Isn’t it odd that so many of the suppliers to NPfIT have troublesome financial records?
Firstly there is CSC which a year or so ago had trouble getting approval from the US financial authorities when closing its books, or it couldn’t actually close the books in time. Then there is iSoft which had an investigation into accounting irregularities in the UK two years ago. Note: iSoft is now owned by IBA Health of Australia and their shares have underperformed vs peers. IBA Health has also suspended dividend payments. Finally there is Allco in Australia, which owns 35% of IBA Health Group and they cannot get approval from the Australian financial authorities to divest a subsidiary. Also Allco’s shares have underperformed from some strange reason. Then there is BT that is losing its shirt, and mine, on Global Services.
Check these sites for more details:- http://www.capital-chronicle.com/2008/03/aussie-regulators-on-ball-as-always.html and http://www.healthtechwire.com/Projour-Singleview.206+M5d7e8fe4389.0.html
What’s going on with these companies? Is it the curse of NHS?
Something else to consider about NPfIT; With the exception of BT the entire programme appears to be being developed, and operated by foreign companies using mainly foreign labour and foreign software. This means the bulk of the £18bln will find its way into the profits of CSC and EDS – both based in the US. Accenture who cannily pulled out before their losses got too high – based in the US. Fujitsu – based in Japan. HP and IBM based in the US. Cap Gemini – based in France. IBA Health based in Australia. Microsoft/VMWare and the majority of the other operating system suppliers – based in the US. Indian sub-contract staff, 10’s of 1,000’s of them – based in India. No Buy British here then!
One assumes Prime Minister Brown and his Cabinet are satisfied with this result. Perhaps it is part of the master plan to help ‘Save The Global Economy’?