Source · Select Committees · Public Accounts Committee
Recommendation 24
24
Not Addressed
HMPPS told us it had learnt lessons from its transformation programme and was applying these...
Conclusion
HMPPS told us it had learnt lessons from its transformation programme and was applying these to its re-procurement of its contracts to deliver tagging services. In addition to pursuing off-the-shelf systems, it told us that it had decided to limit the number of suppliers in its new model to two. As part of the new model, one supplier will provide field and monitoring services while the other will provide tags and other hardware.44 The Ministry told us that it considered whether it should contract with a single supplier, but believed this would concentrate the market too much. It recognised that, by definition, having two suppliers introduces some element of complexity.45 HMPPS hopes to mitigate future integration risks by: • ensuring potential suppliers demonstrate they have proven technology in place; and • taking a phased approach to confirming future system requirements. It believed suppliers will be able to integrate their systems in six months, but this remains untested at this early stage of the procurement.46
Government Response Summary
The government agrees with the Committee’s recommendation and provides general risk management and procurement processes for the electronic monitoring contracts but does not address the substance of the recommendation.
Government Response
Not Addressed
HM Government
Not Addressed
6.1 The government agrees with the Committee’s recommendation. Target implementation date: August 2023 6.2 Project risks are managed in accordance with the EM Portfolio Risk Management Strategy (RMS). The RMS is based on the department’s policy on risk management and has been drafted in accordance with the principles outlined within the HM Treasury ‘Orange Book’ on the Management of Risk – Principles and Concepts. 6.3 The procurement of new contracts is being run in compliance with the government standard, The Sourcing Playbook (last updated May 2021). 6.4 Once new contracts have been awarded (in summer 2023) suppliers will be managed by the EM contract management team, who have been involved in the design and procurement of the future service as key stakeholders. The contract management team have worked with the wider EM Future Service team to: • embed market insight and wider EM lessons learned into the design of the service; • advise on, and support the development of the future service performance regime and collaboration approach; and • advise, and support the articulation of the integrator role and the detailed definition of the roles and responsibilities of the two new suppliers, as well as that of the agency, in the Future Service design. 6.5 This knowledge and understanding will enable the team to effectively manage the new contracts from the outset. 6.6 The agency will write to the committee in August 2023, once new contracts have been awarded.