[LINK] Vic: Health IT program late, over budget

[Bernard Robertson-Dunn]

<brd>
This is rare - the auditor-general's report blames the business case. 
Sensible people.

However, the Australian's "Correspondents in Melbourne" blame the project.
Pavlov would be proud.
</brd>

Vic: Health IT program late, over budget
Correspondents in Melbourne
April 16, 2008
The Australian IT
http://www.australianit.news.com.au/story/0,24897,23548596-15306,00.html

A $320 million IT program to help streamline Victoria's health system is 
running late and over budget, a new report has found.

The auditor-general's report says the HealthSMART program will not be 
finalised as expected by June 2009. The 2009 target was reset from the 
initial projected completion date of June 2007.

However, the Department of Human Services (DHS) has not yet told the 
government of any need to revise the completion date, the report says.

HealthSMART is aimed at improving patient care, reducing the 
administrative burden on health care professionals and easing costs 
associated with IT in the public health system by standardising 
information systems.

The department has spent 57 per cent of the project's budget on just 
one-quarter of the planned installations, and delays in the project mean 
that it will have to be subsidised by an added $61 million of DHS funds.

"This could divert significant funds from DHS service delivery budgets," 
the report says.

"The original HealthSMART budget, involving health agency co-funding 
capacity, was not realistic."

It says "lack of certainty across health agencies about costs and 
funding sources" has led inevitably to delays in the program.

The report says targets for the project's roll-out were too ambitious.

"The program is large and complex, involving health services, rural 
information and communication technology alliances and community-based 
health providers across the state," the report says.

A key flaw in planning the project has been the lack of a 
whole-of-program business case, the report says.

"DHS had an inadequate baseline analysis or process to demonstrate that 
the program would be viable and would provide value for money," the 
report says.

AAP

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Regards
brd

Bernard Robertson-Dunn
Sydney Australia
brd at iimetro.com.au