Office of the Police and Crime Commissioner Briefing Paper Project

TOM – IT Service Management Solution

Report date

22nd April 2016

Protective Marking

Not Protectively Marked

Business group

IT

Procurement Lead/Author

Helen Marsh / Lynn Smith

Client Lead

Colin Carey – IS Branch

Collaborate procurement

No

Lead and Participating partners

Not Applicable

Approval level required

PCC PGG

Over £500k & GMP lead authority

Yes / No

Over £500k or of PCC interest

Yes / No

Under £500k

Yes / No

Has the PCC been previously cited on this procurement?

Yes / No / N/A

If YES please advise the contact at PCC

1.

PROJECT REQUEST Project Source

Local contract

Framework

Mini comp

Renewal

Extension

OJEU

 As part of Greater Manchester Police’s (GMP) response to the government’s Comprehensive Spending Review, austerity measures, and the continued pressure on policing to deliver increasing service levels with reduced cost and resource, the IS Transformation Programme (ISTP) has been formed to provide the Force with a platform for technology enabled business change. The Information Services Branch Target Operating Model (IS TOM) project is a component of the ISTP, and is concerned with designing and planning the implementation of a service and operating model which will support the strategic direction of GMP. Specifically:

PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Page 1 of 8



Delivering the IS service for reduced cost;



Aligning with the other ISTP projects;



Adopting the ‘Manage and Design a Multi-Sourced Supplier Ecosystem’ approach.

IT Service Management (ITSM) Transformation and the procurement of an associated IT service management tool is one of those enabling initiatives which will underpin the multi-supplier Ecosystem. The funding for the replacement tool is included in the ITSP FBC. Extract from the FBC: ‘The OBC contained the procurement of the IT Service Management Tool in the Commercial Case. On close examination of the scope of the IS TOM project (as agreed in the Contract between EY and GMP) it was apparent that the procurement of an IT Service Management Tool was not in scope. Therefore, it has been agreed that the procurement of the tool will be conducted as a business as usual (BAU) project managed by IS Branch, and the IS TOM project will be dependent on this project in order to be able to deliver efficiency savings. In relation to the point above, as all procurement has been removed from the scope of the IS TOM project, a Commercial Case is no longer required and has been therefore omitted from this (FBC) document. That having been said, the cost of the tool is incorporated in the financial model of the IS TOM project’. This investment will replace the current IT Service Management solution with a single integrated solution which meets the requirements of the relevant service management functions within IS Branch, and will resolve issues and shortfalls with the current solution. This report for PGG is requesting approval for the project to go ahead to tender.

2.

RECOMMENDATION AGREED WITH PROCUREMENT

The preferred procurement option is to source the replacement ITSM tool via the Crown Commercial Service (CCS) Framework, deemed to be the best route to PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Page 2 of 8

market option, particularly from a timescales perspective. This thinking is based on the use of aggregation as the basis for improved leverage and reducing costs in public sector sourcing. The benefits are: A number of researching initiatives have taken place to identify and gauge the calibre of ITSM tool in the marketplace required for IS Branch. The initiatives stem from online demonstrations to attending ITSM events. All of the potential solutions identified can be sourced via CCS.

3.

SOCIAL VALUE BENEFITS

The procurement of the Service Management Tool is aligned to the IS Transformation Programme and supports the social value benefits of it. 1.

The new ITSM solution will also allow the IT organisation (IS Branch) to be

more proactive by implementing an IT Service Management (ITSM) tool and associated processes that deliver a more value-added IT operational support to officers in helping them police the neighbourhoods more efficiently, along with a comprehensive and intuitive customer self-service portal which will allow officers to make easier IT decisions, reduce the number of calls placed with the Service Desk, and have a positive impact on KPI’s. 2.

The mobile application functionality of the ITSM solution will provide an on-

the-go availability service, a convenient way for officers to manage their requirements in the field, increasing officer effectiveness, and service efficiency to the public.

4.

KEY ATTRIBUTES OF CURRENT OR PROPOSED PROJECT Target procurement timetable

Award date (contracted or proposed)

10th August 2016 (proposed)

Start date (contracted or proposed)

11th August 2016 (proposed)

Duration of initial or proposed contract

Five years

Optional extensions

One plus one years

Procurement type PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Service

Page 3 of 8

Year 1 Implementation £223,980 Year 1 licencing £54,783 Year 1 TOTAL £278,763 Estimated or contracted spend per annum Year 2 Licensing £54,783 Year 3 licensing £56,202 Year 4 Licensing £57,658 Year 5 licensing £59,151 Estimated or contracted total spend (full duration)

Total 5 years £506,557

GMP spend per annum (if different)

£12000

Incumbent supplier

Sunrise

Does spend exceed relevant OJEU threshold?

Yes

Payment terms

Subject to contract

Inflation measures



Notice period

Subject to contract

5.

BUDGET APPROVAL

The TOM Revenue Investment Budget has £223,980 in for the Implementation Tool. The Revenue budget has the following in for Licencing on an annual basis Yr 1 £54,783

Yr2 £54,783

Yr3 £56,202

Yr4 £57,658

Yr5 £59,151

Budget agreed

N/A – The funding is part of the ITSP/TOM budget

Main budget holder

Michelle Ashton

Funding details

N/A – The funding is part of the ITSP/TOM budget

6.

CONSIDERATIONS / OPTIONS APPRAISAL

A number of other routes to market have been considered. These are: 

Direct to Market – OJEU – as above threshold. More suppliers would potentially be bidding which makes the response assessment resource hungry internally. Potentially there would be less cost of the product

PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Page 4 of 8

although intermediaries are likely to tender via this route too which could add to the overall cost. This is deemed laborious and time consuming a route to market, and more importantly, the required deployment timescales would be far exceeded. 

Frameworks such as GCat/GCloud cannot be used due to restrictions around the contract award being longer than 2 years or for the necessity to award to that framework directly to a single supplier.

 Crown Commercial Services (CCS) – a competitive tender via framework services. This route is less resource hungry internally, with competition drawn from a limited number of suppliers. Intermediaries may also bid which may add cost (informal discussions with suppliers indicate these are absorbed by vendor and not passed to GMP). This route is considered to be the fastest route to market and has been used successfully by colleagues at the Home Office for ITSM tool procurement. The project suggests using CCS and RM1042 Corporate Software Solutions (Lot 4 ) which appears to be the closest fit. RM1054 / Lot 2 could be an alternate option but it is expected that this Lot will be expired in August 2016.

7.

MARKET CONDITIONS

By using the CCS route to market, the timescales of the transformation project to replace the ITSM tool can be realised, although there will be on-going configuration activities. It is imperative that the new tool is in place well before end of December 2016 as support for the current ITSM tool ceases in February 2017. A number of researching initiatives have taken place to identify and gauge the calibre of ITSM tool in the marketplace required for IS Branch. The initiatives stem from online demonstrations to attending ITSM events. These solutions can be sourced via the CCS framework. Key suppliers are felt to be LANDesk, Cherwell, ServiceNow, HP, CA, Alemba and several others. Evaluation of bids will include an assessment of business and strategic fit and independent industry best practice assessment evaluations. PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Page 5 of 8

8.

STRATEGY

GMP

Framework

Quotation or select list tender

No

Open tender

No

Restricted tender

No

Direct Award

No

Further Competition

Yes

The proposed solution is a complex, feature-rich application and the specification of the solution is based on a number of factors: IT Service Management methodology, industry best practice, specific departmental requirements in support of the TOM, licensing models, interoperability, customisability, supplier integration, and the end user experience / look and feel Vendors will be assessed against a scoring mechanism.

9.

SAVINGS AND BENEFITS 

The new IS TOM has assumed the successful achievement of the efficiency benefits of a new Service Management tool in the design of the new structure and as part of the current FTE reductions



The new Service Management tool will underpin IS TOM by enabling Service Integration and Management (SIAM) – SIAM will allow GMP to manage the supplier ecosystem of service providers in a consistent and efficient way by direct integration, making sure that performance across a portfolio of multisourced goods and services meets the organisation needs

10. RISKS The table below outlines the typical anticipated and understood risks from this procurement.

No.

Description

Impact Description

1

Approval to procure not

GMP will be unable to manage the functional,

PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Impact H/M/L H

Prob H/M/L L

Mitigation Ensure procurement is approved and appropriately authorised

Page 6 of 8

received

operational and processes to support the ISTP/TOM

2

Timescale

Current tool will require contract renewal if replacement not procured and implemented by end of February 2017

H

M

Ensure fastest procurement route is used and formal project management of implementation

3

Costs

Costs of the product exceed indicative costs in TOM FBC

H

M

Ensure that if tender responses far exceed predicted cost this is escalated as soon as possible

11. DOCUMENT TRACKING Date

Issued to

Issued by



PGG / PCC



Amendment made

12. AUTHORISATION To be completed by the PGG/PCC: Approval

Status

PGG

Approved / Rejected

PCC

Not Applicable / Approved / Rejected

Date

Comments and further Instructions

Print name………………………………………………………………. PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Page 7 of 8

Signature …………………………………………………………………

PGG June 2016 Last amended on 17 June 2016 at 1:19 PM Amended by Shona Whittle

Page 8 of 8