UK.gov reboots ERP refresh with £934 million procurement

UK authorities has put £934 cardinal ($1.15 million) connected nan array to update an ERP strategy successful a cluster of Whitehall departments, a mega-project that was heavy criticized complete deficiency of backing and business case.

The Department for Work and Pensions has launched a title for an ERP refresh package worthy an estimated £933.7 million. The 12-year statement includes some package and systems integration services arsenic portion of a "bundled procurement."

The Department for nan Environment, Food and Rural Affairs (Defra), nan Home Office (HO), and nan Ministry of Justice (MoJ) will besides make usage of nan procurement successful what has been a stop-start refresh of nan departments Oracle finance and HR systems, successful a move expected to support astir 250,000 employees.

Earlier this month, nan Parliamentary spending watchdog said nan authorities had yet to place backing for nan programme beyond 2024–25 and that it did not person a due business case.

In a procurement notice published precocious past week, DWP said nan "Synergy Programme" would "ensure nan transportation of a champion successful class, Value for Money, shared quality resources and finance work which meet nan needs of work users."

The tender is designed to "procure and adopt a cloud-based work leveraging nan capabilities offered by a Software-as-a-Service (SaaS) ERP level and associated technologies" arsenic good arsenic a systems integration work "to alteration nan modulation (and support business change) to nan SaaS ERP level and associated technologies."

As opposed to dividing nan procurement into lots, nan "bundled" attack would mean nan package vendor and SI suppliers "work together successful business from nan outset to jointly propose a cohesive solution and transportation attack which meets nan Authority's outcome-based requirements and show they are a compatible supplier partnership."

The departments wrong nan procurement stock an outsourcing partner successful Shared Services Connected Limited (SSCL), a associated task betwixt French services patient Sopra Steria and nan Cabinet Office. Home Office person a nonstop contractual narration pinch Oracle, having already migrated to an lawsuit of their Fusion SaaS (Software arsenic a Service) platform arsenic portion of their METIS Programme.

The remainder of nan departments tally connected nan Single Operating Platform based connected Oracle eBusiness Suite 12.2.6 and — since October 2020 — hosted connected Oracle Cloud Infrastructure (OCI).

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In 2021, nan MoJ ditched a £100 cardinal ($123 million) ERP procurement it began astir a twelvemonth earlier successful a bid to get successful statement pinch nan Cabinet Office's past caller shared work strategy. The Cabinet Office subsequently cancelled nan hunt for a partner it began successful outpouring 2020 nether nan catchy moniker SOP2SaaS.

The Synergy Programme is portion of a central-government-wide ngo to update its ERP systems and prevention money done shared services.

Earlier this month, nan Public Accounts Committee said departments do not person nan backing they request to present nan strategy.

It pointed retired that HM Treasury had approved a backing of £300 cardinal to support nan 5 clusters — including Synergy — covering nan 2021 Spending Review play to 2024–25.

"Departments person stated that this colony whitethorn not beryllium capable to let them to proceed pinch their preferred procurement options if last costs, which they presently estimate to beryllium betwixt £382 cardinal and £403 million, proceed to transcend nan backing envelope," nan nationalist spending watchdog said.

It added that nan clusters would require £480 cardinal of finance backing successful nan consequent Spending Review play aft 2024–25 to present nan afloat strategy. “There is intelligibly a consequence to nan transportation of this business-critical alteration programme since location is nary guaranteed level of funding,” nan study said.

The DWP has been asked why its procurement is much than nan stated backing for each departments and wherever it expects nan backing to travel from.

The PAC has besides pointed retired that it has not produced an overarching business lawsuit for nan Shared Services Strategy, "which has hindered progress." ®