Treasury Should Look at the Capacity of SITA in Rolling out IFMS 2

Parliament´┐Ż The Standing Committee on Public Accounts (Scopa) has underlined the risk factor in entrusting project management in rolling out the Integrated Financial Management System (IFMS) to the State Information Technology Agency (Sita). The National Treasury today briefed Scopa on the progress in dealing with challenges that the committee raised on IFMS 1.

The committee commends the current efforts by the National Treasury in dealing with challenges experienced during phase 1 of IFMS. But the risk factor is high if Sita is to be entrusted with the project management responsibility of such a huge project, especially in light of the current challenges the entity is facing, said Mr Themba Godi, the Chairperson of the committee.

While the committee is cognisant of the statutory responsibility of Sita in relation to information technology for the state, the likelihood is that the programme might not be cost-effective, especially in light of the R1.6 billion already spent on the project.

The committee has resolved to invite the Department of Public Service and Administration as well as the State Information Technology Agency to address the issue of risk so that the challenges that emanated in Phase 1 are avoided. The committee remains of the view that the IFMS has the potential to resolving some of the financial management issues that are currently affecting the public service in general.

Regarding intervention since the Scopa initial meeting, the committee welcomes the appointment of a service provider to conduct a forensic investigation into the project management office of the IFMS. The committee is looking forward to receiving the report and ensuring accountability.

Furthermore, the committee welcomes information that the National Treasury is currently undertaking a process to capacitate its own project management unit, which will come in handy in dealing with challenges raised in relation to Sita. Despite this, the committee has called for the speedy finalisation of the process and has highlighted the importance of hiring a capable individual to run the project.

Source: Parliament of the Republic of South Africa

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