The Ministry of Defence's £4bn technology overhaul could
shave as much as 20% off current IT expenditure, according to Bob
Quick, project team leader for the ambitious Defence Information
Infrastructure scheme.
Quick said, "You can look in the 10% to 20% range of savings on
current expenditures."
DII will offer new economies of scale to the department. "For
example, we have got a number of helpdesk functions and different
purchasing arrangements that we will be able to bring together."
said Quick.
Although he was unable to reveal current IT budgets, Quick promised
that some of the money saved will be reinvested in improving the
ongoing capability of DII.
DII, which has been described as one of the world's most difficult
infrastructure projects, will provide IT support to about 300,000
MoD and military staff. It will also integrate more than 300 legacy
systems.
Last month, the government named the four consortia bidding for the
information infrastructure contract. Lockheed Martin, CSC, IBM and
EDS are among the firms challenging for the work.
The consortia will be shortlisted later this year and the contract
will be awarded in the first quarter of 2005.
The MoD has a poor record of delivering complex technology
projects. A report from the National Audit Office last December
slammed the ministry for underestimating the risks involved in
major projects and for time slippage in procurement programmes.