Originally Posted by
Uplinker
So, can anybody explain the proportions of IT costs, hardware, software, etc.?
If companies tendering for the IT contract cannot provide an explanation of costs, that would seem to be a problem right there - how can managers select the best tender if all they have to go on is one single number?
Surely there mist be a tendering process, with submissions including detailed plans and itemised costs?
Actually, almost the opposite.
if you ask ‘how much does a radar cost’ the answer is likely to be ‘what’s your budget?’. Moreover, if you say £XXm you can expect an invoice for £XXm, then half way through the project a ‘change order’ for £Xm for this, £Xm for that (because you didn’t say explicitly that you wanted monitors to track the aircraft on or logistic support or some such nonsense). (In reality it’s a bit more nuanced than that, but this is exactly the game the suppliers play, and also why you HAVE to be an intelligent customer’ (not just a ‘supply chain manager’ who chooses suppliers according to how much they wine and dine you).
And that’s (relatively easy) hardware, because a) you should know roughly what you need - or ask your ATCOs/engineers, and b) just talk to other ANSPs ‘on the circuit’ and ask what they’re paying.
They say ‘hardware’s hard’ (that means to make btw, not to buy), but software’s considerably harder. You can’t see it, really, you don’t know if it’s missing vital components like fallbacks (as has been the problem with this ANSP - and do you believe the salesman even when he says it does?!), and if you try to specify everything you’re back into the £Xm change request trap again, (even if you’ve only been ‘got’ because systems have updated, names have changed, or new functionality has to be covered etc).
Grim, isn’t it?
Especially when you hear that some of the big players have backed out of the market (not enough customers and deals take too long), and when you get into DD it sometimes seems like each supplier is as bad as each other.
The only one route out is to have trusted advisers and suppliers, often operating on semi open book/agreed margin bases. But if you have (incompetent) buyers you can’t trust you’ll get (and deserve!) suppliers you can’t trust, and that is where we are. And btw, don’t believe all the nonsense about everyone struggling on both sides at the top end of this market - take a look at their cars (yachts and mansion houses!), no one wants to break up this cosy little arrangement.