Quick Read

• The defense department seeks expert guidance for upgrading its ERP financial management system.
• Concentrate on data transformations, trial runs, and preparation standards.
• The ERP project was initiated in 2019 and involves transitioning to SAP S/4HANA in multiple stages.
• The existing financial system manages a budget of $56 billion and has not been updated in two decades.
• Expert guidance on accounting and ERP implementation is required to reduce financial risks.
• An audit criticized the high number of contractors, and key decisions now depend on internal staff.

ERP Upgrade: A Prolonged Initiative

The Department of Defence has entered the concluding phase of its extended ERP upgrade initiative, enlisting contractors to conduct business readiness testing. The emphasis is on the financial management system segment of the ERP implementation. This effort is a component of a broader shift to SAP S/4HANA, which started in 2019.

Revamping the Financial Management System

This year, the department is focusing on tranche “1B,” which involves upgrading the financial management information system. This tranche also encompasses supply chain management, enterprise asset management, purchasing, finance, and human resources. The existing financial system, which hasn’t been updated in twenty years, supports operations for a complex $56 billion budget.

Call for Contractors

A Defense spokesperson disclosed that they are seeking contractors for “business readiness” tasks. These tasks comprise data conversions, practice operations, and establishing readiness criteria for go-live decisions. The aim is to ensure that all financial risks are mitigated to a high standard.

Specialist Advice Needed

According to Defense, implementing the ERP system requires considerable technical skills. Therefore, they seek consultants to collaborate with Defense CFO Steven Groves to enhance business preparedness and mitigate financial risks to acceptable levels.

Addressing Audit Criticism

The choice to seek external assistance comes three years after an audit criticized the extensive reliance on contractors at all levels of the ERP program. The department has promised that crucial decisions regarding the project will stay with internal employees to reduce any risks linked to contractor dependency.

Summary

The Department of Defence’s ERP upgrade project is designed to bring its financial management system up to date, after two decades without updates. To facilitate a smooth transition, the Defence Department is hiring contractors to conduct business readiness testing, with an emphasis on data conversions and other essential tasks. Although there have been past criticisms about the use of contractors, the department maintains that core decisions are controlled by its internal team.

FAQs

What is the primary objective of the ongoing ERP enhancement?

A:

The primary objective is to enhance the financial management information system under tranche “1B.” This encompasses supply chain management, enterprise asset management, procurement, finance, and core human resources.

Why is expert consultation being pursued for this project?

A:

Expert guidance is essential for thoroughly addressing all financial risks and for preparing for business readiness activities such as data conversions and dress rehearsals.

How long has the present financial system been operational?

A:

The existing financial system has been operational for two decades and manages activities for a budget of $56 billion.

Q: What are some of the critiques associated with using contractors?

A:

An audit found fault with the widespread reliance on contractors at all levels of the ERP program. The department now guarantees that primary decisions are handled by internal staff.

Q: Can you explain what SAP S/4HANA is?

A:

SAP S/4HANA is a unified enterprise resource planning (ERP) solution that utilizes in-memory computing to handle vast quantities of data rapidly and effectively.

What does tranche “1B” refer to?

A:

The term “Tranche 1B” pertains to the emphasis for this year’s Defence ERP upgrade, which encompasses financial management information systems, supply chain management, enterprise asset management, purchasing, finance, and foundational human resources.

Quick Read

• The Victorian government rolls out the Victorian Transport Digital Engineering (VTDE) initiative.
• VTDE seeks to establish a highly interconnected network of digital engineering and asset information by the year 2026.
• Bentley Systems’ iTwin platform is being utilized to visualize and analyze survey data.
• Survey data comprises two-dimensional and three-dimensional datasets, photographic meshes, and LiDAR point clouds.
• Providing better access to data has the potential to enhance policy-making and lower expenses in transportation initiatives.
• VTDE seeks to remain effective despite changes in government and deliver lasting benefits.

Victorian Transport Digital Engineering Program

The Victorian government has initiated a transformative path with the Victorian Transport Digital Engineering (VTDE) initiative. Defined as a collaborative project within the Victorian Transport portfolio, VTDE seeks to create a “highly interconnected system of digital engineering and asset information” by the year 2026.

At the Bentley Illuminate conference in Sydney, Ban Chee, the reality capture data manager for the VTDE program, emphasized the major advancements in utilizing survey data to enhance decision-making processes.

Survey Data Integration

The VTDE program is combining different kinds of survey data, such as 2D and 3D survey information, photo meshes, and LiDAR point clouds. Chee states that the main difficulty at present is merging this data from various origins into a single, user-friendly platform.

Bentley Systems’ iTwin platform plays a central role in this integration initiative, enabling efficient visualization and analysis of survey data. The platform is presently accessible via GIS or IBM Maximo systems utilized for transport asset information.

Impact on Decision-Making

Chee highlighted that making this survey data easily accessible could greatly improve policy decisions and lead to more effective spending on transportation projects. By providing decision-makers and designers in the government with better information, the VTDE initiative seeks to create a setting where informed choices are standard practice.

“We must make sure that high-quality data is both gathered and shared,” stated Chee. “This strategy can avoid duplicate surveying activities and reduce expenses on government infrastructure initiatives.”

Long-Term Vision

One of the main objectives of VTDE is to develop a data resource that retains its value regardless of shifts in government structures or priorities. This consistency is essential for long-term planning and budgeting for future transportation projects.

Chee conveyed confidence that the data resources created through VTDE would remain valuable despite changes in government administrations and departmental reorganizations, all encompassed by the term ‘machinery of government’.

Summary

The Victorian Transport Digital Engineering (VTDE) initiative represents an innovative project designed to establish a cohesive, user-focused repository of survey data. By leveraging Bentley Systems’ iTwin platform, the VTDE program aims to improve policy decisions and efficiency in transport projects, while maintaining long-term utility regardless of changes in government.

Q: What does the VTDE initiative involve?

The Victorian Transport Digital Engineering (VTDE) initiative is a project with the goal of establishing an extensively interconnected digital engineering and asset information ecosystem by the year 2026.

What varieties of survey data are being combined?

The project combines different forms of survey data, such as 2D and 3D survey information, photogrammetric meshes, and LiDAR point clouds.

What platform is utilized for data visualization?

Bentley Systems’ iTwin platform is utilized to visualize and examine the survey data.

Question: What effect will this initiative have on decision-making?

Providing access to survey data will enable government officials and designers to make better-informed decisions, potentially resulting in more efficient allocation of funds for transport projects.

What does the term ‘machinery of government’ refer to?

‘Machinery of government’ describes alterations in government frameworks or priorities. The VTDE project seeks to establish a data resource that retains its value regardless of these modifications.

Q: What strategies does VTDE have to secure its long-term usefulness?

A: By establishing a strong and easily accessible data resource, the VTDE initiative seeks to offer ongoing value for transportation planning and budgeting, regardless of changes in government.

Quick Read

• Telstra and Optus have ended their agreements with Google.
• These agreements involved pre-installing Google’s search services on Android devices.
• The investigation that resulted in this change was started by the ACCC.
• The objective of the decision is to improve consumer options and boost market competition.
• Google Search holds a leading 98% market share in Australia.
• The ACCC’s inquiry into digital platforms is set to publish its ninth report in March 2025.

Termination Background

Telstra and Optus have chosen not to renew or form new contracts with Google for pre-installing its search services on Android devices. This choice follows an inquiry by the Australian Competition and Consumer Commission (ACCC). The previous agreements expired at the end of last month.

The ACCC’s Role

The ACCC began the investigation as a part of its continuous digital platform services inquiry. The ACCC stated that Telstra and Optus had been engaging in these agreements with Google since at least 2017. The commission contended that these arrangements restricted the capacity for competing search engines to be pre-installed and promoted on Android devices, ultimately impacting consumer choice and innovation.

Implications for Consumers

The ACCC has agreed to enforceable commitments from both Telstra and Optus. These commitments are anticipated to give Australian consumers a wider range of options concerning digital platforms and services they utilize. Furthermore, it seeks to promote increased competition within these markets.

“Engaging in practices like forming agreements to guarantee exclusivity can restrict consumer options or hinder innovation,” stated ACCC commissioner Liza Carver.

Market Dynamics

Even after this change, Google Search continues to dominate the Australian market, maintaining a steady 98% market share from September 2021 to February 2024. Alternative search engines, such as Microsoft’s Bing, have only a minimal presence. This dominance has led to concerns among regulators about the suppression of competition and innovation.

The Broad Digital Platforms Investigation

The ACCC’s investigation into digital platforms has explored different facets of the technology behind social media platforms and their possible negative effects. To date, multiple reports have been generated on these topics. The ninth report from this investigation is anticipated to be published in March 2025 and may offer additional recommendations to promote fair competition in digital markets.

For additional information on similar reports from the ACCC, check out TechBest’s piece on data transparency for major platforms: Data Transparency for Major Platforms.

Summary

Telstra and Optus have decided to end their long-term agreements with Google to pre-install its search services on Android devices. This change comes after an ACCC investigation aimed at promoting more consumer choices and competition within the market. While Google still leads the Australian search engine market, this shift could offer opportunities for competing search engines to establish themselves. The ACCC will carry on with its digital platforms inquiry, with the next significant report scheduled for March 2025.

Q&A Session

Why did Telstra and Optus end their agreements with Google?

A:

The discontinuation came after an ACCC investigation revealed that these agreements restricted consumer choice and hindered competition by stopping competing search engines from being pre-installed on Android devices.

Q: How will this affect consumers in Australia?

A:

This decision aims to give consumers more options for the search engines they can use on their devices, which could lead to increased competition and innovation in the market.

How prevalent is Google Search in Australia?

A:

As of February 2024, Google Search commands a remarkable 98% market share in Australia, showcasing its substantial dominance over other search engines such as Bing.

Q: What is the digital platforms inquiry conducted by the ACCC?

A:

The ACCC’s inquiry into digital platforms explores different facets of technology utilized by social media channels and other online services, zeroing in on topics such as market competition and consumer protection. The inquiry is set to publish its ninth report in March 2025.

What might be the potential long-term consequences of this action?

A:

If successful, this initiative could create a more competitive market, allowing alternative search engines to flourish and provide enhanced services and innovations to consumers.