IBM chosen for $100 million ERP job at Interior

The Interior Department has chosen IBM Corp. to take over as systems integrator on the Financial and Business Management System project that is designed to replace a hodgepodge of financial and administrative apps with a single enterprise resource planning system.

"The contract has been awarded and performance has begun on the first task order," said Debra Sonderman, Interior's director of acquisition and property management. "This first task order is for detailed project planning and will culminate in an integrated baseline review."

Sonderman said the baseline review would ensure that all project tasks have been identified, that resources have been assigned to the tasks and that the project schedule is achievable.

She confirmed statements by industry sources that IBM likely would receive about $100 million for the project over six years, under a one-year contract with five option years.

"We have been continuing to move forward [with FBMS development] while we were conducting the procurement," Sonderman said, in a reference to the fact that Interior terminated former integrator BearingPoint of McLean Va. from the project last year.

BearingPoint had been working to install enterprise resource planning software from SAP America Inc. of Newton Square, Pa. at Interior. The department continued its relationship with SAP after jettisoning BearingPoint from the project.

After firing BearingPoint and requesting proposals from integrators to take over the work, Interior received proposals from IBM and Accenture.

FBMS is intended to eventually carry out a broad array of financial and administrative functions, including:
  • budget formulation

  • budget execution

  • core financials

  • personal, real, and fleet property

  • acquisition

  • travel

  • Financial Assistance

  • Enterprise Management Information.


FBMS is intended to replace an existing array of systems that are "expensive, complicated, and difficult to operate and maintain" as well as hard to secure, according to the project's Web site.

IBM has about 319,000 employees and annual sales of $96.5 billion in fiscal 2004. Big Blue ranks No. 14 on Washington Technology's 2005 Top 100 list of federal prime contractors.

Wilson P. Dizard III is a staff writer for Washington Technology's sister publication, Government Computer News.

Reader Comments

Please post your comments here. Comments are moderated, so they may not appear immediately after submitting. We will not post comments that we consider abusive or off-topic.

Please type the letters/numbers you see above

What is your e-mail address?

My e-mail address is:

Do you have a password?

Forgot your password? Click here
close

Trending

  • Dive into our Contract Award database

    In an exclusive for WT Insider members, we are collecting all of the contract awards we cover into a database that you can sort by contractor, agency, value and other parameters. You can also download it into a spreadsheet. Our databases track awards back to 2013. Read More

  • Navigating the trends and issues of 2016 Nick Wakeman

    In our latest WT Insider Report, we pull together our best advice, insights and reporting on the trends and issues that will shape the market in 2016 and beyond. Read More

contracts DB

Washington Technology Daily

Sign up for our newsletter.

I agree to this site's Privacy Policy.