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Posts Tagged ‘northern territory’
Enterprise IT, Featured, News - Wednesday, March 26, 2014 15:51 - 12 Comments
news The Northern Territory Government has decided to dump its broken Asset Management System (AMS) developed by Fujitsu and based on SAP software, after receiving independent advice that it would cost an additional $120 million and five years to fix.
The AMS was first announced in August 2009. At the time, Japanese diversified technology group Fujitsu said the platform was enable the Northern Territory to better manage the state’s assets, including $11 billion in Government resources ranging from houses to highways. The company was to assemble a team based in Darwin to build the asset management system using SAP and ESRI software packages.
However, the project went off the rails over the years since, leading the Territorial Government’s Auditor-General to heavily criticise it in March 2013. NT Deputy Chief Minister and Minister for Corporate and Information Services David Tollner delivered an extraordinary and prolonged angry speech regarding the project in December in Parliament, describing it as a “diabolical mess” and the situation as a “scandal of epic proportions”.
In a statement released today, Tollner said the “former Labor Government’s AMS had been an abject failure”. “The system was originally supposed to cost $7.2 million but will cost the taxpayers of the Northern Territory $70 million. Yet the system is fundamentally broken. It simply does not work,” Tollner said.
Independent asset management systems experts from KPMG were engaged to undertake a review of the failed system and provide government with options for a functioning alternative system. KPMG found that the AMS didn’t meet the Government’s needs and was so fundamentally flawed that remedying the system was simply not feasible. The KPMG review reinforces the earlier findings by the Department of Treasury and Finance, which identified the AMS to be only 11 per cent fit-for-purpose. Continue…
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