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Accenture continues winning streak with $40 million Defence contract

by Paris Cowan •
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Accenture has made a vigorous start to the 2011-12 financial year, adding a $40 million contract with the Department of Defence (Defence) to its appointment as the National Infrastructure Partner for the roll-out of the Federal Government’s Personally Controlled Electronic Health Record (PCEHR).

The Defence contract covers the provision of data centre migration services, as the Department transitions some its data hosting requirements to a Global Switch facility in Sydney.

As part of its ICT Strategic Plan, Defence plans to dramatically reduce the number of data centres that are supported in the Defence Information Environment (DIE), from a 2009 starting point of over 200. Defence’s five year contract with Global Switch, which was made public in July last year, marked the commencement of the program.

Accenture is not a member of the Whole-of-Government (WofG) Data Centre Migration panel, managed by the Department of Finance and Deregulation.  The timing of the contract would suggest that the Defence’s procurement for these data migration services commenced prior to the WofG panel being finalised and announced in April 2011.

According to Intermedium’scontract database, Accenture signed 22 contracts with Defence and the Defence Materiel Organisation in the 2010-11 financial year, for a total value of $13 million.

Accenture’s Defence contract was published on AusTender on 9 August with a duration of only 3 days (29 July 2011 to 1 August 2011).This was only days ahead of news that Accenture had been appointed prime contractor of a consortium charged with the national roll-out of the PCEHR system.

“Accenture will be responsible for designing and building the physical PCEHR system, which will be used by people to register for and view their e-health record,” said Health and Ageing Minister Nicola Roxon in a release.

“People will also use this system to allow their GP and other health professionals to view their record, helping to make sure their records are available whenever and wherever they are needed,” she said.

According to reports published in IT Wire,the total PCEHR contract is worth $77 million, with $47.8 million of this going to Accenture.  The remaining consortium members, Oracle and Orion Health, are set to receive $17.8 million and $11 million respectively for their involvement.

All of the National Partnership contractors for the PCEHR roll-out enter into a tripartite agreement with the Department of Health and Ageing and the National eHealth Transition Authority (NeHTA).

The Minister said that the decision to select Accenture was influenced by the company’s work on an equivalent system for the government of Singapore.

“Accenture’s track record in the successful delivery of Singapore’s national electronic health record earlier this year was an important factor in their selection during the highly competitive independent tender process with applicants from around the world,” said Minister Roxon.

As part of its PCEHR obligations, Accenture will be expected to deliver a range systems integration outcomes, including:

  1. Developing internet portals so people can view their personally controlled e-health record, control access and enter their own medical information;
  2. Developing a portal to allow health care providers, when given access by the patient, to view and update a patient’s record;
  3. Providing for an audit trail that will show when and by whom a person’s record was accessed; and
  4. Providing a reporting capability for critical information about the PCEHR system itself, including performance and usage.

Together, the Defence and PCHER contracts total almost $90 million.  This mid- August combined value has already surpassed the $31.9 million total value of Accenture’s Federal government contracts for the whole of 2010-11.

The early 2011-12 result already makes it the largest total contract value for Accenture in a single financial year since it signed its major contract with the Australian Tax Office (ATO) for the delivery of the Change Program. 

Upon its expiry, the main contract between the ATO and Accenture for the program was valued at $614 million, covering the period December 2004 to June 2011.


Related Articles:

Plans for major military ICT projects amended

Defence restructures CIOG

PriceWaterhouseCoopers consortium wins first PCEHR National Partnership

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