Hawaii officially releases RFP for ERP system

As expected, Hawaii issued a request for proposal on Wednesday for an enterprise resource planning system that will integrate the state’s financial and human resources management systems.

“The implementation of the ERP system is one of the top initiatives in our state’s Business and Information Technology Transformation Plan, unveiled and launched last year,” Gov. Neil Abercrombie said. “The ERP system will dramatically improve the way government conducts its business by reducing labor-intensive, paper-based processes, eliminating the need for duplication of efforts, and allowing state workers to provide improved services to taxpayers faster, more efficiently, and at a reduced cost.”

Hawaii Chief Information Officer Sonny Bhagwalia developed the strategic plan Abercrombie referenced when he came to the state two years ago.

The plan outlines the next decade when it comes to implementing information technology reform.

That plan was funded by the Technology Transformation Fund of the Hawai‘i Community Foundation and the state legislature, which allocated tens of millions of dollars to the office to bring the state’s systems up to date.

One part of the plan was an ERP system that would focus on areas like financial management, acquisition management, asset management, grants management, human resource management, payroll and time and attendance.

“The expectation of the new system will be to provide accurate and near-real time financial, personnel and acquisition data, so the state can optimize its resources and make better-informed decisions for budgeting, fiscal planning and policy making,” said Kalbert Young, the state’s finance director. “Over the past few decades, the state has made a relatively minimal investment in its core business systems and the supporting technology. With an ERP system, we will have contemporary data and tools to support decisions based on statewide business benefits.”

The state’s Business and Information Technology Transformation Plan, developed by the Office of Information Management and Technology, also calls for consolidating more than 750 fragmented legacy systems into fewer, integrated, enterprise-wide solutions that facilitate improved information sharing. Full-implementation of the ERP system will occur over a five-year period.

“The state must invest in replacing existing systems that have been used beyond their intended life-cycle,” Bhagowalia added. “By implementing modern, integrated technologies related to ERP, the state would achieve operational efficiencies through automation and eliminate more than 120 existing systems.  We applaud the dedication and professionalism of state workers at various levels who have been involved with this initiative to streamline work processes in order to improve the way services are delivered to taxpayers.”

Randy Baldemor, the state’s deputy chief information officer, discussed the RFP in an interview with StateScoop last month.

“It has the possibility to be pretty impactful in scope,” Baldemor said. “We believe it will significantly improve operations and services, replacing at least 120 IT systems we currently have in place.”

Baldemor said the CIO’s office, the Office of Information Management and Technology, spent the past several months working with executive departments to design and plan the ERP system.

Written submittals are due no later than Dec. 3, 2013, at 2 p.m. HST in the manner described in the RFP.

To participate in the ERP RFP process, vendors must register to use the Hawaii State eProcurement system. Registration information is available at the State Procurement Office website at hawaii.gov/spo.