicker deployments of functioning software and far fewer disruptions to your operations. OPTimum doesn’t just support your UI operations, it empowers them.

On Point Technology’s best of breed UI Modernization Solution, based on current technology, incorporates decades of UI business process experience.
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[1] The Federal Department of Labor Unemployment Insurance Directors’ Guide:
Essential Elements for the Unemployment Insurance (UI) Director, September 2015
[2] US GAO UNEMPLOYMENT INSURANCE INFORMATION TECHNOLOGY: States Face Challenges in Modernization Efforts, September 2013
[3] Standish Group 2015 Chaos Report
[4] Delivering large-scale IT projects on time, on budget, and on value, McKinsey&Company 2012

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