Department for Transport IT Plans End Up Costing Tens Of Millions More

In a classic example of management going awfully wrong, the National Audit Office criticised the failure of the Department of Transport to execute plans to save money across the board by sharing IT services.

Instead of saving £57m as originally thought, the scheme is likely to cost the Department more than £80 million by 2015, due to poor management and the fact that the original figures were far too optimistic.

The report produced by the NAO cited some examples of how a poorly tested, unstable system could wreck havoc; staff were flagged as sick when they were actually at work while information generated was labelled as garbage.

The head of the NAO, Tim Burr, acknowledged that it was "disappointing to see a programme which aimed to improve the efficiency and effectiveness of a department leaving it on current projections some £80m worse off."

He added that "Departments need to be realistic about the challenges of implementing shared services and to manage suppliers effectively."