Extension to Contract for the Provision of SAP Managed Services to the HSE

The HSE intends to award an extension of a contract in place with IBM Ireland Limited for the provision of SAP Managed Services. Key HSE business critical systems that are delivered via a current contract include national SAP HR & Payroll System (NiSRP) and the national SAP Integrated Financial Management …

CPV: 71356300 Usługi wsparcia technicznego, 72000000 Usługi informatyczne: konsultacyjne, opracowywania oprogramowania, internetowe i wsparcia, 72253200 Usługi w zakresie wsparcia systemu, 72200000 Usługi doradcze w zakresie programowania oprogramowania, 72250000 Usługi w zakresie konserwacji i wsparcia systemów
Miejsce wykonania:
Extension to Contract for the Provision of SAP Managed Services to the HSE
Miejsce udzielenia zamówienia:
Health Service Executive (HSE)
Numer nagrody:
HSE 23209

1. Buyer

1.1 Buyer

Official name : Health Service Executive (HSE)
Legal type of the buyer : Body governed by public law
Activity of the contracting authority : Health

2. Procedure

2.1 Procedure

Title : Extension to Contract for the Provision of SAP Managed Services to the HSE
Description : The HSE intends to award an extension of a contract in place with IBM Ireland Limited for the provision of SAP Managed Services. Key HSE business critical systems that are delivered via a current contract include national SAP HR & Payroll System (NiSRP) and the national SAP Integrated Financial Management and Procurement System (IFMS). The HSE seeks to extend the existing contract in place with IBM Ireland Limited for the provision of SAP Managed Services and Hosting. The current contract commenced in September 2017, it was procured through a tender process with the Office of Government Procurement, and a 7-year contract was awarded which expired in September 2024. There is currently a short term extension in place with a proposal for a 3-year contract extension to September 2027. The HSE has a significant SAP estate with over 150 SAP Systems using over 40 SAP Products covering HR, Payroll, Finance, Procurement, BW and Self-Service products, with over 80 interfaces supported. These systems are supported via the current SAP Managed Service & Hosting contract with IBM Ireland Limited. The current SAP Managed Service & Hosting contract contract provides end-to-end managed services for the SAP environment within the HSE.
Procedure identifier : 56b187dc-39a2-4d58-81dc-b9bd37cf3f3d
Internal identifier : HSE 23209
Type of procedure : Negotiated without prior call for competition

2.1.1 Purpose

Main nature of the contract : Services
Additional nature of the contract : Supplies
Main classification ( cpv ): 72000000 IT services: consulting, software development, Internet and support
Additional classification ( cpv ): 71356300 Technical support services
Additional classification ( cpv ): 72200000 Software programming and consultancy services
Additional classification ( cpv ): 72250000 System and support services
Additional classification ( cpv ): 72253200 Systems support services

2.1.2 Place of performance

Country : Ireland
Anywhere in the given country

2.1.4 General information

Legal basis :
Directive 2014/24/EU

5. Lot

5.1 Lot technical ID : LOT-0001

Title : Contract Extension for the Provision of SAP Managed Services and Hosting
Description : The HSE intends to award an extension of a contract in place with IBM Ireland Limited for the provision of SAP Managed Services. Key HSE business critical systems that are delivered via a current contract include national SAP HR & Payroll System (NiSRP) and the national SAP Integrated Financial Management and Procurement System (IFMS). The HSE seeks to extend the existing contract in place with IBM Ireland Limited for the provision of SAP Managed Services and Hosting. The current contract commenced in September 2017, it was procured through a tender process with the Office of Government Procurement, and a 7-year contract was awarded which expired in September 2024. There is currently a short term extension in place with a proposal for a 3-year contract extension to September 2027. The HSE has a significant SAP estate with over 150 SAP Systems using over 40 SAP Products covering HR, Payroll, Finance, Procurement, BW and Self-Service products, with over 80 interfaces supported. These systems are supported via the current SAP Managed Service & Hosting contract with IBM Ireland Limited. The current SAP Managed Service & Hosting contract provides end-to-end managed services for the SAP environment within the HSE.
Internal identifier : 1

5.1.1 Purpose

Main nature of the contract : Services
Main classification ( cpv ): 72000000 IT services: consulting, software development, Internet and support
Quantity : 1 piece

5.1.2 Place of performance

Country : Ireland
Anywhere in the given country
Additional information :

5.1.3 Estimated duration

Start date : 01/10/2024
Duration : 36 Month

5.1.6 General information

Procurement Project not financed with EU Funds.
The procurement is covered by the Government Procurement Agreement (GPA) : yes

5.1.7 Strategic procurement

Aim of strategic procurement : No strategic procurement
Approach to reducing environmental impacts : Other

5.1.10 Award criteria

Description of the method to be used if weighting cannot be expressed by criteria :
Justification for not indicating the weighting of the award criteria : The HSE has validated that the contract extension proposal is reasonable when benchmarked against current market suppliers and provides value for money.

5.1.15 Techniques

Framework agreement :
No framework agreement
Information about the dynamic purchasing system :
No dynamic purchase system

5.1.16 Further information, mediation and review

Review organisation : The High Court of Ireland
Organisation whose budget is used to pay for the contract : Health Service Executive (HSE)
Organisation executing the payment : Health Service Executive (HSE)
Organisation signing the contract : Health Service Executive (HSE)
TED eSender : European Dynamics S.A.

6. Results

Value of all contracts awarded in this notice : 20 680 020 Euro
Direct award :
Justification for direct award : New works or services, constituting a repetition of existing works or services and ordered in accordance with the strict conditions stated in the Directive
Other justification : This extension is being sought to ensure business continuity and to minimise the significant risk to two key strategic HSE corporate programmes – SAP HR and Payroll deployment (NiSRP) and SAP Finance and Procurement deployment (IFMS). It would not be viable to transition from the existing supplier and service to a new supplier/service during the delivery of these major programmes of work. During the deployment of the NiSRP Programme and the IFMS Programme to the Statutory areas within the HSE, the service needs to ensure minimal interruption to the provision and support of the underlying infrastructure and associated managed service and hosting delivery. There are a number of project go­lives for these key HSE initiatives in 2025 and beyond, extending the existing contract will allow these deployments to proceed. In addition, the HSE will be conducting a full and detailed assessment of the SAP software during 2025 and into 2026 to determine which is the most prudent approach for the key corporate systems. The output from this assessment will determine the tender requirements and infrastructure solution that will be required from 2027 onwards. This proposed 3-year extension will provide the necessary time to successfully complete this. It is planned that a tender process would be conducted and completed by September 2027 when this current proposed managed service extension terminates.

6.1 Result lot ldentifier : LOT-0001

6.1.2 Information about winners

Winner :
Official name : IBM Ireland Limited
Tender :
Tender identifier : Extension Proposal of IBM Ireland Limited
Identifier of lot or group of lots : LOT-0001
Value of the tender : 20 680 020 Euro
The tender was ranked : no
Subcontracting : No
Contract information :
Identifier of the contract : HSE 23209
Title : Contract Extension for the Provision of SAP Managed Services and Hosting
The contract is awarded within a framework agreement : no
Organisation signing the contract : Health Service Executive (HSE)

8. Organisations

8.1 ORG-0001

Official name : Health Service Executive (HSE)
Registration number : 1448
Postal address : Oak House, Millennium Park Naas Co. Kildare
Town : Kildare
Postcode : W91 KDC2
Country subdivision (NUTS) : Dublin ( IE061 )
Country : Ireland
Contact point : HSE Procurement Helpdesk
Telephone : 353 15119700
Internet address : https://www.hse.ie
Buyer profile : https://www.hse.ie
Roles of this organisation :
Buyer
Organisation signing the contract
Organisation whose budget is used to pay for the contract
Organisation executing the payment

8.1 ORG-0002

Official name : The High Court of Ireland
Registration number : The High Court of Ireland
Department : The High Court of Ireland
Postal address : Four Courts, Inns Quay, Dublin 7
Town : Dublin
Postcode : D07 WDX8
Country subdivision (NUTS) : Dublin ( IE061 )
Country : Ireland
Telephone : +353 1 8886000
Roles of this organisation :
Review organisation

8.1 ORG-0003

Official name : European Dynamics S.A.
Registration number : 002024901000
Department : European Dynamics S.A.
Town : Athens
Postcode : 15125
Country subdivision (NUTS) : Βόρειος Τομέας Αθηνών ( EL301 )
Country : Greece
Telephone : +30 2108094500
Roles of this organisation :
TED eSender

8.1 ORG-0004

Official name : IBM Ireland Limited
Registration number : 16226
Postal address : Building 2 IBM Technology Campus, Damastown Industrial Park Mulhuddart, Dublin 15
Town : Dublin
Postcode : D15 HN66
Country subdivision (NUTS) : Dublin ( IE061 )
Country : Ireland
Telephone : 3531 8154000
Roles of this organisation :
Tenderer
Winner of these lots : LOT-0001

11. Notice information

11.1 Notice information

Notice identifier/version : 64cdcd8a-e056-4863-b533-15d1d198ce40 - 01
Form type : Direct award preannouncement
Notice type : Voluntary ex-ante transparency notice
Notice dispatch date : 13/01/2025 18:17 +00:00
Languages in which this notice is officially available : English

11.2 Publication information

Notice publication number : 00026826-2025
OJ S issue number : 10/2025
Publication date : 15/01/2025