It was a bad week at the office for Fujitsu

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This week has not been a good one for Fujitsu.

 

The IT service provider was dumped from a £300m plus desktop services deal by the DWP and was also criticised in a National Audit Office (NAO) report on the UK Border Authority's Immigration processing system, which Fujitsu provides IT for.

 

On the DWP deal Fujitsu was dropped because it failed to transition the service from HP. This is a massive desktop deal and HP-EDS was the incumbent. This will not reflect well on Fujitsu when it targets desktop deals in the future because the ability to successfully transition is essential in any deal.

 

I wonder how easy HP made the transition.

 

Somebody suggested to me that HP might have made life difficult for Fujitsu but a former HP executive told me it is more likely to be the opposite. This is because third party advisors look at the past records of suppliers taking on and passing over contracts. He says if they are good at it they are more likely to win more deals. "EDS would pay particular attention to getting good marks for transitioning."

 

"They do not need HP to screw up a client."

 

I must admit when I initially wrote about the DWP deal with Fujitsu I thought it sounded great. The long term savings on the cards as through using thin client technology were high.

Joe Harley, then DWP IT director general and chief information officer, who is now government CIO said at the time. "[Thin clients] provide a number of benefits, including little or no maintenance required to the kit and reductions in power consumption, which supports our sustainability agenda."

Meanwhile the NAO said many delays, to the immigration system's introduction, were due to Fujitsu trying to design a complex system while legal, policy and business requirements for the system were still being resolved.

"The UKBA also believes that Fujitsu underestimated the complexity of the project and did not have the right staff in place for a fast start-up, although this is disputed by Fujitsu," said the NAO.

5 Comments

The transition was delayed because DWP was not prepared to accept that there would be a period of time when the services to be transitioned would be disrupted, it is not possible to have business as usual at the same time as implementing a huge project like the desktop deal. DWP are partly to blame as well because they did not prepare their organisation undergoing such a huge upheaval as envisaged by the DWP desktop deal. Even before the contract started, DWP had not got their act together so I wonder how any supplier could start the transition process without the co-operation of the customer itself? The ultimate loser in all this is actually the taxpayer because it is the taxpayer that will bear the burden of the loss suffered by DWP in making a mess with its suppliers. It is amazing that people in the UK do not scrunitise how their government departments work and bring to account the people that run them so badly. It is especially shameful when considering the many thousands of people in Middle Eastern countries shedding their blood today just to have the right to have a government and society that allows them to scrutinise the bodies that rule over them and to take action when things are going wrong! The British public have these rights but do not bother to exercise them...what a pity

Thanks Sarah

Your points about the reasons for transition targets being missed are well made.

We do sometimes let the government get away with anything just because we know we can punish them at the next general election.

Karl

Strikes me that Fujitsu and the DWP deserved each other.

It seems now that Fujitsu have also lost the outsourcing contract with ThomsonReuters. Has this been reported?? This following on form losing a major contract with the NHS a few years ago shows Fujtisu fail to deliver time and time again

John

I haven't seen the ThomsonReuters one but I am on the case.

Do you know any more?

Karl

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This page contains a single entry by Karl Flinders published on March 17, 2011 11:19 AM.

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