Published on the 31/05/2016 | Written by Beverley Head
Leading SAP systems integrators have until 23 June to register for what will likely be the biggest ERP transformation project undertaken in Australia for years to come…
The Federal Government has released its Invitation to Register for system integrators keen to play a role in the ERP transformation programme planned for the Department of Defence. While the tender process could not start until August, and a final decision isn’t due before the latter half of 2017, the gun has fired on the process and companies that don’t make the first shortlist won’t be invited to respond to any forthcoming tender.
It’s quite an investment for systems integrators as Defence can’t commit to the next phase of the project until after the election in July – but those companies that don’t take the plunge now risk being frozen out entirely.
The largest ERP programme in the Australian Government, the programme is intended to “enhance operational effectiveness and provide accurate and timely information to support Defence’s decision making, and reduce the total cost of Defence business,” by providing near real time insights to Defence operations.
The Government has already selected SAP’s Defence Forces and Public Security platform and S/4HANA for its financial chart of accounts.
The actual implementation of the new ERP has been carved into three tranches. The first SI will undertake the first tranche, with the second picking up the two other blocks of work.
Eventually the project has been scoped to require two systems integrators, a strategic partner, a technology partner (including SAP presumably), and an organisational change management partner. However the Defence chief information officer, Peter Lawrence, remains commander in chief of the entire programme and holds “a mandate to ensure warfighting and corporate information management projects comply with required standards.”
With all those irons in the fire what could possibly go wrong?
The need for a massive information systems revamp was nevertheless clearly identified by the 2014 First Principles review, and reinforced in the Defence Whitepaper released earlier this year.
The Whitepaper noted that within the framework and standards set by the Defence CIO services such as finance, HR management and administration will be overhauled and an information system developed to meet the needs of the joint force “including providing enhanced command and control, communications, and intelligence, surveillance and reconnaissance information.”
The overall programme of IT work being undertaken by the Department is immense and also includes the continued roll out of next generation desktops, upgrade of terrestrial communications, standalone networks remediation, consolidation and centralisation of IT services from 280 data centres to 11 domestically and three internationally, ongoing IT service management transformation and the Defence One HR and payroll overhaul.
