Application Consolidation

Application Consolidation

Efficient back office systems to support front-line services

This program improves the way corporate applications are purchased and managed across Government to ensure the efficient and effective use of resources.

Rationale… 

All agencies need to pay bills, pay staff, employ people and do a range of other back office functions. The efficient use of software can help streamline the activities of government and free up resources for front line services. 

Many government agencies currently face major upgrades to their software and systems. 

By working together, NSW Government agencies are lowering the cost of buying, maintaining, and sharing best practice in the use of these systems. Further benefits will be realised with the adoption of standard processes and shared systems.

Our opportunity… 

A coordinated approach means the government is spending $22m less over the next two years on the procurement and maintenance of corporate applications.

In addition, further potential savings will be realised through coordinated management, business process reform and the improved ability of agencies to better access relevant corporate information.

To date… 

New corporate applications contracts are in place, with the potential to deliver major savings for agencies. 

With help from a range of vendors, People First has aggregated the purchase of software applications and related services including: 

• standardised specifications, simplifying and reducing procurement costs, achieving discounts of up to 70% of the recommended retail price of corporate applications
  
• created whole of government purchasing contracts
• eliminated time consuming and costly individual agency negotiations and reduced red tape
• established separate supplier panels for locally based or niche suppliers
• achieved discounts of up to 70% off the recommended retail price of some corporate applications.

These actions are specifically responsible for delivering new Enterprise Resource Planning (ERP) applications contracts covering a suite of corporate applications including human resource, payroll, finance and associated modules.

Scope of the program… 

• Enterprise Resource Planning (ERP) and related corporate applications
• application technology infrastructure (databases, business activity monitoring tools, etc)
• a range of common use applications including business intelligence and customer relationship management tools.

For example… 

Days before Christmas 2008, the Lake Cargelligo Water Supply was severed and dislocated during a fierce storm. Pulling out all stops, the staff of Public Works and Services assessed the damage and began coordinating repairs. Fixing the dam by late Christmas Eve, ensured clean water for the surrounding communities for Christmas. 

It is important that the people completed this vital work were paid efficiently and their human resource needs were met. 

The benefits of standardised corporate applications means Government resources can be redirected into these important front line services quickly, helping to deliver better services for the community.

Commitments to December 2009 

• Roadmap to further application consolidation.
• Knowledge Resource Centre for SAP Corporate Applications in full operation. 
• Agency maturity and capability using Corporate Applications benchmarking.