Consideration was given to the report of the
Managing Director, oneSource, detailing the arrangements for One
Oracle after July, 2018.
The Director of Finance (oneSource) outlined
the current and proposed position to Cabinet.
The current contract with Capgemini for the
provision of Havering’s One Oracle Finance, HR and Payroll
system expires in July 2018 and so alternative arrangements as
details in the report are required.
There is an additional cost of £30,000
per year and a lump sum set up cost of £55,000. This will be
funded from the Havering’s 2018/19 ICT revenue funding.
Other options have been considered as
follows:
- The potential option of an open
tender process for the One Oracle R12.1 solution was discounted as
there was insufficient time to run such a process and for an
alternative provider to reprovision the solution onto their own
infrastructure before July 2018. It was unlikely that the market
would be interested in responding to such a process as the Oracle
R12.1 solution will not be maintained by Oracle after December 2021
and so the lifespan of any R12.1 contract would be severely
limited.
- A further potential option of
oneSource hosting the One Oracle R.12 solution within its own ICT
infrastructure was also considered but discounted. This would
require a new procurement exercise to be undertaken, similar to the
one undertaken by Brent already, to find a partner to facilitate
the transfer from Capgemini. There was insufficient time available
to undertake such procurement. There was also insufficient time to
design, cost and implement an on-premises solution within
oneSource’s ICT infrastructure. There was no assurance that
the cost of such a solution would be less than the cost of the
service on offer from Capgemini.
For the reasons set out in the report,
Cabinet:
- AGREED that Havering
enter into a contract with Capgemini, if possible through a Crown
Commercial Services G-Cloud framework for the One Oracle R12.1
solution for a period of at least one year.
- AGREED that the
resources in relation to Havering’s One Oracle Shared
Applications Support Team be transferred to oneSource at the
appropriate time.
- AGREED The
additional budget required per annum of £210,000 will need to
be identified from the oneSource ICT budget (currently under
review) in relation to the additional cost above base budget of the
new contract with Capgemini, due to an ongoing shortfall in the
current budget for One Oracle (the shortfall is being met from
one-off funding from the Strategic Reserve in 2017/18)
- DELEGATED to the
Managing Director, oneSource, authority to finalise the contractual
arrangements with Capgemini.