The Fujitsu is one of the companies labeled as high-risk by government to alert all departments if a supplier has poorly performed. It has a number of contracts with the government and a public sector IT services operation that accounts for over half of its UK business. Base on a cabinet office spokesman the department cannot comment on the status of individual suppliers, however stressed that the government will not tolerate poor supplier performance. The government is improving its post-contract management capabilities and sharing information on supplier performance across government departments.
Cabinet Office spokesman added that the government is improving its post-contract management capabilities and sharing information on supplier performance across government departments. They want to strengthen their contract management by reporting on the suppliers’ performance against criteria and sharing the information across government. This means that the information on a supplier’s performance will be available and taken into consideration at the start of and during the procurement process. The suppliers with poor performance may therefore find it more difficult to secure new work with HMG.
In the announcement he said that the Fujitsu is now classified as high-risk is part of the strategy. The policy will include the identification of any high-risk suppliers so that the performance issues are properly taken into account before any new contracts are given. The high-risk classification is based on material performance concerns. The suppliers deemed high-risk will be subjected to particularly close scrutiny when awarding new work.
The government says that simple good business practice with the government emulating the private sector. However, it remain to be seen how much difference will it make in a sector where so many IT services contracts are dominated by few suppliers. The blacklisting will have little effect on extensions or changes in scope if contracts are already in place.
The fujitsu are not as down as a result of this as people would expect. The fujitsu is winning government contracts through extensions and relationships they have with other suppliers. The fujitsu is part of the Aspire contact as a subcontractor to the HMRC and the Atlas consortium of suppliers to the MoD.
The spokesman of the Cabinet Office stated that he believed that the government is getting tougher through the Cabinet Office. It is being much more deciding factor than ever before and this is the most centralized control of suppliers and contracts that he have seen in his life.
REFERENCE:
http://www.computerweekly.com/news/2240163364/Fujitsu-blacklisting-part-of-tighter-government-policy
