ERP News

Australian government in talks with Oracle, IBM and SAP over digital procurement deal

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The Australian Federal Government’s Digital Transformation Agency (DTA) is in talks with a number of big name data specialists including IBM and Oracle with an eye to establishing a series of coordinated procurement arrangements.

The DTA evolved out of the Digital Transformation Office as a result of the government attempting to accelerate its digital transformation.

Currently, the DTA manages a suite of IT panels that were transferred from the Department Of Finance. However, it has now been revealed that the DTA is currently negotiating with IBM and SAP to establish new procurement arrangements, with talks to begin with Oracle soon.

“Together, these three vendors have 283 contracts in place (from 2005) with the Australian Government worth approximately $2.5 billion,” the DTA stated.

“It is estimated coordinated procurement has reduced the government’s ICT costs by about $1.2 billion since 2008. It has also reduced duplication, improved transparency and increased agency compliance with policy.”

The DTA currently monitors 72 major IT projects that claim an $5.3bn of IT investment budget, whilst also providing oversight to 19 initiatives.

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