Infosys secures additional $ 71 million for work on Centrelink compute engine – Strategy – Software

Infosys raised an additional $ 71.6 million for its work on the country’s new Centrelink payment engine after the initial 14-month construction phase ended last year.

The contract, released publicly at the end of last month, brings the total value of the overhaul to at least $ 135.4 million since the outsourcing giant beat IBM and Accenture for the original framework deal.

Infosys has been developing the Pegasystems-based Entitlement Calculation Engine (ECE) solution since November 2019, when it landed an initial $ 18.4 million contract for the proof of design work.

The JIT will replace an existing solution integrated into Centrelink’s legacy Integrated Income Security System (ISIS) used to determine welfare recipient eligibility and amount payable.

This is the latest part of Centrelink’s long-running payments overhaul known as the Social Assistance Payments Infrastructure Transformation Program (WPIT), which will officially end at the end of this year. exercise.

A spokesperson for Services Australia said the new contract covers “the program increment (PI) -1, the initial delivery phase, which is the next phase of the ECE project”, following a 42 million contract. of dollars last year.

Services Australia renegotiated the framework agreement with Infosys last year to adopt a more phased delivery model that would allow for closer planning and monitoring of the construction phase.

“In this increment, Infosys will provide additional resources, training and support to Services Australia,” the spokesperson said.

The contract covers a 45-week period between November 2021 and September 2022, which means Infosys will be paid almost $ 1.6 million per week – or roughly $ 6.4 million per month – for the work.

Services Australia has not wanted to say how many contractors are working on the project or disclose the total cost of construction to date, saying only that “spending remains in line with original budget estimates.”

The contract for the initial delivery phase comes just months after Infosys completed the first phase of construction in September 2021.

Construction officially began in July 2020 after a seven-month proof of design that involved reinventing the existing solution and decoupling business rules from ISIS.

As current CIO Charles McHardie revealed in October 2021, Infosys has proven that the Pega-based ECE can work in a non-production environment and scale.

He said Services Australia welcomed the work of planning and preparing for the next phase of construction and expected this step to be completed by mid-2022.

“Once this phase is completed, approximately half of the expenses of the Centrelink program will then be calculated in the new calculation engine of the rights”, he said at the time.

“This will build reusable technology capacity across government.

“This will allow ECE to undertake a rule simulation to better inform the budgetary costs and the service delivery aspect of future policy changes.”

In addition to the new $ 71.6 million contract, Infosys has entered into three other work orders to date, valued at $ 63.8 million.

The company also landed a $ 37.3 million contract in February 2021 to reuse the ECE solution across Services Australia.

Maria D. Ervin