MoD looks for efficiencies with new ERP contract

Enterprise resource planner for the MoD

The Ministry of Defence (MoD) is gunning for an IT supplier to oversee the completion of a new paperless system to procure IT goods and services.

In a public tender, the MoD - which has an annual procurement budget of more than £30 billion annually and more than 3,000 suppliers - says that while the vast majority of expenditure is made via its Purchase to Payment (P2P) system, some payments are made to companies not on P2P and remain paper based.

The MoD has outlined two requirements for a prospective IT supplier. The first is that it must "design, build and transition to a fully integrated end-to-end Contracting Purchasing and Finance (CP&F) system based up on Commercial off the Shelf (COTS) products."

Secondly, it must "direct and implement the necessary business change activities to maximise the benefits of the resultant CP&F capability".

Single ERP system

The MoD, which currently uses applications built on Oracle's R12 platform and several ERP solutions to procure services and goods, says that the new platform must go through a single ERP system to end manual management of payments. It must also ensure the "availability, dependability and accuracy" of management information.

It has set a maximum timeframe of 24 months for the new system to be completed, but has requested it to be finished sooner. The contract is expected to be worth between £20 million and £30 million across that timeframe.

Kane Fulton
Kane has been fascinated by the endless possibilities of computers since first getting his hands on an Amiga 500+ back in 1991. These days he mostly lives in realm of VR, where he's working his way into the world Paddleball rankings in Rec Room.