DTA signs new $152M whole-of-govt deal with SAP

The Digital Transformation Agency (DTA) has signed a new whole-of-government agreement with SAP for software and services in a deal worth roughly $152 million.

The initial three-year agreement offers the continuation of software services for agencies using SAP Enterprise Resource Planning (ERP) systems covered by the previously existing arrangement.

Specifically, the arrangement includes offerings for software, cloud services and professional services.

“This arrangement will provide agencies with the ability to modernise the full breadth of their business applications including in Cloud ERP,” said Angela Colantuono, SAP Australia and New Zealand president and managing director. “The arrangement will also enable incremental innovations, including AI.”

DTA CEO Chris Fechner added that the new arrangement will provide government agencies with “the necessary time to plan their ERP uplift programs, in line with the government’s recently announced APS [Australian Public Service] ERP approach, within the safe and agreed terms of the new arrangement.”

The APS ERP approach, which was detailed by the government on 28 November, grants agencies to have autonomy and choice in modernising ERP corporate systems.

The approach includes the DTA testing the market for ERP solutions and establishing an ERP category of core and edge products on its Software Marketplace, establishing a project management office in the Department of Finance, GovERP being repurposed for use by Services Australia and other entities and a review of existing transactional processing arrangements across the APS.

The DTA’s arrangement with SAP comes a month after the Agency signed an memorandum of understanding (MoU) with the Australian Information Industry Association (AIIA) for two more years to improve the government’s digital technology ecosystem.