Talent2 signs Queensland government outsourcing contract

IT services provider, Talent2 International (ASX: TWO), has entered the government space by signing a three-year Managed Service Program (MSP) deal with the Queensland government.

The contract, which could be extended beyond three years, means the company will implement the MSP across 13 Queensland government agencies including the Victorian Department of Health.

This program will cover the procurement and performance management of all ICT contractors and suppliers that provide services to the state government.

Talent2 chief executive, John Rawlinson, said the Queensland government plans to choose a couple of agencies as pilots and then eventually roll the MPS out to the remaining 11 agencies.

“All of the agencies compete for resources and talent so it doesn’t make sense if one department is disadvantaged over another,” Rawlinson said.

“The MSP could also extend to cover other government businesses that aren’t covered by this contract. If the program is offering effectiveness and cost savings than I’m sure that it will be expanded.”

Rawlinson said a number of private and public sector organisations were exploring MSP and he hinted that the company would look to compete for more state government tenders in the future.

“MSP is going to be something that all big users of contractors will be looking at because it gives organisations measurement of data,” Rawlinson said. “For example, they can see how much contractors are getting paid and if they are paying the right taxes."

Follow Hamish Barwick on Twitter: @HamishBarwick

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Copyright © 2012 IDG Communications, Inc.

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