Army turns to OTA to revamp its ERP systems

The Army is consolidating its enterprise resource planning systems andusing Other Transaction Authority methods to run the competition.

Accenture, IBM and Groundswell will each build a prototype over the next year under an agreement worth $7.5 million as part of the Army’s Enterprise Business Systems Convergence program.

The Army wants to more seamlessly share information between systems and needs to transform how it does business in order to do that, according to solicitation documents.

The company that ultimately wins the competition will be tasked with revamping the Army’s business systems, including re-engineering a wide range of processes.

If all goes according to plan, the Army will pick a branch winner next year that will build an Army-wide ERP system of systems. The contract will run for eight years through 2032. The Army hasn’t named a price yet for the project, but it will likely be a large contract given the ultimate size and scope.

The converged ERP system will be built on SAP’s software because that is what the Army has in place now. The companies will host their prototypes in the Army's Enterprise Cloud Environment.

Functions involved in this modernization effort include force planning, force readiness, procurement, financial operations, and human resources. Goals include lowering the total cost of ownership, improving readiness, and having access to accurate and timely data. The Army also wants to improve the overall user experience.

Some of the systems involved include the Army Contract Writing System, the Integrated Personnel and Pay System-Army, and the Accession Information Environment – Recruiting. The Army refers to them as "enduring systems."

IBM, Accenture and Groundswell have been competing for the OTA since the beginning of 2023. They have submitted white papers and conducted oral presentations and technology demonstrations.

Once the prototype phase is completed, the Army will enter into a product contract with a single company that will receive an eight-year contract.