AUDIT COMMITTEE

MBOS (MANAGING BACK-OFFICE SUPPORT) SUBGROUP

9 May 2024

ATTENDEES:

Councillor Colin Swansborough

Councillor Gerard Fox

Councillor Matthew Beaver

OFFICERS IN ATTENDANCE:

Ros Parker, Chief Operating Officer

Ian Gutsell, Chief Finance Officer

John Davidson, MBOS Delivery Lead

Mark Winton, Audit Manager - Delivery

Sophie Webb, Interim Senior Governance and Democracy Officer

APOLOGIES:

None

1. VERBAL UPDATE from Chief Operating Officer

1.1       RP updated the subgroup following the independent review of the MBOS programme to confirm that there are no fundamental issues with the Oracle system and the review highlighted how implementation can be approached differently.

1.2       RP explained that stopping implementation to review, allowed for reduction in the cost of the programme, more time to speak with other authorities about similar implementation and renegotiation of terms with InfoSys from a milestone basis to a time/materials basis.

1.3       RP confirmed that during the programme pause and review, the existing SAP system was moved to cloud-based Microsoft Azure to mitigate risks of existing hardware failure.

2.         DISCUSSION with subgroup

2.1       The Subgroup discussed the following points:

· The time/materials-based approach and its impact on resources and delivery.

· Details around adopting the Oracle product rather than adapting the product to fit with existing processes.

· The main outcomes and recommendations from the independent review.

· The relaunch principles including the rebranding of the programme.

· The support required for the implementation across the organisation.

· The ongoing risks associated with the programme.

· The financial implications of the programme including the phased approach.

2.2       The Subgroup agreed to meet again in June for a further update.

AUDIT COMMITTEE

ORACLE IMPLEMENTATION (PREVIOUSLY MBOS) SUBGROUP

14 June 2024

ATTENDEES:

Councillor Colin Swansborough

Councillor Matthew Beaver

OFFICERS IN ATTENDANCE:

Ros Parker, Chief Operating Officer

Ian Gutsell, Chief Finance Officer

John Davidson, Oracle Implementation Delivery Lead

Mark Winton, Audit Manager - Delivery

Sophie Webb, Interim Senior Governance and Democracy Officer

APOLOGIES:

Councillor Gerard Fox

1. VERBAL UPDATE from Chief Operating Officer

1.1       RP updated the subgroup about the next steps for the Oracle Implementation Programme following the recommendations of the independent review.

1.2       RP noted that the pause and review has allowed for decisions to be made on the most effective route for implementation and gave an opportunity to learn from other authorities.

1.3       RP emphasised the relaunch principles for the programme.

1.4       RP highlighted the benefits of a phased implementation in terms of communication, engagement, technical support and financial pressures.

1.5       RP detailed the three different phases being:

Phase 1: Enterprise Performance Management is proposed to go live in quarter 3 of 2024/25.

Phase 2: Finance and HR could potentially go live late in 2024 pending some design decisions.

Phase 3: Payroll and Self-Service processes is proposed to go live in 2025.

1.6       RP highlighted some of the benefits of Oracle including the system being more intuitive to use and having built in AI capability.

1.7       RP noted the risks including continued confidence, financial risk, delivery and support, reputational risk and the risk of SAP going out of support in 2027.

2.         DISCUSSION with subgroup

2.1       The Subgroup discussed the following points:

· The programme budget and budget forecast for the programme.

· The perception of the programme.

· The vital nature of the programme and its importance in the continuation of public services.

· The involvement of internal audit to provide assurance during the phased implementation.