The Office of Defence has begun to see the fruits of its significant ERP transformation, with the very first key capacity launch underneath the billion-dollar method now underway.

iTnews can expose that initial finance reporting abilities had been rolled out as a result of the SAP-based ERP method previous month just after eighteen months of operate by programs integrator IBM.

“ERP capacity launch for finance and reporting, which features near serious-time replication of economic knowledge, commenced on program in December 2020,” a spokesperson told iTnews.

It comes eighteen months just after IBM fought off Accenture to safe a $ninety five.five million contract to aid Defence go to SAP’s Defence Forces and Community Security option and the S/four HANA cloud platform.

The contract has because climbed to $112 million, which include by $fourteen.6 million previously this month because of to a “change in operate requirements”.

The spokesperson would not disclose the nature of the modify, stating only that the amendment “supports the iterative design procedure becoming carried out to produce the ERP program”.

“Defence prepared to apply new operate deals on this contract as the ERP design matured,” the spokesperson added.

The ERP method, which the department very first discovered 5 a long time in the past, is the premier ERP method underway throughout the federal government, as effectively as the a single of the premier IT courses at Defence.

It will see a single ERP method introduced to give Defence a “near serious-time watch of critical data … to far better tell final decision making”.

In the procedure, it will lose as a lot of as 500 current programs throughout the department in a bid to align with the 1 Defence organization design referred to as for in the 2015 Initial Rules Review.

This features up to 90 per cent of its current ERP programs, as effectively as other programs applied to regulate finance, HR, logistics, procurement, engineering, routine maintenance and estate features.

But with Defence significantly less than two a long time into what is predicted to be an eight-year method, the department is yet to swap any legacy programs.

“Rationalisation (which include decommissioning) of legacy programs will arise after the ERP completely replaces the performance of current programs,” the spokesperson mentioned.

The department is now turning its consideration to the more substantial logistics and routine maintenance capacity launch, which stays on program for its 2022 launch.

“Additional operate to be performed this economic year features both of those the progression of the design section for the logistics and routine maintenance launch (which stays on program), and prepared design operate to accommodate the adjustments bundled in the most current launch of SAP S/four HANA,” the spokesperson mentioned.

“The logistics and routine maintenance capacity launch rollout to Defence end users is prepared to start in the next 50 percent of 2022, to be concluded by mid-2023.”

Final year, Microsoft discovered that the SAP ERP method would be hosted on secured-degree community cloud from Canberra’s Azure area – the very first key Defence workload to have migrated.

“With Azure as its underlying platform for the ERP transformation, Defence will be capable to cost proficiently scale and continuously adopt new functionality as it gets obtainable,” it mentioned.