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WA Government announces revised project end date following major completion delays

by Andrew Starc •
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The Western Australian (WA) Government has announced that it projects the state’s shared services program to be 50 per cent complete by the end of 2010.

The expected completion date has been brought forward from February 2013 to mid-2012, according to the Government’s Shared Services newsletter.

As a business unit of the WA Department of Treasury and Finance (DTF), the shared services model aims to consolidate the financial, procurement and HR back office functions of 120 of the state’s agencies into three shared services centres.  Once complete, the program is projected to cut $50 million from the government’s annual $315 million corporate services budget.

According to the March 2010 issue of the DTF’s Sharing Corporate Services newsletter, the shared services program, which began in 2003 with an original finish date in 2006 that was later pushed back to February 2013, is now projected to reach completion in mid-2012, a delay that has blown the initial budget of $91 million out to $435 million.  

In response to the delay, Western Australian Treasurer Troy Bushwell last year stated that "this project has a sorry history which this government does not want to see repeated", after a judicial enquiry into the project's mismanagement had been called for by the then opposition government in 2007.

19 agencies, including the Departments of Regional Development and Lands, Transport, Planning and Indigenous Affairs, are expected to roll in to the shared services program by the end of this year.  At the time of the newsletter’s release in March, 40 agencies had gone live for full HR, payroll and financial services within the program, with 14 of them having done so in 2009.

When 2010 closes, we anticipate a considerably more expanded operation and 50 per cent of the agency roll-in program completed,” the newsletter said

Oracle is tasked with delivering the programs key components, which has included the HR/Payroll system that went live in November 2007, part of a 10-year, $67 million contract with the state.  Oracle has subcontracted to a second supplier, Perth-based company ASG, who also holds a separate, $88 million deal with the state in its own right.

The tender process to deliver an online Occupational Safety & Health and Workers Compensation system has recently been completed, with the system expected to be ready for agency use by July 2010.  According to the newsletter, Perth-based company Omniware will deliver the system, which will have functionality to assist agencies with managing occupational safety & health and lodging worker’s compensation claims.

Once complete, the shared services program will provide the 120 state agencies with the following functionality:

Client and Customer Services

  • The Customer Service Centre – providing the primary contact point for all customers within client agencies through an online enquiry capturing tool – iSupport.

Financial Services

  • The preparation of agencies’ annual financial statements, budget analysis and submission of data.
  • Internal control and quality assurance
  • Debtor creation and related information management, invoice raising and processing.
  • The up load of agency data to and from the General Ledger

HR Services

  • On-line services to manage the recruitment, selection and appointment of employees.
  • Maintenance of employee records, benefits, entitlements, deductions, salaries and wages.

Online Solutions

  • The Shared Services eBusiness Centre – providing client agencies and their employees with access to corporate services systems, enabling them to conduct agency financial and human resources transactions, search and buy from government online catalogues and search or create government contracts online.

  • Employee Self Service/ Manager Self Service – This system gives client agency employees the ability to view their payslips, book leave and check employee data. 

  • iSupport – customers can lodge enquiries or service requests directly through this system and search the “Knowledge Base” which is a continuously updated system of FAQs.

  • iProcurement – the Oracle tool designed for most agency users involved in requisitioning. It is a web-based, self-service tool that gives users the ability to shop online, find government and agency contracts, and buy from government online catalogues.  

A complete list of the services provided is available on the official DTF shared services site.

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  • WA
  • Department of Treasury and Finance
  • DTF
  • Shared Services