[LINK] Immigration plugs $44m budget gap
brd at iimetro.com.au
Fri Feb 8 10:24:11 EST 2008
Sorry to keep going on about it, but here is a prime example of what
I've been banging on about recently.
The people doing the business case for the Systems for People project
came up with a projected cost. They were working with a limited
understanding of the system and its development costs. Everything was
conceptual, on paper and in people's minds - there was no way to test
When the project actually happens and reality strikes, it seems that the
project is not meeting budget. So who gets the blame? The people working
with reality, not the people who stuffed up the estimates.
It really pisses me off - but you can probably tell that.
BTW, I know nothing about, or of, the Systems for People project.
I think I'll go and watch the rain and thunderstorms dumping on Sydney,
it's less stressful.
Immigration plugs $44m budget gap
February 07, 2008
AUSTRALIA'S immigration authority is struggling to contain rising costs
for its Systems for People project.
The Department of Immigration and Citizenship asked for an extra $44
million to cover a budget shortfall in its Systems for People project
A spokesman for the Department of Immigration and Citizenship (DIAC)
confirmed that the agency asked the Department of Finance and
Deregulation (DFD) for an extra $44 million to cover a budget shortfall
in the project last year.
At the time DFD called in Boston Consulting Group (BCG) to review the
BCG recently completed its review and it’s expected to approve the $44
million extension to the project's budget. If the request is approved,
the cost of the Systems for People project will increase $24 million, to
Last year, Immigration's chief information officer Bob Correll told The
Australian that its labour contract costs had grown by around a quarter.
He said that DIAC would be forced to request additional funding if it
wasn’t able to hire more in-house workers to rein in its spending.
The $44 million would go towards covering an additional $5 million in
contractor costs for the 2007 financial year and $39 million for the
current financial year. The $39 million would be made up of $19 million
in additional funding for the project, and $20 million brought forward
from the groups 2009 budget.
The group will be left with $20 million divot in its budget for the 2009
financial year which will fall to $79 million.
The spokesman said that $290 million had been spent on the project which
was currently halfway toward its completions. He said that and that the
roll-out was on schedule.
brd at iimetro.com.au
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