The Western Australian Government's shared services program is set to reach the halfway point by the end of this year.
The shared services model aimed to consolidate financial, procurement and HR back-office functions from 120 agencies into shared services centres and was expected to save the WA Government around $55 million each year. The government chose Oracle systems for the migration, in a contract worth around $67 million over 10 years.
According to a newsletter released last month, the Office of Shared Services rolled 14 agencies onto the shared systems last year. The latest count of agencies using the services was 40. This year, a further 19 agencies are expected to move across.
"When 2010 closes, we anticipate a considerably more expanded operation and 50 per cent of the agency roll-in program completed," the newsletter said.
Some of the agencies already using the program include the Departments of Water, and Treasury and Finance, as well as the State Library, Art Gallery of Western Australia and the Economic Regulation Authority. Departments of Planning and Transport and the WA Planning Commission are all expected to be moved into shared services within the next six months. Most recently, the Office of the Director of Public Prosecutions' human resources, payroll and financial services were transitioned into the project last month.
The project has not been without its issues. Starting in 2003, it was initially expected to be completed by the end of 2006. However, after various problems, the finish date has been pushed back to 2013.
The opposition called for a judicial inquiry into the project in December 2007, after costs ballooned from $91 million to $435 million. WA Treasurer Troy Buswell agreed to continue the project in October 2008, on the proviso that budget and roll-in targets be met.
The Office of Shared Services last month awarded a contract to Omniware worth over $1 million to provide an Occupational Health and Safety and Workers Compensation system to client agencies by July this year.