Australian federal government ICT market 2008/2009: overview
This report provides an overview of the Australia federal government IT market, examining the drivers of the government’s IT procurement as they impact vendors, the dimensions of the market and the achievements of the major vendors for FY 2008/2009.
This report is a companion document for detailed profiles of 16 of the largest agencies:
• Australian Broadcasting Corporation (ABC)
• Australian Federal Police (AFP)
• Australian Tax Office (ATO)
• Centrelink
• Commonwealth Scientific and Industrial Research Organisation (CSIRO)
• Australian Customs and Border Protection Service (ACS)
• Department of Agriculture, Fisheries and Forestry (DAFF)
• Department of Defence
• Department of Education, Employment and Workplace Relations (DEEWR)
• Department of the Environment, Water, Heritage and the Arts (DEWHA)
• Department of Foreign Affairs and Trade (DFAT)
• Department of Immigration and Citizenship (DIAC)
• Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA)
• Department of Health and Ageing (DHA)
• Department of Finance and Deregulation
• Medicare Australia.
These agencies comprise approximately 75% of the government’s operating and ICT spend.
The report provides an overall perspective of the key insights to be gleaned from the profiles and makes observations about the nature of the government’s information and communications technology (ICT) procurement activity and the opportunities arising for suppliers in the next few years.
This report also provides a supply-side analysis, focusing on the drivers of the government’s IT procurement as they impact vendors, the dimensions of the market and the market positioning of the leading vendors.
This report is a companion document for detailed profiles of 16 of the largest agencies:
• Australian Broadcasting Corporation (ABC)
• Australian Federal Police (AFP)
• Australian Tax Office (ATO)
• Centrelink
• Commonwealth Scientific and Industrial Research Organisation (CSIRO)
• Australian Customs and Border Protection Service (ACS)
• Department of Agriculture, Fisheries and Forestry (DAFF)
• Department of Defence
• Department of Education, Employment and Workplace Relations (DEEWR)
• Department of the Environment, Water, Heritage and the Arts (DEWHA)
• Department of Foreign Affairs and Trade (DFAT)
• Department of Immigration and Citizenship (DIAC)
• Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA)
• Department of Health and Ageing (DHA)
• Department of Finance and Deregulation
• Medicare Australia.
These agencies comprise approximately 75% of the government’s operating and ICT spend.
The report provides an overall perspective of the key insights to be gleaned from the profiles and makes observations about the nature of the government’s information and communications technology (ICT) procurement activity and the opportunities arising for suppliers in the next few years.
This report also provides a supply-side analysis, focusing on the drivers of the government’s IT procurement as they impact vendors, the dimensions of the market and the market positioning of the leading vendors.
SCOPE
IN A NUTSHELL
GOVERNMENT AGENCY COVERAGE
THE FEDERAL GOVERNMENT IN OVERVIEW
MARKET SIZE
A$5–6 BILLION ANNUAL ICT SPEND
A GROWING, BUT SLOWING, MARKET
THE GERSHON REVIEW
ICT REFORM PROGRAM PROJECTS
ROLE OF THE AUSTRALIAN GOVERNMENT INFORMATION MANAGEMENT OFFICE
ICT BUSINESS-AS-USUAL REVIEW PROJECT
PHASE TWO
ANNUAL ICT OPERATING COSTS ANALYSIS
ICT MANAGEMENT AND PROCUREMENT TRENDS
E-GOVERNMENT STRATEGY
WHOLE-OF-GOVERNMENT ICT GOVERNANCE
ICT PROCUREMENT
OUTSOURCING AND SHARED SERVICES
BUSINESS OPPORTUNITIES
FORWARD PROCUREMENT PLANS
EXPIRING CONTRACTS
TOP TEN IT SUPPLIERS TO THE FEDERAL GOVERNMENT
TOP TEN IT SUPPLIERS
TRENDS IN IT CONTRACT VALUE
SUPPLIER SUMMARIES
IBM
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
HP/EDS
MARKET POSITION
HP: MAJOR ICT CONTRACTS IN THE LAST YEAR
EDS: MAJOR ICT CONTRACTS IN THE LAST YEAR
KAZ
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
UNISYS
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
ACCENTURE
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
DIMENSION DATA
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
CSC
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
THALES
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
CA
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
MINCOM
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
IN A NUTSHELL
GOVERNMENT AGENCY COVERAGE
THE FEDERAL GOVERNMENT IN OVERVIEW
MARKET SIZE
A$5–6 BILLION ANNUAL ICT SPEND
A GROWING, BUT SLOWING, MARKET
THE GERSHON REVIEW
ICT REFORM PROGRAM PROJECTS
ROLE OF THE AUSTRALIAN GOVERNMENT INFORMATION MANAGEMENT OFFICE
ICT BUSINESS-AS-USUAL REVIEW PROJECT
PHASE TWO
ANNUAL ICT OPERATING COSTS ANALYSIS
ICT MANAGEMENT AND PROCUREMENT TRENDS
E-GOVERNMENT STRATEGY
WHOLE-OF-GOVERNMENT ICT GOVERNANCE
ICT PROCUREMENT
OUTSOURCING AND SHARED SERVICES
BUSINESS OPPORTUNITIES
FORWARD PROCUREMENT PLANS
EXPIRING CONTRACTS
TOP TEN IT SUPPLIERS TO THE FEDERAL GOVERNMENT
TOP TEN IT SUPPLIERS
TRENDS IN IT CONTRACT VALUE
SUPPLIER SUMMARIES
IBM
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
HP/EDS
MARKET POSITION
HP: MAJOR ICT CONTRACTS IN THE LAST YEAR
EDS: MAJOR ICT CONTRACTS IN THE LAST YEAR
KAZ
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
UNISYS
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
ACCENTURE
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
DIMENSION DATA
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
CSC
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
THALES
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
CA
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
MINCOM
MARKET POSITION
MAJOR ICT CONTRACTS IN THE LAST YEAR
LIST OF TABLES
Table 1: Progress of reform projects
Table 2: Results of the ICT reform program BAU reduction at 1 July 2009
Table 3: Indicative 2009/10 ICT expenditure by agency
Table 4: Outsourcing arrangements in profiled agencies
Table 5: Outsourcing arrangements – additional detail
Table 6: Contracts valued over A$5 million expiring in the next two years
Table 7: Top ten IT suppliers
Table 8: Summary of the IBM contract portfolio
Table 9: IBM ICT contracts valued over A$1 million for FY 2008/2009
Table 10: Summary of the HP/EDS contract portfolio
Table 11: HP ICT contracts valued over A$1 million for FY 2008/2009
Table 12: EDS ICT contracts valued over A$1 million for FY 2008/2009
Table 13: Summary of the KAZ contract portfolio
Table 14: KAZ ICT contracts valued over A$1 million for FY 2008/2009
Table 15: Summary of the Unisys contract portfolio
Table 16: Unisys ICT contracts valued over A$1 million for FY 2008/2009
Table 17: Summary of the Accenture contract portfolio
Table 18: Accenture ICT contracts valued over A$1 million for FY 2008/2009
Table 19: Summary of the Dimension Data contract portfolio
Table 20: Dimension Data ICT contracts valued over A$1 million for FY 2008/09
Table 21: Summary of the CSC contract portfolio
Table 22: CSC ICT contracts valued over A$1 million for FY 2008/2009
Table 23: Summary of the Thales contract portfolio
Table 24: Thales ICT contracts valued over A$1 million for FY 2008/2009
Table 25: Summary of the CA contract portfolio
Table 26: CA ICT contracts valued over A$1 million for FY 2008/2009
Table 27: Summary of the Mincom contract portfolio
Table 28: Mincom ICT contracts valued over A$1 million for FY 2008/2009
Table 1: Progress of reform projects
Table 2: Results of the ICT reform program BAU reduction at 1 July 2009
Table 3: Indicative 2009/10 ICT expenditure by agency
Table 4: Outsourcing arrangements in profiled agencies
Table 5: Outsourcing arrangements – additional detail
Table 6: Contracts valued over A$5 million expiring in the next two years
Table 7: Top ten IT suppliers
Table 8: Summary of the IBM contract portfolio
Table 9: IBM ICT contracts valued over A$1 million for FY 2008/2009
Table 10: Summary of the HP/EDS contract portfolio
Table 11: HP ICT contracts valued over A$1 million for FY 2008/2009
Table 12: EDS ICT contracts valued over A$1 million for FY 2008/2009
Table 13: Summary of the KAZ contract portfolio
Table 14: KAZ ICT contracts valued over A$1 million for FY 2008/2009
Table 15: Summary of the Unisys contract portfolio
Table 16: Unisys ICT contracts valued over A$1 million for FY 2008/2009
Table 17: Summary of the Accenture contract portfolio
Table 18: Accenture ICT contracts valued over A$1 million for FY 2008/2009
Table 19: Summary of the Dimension Data contract portfolio
Table 20: Dimension Data ICT contracts valued over A$1 million for FY 2008/09
Table 21: Summary of the CSC contract portfolio
Table 22: CSC ICT contracts valued over A$1 million for FY 2008/2009
Table 23: Summary of the Thales contract portfolio
Table 24: Thales ICT contracts valued over A$1 million for FY 2008/2009
Table 25: Summary of the CA contract portfolio
Table 26: CA ICT contracts valued over A$1 million for FY 2008/2009
Table 27: Summary of the Mincom contract portfolio
Table 28: Mincom ICT contracts valued over A$1 million for FY 2008/2009
LIST OF FIGURES
Figure 1: Trend analysis of annual contract value for the top ten IT suppliers
Figure 2: Effect of major uncontracted spend on annual contract value for the top ten IT suppliers
Figure 1: Trend analysis of annual contract value for the top ten IT suppliers
Figure 2: Effect of major uncontracted spend on annual contract value for the top ten IT suppliers
