Datacom scores $242 million Department of Health contract

Health department signs "outcomes as-a-service" contract

Datacom has signed a five-year contract with the Department of Health. Under the $242 million contract, which replaces existing agreements the department had with IBM and Accenture, Datacom will provide ICT infrastructure and support services.

The department approached the market in May last year with the view of signing a non-traditional IT outsourcing contract.

"This new agreement is structured to provide an outcomes-based fully managed service, with consumption-based pricing, and a strong focus on service delivery," a statement from the department said.

"This approach empowers Datacom to determine the best way to deliver the services, offering autonomy but also responsibility for the achievement of the outcomes."

The department's ICT services contracts with IBM Australia and Accenture expire at the end of June.

"We’re delighted to have been awarded this work after going through a fiercely competitive process and an extensive follow up to ensure a support model that met the needs of the Department of Health," Datacom Group CEO Jonathan Ladd said.

"This new partnership model, with Datacom delivering agreed outcomes as-a-service, demonstrates leadership and a service delivery evolution by the Department of Health.

"Securing the Department of Health appointment recognises our significant track record, of public sector delivery, advanced technical capabilities and our long term commitment to the federal government market."

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