4.11 The Aspire Replacement Programme will need strong leadership, capable people, strategic clarity, organisational support and sufficient funding. HMRC understands these needs but has not adequately quantified the resources needed to meet them. It has allocated initial funding for the first two years of the programme of £5 million in 2014-15 and £25 million in 2015-16. However, it cannot be confident that this will provide the required legal, commercial and technical capabilities for the new model. HMRC told us that the allocated resources are only a starting point and that it intends to use efficiency savings to further fund the programme.
4.12 We have analysed HMRC's experiences with Aspire over the past ten years and highlight several conditions for the programme's success (Figure 13 overleaf). We have grouped these conditions according to:
• the first three Aspire Replacement Programme phases; and
• the five main categories of lessons learned that we drew out in our report on the original Aspire competition.24
4.13 We consider these conditions to be necessary but not sufficient. The key priorities are:
• working closely with HMRC's wider business so the new ICT and digital strategy serves customers and business users and maximises the benefits to HMRC;
• developing the capability to implement the new operating model;
• aligning the new operating model for technology with HMRC's risk appetite, ICT architecture and proposed commercial models;
• having full control over the management of ICT operational performance; and
• actively managing the risk of failing to complete the programme, and adjusting the model if it does not meet these conditions.
Figure 13 | |||
| Phase One | Phase Two | Phase Three |
Align new sourcing strategy with business need | IT strategy shows clear means to achieve digital/other business objectives IT operating model endorsed by HMRC and centre of government Outline business case and sourcing strategy endorsed by HMRC and centre of government |
|
|
Prepare for the end of the existing contract | HMRC business case to recruit and procure necessary technical and commercial skills is approved | HMRC has a clear procurement approach which sets out the sequence and interdependencies of procurement actions HMRC has a detailed financial model for new IT supply which is approved by HMRC leaders and centre of government |
|
Maintain service delivery | HMRC service management assumes direct responsibility for performance management of operational systems HMRC has sufficient capacity and capability for increased role in service management | Transitional arrangements are mapped and agreed, including with incumbent suppliers Baseline performance information is known and expected new performance levels are agreed |
|
Create competition | Procurement approach developed and designed to attract market participation Senior commercial capability is in place to lead the approach, providing credibility and authority | Sufficient procurement, legal and technical capability and capacity are in place | Long-term procurement, technical and contract management capability is established |
Manage the transition | Overall programme funding secured | An approach exists for projects spanning the transition period A comprehensive risk management approach is agreed, with viable contingency plans Staffing plans for transition and longer term are developed | HMRC team for early operational stages is established Approach to surplus staff (HMRC and suppliers) determined |
Note 1 Conditions are those that we consider necessary for success but not sufficient to guarantee success. Source: National Audit Office | |||
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24 Comptroller and Auditor General, HM Revenue & Customs: ASPIRE – the re-competition of outsourced IT services, Session 2005-06, HC 938, National Audit Office, July 2006.