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IBM denies blame for Bungled $40M Payroll System

CuteSteveJobs (1343851) writes | more than 4 years ago


CuteSteveJobs (1343851) writes "IBM has refused to take responsibility for a bungled $40 Million payroll system that didn't work. IBM was system integrator of the off-the-shelf SAP Payroll system customised by CorpTech; the Queensland Government's oft-criticised IT department. The project could set a record as the worst IT project ever. Since its introduction three pay cycles ago, the new system has been underpaying 75,000 staff with doctors and nurses shortchanged thousands of dollars and many receiving nothing at all. The system is expected take several more months to fix. Incredibly, the existing payroll system which worked fine wasn't kept as a backup.

Queensland Health Management suggested unpaid workers turn to charity, and in an e-mail offered free coffee as compensation (later retracted to just one cup, and not large, and hazelenut is extra!) To add insult to injury on the day of the first run when problems were apparent, management celebrated with a roof-top party at department's expense. A year ago IT Minister Robert Schwarten boasted the new payroll system was most complicated system ever seen in Australia. Health Minister Paul Lucas was warned nine months ago the system was headed for disaster, but claims not to have read the memo until last week. Is this the most bungled IT installation of all time? Surely a payroll system would be thoroughly tested? How did it ever get signed off? How could a payroll system cost $40M anyway? How can IBM and SAP justify those sort of fees? Now KPMG will profit from cleaning up the mess."

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