Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to implement the guidance set out by the Government Commercial Function in its paper entitled Exiting Major IT Contracts: Guidance for Departments, published in November 2017, in respect of (a) using market engagement, (b) setting up disaggregation work, (c) risk assessment, (d) developing a programme plan through the transition, (e) identifying the skills and capabilities that will be needed in the future and (f) any other work related to that guidance.

The Department for Business, Energy and Industrial Strategy is embarked upon an ambitious transformation programme (Cirrus) for its technology. Cirrus covers the transition of up to 5,500 users from a variety of former departmental (Department for Business, Innovation and Skills, and Department of Energy and Climate Change) systems to a common technology structure. Cirrus will see the design of a new operating model and the procurement and commissioning of replacement services. This involves exit from approximately 50 contracts and move to new arrangements with approximately 100 smaller contracts and some in-house provision by 31 May 2018.

The Government Commercial Function guidance paper arrived subsequent to the commencement of Cirrus planning, some of the principles contains within it are already well established in the Department.

a) Market engagement – supplier days are held routinely pre-procurement to help shape requirements, ensure they are attractive to the market and are deliverable;

b) Setting up disaggregation of work – lotting strategies are applied to disaggregate larger contracts and to open up opportunities to small businesses;

c) Risk assessment – the department continues to develop its understanding and management of commercial risks as measured against the Government Commercial Operating Standards. In the case of Cirrus these risks are mitigated through the early involvement of the GDS and Cabinet Office complex transactions team in the programme together with the formation of a commercial strategy working group;

d) Developing a programme plan through transition – The Cabinet Office complex transactions team has produced a plan for Cirrus which mapped the current contract landscape to the future state to support transition planning;

e) Identifying the skills and capabilities that will be needed in the future - The Cabinet Office complex transactions team also made recommendations on the contract management resources required to manage Cirrus contacts. Recruitment of this resource will commence in January;

f) Any other work related to that guidance – A new contract management strategy is currently being implemented in the department. The GCF guidance will be incorporated into this strategy for major IT contracts.