Award

Business World Cloud, Support & Maintenance Contract 24

LONDON BOROUGH OF EALING COUNCIL

This public procurement record has 1 release in its history.

Award

04 Dec 2024 at 11:37

Summary of the contracting process

The London Borough of Ealing Council has awarded a contract titled "Business World Cloud, Support & Maintenance Contract 24" to Unit 4 Business Software Limited for financial systems software development services. This contract extension will run for a minimum of four years and involves migrating the Council's existing on-premise Unit 4 ERP and Financial Planning & Analysis applications to a cloud-based solution. The contract, awarded through a negotiated procedure without prior publication, aims to ensure continuous support and maintenance during this transitional period. The key dates include the decision to proceed made on 12 January 2024, with the contract formally signed on 02 December 2024. This essential IT infrastructure will be supported to align with London Borough of Ealing Council's financial management needs, located in London.

This tender presents a significant opportunity for businesses specialising in IT services, particularly those experienced in the implementation and support of cloud-based ERP systems. Companies with expertise in financial systems software development may find this contract beneficial for long-term partnerships and showcasing capabilities in managing complex IT transitions. Unit 4 Business Software Limited's involvement underlines the critical nature of technical continuity and urgency, signalling potential for consultancy roles, software integration tasks, and long-term maintenance contracts. Businesses capable of navigating the intricacies of large-scale software migrations will be well-suited to compete in similar future reprocurements.

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Notice Title

Business World Cloud, Support & Maintenance Contract 24

Notice Description

The Council of London Borough of Ealing intends to restate contract with Unit4 covering the services described below. The proposed contract term is a minimum of 4 Years., Unit 4 Business World Enterprise Resource Planning (ERP) and Financial Planning & Analysis (FP & A) applications is the system used by the Ccouncil for the management of its finances. The application is essential IT infrastructure, it provides accounting functionality which enables budget allocation and management across the whole council. The Council of London Borough of Ealing was forced to extend the contract term due to the decision of Unit 4 Business World Enterprise Resource Planning (ERP) and Financial Planning & Analysis (FP & A) the provider to migrate the existing on-premise application to the Cloud. The Council is planning to commence a new procurement process as soon as possible to reprocure the services. Because of the migration of the current service to the cloud, the time required for a new procurement process and the time to migrate to an alternative service provider the Council is estimates that it will need circa four years to install a new Service/||Provider.

Lot Information

Lot 1

This is an extension of the term of an existing contract/restatement of an existing contract pending its re-procurement.

Procurement Information

nit 4 Business World Enterprise Resource Planning (ERP) application is the system used by the Council for the management of its finances. The application is essential IT infrastructure as it provides accounting functionality which enables budget allocation and management across the whole Council. Originally, the Council purchased a core software site license for unlimited users in perpetuity. Subsequently in 2022 added Unit 4's FP&A under the current then contractual arrangements. It currently pays for annual support and maintenance of the software multiple applications, which the Council spent significant time and money to tailor to its requirements and make it fully inter-operational to meet its daily needs. In October 2023, Unit 4 informed the Council that it would provide only SaaS solutions, a cloud-based platform, going forward and that with effect from 31 December 2024, the on-premise solution of the software would no longer be supported or maintained.<br/>On 12 January 2024, the council's Finance Applications Strategy Board decided that it did not have the time to re-procure the service solution within the set time limits and in order to secure continuity of the services solution to proceed with migration to Unit 4 SaaS solution and to make a direct award to Unit 4, provided that this was compliant with the Public Contract Regulations 2015.<br/>The proposed award is for a term of circa - 4 years to enable the Council to go back to the market and re-procure a service solution. Legal advice confirms that the proposed award is lawful in accordance with the Public Contract Regulations 2015 (i) regulation 32(2)(b)(ii), because competition is absent for technical reasons. The following details the justification for the decision to award the contract without prior call for competition: Unit 4 timing of announcements regarding the hosting of software solution, coupled with a 12-month timeframe to switch solutions, created a lot of pressure on the Council leaving little choice to test the market and change solutions to an alternative provider. The system is an essential part of the councils IT infrastructure, any delay in procuring a new provider or in migrating to a new software solution will have a detrimental effect on the running of the council's services. Unit 4 have imposed the switch on the Council giving the council very short notice and aims to gradually withdrawn support for the on-premises solution. It will not be possible for the application and the data to be hosted on premise in the future due to the non-availability of support for third party hosting. The Council could not have foreseen these events, and no other economic provider would be able to provide this service within the timeframe required by the Council. At the present time it would be impossible for the Council to procure and implement an alternative economic operator to provide this service within the timeframe imposed on it by Unit 4. Migration to the new cloud-based platform will take up to 3 years, Unit 4 would support the existing infrastructure during the migration to the Cloud but would not provide support during a transition to a new supplier post December 2024, which would make the transfer of the system to a new provider difficult given the essential nature of the finance applications. This is because, Unit 4 Business World Enterprise Resource Planning (ERP) and Financial Planning & Analysis (FP & A) will no longer support the current on-premises software beyond December 2024 and the Council risks a non-supported financial system. The council has spent PS2m via external consultants to make bespoke changes to the Unit4 ERP application. There are over 100 bespoke processes/applications which would need to be addressed as part of the procurement of a new provider, which would need to be migrated to the new provider. . Therefore, the Council decided in light of the circumstances to accept the migration of the service to the Cloud and

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-04c21a
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/039033-2024
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Limited
Procurement Method Details
Negotiated without publication of a contract notice
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

72 - IT services: consulting, software development, Internet and support


CPV Codes

72212442 - Financial systems software development services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£1,071,148 £1M-£10M

Notice Dates

Publication Date
4 Dec 20241 years ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
2 Dec 20241 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Not Specified
Awards Status
Active
Contracts Status
Active

Contracting Authority (Buyer)

Main Buyer
LONDON BOROUGH OF EALING COUNCIL
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
LONDON
Postcode
W5 2HL
Post Town
West London
Country
England

Major Region (ITL 1)
TLI London
Basic Region (ITL 2)
TLI7 Outer London - West and North West
Small Region (ITL 3)
TLI73 Ealing
Delivery Location
TLI London

Local Authority
Ealing
Electoral Ward
Ealing Broadway
Westminster Constituency
Ealing Central and Acton

Supplier Information

Number of Suppliers
1
Supplier Name

UNIT 4 BUSINESS SOFTWARE

Further Information

Open Contracting Data Standard (OCDS)

View full OCDS Record for this contracting process

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The Open Contracting Data Standard (OCDS) is a framework designed to increase transparency and access to public procurement data in the public sector. It is widely used by governments and organisations worldwide to report on procurement processes and contracts.

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