Three whole-of-NSW-government ICT panels for the procurement of hardware services, servers and ERP software have been scrapped.
The lapsed State Contracts include:
- Contract 2007B for Associated Services for Personal Computers;
- Contract 2007S for Servers and Associated Services; and
- Contract 2603 for GSAS Mincom Enterprise Resource Planning (ERP) Software.
All have expired and will not be up for renewal, a Department of Finance and Services (DFS) spokesperson has confirmed.
Services once provided under 2007B are currently available under the ICT Services Scheme, which has recently replaced State Contract 2020. All servers can now be purchased through State Contract 2846 for Server Platforms, Storage, Virtualisation Technologies, UPS and Associated Services.
Both members of 2007S (Dell & IBM) will not be affected by the transition to State Contract 2846, as they are also members of this panel. However a number of suppliers from State Contract 2007B are not yet included on the ICT Services Scheme and will have temporarily lost access to the State’s IT services market until they are able to successfully apply, including:
- Corporate Express;
- Lenovo; and
Mincom, the only supplier on State Contract 2603, will no longer be part of the NSW coordinated procurement program.
ERP services are now available through the ICT Services Scheme but licences for Mincom software will assumedly be left uncovered by the State Contracts suite. ABB, which acquired Mincom in 2011, is currently not on the ICT Services Scheme.
The decision to get rid of contract 2007B comes as no great surprise.
The panel has been out of action since August 2011 when it came under review for facilitating only limited procurement since its inception in May 2007. This was partly due to an overlap in service offerings with mandatory State Contract 2020 for IT Services.
Contract 2846 is due to expire in 30 April 2013, with two one-year extension options remaining. A number of services covered by this contract also overlap with the new ICT Services Scheme, including server and desktop management.
Contract 2846, Contract 2390 for Imaging Devices and Contract 2007 for Personal Computers, Notebook Computers and Associated Services are the only remaining hardware panels currently available to NSW Government agencies.
NSW Government ICT benchmarking data reveals falls in some areas of hardware expenditure between 2009-10 and 2010-11.
A total of $15 million was spent on mainframe services in 2010-11, representing a 30 per cent drop from the previous financial year. Expenditure on storage solutions fell five per cent from 2009-10, with $38 million spent in 2010-11. Only midrange services saw a two per cent increase, with a total of $137 million spent by the public sector in 2010-11.
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