17.3  Step 2: Determining future asset and service requirements

Determining future asset and service requirements should occur within the Investment lifecycle and high value - high risk guidance framework, as well as any other applicable departmental guidelines. This framework has five phases:

1.  conceptualise (prepare a strategic assessment or preliminary business case to confirm the business need);

2.  prove (prepare a business case and recommend an investment);

3.  procure (undertake a procurement process and award a contract);

4.  implement (deliver the solution); and

5.  realise (deliver the benefits and measure the success of the investment).

The first two phases - conceptualise and prove - need to be undertaken and submitted to government for approval and funding before formal action can begin to procure an agreed solution based on ongoing service provision., 

In the event that the government party decides to discontinue the service there is no requirement for any government approval or additional funding for the end of term arrangements. However the government party will remain responsible for either disposal or decommissioning of the existing project assets and ensuring an orderly exit from the service contract.

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