iTnews

How much? Canberra's top IT suppliers revealed in AusTender probe

By Justin Hendry on Mar 12, 2020 6:58AM
How much? Canberra's top IT suppliers revealed in AusTender probe

Audit office boils down contracts over the last decade.

Australia’s national auditor has shed light on the federal government’s top IT suppliers over the last decade in an analysis of publicly available procurement data.

It is the second such study in recent years looking at the government’s notoriously unreliable contract reporting to provide greater transparency on procurement activity.

The information report, released on Wednesday, saw the Australian National Audit Office scan the last ten years’ worth of records on the Commonwealth procurement website AusTender.

The comprehensive snapshot reveals that a combined $72.89 billion was spent on IT, telco, engineering and research, and technology services between 2010-11 and 2018-19.

The figure consists of “IT broadcasting and telecommunications” contracts ($34.44 billion) and “engineering and research and technology based services” contracts ($38.44 billion).

Together the categories – based on the United Nations Standard Products and Services Code classification system – make up 16 percent of all reported government contracts.

As with the majority of procurement categories across government, ANAO found that it was “common for a small number of suppliers to dominate” the IT-related categories.

The largest tech suppliers 

The ANAO analysis shows Telstra was the top supplier in the IT and telco category between 2009-10 and 2018-19, bringing in a total of $8.16 billion.

This represents 22 percent worth of all procurements in the category, significantly more than the next four largest suppliers in the category.

Second on the list was IBM, which secured $2.17 billion – or 6 percent – worth of IT work in the category over the decade.

However, when this figure is combined with contracts that fall into the research and technology-based services category, IBM's total contract value climbs to $4.26 billion.

Boeing, Lockheed Martin and Optus rounded out the IT and telco category, with $1.15 billion, $1.10 billion and $1.04 billion, respectively.

Source: Australian National Audit Office

In the engineering and research and technology-based services category, big data software specialist SAS topped the list, with a total of $4.45 billion – or 11 percent – worth of work.

Boeing also found its way into this category, having secured a total contract value of $1.49 billion – or 4 percent – over the decade, as did Fujitsu ($1.08 billion).

Source: Australian National Audit Office

The study also found a “relatively small proportion of suppliers" government panels “to be awarded the majority of contract value when the panel is accessed”.

Half of the government’s top ten panel arrangements are used to procure IT-related goods and services.

The analysis also reveals that a total of 1255 contracts under the engineering and research and technology based services category have increased in value by more than 200 percent.

In the information technology broadcasting and telecommunications category, 300 contracts saw their value grow by more than 200 percent since they were signed.

The analysis noted delays with AusTender reporting continues to be common occurrence, with 17 percent of publications last financial year taking longer than the prescribed 42 days.

“Delays are often significant, with it being common for reporting to take more than twice as long as it supposed to,” the ANAO said.

Got a news tip for our journalists? Share it with us anonymously here.
Copyright © iTnews.com.au . All rights reserved.
Tags:
anaoauditgovernmentitprocurementstrategy

Partner Content

5 essential digital transformation ideas
Promoted Content 5 essential digital transformation ideas
Alienated from your own data? You’re not alone
Promoted Content Alienated from your own data? You’re not alone
Avoiding CAPEX by making on-premise IT more cloud-like
Promoted Content Avoiding CAPEX by making on-premise IT more cloud-like
Matt Tett to lead essential primer session on security by design
Partner Content Matt Tett to lead essential primer session on security by design

Sponsored Whitepapers

Planning before the breach: You can’t protect what you can’t see
Planning before the breach: You can’t protect what you can’t see
Beyond FTP: Securing and Managing File Transfers
Beyond FTP: Securing and Managing File Transfers
NextGen Security Operations: A Roadmap for the Future
NextGen Security Operations: A Roadmap for the Future
Video: Watch Juniper talk about its Aston Martin partnership
Video: Watch Juniper talk about its Aston Martin partnership
Don’t pay the ransom: A three-step guide to ransomware protection
Don’t pay the ransom: A three-step guide to ransomware protection

Events

  • iTnews Benchmark Awards 2022 - Finalist Showcase
  • IoT Impact Conference
  • Cyber Security for Government Summit
By Justin Hendry
Mar 12 2020
6:58AM
0 Comments

Related Articles

  • Defence told to stop leaving ERP decisions to contractors
  • Audits alone won't solve govt cyber woes: ANAO
  • DTA shuts down Digital Marketplace ahead of BuyICT merger
  • Auditor weighs up review of govt's digital ID system, COVIDSafe app
Share on Twitter Share on Facebook Share on LinkedIn Share on Whatsapp Email A Friend

Most Read Articles

NBN Co sizes up six-figure customer exodus a year to fixed wireless

NBN Co sizes up six-figure customer exodus a year to fixed wireless

NBN Co to cut 160 applications under $200m IT simplification

NBN Co to cut 160 applications under $200m IT simplification

What to expect from the incoming Labor government

What to expect from the incoming Labor government

NBN Co's 250Mbps and gigabit growth is finally clear

NBN Co's 250Mbps and gigabit growth is finally clear

Digital Nation

COVER STORY: Data and IoT set digital agriculture on a sustainable future
COVER STORY: Data and IoT set digital agriculture on a sustainable future
Why do DeFi and DAOs matter to business?
Why do DeFi and DAOs matter to business?
COVER STORY: A Year in the Metaverse
COVER STORY: A Year in the Metaverse
CTO Juergen Mueller offers a glimpse into SAP's metaverse play
CTO Juergen Mueller offers a glimpse into SAP's metaverse play
Lendlease launches its own metaverse in Milan
Lendlease launches its own metaverse in Milan
All rights reserved. This material may not be published, broadcast, rewritten or redistributed in any form without prior authorisation.
Your use of this website constitutes acceptance of nextmedia's Privacy Policy and Terms & Conditions.