Finnish State Treasury builds extensive information system for the whole state administration with support from Logica
Finland begins with the implementation of an extensive internal information system for the whole of its state administration. The project is one of the largest information system projects within the public administration in Finland and will help the state to improve the handling of the financial and personnel administration. The aim is for one single system to manage the functionalities of the financial and personnel administration in all the government agencies. The State Treasury, which is responsible for the implementation of the project, and Logica, the winner of the procurement competition, signed the contract for the system delivery on 30 September 2008. The overall value of the four year project is approximately 50 million Euros with Logica’s share being approximately 25 million Euros.
According to the current plans, three pilot agencies will be the first to adopt the centralised system in 2010. The Ministry of Interior and all the agencies within its administrative branch will adopt the system in 2011. The project is then supposed to be extended to the rest of the state administration from 2012 until 2014. When the extension is fully implemented, the new information system on financial and personnel administration will cover all the state agencies (excluding universities), and will have approximately 90,000 end users which makes this project one of the largest information system projects within the public administration in Finland.
Mikko Kangaspunta, Head of Division at the State Treasury, explains: “At the moment, the units of the state administration are using financial and personnel information systems they have acquired themselves. We will develop a common information system solution and shared processes of working across all agencies and service centres with the objective of achieving significant savings in the long run.”
The State Treasury is responsible for the implementation and management of the centralised system and will continue so after the implementation has been completed.
The requirements of the state productivity programme
The procurement of a new information system was initiated as a result of the productivity programme of the state, which builds on the fact that approximately 40 per cent of the staff currently working at the financial and personnel administration will retire in the course of the next ten years. At the same time, the requirements regarding productivity of operations will remain high. Based on these factors, a common operations model for the financial and personnel administration within the whole state administration will be created. The system will cover all joint processes, concepts and information contents of the agencies and service centres.
Timo Laitinen, the Director General of the State Treasury, comments: “During the past years, we have increased the productivity of the financial and personnel administration of the state by establishing service centres, from which the state units purchase the management of core functions of the financial and personnel administration. The next step in the process of improving productivity and service capabilities is the development of this common information system solution.”
Logica enables the change
Logica, the leading IT and business services company, has been selected as the supplier of the system. Since the project is one of the most extensive information system projects within public administration in Finland, the success depends on a close co-operation between the different parties in the project, as well as on strong project and change management capabilities.
Heikki Nikku, CEO at Logica in Finland, comments: “Logica has a long and versatile experience of working together with different parts of the public sector. We have implemented many significant system projects with the State Treasury during the past years, and we are proud that we have been selected as a trusted partner for such an important project."
Logica’s system solution for this project is based on SAP technology and on Logica’s payroll administration software.
“We are in a very good position to implement this project as we are familiar with the specific characteristics of the accounting offices’ financial and personnel administration, and we are also the central supplier of the current systems", Kimmo Koivisto, Managing Director at Logica in Finland, emphasises. “We have comprehensive knowledge of implementing SAP solutions, and our international team of SAP experts is 3,300 persons strong. We will leverage our international expertise when implementing the system, and we will also make use of our capabilities and resources in lower-cost countries.
NOTES TO EDITORS
About the State Treasury of Finland
The State Treasury is a service bureau attending to the State corporation’s administration. Under the direction of the Ministry of Finance, it provides the administrative support services required jointly by the entire central government. It also directs the support processes of the bureaus and institutions and the development of these processes. In addition, the State Treasury is the State’s insurance institution, promoting risk management throughout the central government and offering statutory insurance services to all State units and the stipulated compensation services for war veterans and other beneficiaries. The State Treasury employs 650 people. www.statetreasury.fi
About Logica
Logica is a leading IT and business services company, employing 39,000 people across 36 countries. It provides business consulting, systems integration, and IT and business process outsourcing services. Logica works closely with its customers to release their potential - enabling change that increases their efficiency, accelerates growth and manages risk. It applies its deep industry knowledge, technical excellence and global delivery expertise to help its customers build leadership positions in their markets. Logica is listed on both the London Stock Exchange and Euronext (Amsterdam) (LSE: LOG; Euronext: LOG).
Press contacts
Director General Timo Laitinen, the State Treasury, phone +358 400 603 561
Head of Division Mikko Kangaspunta, the State Treasury, phone +358 50 584 9590
CEO Heikki Nikku, Logica Finland, phone + 358 400 500 782
Managing Director, Public Sector Kimmo Koivisto, Logica Finland, phone +358 400 407 001
Managing Director, SAP Business Tapio Volanen, phone +358 40 570 4775