BCG gets another $300k pay rise from DTA


Denham Sadler
Senior Reporter

The Digital Transformation Agency has handed Boston Consulting Group a further $300,000 for six weeks’ work on helping design government tech investment policy and governance.

The global consultancy firm was awarded a $273,600 contract in July to provide “whole-of-Australian-government ICT policy and governance”, originally running until 21 August.

This contract has now been extended until 2 October, with the value doubled to $547,200. That means Boston Consulting Group (BCG) is receiving a further $273,600 for another six weeks’ work on the project.

DTA chief Randall Brugeaud
Randall Brugeaud: The Digital Transformation Agency chief executive officer

“The extension is to support DTA to develop options for investment models that support development and sustainment of shared capabilities,” a DTA spokesperson told InnovationAus.

BCG has now landed more than $1.5 million worth of contracts with the DTA in 2020 alone. It worked closely on the development of the COVIDSafe app and received more than $800,000, and also recently landed a $396,000 contract to provide “critical advice, products and services using a taskforce model to improve digital services for government”.

Prior to this year, BCG had only ever won a single contract with the DTA, worth $110,000.

DTA chief executive Randall Brugeaud is an ex-BCG executive, working at the firm from 2008 to 2010, while the DTA’s former chief strategy officer Anthony Vlasic left the agency in February to join the consulting firm.

The latest $273,000 six-week contract extension will see BCG continue its work helping the DTA develop options and strategies for whole-of-government ICT and digital governance and investment policy reform. This includes a review of current arrangements and a roadmap for future policy and governance.

“The project will identify policy opportunities to optimise funding arrangements for digital and ICT investments – to better support development and sustainment of shared capabilities, and more flexible approaches to resourcing for agile delivery,” the relevant listing on the Digital Marketplace said.

“In addition, it will consider models and processes for good whole-of-government digital and ICT decision-making, to ensure robust governance of performance risk strategic alignment architecture, investment planning, stakeholder engagement, etc.”

BCG is a prolific federal government contract, working regularly with the Department of Home Affairs. The company provided advice on the federal government’s doomed visa processing system revamp, receiving $40 million for its work before the Coalition decided to scrap the project.

The firm has also been embroiled in an academic freedom controversy recently at the Australian National University, after it was revealed a university academic had been removed from a panel discussion on COVIDSafe which also featured a representative from Boston Consulting Group.

ANU has said the decision was made by the university without any pressure from outside parties, although the representative from BCG was consulted about the decision before it was made, and concerns were made about the potential line of questioning during the discussion.

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