: June 1997
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Monthly
Progress
Report
MIM
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ICL Pathway Pathway Programme Monthly Report V Ref, PAREPIOOLO
ersion: 1.
Managing Directors Summary Date: 11/07/97
Document Title: Pathway Monthly Report - June 1997
Associated Documents:
Reference Vers Date Title Source
0) PM/PRO/0002 1.0 26/09/96 Pathway Programme - Project
Planning, Reporting and Control
Approval Authorities:
Name Position Signature Date
J. H. Bennet Managing Director
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i
Managing
Director’s
Summary
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Managing Directors Summary
1 SUMMARY
¢ This month saw the drawing together of the findings of three’separate
activities. The first concerned the difficulties in testing of Release 1c,
the second review concerned the plans for future Pathway releases in
1998 and the third was the output and findings from the Programme
Audit conducted by Mike Coombs and Andrew Boswell across ICL
Pathway. This has led.a programme review being undertaken and a
comprehensive reassessment of the achievable outputs from now
through to national rollout.
e The programme review has been presented to PDA, POCL, BA, ITSA
and SSA [Northern Ireland]. The consistent response has been one of
disappointment and shock that yet another slippage has come to the
surface so soon after two previous replans.
e We have worked quickly to establish extra strengthening of the
programme function in ICL Pathway and have announced to the
customer the appointment of Mike Coombs as overall project
Programmes Director together with a redefinition of the key rolls of
the skills throughout the programmes group. The new team is in
place and all staff have been briefed.
e A major additional management resource has been provided by
Andrew Boswell, ICL Group Technical Director, and who will work
nearly full time over the next three months or so in order to ensure
that we have full integrity across the ICL Pathway systems, whether
they be software, processes or documentation.
e The critical issue we face is to demonstrate that our plans are robust,
can be and will be achieved and that we can move into a period of
meeting milestones and building credibility. This will.not happen
quickly and will be a major task for the next few months.
e The anticipated delays have caused a serious impact on the business
cases of BA, POCL as-well as ICL Pathway. Asa result, quite a few
people have now voiced their concerns that the programme may not
be viable and this has given rise to suggestions of significant contract
readjustment as well as exploring the position on termination. Some
of these views are clearly extreme but do underpin the crisis in
confidence which needs to be addressed.
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2 PROGRESS
2.1 PATHWAY LEVEL 1 PROGRAMME PLAN
Level I Plan
Release 18 Go Livo
Release 1b (OBCS) Development
Rib Yesung
Rib MOR & MOT
Rib-Gotive
Release 1c (BPS) Development
Ric Testing
RicMOR & MOT
Rie -Go Live
Release 16 - GoLive)
Release 16 (EPOSS,APS) Developmen!
i
!
Rie Tesung
Rie MOR & MOT
R1a-Golive
Live Tra
Rollout 200 Post Orcas (@ Release 1b)
Folio Adouonal Pos Ofces Steam 8
@ Release te OBCSB BPS only)
Rollout Adavional Post Orices (@
Release 10)
Upgrade Post Cticos (Steam A & 8) 10
FuiPRolease te
START NATIONAL ROLLOUT
Release 2 Design & Development
R2 Testing
R2 MOR & MOT
R2-Golive
Release 3 Design & Development
R3 Testing
R3 MOR & MOT
R2-Go live
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Version: 1.0
Managing Directors Summary Date: 11/07/97
The Programme plan on the previous page indicates the latest high level
dates based on the replanning exercise currently under way. The
baseline (white bars) was set as of fast month.
The plans for Release 2 and 3 are currently the subject of detailed review
and will be included as they are’confirmed.
2.2 RELEASE 1B - OBCS
We now have.over 140 Post Offices live on this.release and to-date have
handled over 300,000 transactions. A research service conducted by
POCL on over a 100 of these sites has just been published and the results
of which are extremely good. Ease of use of the system is the highest
recorded result in the high 90’s with no major concerns recorded.
Across all the areas the total score is over 85%. The low end of the
generally good set of scores is unsurprisingly the positioning of the
equipment in the offices and early concerns for the site surveys and
somewhat disappointingly the quality of POCL’s support itself.
2.3 ACCEPTANCE SPECIFICATIONS
Solid progress continues on this front with progress in the month on
BES, CMS, PAS-and the CAPS interface acceptance tests. A number of
the POCL related tests are somewhat more difficult due to the problems
in relating tests’ back through implementation to the requirements.
There is hard work involved in putting this correct.
2.4 ICL FUJITSU RISK REPORT
This was published during the month showing that the overall risk
position had declined from £56.8M at the end of April to £51.2M by the
end of May through the implementation of the mitigation plans.
However the delays now on the table with respect to Release 1c will
mean a slow down in improvement and will take until the end of
December to-get back to the current forecast position.
2.5 FINANCING
The financing package with the major banks has been agreed and for this
to become effective the consent of BA and POCL are needed to go ahead.
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2.6 CHANGE CONTROL
Disciplines on all sides have improved over the last month and the back-
log of Change Control notices [CCNs] has been reduced. For the first
time financial-agreement has been-reached on implementing a number of
critical change requests to the tune of £0.3M.
2.7 CONTRACTING AUTHORITIES RESPONSIBILITIES
This problem which has been with us for many month is now:under
control, largely up to date and now requires much less effort to manage
and drive through.
2.8 BUSINESS DEVELOPMENT
National Savings and EFTPOS.remain the top priority new business
requirements. However the account teams in POCL are very uncertain
about dates and progress is severely impacted by the current programme
delays. This will remain a difficult subject with ourselves, POCL and
their clients until such time that we can demonstrate confidence.
3 CURRENT CRITICAL PROBLEMS
3.1 CUSTOMER EDUCATION
Although no closer together, we have quantified the gap between us and
have used the change request.on benefit migration to get this recorded in
a change control note [CCN].. In broad terms, this is some £9M and is
itself 90% of the impact of the benefit migration delays themselves.
Since no-one has this sort of money, then once the arguments die down,
the only answer is to fundamentally simplify the entire programme. In
the meantime this whole area lies under an agreement to agree which has
been formally recorded such that impacts and schedule delays caused by
lack of agreement do not impact on ICL Pathway. This is commercially
sound and necessary but at'some stage we do have to get proper
agreement so the programme can move.
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3.2 IMPACT ON SUPPLIERS
We have fully briefed our principle suppliers on the current position and
not surprisingly this causes many of them serious problems, particularly
where they have invested in equipment, resources and capability against a
plan which has moved smartly to the right. Different mitigation actions
are called for with different suppliers but this will be a tough task to get
straightened out before we can move forward with confidence.
3.3 TECHNICAL ISSUES
Resolution of the non ISDN sites remains to be found, configuration
management has.surfaced as a major problem and concern within the
programme and will have to rapidly addressed for all releases beyond
Release 1c. In-addition, we now face-the need to reengineer the EPOS
product. A contract for this has been placed with Escher for work to be
done in Boston assisted by key ICL Pathway development staff. In
parallel with this, essential work on scaling has to take place. Significant
progress is-essential on all these points over the next threé months.
3.4 RELEASE 1C TESTING
The new plan shows an eight week slip and the critical component within
this is Security followed closely by MIS. War Room reviews continue
and are becoming better focused. They have however highlighted the
need for better-control over testing in Bracknell and a need for fresh and
new resources to help out.
3.5 PRODUCT RELEASES IN 1998
Our proposals cover the programme: audit findings and our own
experience of having to reduce the number of releases and to shorten the
interdependencies between the CAPS programme and.ICL Pathway.
Workshops are continuing on both these themes and we are holding to a
robust position to avoid yet more complexity being forced into the
Pathway release‘plans.
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4 ISSUES
4.1 DSS DEVELOPMENT RESOURCES
It is clear that CAPS is consuming more development effort within DSS
than can be afforded with some 400 developers on this programme.
There is increased political pressure to carry out further work on benefit
development and this is putting a squeeze on this programme.
4.2 POCL CLIENTS
It is clear that POCL have major difficulties with their major clients as a
result of promoting high expectations of new products very early in the
roll out cycle. Keeping these clients bought into-the automation
programme will be hard and some may start looking for alternative
approaches.
4.3 POCL SITE MODIFICATIONS
In terms of counter space and responsibilities for implementation we
need to move forward from the agreement of principles into-specifics.
4.4 INTERNATIONAL SALES
4.5 PATHWAY STAFFING
We have some 25 key vacancies across Pathway and resourcing is being
attacked by both personal references helped from Group Resourcing and
external search agencies. The appointment of Mike Coombs and
Andrew Boswell to the team will help us rifle shot into ICL at large to fill
the key management vacancies.
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$ 1.0
Managing Directors Summary 11/07/97
5 COSTS
5.1 TOTAL PROGRAMME COSTS
Total Programme Costs as at 30 June 97
250,000
130,000
£ 000
100,000
“+ Deseostl Budge Tipe 7)
a= Acnals
=a —Deveost7 Buduet (Ost 96)
sepa
3
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5.2 TOTAL PROGRAMME CURRENT COSTS
‘Total Programme Current Costs as at 30 June 97
140,000 -
10,000
1,000
£000
60,000
410,000
’ & § &s & & & 8 3) 8
PPP $3 2 9 4 i bi
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ICL Pathway
Pathway Programme Monthly Report
Managing Directors Summary
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Version: 1.0
Date: 11/07/97
5.3 TOTAL PROGRAMME CAPITAL COSTS
120,000
Total Programme Capital Costs as at 30 June 97
69,000
£,000
30,000
Neth ART ei ee ee aga? ey rare) nah Dea
Men an eh torte
Forecast reviews are now taking place to build a-new financial baseline
against the proposed plan changes referred to in this report.
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3.2 IMPACT ON SUPPLIERS
We have fully briefed our principle suppliers on the current position and
not surprisingly this causes many of them serious problems, particularly
where they have invested in equipment, resources and capability against a
plan which has moved smartly to the right. Different mitigation actions
are called for with different suppliers but this will be a tough task ro get
straightened out before we can move forward with confidence.
3.3 TECHNICAL ISSUES
Resolution of the non ISDN sites remains to be found, configuration
management has surfaced as a major problem and concern within the
programme and will have to rapidly addressed for all releases beyond
Release 1c. In addition, we now face the need to reengineer the EPOS
product. A contract for this has been placed with Escher for work to be
done in Boston assisted by key ICL Pathway development staff. In
parallel with this, essential work on scaling has to take place. Significant
progress is essential on all these points over the next three months.
3.4 RELEASE 1C TESTING
The new plan shows an.eight week slip and the critical component within
this is Security followed closely by MIS. War Room reviews continue
and are becoming better focused. They have. however highlighted the
need for better control over testing in Bracknell and a need for fresh and
new resources to help out.
3.5 PRODUCT RELEASES IN 1998
Our proposals cover the programme audit findings and our own
experience of having to reduce the number of releases and to shorten the
interdependencies between the CAPS programme and ICL Pathway.
Workshops are continuing on both these themes and we-are holding to a
robust position to avoid yet more complexity being forced into the
Pathway release plans.
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Managing Directors Summary Date: 11/07/97
4 ISSUES
4.1 DSS DEVELOPMENT RESOURCES
It is clear that CAPS is consuming more development effort within DSS
than can be afforded with some 400 developers on this programme.
There is increased political pressure to carry out further work on benefit
development and this is putting a squeeze on this programme.
4.2 POCL CLIENTS
It is clear that POCL have major difficulties with their major clients as a
result of promoting high expectations of new products very early in the
roll out cycle. Keeping these clients bought into the automation
programme will be hard and some may start looking for alternative
approaches.
4.3 POCL SITE MODIFICATIONS
In terms of counter space and responsibilities for implementation we
need to move forward from the agreement of principles into specifics.
4.4 INTERNATIONAL SALES
trrelevant
4.5 PATHWAY STAFFING
We have some 25 key vacancies across Pathway and resourcing is being
attacked by both personal references helped from Group Resourcing and
external séarch agencies. The appointment of Mike Coombs and
Andrew Boswell to the team will help us rifle shot into ICL-at large to fill
the key. management vacancies.
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Programmes
Report.
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Programmes Report
1 MONTHLY SUMMARY
« The main focus for the team during June was the final stages of testing the IC
release (i.e. Benefit Payment System) including business integration testing
and model office rehearsal. We needed to make significant progress in this
area if we were to avoid slippage to the implementation date. Unfortunately,
we ran into serious difficulties with establishing the final software. baseline
which delayed the integration testing and created a backlog of software fixes.
The problems were:associated with the security solution, the-MIS feeder
interfaces, intercepting the latest version of the PMS/CMS system from
Oracle and the recovery scripts.required to operate the end to end system.
e A detailed evaluation of all the testing activities confirmed that we could not
meet the agreed date and the PDA and sponsors were informed that the new
delivery date for release 1¢ would be the 13" October 1997.
e In parallel with these developments, a series of joint workshops were being
held to determine the options available for the remainder of the releases in
1997 and 1998. The first of these on 12" June concluded that version 1E
(EPOS & APS) could not be released until 5" January because CAPS needed a
change to be iinplemented.in our interface software and required additional
time ‘to carry out their business testing. Further'workshops confirmed that it
was necessary to create two more versions: of ‘1E before Pathway reléase 2
could be rolled out. These extra baselines were required to enable CAPS to
continue with their PDR (personal details) load programme. We made it clear
that this approach was not viable because it created too many baselines which
overlapped during the development/testing stages and would delay release 2
until summer/autumn 1998 and the release containing the new POCL
products would be later still.
¢ ICL Pathway recommended an approach which merged release le
(EPOS/APS) with the full benefit payment system (BPS) targeted for release 2.
This reduced the number baselines and simplified the overall programme.
The PDA and Sponsors rejected this option because it delayed the CAPS PDR
programme. It was pointed out that the rationalisation of the feeder benefir
systems using CAPS represented a significant ‘win’ for the Benefit Agency
without actually automating the benefit encashment process .
e A further alternative has now been lodged with the PDA which uses Pathway
version Ic to interface with all CAPS versions up to release 3.0 therefore
removing the dependency upon future Pathway releases. This is currently
being considered by the Sponsors.
© Further discussions have taken place with ICL Software Technologies with a
view to developing a strategic partnership. In return for providing reliable
access to skilled development staff, they expect to develop several products
for [CL Pathway over a number of years.
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2.1 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE FOR
COMPLETION DURING JUNE 1997
WBS No. Description Previous I Current Progress Status
Compiet'a I Complet’n
Date Date
5.14.8 South West Acceptance 02-Jun-97 [30-Jul-97 Progressing Target
completion end July
5.15.8 Tyne & Wear Acceptance 02-Jun-97 [48 Fab 9 Progressing Target
30-Jul-97 completion end July
TL Rel Ic/Test Analysis - PDA Sign Off _ [18-Jun-97 18-Jun-97 [Awaiting PDA
BPS ST BTs and HLTPs
1.11.10 Rel 1dTest Analysis- PDA Sign Off _ [13-Jun-97 13-Jun-97 [Awaiting PDA
MIS ST BTs and HLTPs
Tilit Rel Ic/Test Analysis - PDA Sign Off [24-Jun-97 [24-Jun-97 Awaiting PDA
MIS BIT BTs and HLTPs
V2 is-PDA Sign Of [18-Jun-97 [38-Jun-92 [Awaiting PDA
BIT BTs and HLTPs {jub97
12.111 nalysis - PDA Sign Off _ [19-Jun-97 19-Jun-97 Awaiting PDA
TPs
12112 Rel le/Test Analysis - PDA Sign Off [27-Jun-97 [27-Jun-97 Workshop setup for
EPOSS ST BTs and HLTPs clarification. 2 already held
awaiting comments
12.113 Rel Te/Test Analysis - PDA Sign Off [13-Jun-97 13-Jun-97 Awaicing PDA
RDMC ST BT's and HLTPs
12.114 Rel le/Test Analysis - PDA Sign Off I19-Jun-97 19-Jun-97 Awaiting PDA
[TPS ST BTs and H
TPs
2.2 HANDSHAKE / MANAGEMENT LEVEL EVENTS DUE TO COMPLETE
DURING JULY 1997
WBS No. Description Current Complet'n
Date
SAA DSS Update Process (Reqt 927) Hale
30-Jul-97
$.1.7.2.3 National Weights & Measures Certification - On Pathway Counter System Hf OF
23-Jul-97
5.2.2.4 Dry Run "Train the Trainers™ Course - BA 17-Jul-97
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WBS No. Description Current Complet’n
Date
5.2.2.5 Sign Off User Awareness programme - BA 17-Jul-97
5.2.2.6 Sign Off “Train the Trainers™ Course - BA 25-Jul-97
5.2.2.7 Courseware Masters Available (TTT) 25-Jul-97
5.14.7 South West Migration 30-Jul-97
5.14.8 South West Acceptance 30-Jul-97
Tyne & Wear Migration Hebe
30-Jul-97
5.15.8 Tyne & Wear Acceptance Fe poh es
30-Jul-97
2S Rel le/Test Analysis - PDA Sign Off BIT BTs and HLTPs V-Jul-97
Work is continuing on Release 2 and handshake and Level 1 milestones will be
included within this report on completion of the integrated Release 2 plan.
2.3 GENERAL
¢ There are now 140 outlets operating release 1B (OBCS) in the Post Office
network. In addition, over 90% of the surveys schedule for the next 450
outlets are complete and all the user awareness events have been conducted.
Although this is good progress, it does present us with some embarrassment
because our latest proposal suggests that we limit the installations to the 200
live trial outlets only. .
© The first stage of the model office rehearsal was due to commence 16" June
but was delayed due to difficulties experienced by CAPS. It eventually started
24" June and has been reasonably successful. A major issue concerned the
synchronisation of data received from CAPS which resulted in several
PinICL’s being raised against ICL Pathway incorrectly. This will be resolved
before the second stage is allowed to proceed.
* Minimal progress was made in Technical and Security testing due to
problems finalising the solutions. This in turn delayed the business
integration testing and caused a build up of software fixes awaiting clearance.
Actions have now been taken to rectify the situation but all the testing
activities are being monitoring very closely.
¢ The new OBCS counter application which removes the need to have an
EPOS shell in release 1C has been received from Escher. Plans are now in
place to carry out the required regression testing before this product is made
available to the customer.
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¢ During the month, members of the Escher team spent several days in Feltham
helping to resolve software errors and implement change requests in BES.
This was extremely successful and moved us on significantly with clearing
many outstanding issues.
© Little progress has been made.on establishing and stabilising the 1E release
because release 1C continues to consume all of the available resource. The
‘new’ proposal will alleviate much of the pressure but we are still keén to get
ahead of the game. Recent actions are intended move us forward during the
next few weeks.
¢ We are now in possession of the Escher design prototype product ‘Cashier’
which will enable us to specify and therefore develop new POCL counter
products which are consistent with the Riposte architecture.
e A major issue related to the migration of the manual post office accounts to
the automated system have now been resolved satisfactorily. A demonstration
of the facilities offered by Pathway will be given end of July.
_3 CURRENT CRITICAL PROBLEM
Iris absolutely essential that the ‘new’ schedule for release 1c is delivered on
time. Each activity in the plan is being monitored daily and the appropriate
escalation is occurring when problems are encountered.
¢ Agreeing a new delivery schedule for 1E, 2.0 and 3.0 is still consuming
several key members of the team. This combined with the failure the fill
senior management positions in Programmes is having a serious impact on
the management process.
¢ The delays to the roll-out schedule is obviously having a detrimental impact
on our suppliers. This must be managed very carefully if we are to minimise
the costs and limit the relationship damage.
e The situation regarding ISDN coverage and the alternatives available to us
e.g. PSTN, satellite-etc. continues to be a major issue. The current PSTN
design-using EICON is not satisfactory so’an alternative approach utilising US
Robotics technology is being evaluated.
e Configuration Management is still a cause .for major concern within the
Programme. Although.many changes have been made to roles,
responsibilities and internal processes, it is not expected that these will have
the desired effect inthe short term. Further tactical actions are necessary
¢ A re-engineering programme is being devised to resolve the’issues
surrounding the EPOS product. Plans are now being put in place to intercept
the new product into the agreed testing cycle. The development work is
being carried out in Boston by Escher assisted by Alan Ward and selected ICL
Pathway development staff.
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This work is in parallel with the scaling enhancements and combined
represent significant risk for the programme. Mark Jarosz has been
despatched to Boston to help.
¢ The pressure which has continued unabated for several months is now
beginning to take its toll. It.is becoming increasingly difficult to persuade key
staff to work weekends or shifts. We must address this problems as a matter
of urgency.
4 ISSUES
e The AP Client migration strategy has not yet been agreed with POCL.
e The Audit requirements in the contract are open to interpretation, this may
cause us problems during the Acceptance Process for Release 1E and 2.
e The ‘agreements in principle’ for dealing with the site modification work and
the change to the position of the user awareness events in the implementation
process are now the subject of a formal CCN. This will shortly be submitted
to the sponsors for consideration. A positive response is essential if we are to
continue with a sensible programme.
¢ ICL Pathway intends to swap out the counter equipment when we upgrade
the IGL and OBCS (1B) outlets to BPS (1C). The process has been discussed
in detail with the PDA but the impact on the offices themselves has yet to be
agreed. :
e Attracting and retaining high calibre staff in all areas is a major challenge for
the management team.
~
5 COSTS
e The:set up costs continue to rise as new testing hardware and specialists
skilled resources are-identified. The overlapping.activitics caused by the
phased delivery put the budgets under pressure‘and-any movement which
compresses the timescales and increases the parallel work has a consequential
impact on costs.
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Commercial
and Financial
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Version: 1.0
Commercial & Financial Report Date: 11/07/97
Commercial & Financial Report
1 MONTHLY SUMMARY
e Another difficult month for the programme at large. However, we have
begun to come to terms with the dominant issue of programme drift and to
define the corrective actions required.
¢ Having proposed a new release framework and timetable, it now remains to
sell them on the merits of the case and to instil the confidence that we can
deliver.
e Inthe first instance, we have to rekindle confidence in our own abilities,
believe in the new plan, and get behind it to the exclusion of all else.
© We cannot afford to be lured into alternative planning scenarios by a PDA
who backed a different plan. Resisting will not be easy, but resist we must.
* Much remains to be done in terms of security testing, PinICL reduction and
new EPOS cut in. Current metrics do not yet underpin the new plan, which
still demands improved productivity and output rates, and the addition of
critical skills.
© Atsome point we will need to engage with the customer on matters
commercial, but the first priority is to get people believing that this plan will
happen.
2 PROGRESS
2.1 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE FOR
COMPLETION DURING JUNE 1997
WBS No. Description Previous Current Progress Status
Complet'n Complet’n
Date Date
8.3.24 Agree all Sub-contracts TI-Apr-97 12-Jun-97
2.2 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS LEVEL EVENTS
DUE TO COMPLETE JULY 1997
There are no Level 1 Management or handshake events level events due to
complete June 1997
2.3 GENERAL
e Dealing with the programme issues represents real progress.
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© The financing package with the banks has been agreed: all we need now is
the necessary BA/POCL consents to go ahead.
¢ Much of the backlog of CCNs has now been signed off and purchase orders
received: value to date circa £0.3m.
© Acceptance process continues to make headway.
2.4 EXTERNAL, WITH PDA
e CNT- the primary focus has been,on concluding the terms of the last Replan
and on establishing best possible defence for the current one.
e The outstanding issues on the April Replan relate to Schedules A06 and B7.
© The issue on A06 revolves around when the price reductions should cut in:
this is open to interpretation, and the difference is some £7m. A compromise
is on the cards which would effectively split the difference.
© The B7 issue is around what dates were included in the PDA Master Plan
with regard to CAPS 3.0 handshake milestones at the time of the last Replan.
The principle of contract extension in the event that critical CAPS milestones
are missed has now been agreed, as has the date for CAPS 2.2 availability.
e We continue to register “failure to agree” on customer education in tandem
with the initiatives being taken by Liam Foley to break the deadlock. The
December Drop Down contract gives us important protection in the event of
failure to agree, a protection we have formally invoked. The effect is that we
are required to carry on seeking agreement and to be reasonable, but that
meanwhile we are not obliged to do anything which has not been agreed. The
customer. cannot oblige us to spend Pathway money on things which were
not specified in the Requirements. .
© Customer education is the main impact of phased benefit migration. We have
now responded to the Change Request introducing phased Benefit migration
has been submitted. Of the circa £10m price tag, some £9m relates to
customer education: we have suggested some options which would limit the
overall cost.
« With regard to programme delays, we have registered the facts that we have
still not received PDA/Sponsor agreement to Release 1c Contents, that the
contents list is now much more comprehensive than was originally
contemplated, and that agreement to Access Control definition was received
too late to include all aspects in 1c without delay.
© CAS terms-are still being progressed under CNT auspices, and are still not yet
resolved. However, the understanding that EDS will perform the service and
that we will deal with DSS has held firm.
e As stated above, the pressure brought to bear on outstanding CCNs has
begun to pay off, with the backlog now substantially cleared.
¢ JCCB (Joint Change Control Board)..No meeting held.
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e Finance and Commercial Forum - mostly housekeeping - continues.to work
well.
e Acceptance process forum (Jim Morley leading for Commercial) - progress
still being made despite the problems elsewhere.
2.5 EXTERNAL, WITH POCL, DSS
e Informal feedback that both sponsor organisations have been shaken by the
late declaration of slippage. Both are deeply unhappy and resentful at what
they consider to be short notice.
e DSS are clearly concerned at the shear size of the task still ahead on our side
and also theirs: CAPS continues to consume some 300 developers and the
data cleansing exercise is still to come. The BA business case has inevitably
been damaged. As before, BA.are apt not to include fraud-savings in their
cost/benefit assessments although fraud remains the main goal of
Government and Treasury.
e POCL had jumped the gun with commitments to clients: backtracking will be
difficult and painful for them, and may prompt some clients to lose patience
with promises of future automation which never comes. (This is the third
attempt at automation for POCL). Some clients will look for.alternatives.
2.6 EXTERNAL, WITH SUPPLIERS
e De La Rue and Girobank:are both severely impacted by the joint impacts of
delay in roll out and the phased benefit migration. They are both claiming
significant sums in compensation under Change Control. We continue to
debate the detail but cannot.rebut the substance. The delay in roll out from
the new replan means that more of the impact is now attributable to up-front
delay and less due to the phased benefit migration.
e Product suppliers are now about to ship volumes which were committed
against old roll out plans. Such deferral as is possible under the contracts has
been invoked, but it is inevitable that we will go out of the year with excess
inventory.
2.7 INTERNAL TO ICL PATHWAY
© Atcentre stage is the new replan work and its underpinning though improved
process and resource deployment. Associated work includes a thorough
reappraisal of the forecast for 1997 and 1998.
e ICL Pathway Asset Co. has been established as a fully owned subsidiary of
ICL Pathway Ltd. to act as the special purpose vehicle for funding.
¢ An assessment has been made of the probable impact of the new replan on
the Pathway business case, and ICL Group appraised of it.
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3 CURRENT CRITICAL PROBLEM
Selling the proposed new replan
Achieving the first key milestone - 1c
Re-establishing customer confidence
Securing BA/POCL consents to the funding arrangements
4 ISSUES
Much as last month and the.month before that:
Getting back on track with an agreed, achievable plan (as above)
Resourcing the plan at all levels
Rebuilding staff morale and our own confidence
Some important Replan (ie. April Replan) details still to be finalised
BA customer. education (still)
Making DSS feel positive about this programme
Managing POCL and POCL client expectations
Early delivery of enhanced POCL functions
Ensuring that we can actually install 300 post office per week
5 COSTS
‘The forecast next week will concentrate on establishing a new baseline
against the
proposed new replan. The prognosis is as follows:
1997: Operating costs will be up slightly, and capital spend not much
reduced because of prior commitments. Revenue will be down slightly (ic was
already very low). Cash impact neutral.
1998: Revenue will be down significantly, but so will capital spend. The
elimination of one major release should prevent operating costs increasing
significantly. The net'cash impact is likely to be slightly favourable.
1999: Revenue will be down again, and capital spend will be up significantly.
(The balance of roll out investment falling in 1999 will now be much larger.)
Cash flow will be significantly adverse.
The first priority is to establish a new roll out plan which everyone can work
to.
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1 SUMMARY
All of the first round of Acceptance meetings have been taken place and we
are now into revising specifications mostly for agreement as the next stage.
Some POCL Acceptance Test Specifications are proving difficult as expected.
2 PROGRESS
2.4 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE FOR
COMPLETION DURING JUNE 1997
« Dates which are dependent on the first post 1c Release schedule have been
shown as no forecast. Program-based Acceptance tests are expected to be
undertaken from early September when the counter applications from Escher
will have been incorporated.
WBS No. Description Previous Current Progress Status
Complet’n Complet’n
Date Date
4.9.13.8 Ace - POCL Infra/PDA Agreement to [23-Apr-97 23-Jun-97 27 Jul-97 forecast
Acc Spec’n
4.9.10.8 ; Help Desk/PDA Agreement to Acc [25-Apr-97 22-May-97 2-Jun-97 actual
Spee'n
4.9.16.8 Acc - E2E Service/PDA Agreement to [29-Apr-97 28-May-97 22-May-97 actual
Acc Specin
4.9.9.10 Ace - MIS/PDA Agreement to Acc Spec'nI08-May-97 04-Jun-97 2-June-97 actual
[49.12.15 Acc - POCL/DSS Impl/PDA Agreement [09-May-97 29-May-97 18-May-97 actual
to Acc Spec'ns
4.9.7.7 Ace - TiP/Issue Ace Specn to PDA 12-May-97 12-May-97 12-May-97 actual
4.9.1.10 Acc - OBCS/PDA Agreement to Acc 19-May-97 30-May-97 30-May-97 actual
Spee'n
4.97.11 Acc - TIP/Rehearsal - Int Testing 23-May-97 23-May-97 No forecast
[4.9.5.10 Acc - APS/HAPS PDA Agreement to Acc [26-May-97 04-Jun-97 20-Jul-97 forecast
Spec'ns
4.9.8.10 Acc - Ref Data/PDA Agreement to Ace [06-Jun-97 20-Jul-97 20-Jul-97 forecast
Spec'n
4.9.14.9 Acc - Reconciliation/PDA Agreement to [06-Jun-97 20-Jul-97 27-Jul-97 forecast
Acc Spec’n
4.9.15.9 Acc - AudivPDA Agreement to Acc 06-Jun-97 20-Jul-97 27-Jul-97 forecast
Spec'n
49.12.14 Acc - POCL/DSS Impl 22-May-97 22-May-97 [Complete
Pathway/BA/POCL Quality Review
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WBS No. Description Previous Current] Progress Status
Complet’n Complet’n
Date Date
(Rollout)
4.9.1.8 Acc - OBCS/Receive PDA Comments on I21-May-97 23-May-97 Complete
ISpec'n
4.9.4.8 [Acc - EPOSS/Receive PDA Comments _I28-May-97 2-Jul-97 Complete
lon Spec'n
4.9.5.8 Ace - APS/HAPS Receive PDA 26-May-97 13-Jun-97 Complete
‘Comments on Spec'n
4.9.7.8 + JAce - TIP/Receive PDA Comments on = I28-May-97 S-Jun-97 Complete
Spec'n
4.9.8.8 Acc - Ref Data/Receive PDA Comments I28-May-97, 29-May-97 Complete
lon Spec'n
4.9.9.8 Acc - MiS/Receive PDA Comments on [26-May-97 29-May-97 [Complete (nil return)
Specin
4.9.12.10 IAcc - POCL/DSS Impl Receive PDA 13-May-97 21-May-97 Complete
[Comments on Spec'n
4.91211 Acc - POCL/DSS Impi 15-May-97 14-May-97 Complete
Pathway/BA/POCL Quality Review
(User Training)
4914.7 Ace - Reconciliation/Receive PDA 28-May-97 22-Jun-97 Complete
[Comments on Specin
4.9,15.7 Acc - Audi/Receive PDA Comments on]28-May-97 10-Jun-97 Complete
Specin
4.9.16.6 Acc - E2E Service/Receive PDA 19-May-97 23-May-97 Complete
[Comments on Spec'n
4.9.12.42 Acc - POCL/DSS Imp1 20-May-97, No forecast (Was 20-May-97)
Pathway/BA/POCL Quality Review
(Marketing)
49.12.13 Acc - POCLDSS Impl 20-May-97 20-May-97 Complete
Pathway/BA/POCL Quality Review
(Services)
2.2 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE TO
COMPLETE DURING JULY 1997
WBS No. I Description Current Compler'n Date
4.9.4.10 Acc - EPOSS/PDA Agreement to Acc Spec’n 27-Jul-97 forecast
4.9.3.10 IAcc- PAS/CMS/PDA Agreement to Acc Spec'ns 20-Jul-97 forecast
4.9.2.10 IAcc - BES/PDA Agreement to Acc Spec'n 20-Jul-97 forecast
4.9.6.10 Acc - CAPS/PDA Agreement to Acc Specn 20-Jul-97 forecast
4.9.11.10 — [Acc - Security/PDA Agreement to Acc Specin 20-Jul-97 forecast
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WBS No. I Description Current Complet'n Date
4.9.3.12 [Acc - PAS/CMS Rehearsal - MO Rehearsal No forecast
9.10.9 [Ace - Help Desk/Rehearsal - MO Rehearsal No forecast
4.9.6.12 [Acc - CAPS/Rehearsal - MO Rehearsal No forecast
49.11.12 IAce - Security/Rehearsal - MO Rehearsal No forecast
4.9.8.1 [Acc - Ref Data/Rehearsal - MO Rehearsal No forecast
4.9.5.12 [Acc - APS/HAPS Rehearsal - MO Rehearsal No forecast
Acc - EPOSS/Rehearsal - MO Rehearsal
No forecast
Acc - POCL/DSS Impl/Rehearsal - MO Rehearsal
No forecast
4.9.13.9 Acc - POCL Infra/Rehearsal - MO Rehearsal No forecast
49.14.11 Acc - Reconciliation/Rehearsal - MO Rehearsal No forecast
4.91511 Ace - Audit/Rehearsal - MO Rehearsal No forecast
4.9.16.9 Acc - E2E Service/Rehearsal - MO Rehearsal No forecast
4.9.9.12 Acc - MIS/Rehearsal - MO Rehearsal No forecast
4.9.28 Acc - BES/Receive PDA Comments on Spec'n 04-Jun-97 actual
4.9.3.8 Acc - PAS/CMS Receive PDA Comments on Spec'n (09-Jun-97 actual
4.9.6.8 Acc - CAPS Receive PDA Comments on Specin [09-Jun-97 actual
4.9.1.8 Acc - Security/Receive PDA Comments on Spec'n 16-Jun-97 actual
4.9.13.6 Acc - POCL Infra Receive PDA Comments on Spec'n 16-Jun-97 actual
Work is continuing on Release 2 and handshake and Level 1 milestones will be
included within this report on completion of the integrated Release 2 plan.
2.3 POST DROP DOWN
¢ Itis now proposed that responsibility for operating CAS is transferred from
ICL Pathway to DSS, to overcome difficulties in reaching a satisfactory
tripartite agreement with DSS and EDS. The CAS Service Description was
updated to include on-line operation and enables EDS to estimate the cost of
operating the service. This requires protecting Pathway’s interests if we were
to incur SLA penalties should EDS/DSS be deficient in operating CAS.
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2.4 HIGH LEVEL HANDSHAKE MILESTONES/ACTIVITIES
e None.
2.5 DETAILED PLAN ACTIVITIES
2.5.1 CURRENT ACTIVITIES
2.5.1.1 RELEASE 1
e Further reviews of outstanding 1c/le PINICLs were made during the month
and a classification agreed with Development. Most positively, the most
important BES ones will be cleared via Escher. Some PINICLs required CPs
to establish conformance.
2.5.1.2 RELEASE 1/2
e PDA and sponsors have assembled full written comments on version 3.0 of
the SADD and we are working through them with PDA to distinguish those
for PDA and Pathway attention.
¢ The B2.section of the SADD, which is the contractual repository for
interfaces, has been substantially extended to incorporate new material on
the interfaces in the end-to-end application services for TIP/Reference Data,
APS and OBCS.
¢ It is expected that we will provide details of the Oracle tables interfacing the
host PAS/CMS services, and probably:also those to TIP, RD, APS and OBCS,
to the appropriate agents within TMS. However, we intend not to provide
the full Agent design specifications, which include substantial Pathway IPR.
In addition the TMS (Riposte) API specification will be required to meet
Requirements 469 and 470.
e Various changes and new detail have been added in-response to PDA
comments on version 3.0.
¢ The large number of comments/questions (there were 154) from PDA
Technical Assurance were responded to: very few changes to the SADD are
required and none is of any consequence. In-addition, a rather similar list of
questions from the same source (there were a mere 62 of these) but
positioned as seeking information was responded. This response was‘ rather
robust and may cause a ripple.
e¢ CCN117 was revisited to identify what transaction data needs to be logged
within CAS. No simple, complete solution was identified but-a simplifying
proposal was made.
e The position on milk tokens within.a benefit encashment was also reviewed
and a number of inconsistencies in recording and reporting were identified
(BES, Agent, Oracle).
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e Tony H has fixed the issue of getting DSS reference data into the system. He
has had a version of GAS developed (CP586) which will take reference data
from DSS. This product, which.is contained in ‘CAS.300, enables a download
process to be initiated manually by EDS. It has been delivered to Pathway
and meets the needs of Releases 1C and 1E. PDA will be responsible for
agreeing the CR as this is an ITSA, not CAPS, responsibility.
2.5.1.3 RELEASE 2/3
e Design is now getting on top of the smart AP products. The:outstanding
issues are now down to Quantum and-APPU/Simart Key
e The size of the APS Client Take on activity is getting larger. POCL now have
almost 200 external Clients to whom We are required to connect.
e The Change Request to incorporate Remote Stock Unit is-with Design.
e The Government:Direct project has become a more attractive proposition,
with the abandoning of demos and a concentration on real requirements in
which we can maké a-contribution in a more manageable timescale.
_ 2.5.1.4 CARS
e These are up to date and now little traffic.
2.5.1.5 ACCEPTANCE ;
e This has again been the principal activity.
e The last Acceptance Specification Reviews were completed. As anticipated
the POCL-oriented ones have been difficult because of difficulties in
traceability - relating rest back through implementation to requirement. We
now have to rework all the Acceptance Test Specifications and drive them
forward for agreement. In order to get them to a position from where we
can drive for agreement,.we have had to incur commitments to add tests,
produce new Test Plans and originate technical papers.
The BES Acceptance Specification Review went better than
expected, reliance on new “learned papers” was reduced, new
tests ‘are in preparation, and Acceptance Specification revised.
CMS, PAS and CAPS Interface Acceptance Test Specifications all
elicited low level changes and new tests have been originated.
The Audit, Reconciliation, Reference Data and TIP Acceptance
meetings all concluded with feasible ways forward. That for
EPOSS now requires a lot of rework, but is expected to be easier
for the non-IT POCL sponsor representatives to sign up to at the
end.
e Asecond revision of the APS specification was issued.
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« A first POCL Infrastructure review only completed half the comments and
play has been suspended for a week. To pass muster on this we will need
good technical documentation at the system component level
2.5.1.6 NEW BUSINESS SUPPORT
¢ Another revision of the SAP-ADS BRD was received clarifying the
requirement and responding to our initial price. This was seen as an order of
magnitude too high. They have now split the requirements into mandatory
and desirable. We must now look seriously at the real costs of developing
grades of service. POCL view this as being simple extensions to EPOSS; we
view this as an outlet stock management system.
e The final version of the National Savings BRD: was output. A useftil technical
review was held with POCL and NS.
¢ POCL professed mild annoyance that the Insurance BRD was not given
priority. Our initial response was submitted.
© There are a large number of entries on the POCL Client Take-on Plan. We
have to find ways of organising.these into groups to avoid treating each
Client as a unique and costly opportunity.
e The EFTPOS Statement.of Requirement.is being reviewed by Design.
2.6 OTHER TEAM ACTIVITIES
irrelevant
e The design study has progressed to an outline design, timescales and costs.
End-to-end data integrity is of, major concern to DPAG and a considerable
time was spent describing the Pathway solution in this area. A significant
amount of report writing remains to be done (in German) and ICL Germany
will continue to need substantial follow up support from ICL Pathway.
e A number of detailed technical and design questions will need to be
addressed in the future, including the relationship between the Pathway
solution and the use of Escher Cashier Script and Asset Manager. An initial
outline design for the external authorisation transactions (Postbank) was
derived but will need further discussion and refinement (including possible
support for PIN Pad devices by the Peripheral Broker). We are being
hampered by the lack of design documentation particularly in relation to
EPOSS.
e DCH gave a presentation on ICL as a system integrator to the Black Forest
Group conference, drawing on examples of secure messaging systems.
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3 CURRENT CRITICAL PROBLEMS
e None
4 ISSUES
© We are now dependent on technical.documentation being available for use
during the Acceptance sequence.
e If DPAG is qualified as a major sales opportunity it will need substantially
more bid effort, including Pathway support. FJ/ICL Germany is essentially a
PC sales organisation whose main interest is to displace SNI as supplier of
20K PCs. The DM300m opportunity includes hardware, software,
implementation, rollout, training, but excludes support and operations.
5 COSTS
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Service
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1 MONTHLY SUMMARY
1.1 OPERATIONS
1.1.1 RELEASE 1A (IGL-2)
© There were few problems with the operational running of IGL. The service
continues to run successfully:
1.1.2 RELEASE 1B
e A total of six software fixes have been applied successfully to the live estate
in late June. These include the switching on of Maestro, two data centre
fixes and two counter fixes. Both the process and the actual installations
were successful.
© The counter fixes addressed the ISDN card and OBCS stop file problems
both of which were highly visible to the ctistomer and the cause of some
serious concern.
e The software fixes applied to the counter systems marks a milestone in our
systems management capability in that this was.the first real application of
software distribution using Tivoli SMS. The regression path was also tested
successfully.
1.1.3 RELEASE 1c
© Work continues to develop the Release 1a and 1b to Release’ 1c migration
plan.
© Model Office Rehearsal has:started and the operational requirements on
our suppliers have been identified. De La Rue are already providing cards
but full service from other suppliers is not planned until MOR2.
1.2 BA & POCL SERVICES
© New phone numbers for the Girobank Helpdesk have been identified as per
the changes initiated by OFTEL.
© Tenders for the “Freepost service” and “Temporary Tokens Supply service”
are awaited from Girobank.
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1.3 CUSTOMER SATISFACTION
© Results from the four Release 1b POCL Focus Events show that the overall
views of the system are good and confirm that there is considerable
goodwill from sub-postmasters towards the Horizon system.
© The communication, user awareness, support and training were all highly
regarded. Concerns however were expressed on some aspects of the on-site
Post Office work - e.g. having survey, site prep and installation on the same
day of theweek, late arrival of workers, and the presence of too many
managers - action plans have been produced to address issues raised.
© The next POCL Research Services activity is a telephone survey of.some
100 Post Offices - results will be.available in July.
e The level of satisfaction with service visits remains high (90% of answers on
the Feedback Cards expressisatisfaction) with some-very positive comments
having been written,
© On the few occasions that there is a negative comment, these are followed
up through the service supplier - engineer arrival time features most.
@ A new issue is that sub-postmasters are expressing concern over their phone
bill for having to ring the Horizon System Helpdesk - this has been
discussed with the PDA.
1.4 RELEASE MANAGEMENT
1.4.1 PROCESS AND PROCEDURES DOCUMENTS
© The Release 1c PPD set was been issued and comments received back.
© The Release le PPD set is currently awaiting review by the PDA. A sample
section of the. EPOSS PPD has been produced in the new format required
for Release Le. We are awaiting feedback from the PDA.
11.4.2 RELEASE AUTHORISATION AND DISTRIBUTION (RAAD)
e The RAAD forum is in place and meets weekly or as required.
© The process for Software Fixes is in final draft. Its aim is to ensure that
changes to the live environment are controlled, auditable and have
acceptable risk.
2 The process covers the activities of the RAAD Manager, the RAAD Forum
and those of each affected unit (SMC, SSC, CFM ops/ 3rd line,
Development, T&I, CM) which are necessary before the RAAD Manager
will accept the change.
© The processes for each unit have been agreed and the final version is in
circulation. for acceptance.
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© A management report detailing all scheduled Software Releases is published
weekly.
© The name ‘Release, Authorisation and Distribution’ has been introduced to
differentiate this activity from the Release Management Process which
covers change control and amendments to the-contractual 6-monthly
releases.
1.5 MANAGEMENT INFORMATION SERVICES
1.5.4 SERVICE LEVEL MANAGEMENT
@ This month’s meeting was postponed by the PDA however, work has
continued to develop the reports format and review structure.
1.5.2 WORKLOAD VOLUMETRICS
© Continual changes in the programme have required us to make new
predictions for workload volumes.
1.5.3 RECONCILIATION
@ No problems in June with the IGL daily reconciliation although an
encashment was repudiated by the BA. This has proved to have been caused
by.a post master not following fallback procedures and issuing a manual
receipt when the receipt printer had failed. Both the fallback and the
training processes will be reviewed to determine if this problem may be
avoided in future.
@ Transaction volumes for OBCS have now exceeded 300,000 since Release
1b commenced in early May.
© The fallback and recovery processes for Release 1c has been agreed.
e A working interface has been established with CAPS Process Definition
(Newcastle) and with POCL (Chesterfield).
1.6 PROCESS MANAGEMENT
es OPERATIONAL PROCESSES
© Construction of Release lc’support processes commenced using earlier
‘steady-state’ process models as a starting point. Top level end-to-end
process views have been constructed to provide a framework for Release
Management and third line support functions
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© The support processes have now been aligned with the Service Code of
Practice (SCOP) we agreed with the PDA. This action will provide a
compatible overall solution and ensure that.common terminology is used by
all parties.
1.6.2 BPS PROCESSES
© BES and APS counter transaction times were reviewed with POCL
“Efficiency and Process Support” representatives and agreement was
teached on times attached to manual activities.
© A working level interface has been established with CAPS Process
Definition (Newcastle) and.joint development/validation of Pathway/BA
reconciliation processes progressed and the latest BA business models
obtained. :
© The Payment Card Helpline (Bootle) was provided with an overview of the
proposed reconciliation process. The new process involves additional
PCHL activities. The proposed process also introduces a new call type to
the Horizon Systems Helpdesk. A Change Request will be submitted
following a process walk through on 2" July.
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2.4 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE FOR
COMPLETION DURING JUNE 1997
WBS Description Previous I Current I Progress Status
. >» I Complet
No Complet’ I ¥ De
n Date n Date
61.14 Draft Temporary Token Volumetries 16-Jun-97] 27-Jun-97 I Complete at high level and reviews
continue.
61.244 Review and Accept Card Design Tech. I 02-Jun-97 I 30-fun-9% I Continues
Spec. 15 Jul 97
6.1.2.7.9 Release Ic BA Live Personalisation 05-Jun-97 I OSfen-92 I Continues
Data from CAPS to ICL Data Centre
14 Aug 97
6.12.7.11 Release fe BA Cards (Initial Batch) 09-Jun-97 I OF fub9% I Continues
available 11 Aug 97
6.1.2.8.1 Model Office Personalisation Data 05-Jun-97 I 05-Jun-97] Started and continues through Model
from CAPS to ICL. Dara Centre Office
6.12.84 First Model Office White Cards 09-Jun-97 I 09-Jun-97 I Complete
available
6.1.2.10.14 I Welsh Language Personalisation Data I 05-Jun-97 I @5fen-9% I Continues
from CAPS to ICL Data Centre
14 Aug 97
6.1.2.14.9 Final PDA Approval of Release 2 PUN I 30-Jun-97 I 30-fen-97 I Continues. Design change for PUN is
Design (English) 30 Sep 97 I Pending
6.1.2.14.22 I Final PDA Approval of Release 2 PUN [30-Jun-97 I 36-fen-9% I Continues. Design change for PUN is
Design (Welsh) 30 Sep 97 I Pending
6.1.2.15.3 Model Office PUNS available 20-Jun-97 I +e-Aug-9? I Complete
30 Jun 97
6.1.2.18.3.8 I Release I Delivery Service (Cards & 13-Jun-97 I 11-Jul-97 I Continues
PUNS) Procedures Review and Accept
6.12.18.4.3 I Release I Delivery Service Temporary I 09-Jun-97 I 07-Jul-97 I Continues
Tokens) Procedures Review and Accept
6.1.2.18.6.3 I Delivery Service Monitoring Facility 26-Jun-97 I 30fen-92 I Continues
available (through HD @ Rel2) 1 jul 97
6.1.2.20.1.4 I Customer Service to D.S.S Process 19-Jun-97 [17-Jul-97 I Continues
Issued
6.2.2.3 Format of MIS reports 30-Jun-97 14-Jul-97 I Continues
64.104 SMC Service - Management Review 06-Jun-97 I 04-Jul-97 I Continues
Complete
a 2 reney Blan Doe Fe fen? I O94feh92 I Deleted activity; No requirement to
with PDA, agree with PDA covered by
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WBS Description Previous I Current I Progress Status
No. Complet’ Complet
n Date n Date
‘Acceptance
6.6.33 Contingency Procedures for BPS 16-Jun-97 I 18-Aug-97 I Continues
Relative to 1e(CAR 746/2)
6.6.37 BA POCL. Agree Strategy of moving 06-Jun-97 I 21-Jul-97 I Continues
IGL sites to Ie
6.6.43 Define HD Contingency Plans for loss [09-Jun-97 I 09-Jun-92 I Continues
of facilities (Regt 889-2) 15 Jul 97
A Dea BA(BPS} Pro 3Oen 9% I OF Feb92 I Temporarily suspended activity
foespenctectentilferly)
APE Operational Proeedtires O+}en9? I O2fah9? I Temporarily suspended activity
documented tarrspendert rel haw
RHA
2.2 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE TO
COMPLETE DURING JULY 1997
WBS Description Current
No. Complet’n Date
6.1.2.7.11 I BA Cards (Initial Batch) available Ob ful 97
U1 Aug 97
6.1.2.10.14 I Welsh Language Personalisation Data from CAPS to ICL Data Centre O35 ful oF
18 Aug 97
6.1.2.11.14 I War Pensions Personalisation Data from CAPS to ICL Data Centre 03-Jul-97
6.1.2.12.14 I War Pensions Welsh Personalisation Data from CAPS to ICL. Data Centre 03-Jul-97
6.1.2.14.9 I Final PDA Approval of Release 2 PUN Design (English) SO fen 92
30 Sep 97
6.1.2.14.22 I Final PDA Approval of Release 2 PUN Design (Welsh) 30 fan 92
30 Sep 97
6.1.2.17.1.3] Temporary Token Process Issuel Review and Accept 21-Jul-97
61.2. Review and Accept Delivery Service Process 01-Aug-97
6. Release I Delivery Service (Cards & PUNS) Procedures Review and Accept 11-Jul-97
6.1.2.18.4.3I Release 1 Delivery Service (Temporary Tokens) Procedures Review and 07-Jul-97
Accept
6.1.2.19.7.1I PASICMS Helpdesk (MO) Service Available O1-Aug-97
1
6.1.2.20.1.4] Customer Service to D.S.S Process Issued 17-Jul-97
6.2.1.13.1 I BA/POCL MIS Reporting Requirements 07-Aug-97
62.23 Format of MIS reports 14-Jul-97
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WBS Description Current
No. Complet’n Date
6.4.10.4 SMC Service - Management Review Complete 04-Jul-97
Review and Agree Acceptance Criteria with PDA 04-Jul-97
BA POCL Approve Customer Services Manual 25-Aug-97
BA POCI. Agree Strategy of moving IGL sites to le 21-Jul-97
SLA Commences 18-Aug-97
Work is continuing on Release 2 and handshake and Level 1 milestones will be
included within this report on completion of the integrated Release 2 plan.
3 CURRENT CRITICAL PROBLEMS
e None.
4 ISSUES
© The re-plans and subsequent knock-on to volumetrics continue to critically
impact our Suppliers and our relationships with them.
© Concerns over the quality of DSS address data continue to affect the service
Royal Mail are prepared to offer.
© Progress on the installation and connection of Girobank Helpdesk software
for Ric has been very slow. Familiarisation and documentation has begun
using one PC but Girobank are rebuilding the other two.
5 PERSONNEL
¢ Personnel is to run a Sunday Times advert for outstanding CS vacancies
although internal sources continue to be actively trawled.
© Mik Peach joined on 23 June and takes on the management of our System
Support Centre.
© Paul Westfield joined on 2 June and takes on the management of our
Information Systems and Process Engineering team.
e Brian Ford and Janet Beard have transferred to CS from Programmes and
now report to Paul Westfield.
© Martin Molloy joined on 23 June to assist Peter Burden in managing the ICL
Sorbus and ICL CFM contracts.
e Helen Pharoah took over from Caroline Freer on 30 June. Following a one
week hand-over, Helen will be responsible for the production and day to day
management of the PPD set.
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© Arrangements are being made to transfer the responsibility for Operational
Testing of live service systems to CS from Programmes T&I. A new team will
be established reporting to Martin Riddell.
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6 SUMMARY IGL / 1B SERVICE REPORT - JUNE 1997
6.1 BENEFIT PAYMENT ANALYSIS
6.1.1 PAYMENT / ENCASHMENT BREAKDOWN BY VALUE - JUNE 1997
Unencashed Pmts Rec’d Stops & Encashments_ I Unencashments
B/F Expiries C/F
£31,727.75 £109,839.45 £669.50 £113,521.40 £27,376.30
6.1.2 PAYMENT / ENCASHMENT BREAKDOWN BY VOLUME - JUNE 1997
Unencashed Pmts'Rec’d Stops & Encashments I Unencashments
B/F Expicies C/F
970 3541 27 3560 924
6.1.3 PAYMENT / ENCASHMENT BREAKDOWN TO 30/6/97 - BY MONTH
Payments Received
Stops & Expires
Encashments Made
Month Number Value Number Value Number Value
96/09 30 £530.00 0 £0.00 19 £372.20
Sept
96/10 Oct 150 £3,048.30 4 £62.80 132 £2,634.00
96/11 630} £16,987.50 7 £123.40 550 £14,920.20
Nov
96/12 Dec 1769 I £52,024.40 22I £423.60 1468 I £43,241.60
97/01 Jan 2096 I £62,726.60 21 £462.20 2161 £64,688.70
97/02 Feb 3675 I £110,337.00 47 I £1,198.30 2694} £81,525.30
97/03 3339 I £102,626.30 56 I £1,300.80 3599 I £109,528.90
Mar
97104 Apr 4530 I £124,614.65 65 I £1,671.85 4497 I £124,587.95
97/05 3336 I £103,320.95 31 I £1,048.30 3212] £96,697.85
May
97/06 Jun 3541 I £109,839.45 27) £669.50 3560} £113,521.40
Total 23096 I £686,055.15 280 I £6,960.75 21892 I £651,718.10
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6.1.4 PAYMENTS / ENCASHMENTS BREAKDOWN TO 30/06/97 - BY QUARTER
Payments Received Stops & Expires Encashments Made
Quarter Number Value Number Value Number Value
96/3 30 £530.00 0 £0.00 19 £372.20
96/4 2549 I £72,060.20 33] £609.80 2150] £60,795.80
97/1 9110 I £275,689.90 124 I £2,961.30 8454 I £255,742.90
97/2 11407 I £337,775.05 123 I £3,389.65 11269 I £334,807.20
Total 23096 I £686,055.15 280 I £6,960.75 21892 I £651,718.10
6.1.5 PEAK ENCASHMENT DAYS TO 30/06/97
Date ~ Day Number Value
97/06/16 Mon 351 £12,010.82
97/06/23 Mon 355 £11,839.55
97/06/02 Mon 357 £10,993.55
97/06/09 Mon 361 £13,615.40
97/03/17 Mon 362 £12,714.30
97/04/21 Mon 388 £11,256.80
97/04/07 Mon 407 £10,719.50
97/04/14 Mon 459 £13,255.20
97/03/24 Mon 468 £14,645.80
97/05/19 Mon 612 £20,907.00
97/04/28 Mon 694 £19,739.50
Days 11
6.2 FOREIGN ENCASHMENT ANALYSIS
6.2.1 FOREIGN ENCASHMENTS BY TYPE TO JUNE 1997
Type Number
Foreign Encashments made at Post Offices I 22
Foreign Encashments made by Payment 110
Card Helpline
Total I 132
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6.2.2 FOREIGN ENCASHMENTS TO 30/06/97 - BY MONTH
Month Number
96/10 Oct 4
96/11 Nov 8
96/12 Dec 14
97/01 Jan 16
97/02 Feb 34
97/03 Mar 34
97/04 Apr 62
97/05 May 5S
97/06 Jun 132
Total I 379
6.3 HORIZON SYSTEM HELPDESK CALL ANALYSIS
6.3.1 CALLS RECEIVED TO 30/06/97 - BY MONTH
Month Number
96/09 Sept 10
96/10 Oct 28
96/11 Nov 47
96/12 Dec 39
97/01 Jan 70
97/02 Feb 71
97/03 Mar 132
97/04 Apr 239
97/05 May 735
97/06 Jun 966
Total 2337
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6.3.2 CALLS RECEIVED TO 30/06/97 - BY QUARTER
Quarter Number
96/3 10
96/4 114
97/1 273
97/2 1940
Total 2337
6.4 PAYMENT CARD HELPLINE CALL ANALYSIS
6.4.1 CALLS RECEIVED TO 30/06/97
Month Number
96/09 Sept 6
96/10 Oct 83
96/11 Nov 191
96/12 Dec 243
97/01 Jan 344
97/02 Feb 463
97/03 Mar 305
97/04 Apr 402
97/05 May 306
97/06 Jun 401
Total 2744
6.4.2 CALLS RECEIVED TO 30/06/97 - BY QUARTER
Quarter Number
96/3 6
96/4 S17
97/1 1112
97/2 1109
Total 2744
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6.5 OBCS TRANSACTION ANALYSIS
6.5.1 TRANSACTION VOLUMETRICS - JUNE 1997 (ALL TRANSACTIONS)
Accepted I [mpounded Invalid Unreadable Total
Encash 203907 1125 1 164 205197
Issue 16112 63 1 63 16239
Non- 9257 0 0 0 9257
Barcoded
Re-direct 648 0 1 4 5
Receive 20309 115 15 65 20504
Total 250233 1303 18 296 251202
6.5.2 TRANSACTION VOLUMETRICS - JUNE 1997 (FOREIGN TRANSACTIONS)
Accepted I Impounded I Unreadable Toral
Encash 29441 261 56 29758
Issue 304 2 2 308
Receive 4342 27 15 4384
Total 34087 290 73 34450
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6.5.3 ACTIVE CARD VOLUMETRICS - IGL
Month End Beneficiaries
(Active Cards)
30 Sep 1996 14
31 Oct 1996 76
30 Nov 1996 253
31 Dec 1996 578
31 Jan 1997 830
28 Feb 1997 1124
31 Mar 1997 1289
30 Apr 1997 1281
31 May 1997 1155
30 Jun 1997 1285
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Quality & Risk Report
1 MONTHLY SUMMARY
e FRM progress. Fraud Liability Apportionment definition and negotiation
with PDA continues to take up considerable effort. There was.also
considerable debate over the list of identity documents for card issue. The
issue that there will be no targeting of EVP for Release 2 has been raised and
some concessions will probably have to be made. Training and installation of
equipment for Girobank continues to plan.
e Risk Management. A Risk Report for Fujitsu has been produced. Work has
begun on a BRD Risk Process.
¢ System Security. The SFS and ACP are being updated to take into account
solution changes. Security Audit / Event Management is receiving-much
attention, with definition of requirements and design ongoing.
Documentation of Security processes has made good progress. Work on
Access Control products continues, with roles definition for COSManager
and the SecurID change approved. Considerable effort, has also.been
provided to support testing of security by Bracknell, which has made very
little progress and is a major risk.
© Quality..Subcontractor Quality Plans and reviews continue. The main issue
arising during the month concerned Exel, with an audit of some of their
installation procedures, and the subsequent discussion of improvement needs
with them.
¢ Process Development has resumed; progress is being made in Customer
Requirements, Reference Data Management, End to End New Business and
Commercial processes.
e Process Audits. Audit Report and Improvement plans for Development and
T&I are being completed and discussed; main areas of concern include
documentation and test records.
e Audic. General audit requirements and design are being addressed;
experience of external companies sought.
¢ Considerable work again this month on Acceptance Specifications. The
Security Acceptance Specification reviewed by PDA and some minor
amendments:are to be made.
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2.1 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE FOR
COMPLETION DURING JUNE 1997
WBS No. Description Previous Current Progress Status
Complet’n Complet’n
Date Date
9112 Develop Disaster Recovery Procedures 30-Jun-97 Delayed due to higher
priorities; will be replanned
9.1.2.16 Agree Process for Fraud Liability . 30-Jun-97 Delayed; agreement of
liabilities taking more time
than planned.
9.3.1.7.3 Review and Agree Audit Policy A 30-Jun-97 Delayed; will be replanned.
2.2 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE TO
COMPLETE DURING JULY 1997
WBS No. Description Current Complet’n
Date
9.3.21 Analyse Special Risks 31-Jul-97
9.1.2.22 All Mitigation on WBS 31-Jul-97
9.3.1.14 Re-issue and agree Security Functional Specification 31-Jul-97
Work is continuing on Release 2 and handshake and Level 1 milestones will be
included within this report on completion of the integrated Release 2 plan.
2.3 FRAUD RISK MANAGEMENT
e The Extended Verification Process Requirement. A letter has been sent to the
PDA stating that there will be no targeting method for EVP in R2. First
reactions suggest that Pathway will have to make concessions in that EVP is
available for all Temporary Tokens and some form of EVP is made available
for Carded Casual Agents.
e Review of FRM Release strategy. Confirmation is now required PDA that the
equipment to be used for FRM report receipt by the PDA will be funded by
the Contracting Authorities.
© Training for Girobank. The hardware for Girobank staff has been installed;
Business Objects will be installed 2/7/97 and a test database on 8/7/97.
e Internal FRM procedures:
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Fraud Incident Categorisation. Final review is being
undertaken.
¢ Fraud Liability Apportionment. Considerable time has been spent in defining
the first draft liability matrices which have been sent to the PDA and
comments have been received. The PDA review has identified that Card Issue
liability rests 100% with Pathway. The sub contract with POCL for card
issue does not provide at this stage facility to transfer this risk. Negotiations
continue in this area:
¢ Further areas of work continue to be identified. A particular requirement is a
document detailing the rules for the charging for investigation (both
reconciliation and repudiation). This is expected to be a significant amount
of work.
® Accritical problem in the.Card Issue area arose. There was a dispute with the
PDA over whether the list of ID documents to be used for card issue was
sufficient to allow all Customers to collect the card. without undue effort.
This has now been resolved with Pathway accepting the additional fraud risk
associated with the weaker documents being included in the list.
© In-recompense for accepting this additional risk the BA will supply Pathway
with the year of birth as an additional EVP item. To prevent the sensitivity
factor (eg OAPs not wishing to give YOB) only the final digit of the YOB will
be used.
¢ Procedures for impounded,cards. PDA formal review comments were BY
received 5/6/97. These have been‘ reviewed and a response formulated.
e Fraud Incentive Reward Scheme. The PDA has been chased on a number of
occasions. The document has still not.been received by Pathway.
2.4 RISK MANAGEMENT
e Pathway Risk Report, Version 4.0 for Fujitsu was produced. The key
conclusions were:
The removal of two risks and successful implementation of
relevant mitigation actions has reduced the impact / probability
of 9 other risks.
Asa result, the current risk exposure has reduced from.£56.8
million at the end of April 1997 to £51.2 million at the end of
May.
The previous estimate of exposure was a fall of £14 million
associated with the implementation of Release 1c. The delay
from the end of June to mid August 1997 has caused in
increased risk profile of £8.7 million.
The reduction of risk exposure on implementation of Release
Ic is now estimated at £12.4 million. This higher exposure is
not fully recovered until December 1997.
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° A first. draft of Release 2..A’formal review of the risks was carried out with
the management team 23/6/97.
e BRD Risk Process; work is progressing - a major objective for July
2.5 SYSTEM SECURITY
2.5.1 DOCUMENTATION
¢ Security Functional Specification. Version 2.2 of the SFS has been issued for
internal review. A CP will need to be raised for this version prior to despatch
to the PDA (as Version 3.0) for official review.
¢ Access Control Policy. Work continues to revise the ACP in the light of
changed system solutions.
© The Post Office document “I.T. Equipment Room Security Standards” has
been received and reviewed. It describes PO standards for Data Centres and
is the benchmark against which the PDA will audit Bootle and Wigan.
2.5.2 CRYPTOGRAPHY
“e New IGL Rambutan keys (DEKs & KEKs) have been received from CESG.to
refresh the:initial IGL key values. (Since IGL has been extended, the initial
keys are in danger of iniminent expiry)
2.5.3 SECURITY MANAGEMENT
e An Audit/Security Event Design meeting was held with CFM-Sorbus and a
high-level design has been agreed utilising Tivoli as the security event
management solution.
e The initial definition of security events has been refined.
e Barry Procter visited Simon Royal, the IT Security Manager at-Camelot, to
discuss security event management and PACE certification. As a result a draft
PACE certificate for Pathway has been produced.
¢ Good progress has been made on documentation of the security processes
including Password & User id Controls, Physical Access to Pathway Sites and
SecurlID & PIN Management.
2.5.4 SECURITY SOLUTION
e Jeremy Folkes; Dave King and Gareth Lewis.of the PDA paid an initial visit
to the Bootle:and Wigan.Data Centres (See Issues below).
¢ The procurement-and installation of the firewalls identified in the Network
Security Report is in progress.
¢ A workshop was held with Oracle to review and agree the roles matrices for
Release 2.
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¢ A workshop was held with Sequent and CFM’to review and agree the roles
for COSManager. Subsidiary workshops are still taking place to create and
populate the roles.
© The CP for Security Dynamic’s ‘SecurID’ one-time passcode device was
approved for le.
e During June, considerable effort has been in support of testing of security by
Bracknell:
A workshop was convened to urgently review and rework the
original TSC.NT configuration scripts. AMP Systems have been
contracted to build new scripts for all Data Centre NT Boxes.
Considerable effort has been spent on outstanding PinICL’s and
as a result a.new PinICL stack has been created ‘Security
Policy’.
e Specific queries from the Post Office regarding the security environment for
National Savings have been addressed.
© Various ongoing PDA issues have been addressed and resolved, others persist
and will be tackled as and when. resources permit.
2.6 INTERNAL SECURITY
* Proposals for the physical security of FELO1 have been revisited and
improvements suggested. With Pat Reid to progress with Group Security.
2.7 QUALITY
¢ QMS Documentation. Support has been given to a review of the Change
Control process; a modified process was agreed; to-incorporate a Design
input to all CPs prior to wider distribution for impact analysis. This should
reduce delays arising from incomplete information.
© Plans have been received from WTL, Ithaca, Welch Allyn and Microtouch
and reviewed. The Energis contract has been.éxecuted using an Energis pro
forma contract which requires operation “within an ISO 9001 framework”
without specific requirement for a Quality Plan. This is considered acceptable
for the services they provide within an existing operating network. Quality
Plan requirements have been reviewed with the contractor employed by
Sorbus to complete their plan.
e Sub-Contractors Reviews. Action has been taken as a result of the DQA
Report reviewed with Exel. A mini-audit.of their instructions concerning
vehicle security and the related training records was carried out and the DQA
action closed. Actions arising from the DQA Report and the POCL Reséarch
Report (see below) were reviewed with WTL and incorporated in the Issues
Working Group action list. A Quality Plan was expedited via the Quality
Manager.
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© Customer Review. POCL Research Services presented their report of initial
feedback on Horizon implementation from four focus group sessions to the
User Satisfaction Forum. The overall conclusions: are:
overall view of system good, considerable goodwill towards
automation
communications, user awareness events, support and
training are highly regarded
activity in offices least favourably viewed: late arrival of
workers, too many managers and poor communication
between groups.
Pathway have accepted actions against 6 of the 10 Recommendations with
POCL/TTSA actioned on the remainder.
© Quality Assurance - Documentation. Review of Acceptance Test
Specifications has completed. Consistency of presentation by different
authors was reviewed and differences highlighted for attention during the
revision / issue cycle. Review meetings with thé PDA teams were chaired for
APS, TIP and Reference Data ATS.
e In addition there has been renewed activity on reviews and revisions of
contract related documentation:
Schedules A02
Process for review of Controlled Documents
PDA listing of Controlled Documents
ITSA documentation of Reference Data and Equipment
Indicator processes
Draft POCL contract for card issue
© Other reviews included:
Release 2 Risk Assessment
Draft-PACE Certificate
2.8 PROCESS MANAGEMENT
¢ Process Audits (D/I/T). Development Audit Report and Improvement Plan
was. reviewed in the light of the reorganisation of Design / Development.
Documents have been revised and issued (at last), The Test & Integration
Audit Report and Improvement Plan preparation is in hand. There has been
slow progress-addressing gaps in test records.
e Develop Customer Requirements Processes/CARs. A written reply from PDA
has finally been received, which, contrary to the verbal agreement given twice
beforehand, queried elements of the process. The principle that.CARs will
have a life after Release 2 has been established. To be taken up with John
Dicks.
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e Reference Data Management. Progress on the Change Catalogue has been
good. V0.6 has been received and responded to and a follow-up session held
to discuss queries. Discussions have started with the.Implementation group
about outlet changes and AP client changes and with Development about
icons and menus which may change asa result of EPOS product changes.
e Upgrade On-Line Standards. Release 7 was made on the 1* July introducing
changes to the Development Method for Release 2, T & I processes for
Release 1e and introducing a new Employment Termination process.
¢ Commercial. Work on the Purchasing Process has started.
e End-2-End New Business. Comments have been received and the process.and
BRD product description are currently being updated. A session PDA has
been held resulting in a better understanding by both:sides as to what the
process is attempting to achieve.
e Develop Release Management. 45 comments have been received spread
between the process and the RCD, which are currently being reviewed.
2.9 AUDIT
e General Audit Requirements are being developed, building on the work that
has already been done for Security Audit. Audit design is being reviewed to
provide an interim solution for Release 1c, which will enable information to
be stored and retrieved (even if by relatively manual methods), and
experience gained on the likely alarm and reporting requirements.
© Cainelot and HPS were visited, with the main objective:of discussing their
experience and set up of audit.
e Audit schedules and processes are being developed in order to ascertain
resource requirements.
2.10 CRISIS MANAGEMENT AND INSURANCE
e No progress this month.
2.11 STAFF
e Lindsey Gibson joined Pathway on 30" June as Risk Administrator.
2.12 ACCEPTANCE
e The Security Acceptance Test Specification. has been reviewed..A small
number of mainly minor amendments have been agreed and it will be
released as V1.0 for sign off early in July.
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2.13 SUPPORT ACTIVITIES
e None
3 CURRENT CRITICAL PROBLEMS
© Security testing in Bracknell is significantly behind target, due to rig’and
configuration script problems. The management of the function is not very
proactive or responsive, and considerable effort is being put in to support the
activity. It is very high risk that could influence.delivery timescales.
e There is a potential extreme resource shortfall to complete activities for
Releases 1c, le and 2.
4 ISSUES
e Auditing has not yet been enabled on the Sequent machines. Sequent have
given an assurance that reconfiguring and recompiling the Dynix kernel will
not adversely affect previous test results; however there is still a concern that
the performance and capacity issues havé not been addressed. It is vital that
all audit events are logged now.
¢ The physical security work agreed for Bootle and Wigan in January of this
year has not been completed. Structural work,.critical to the segregation of
the Wigan Data Centre, is likely-to be undertaken whilst production services
are running. The PDA are preparing a report on their visit which I will
circulate when I receive it.
5 COSTS
¢ No relevant information is currently available in sufficient detail to- report
on costs against budget for May.
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1 SUMMARY
1.1 GENERAL:
1.4.1 CUSTOMER EDUCATION:
¢ As predicted last month, no approval for direct mail was forthcoming from
the CAPS Board. This has actually left the PDA somewhat embarrassed.
However, we have now submitted the Change Requests so the full financial
impact is understood. Next moves area meeting with PDA (3/7) to ensure
full understanding:of our proposal to be followed by a commercial meeting
to discuss apportionment of additional costs. I do believe that BA are
attempting to get Pathway to foot the bill on this one, as they themselves
have not budgeted for it - basically it dropped down a deep hole. A further
meeting with Commercial arranged for 8/7.
1.1.2 BUSINESS DEVELOPMENT:
© Progress is severely impacted by programme delays. Account teams are
uncertain about dates - this means they cannot communicate accurately to
their clients. National Savings and EFTPOS continue as the top priority
items. We have managed to raise the Mails profile such that Director level
discussions are taking place to agree a way forward. Mails became clagged
because of internal politics. We must get an agreed project plan again that
we can relay in confidence.
1.1.3 MIGRATION
© We have managed, I believe, to bring the Migration issue back on track
following the letter from PDA suggesting that the agreed approach would
necessitate additional funding of £4.5m. The latest approach will involve
modifications to-an already developed software tool and some additional
notebooks (potentially brought forward from the mobile:office lot).
1.1.4 USER AWARENESS
© User Awareness and its positioning in the programme continues to be an
issue. We now have an agreed Pathway position and have worked out a
campaign plan to sell to. PDA and POCL.
e Presented a User Awareness event to the Executive Council of the Federation
of Sub-postmasters in Malvern. A very successful event gaining their total
support for the importance of the event.
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e We attended the Government Computing 97 exhibition in Westminster on
18/19 June as part of the ICL stand. Demonstrations of the Pathway system
were very well received.
¢ BBC Radio Gloucester interviewed Dave Miller, Reg Barton and myself for a
follow-up piece on an IGL office. Overall broadcast proved very positive but
realistic.
¢ Attended the ICL presentation to National Savings (OJEC notice response).
Very positive feedback received and potential for POCL and maybe Girobank
to play into the overall response.
2 PROGRESS
2.1 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE FOR
COMPLETION DURING JUNE 1997
WBS No. Description Previous Current Progress Status
Complet’n Complet’n
Date Date
The Communications plan for Release 1 is currently on hold.
2.2 LEVEL 1 MANAGEMENT OR HANDSHAKE EVENTS DUE TO
COMPLETE DURING JULY 1997
WBS No Description Current Compler'n
Date
10.6.2 Advertising Media Preparation 33-Jan-97
10.6.2.10.3 [Computer Disk - Client approval 26-Jun-97
10.6.2.1.15 [Leaflet - Repro client signoff 16-Jun-97
Work is continuing on Release 2 and handshake and Level 1 milestones will be
included within this report on completion of the integrated Release 2 plan.
2.3 MARKETING COMMUNICATIONS
2.3.1 CUSTOMER EDUCATION
¢ The new approach to communication has received both PDA and sponsor
endorsement. In addition, ICL Pathway has been requested (is expected) to
communicate subsequent benefit migration.
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¢ The implications of the new communication requests are now receiving full
commercial consideration within ICL Pathway and the PDA.
© The commercial impact of the benefit migration change request, the branding
and special need requirements is circa £12 million: this is.in addition to the
current scorecarded budget (£8.4 million of this total is the cost of increased
BA demanded, direct mail required for the communication of subsequent
benefit migration)
e Iris likely that the PDA will not be in a position to proceed with the
communication proposals as they currently stand-A period of intense
negotiation is expected and itis probable that the time this takes will impact
the delivery of any communications in 1998.
© The working relationship with the PDA is improving but still shows a
tendency for them to request we pay for items not obviously covered in our
solution; collateral to employment-services offices is the latest manifestation.
Ic is very helpful if there is a quick “commercial arbitration” within ICL
Pathway to establish if their request is fair (regardless of whether budgeted
for).
e Minor success this month on getting all customer.education-deliverables to
show (and visibly carry) an ICL copyright; achieving-agreement to no
advertising in 1997: and acceptance of a leaflet (rather than a low-quality
factsheet) for special interest group initial communication.
2.3.2 SPECIAL INTEREST GROUPS
¢ Work is embryonic on sorting the events required for 1997 - two drop-ins in
each region (NE & SW) to happen in mid-to late August: planning can only
start when 97 roll-out is agreed. This year we will also produce the stands
(for drop-ins) and one issue of the:national newsletter.
2.3.3 PRESS PLANNING
e A press pack aimed at all POCL regions has been produced.
e Key activities for 1997 will be in organising the regional briefings. It is also
important that all regional teams of the BA & POCL organisations get to
meet each other and understand the programme. If we achieve success here
we can avoid journalists playing “both ends against the middle” in negative
situations.
e So far'we, in ICL Pathway, have studiously avoided any press coverage on
our activities. In so doing we have avoided any mention in the external/media
domain of any project variances.
¢ This profile (whether coverage is ICL Pathway or ICL generated) will be
maintained until the roll-out is agreed and we have a proven approach and
position to communicate. I do not see this situation changing in 1997.
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2.3.4 INTERNAL COMMUNICATIONS
* Good progress sustained. Headway beginning to be made in POCL as to how
the NFSP are handled.
© The issue of clarity over the next stage means that communication is
necessarily limited: it is riot healthy for this situation to continue for a
prolonged period of time.as POCL.& BA staff will become confused and
Tumours may start.
2.4 BUSINESS DEVELOPMENT
2.4.1 EFTPOS (DEBIT CARD ACCEPTANCE)
e¢ Commercial meeting taken place to review our commercial proposal and
address concerns: that we were trying to get too involved in POCL’s business.
POCL now comfortable with our motives. Pricing has been requested based
on full on-line authorisation for each transaction (with no ‘hot-card’ file). In
addition we have been asked to undertake a study to determine the potential
for sub-postmasters to use parts of the horizon infra-structure to offer
EFTPOS services for their private. retail business.- these transactions would
need to be ring-fenced from their POCL business. POCL are keen to have a
trial and the project manager is pushing for the use of non-horizon kit.
Delays to roll-out of Horizon strengthen his case for not waiting for Horizon
and rolling outa network of separate kit. We are activély campaigning
against the short-term nature of this initiative.
2.4.2 SAPADS (INVENTORY MANAGEMENT)
e Our initial pricing proposal is seen as being too expensive by POCL.
Accordingly they are reviewing their requirements to identify what is
mandatory and what is only desirable. In addition, they have confirmed
(verbally so far - this will be followed up in writing) that our Management of.
Change activities should be confined to only producing text-for updates to
the Horizon procedure manual. This will remove a major element of cost
from our proposal. The up-side of this re-work is that they are aware that
they can no longer expect functionality in April 98 which clearly would have
been next door to impossible to deliver.
2.4.3 NATIONAL SAVINGS
e The content and structure of letters of intent between National Savings and
POCL, and POCL and ICL Pathway, are being agreed with sign-off expected
from the Board of National Savings in early July. Joint analysis and process
work is continuing to progress well. Key problem here is providing National
Savings with a date for when their requirements can be delivered. Clearly
this is subject to re-plan.
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2.4.4 INSURANCE
e An initial BRD response has been made. All other work on-this requirement
has been scaled down pending POCL confirming commercial viability.
2.4.5 GENERIC BANKING
« Alliance & Leicester remain committed to the re-engineering process,
however the key player from POCL has fallen ill, and there is frustration that
the processes is going backwards in his absence. While the scoping of this
area is between.POCL and A&L, ICL Pathway ‘is being involved.and is seen
as a key player in the process up-front, not just to deliver - this is
encouraging. Again, A&L are getting mixed reports on the current status of
the programme, and are nervous ‘about the impact on their re-engineering
activities.
2.4.6 MARKETING SUITE
e Clients and POCL are very keen to see the EPOS functionality in Release 1E,
and it is:likely that.POCL will soon be pushing to-set-up a new wave of
demonstrations to're-assure clients that the programme is progressing well.
¢ 10 events have been held in the marketing suite this month including 4 Client i
Launch days, 3 Client Launch Preparation: days, anda POCL workshop on
EPOS. In addition, three external presentations have been made
(Parcelforce, Royal Mail, and POCL’s Retail Development.Centre).
© Our presentations continue to be Well received by all clients.
2.4.7 NEW BUSINESS PLANNING.
e All new development is currently on a client by client basis - we need to take
a longer terifi view, and agree a plan of work with POCL which will put in
place generic blocks of functionality which can be used by many clients and
will reduce the time to market for new clients/products. The current 9
month ‘sign-off to delivery’ cycle does not give POCL the flexibility they
need to respond to changing market conditions. POCL, Business
Development, Customer Requirements, and Programmes are working
together to understand the feasibility of this approach.
e The partnership meetings have kicked off again with a view to progressing
the partnership senior management action plans, and the partnership projects
(which represent.the majority of the new/new business). Household
budgeting is receiving a lot of attention, and we need to start taking a view as
to how this functionality can be delivered.
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2.4.8 GENERAL.
¢ As mentioned last month, our-credibility with clients and Account Teams
within. POCL is currently very much tied’to.our ability to manage the
introduction of Release 1. There is a clear need for all information about the
project which is circulated within POCL to be controlled and distributed
from the top with as positive a note as possible. This is as big an issue for
POCL’s senior management as itis for ourselves, as their business case is also
dependant on the clients and Account Teams embracing automation.
2.5 MANAGEMENT OF CHANGE
2.5.1 EVENTS
¢ Management Awareness events have now been completed with the first in the
South East run this month. The other 2 for the SE and the final one for the
SW are under discussion.
« Following the Chesterfield event, a follow up meeting was attended by John
Dicks and I which will result in a further visit to Chesterfield to, follow a
weekly cash account through the process at Chesterfield.
¢ There have been a number of Federation events run including a large one at
Exeter for 140. Whilst we are reducing these events, they continue to be
very well received reflecting the desire for early knowledge and early sight of
the equipment (or in this case the carcass only).
2.5.2 REGIONAL USER SATISFACTION MANAGERS
e A review with. PDA, POCL and the implementation and customer service
teams in ICL Pathway has unanimously agreed the ongoing need for this role.
More work has been done on role definition and the role has been renamed
Pathway Liaison Manager reflecting the new broader scope. Recruitment
plans for 5 more regionally based managers to supplement Greg Couper and
Jacqui Haxton are now on hold pending re-plan.
2.5.3 FRENCH THORNTON
¢ The proposals for a POCL National Implementation Manager and Regional
Implementation Managers should be resolved at the meeting on the 8" and
9" July with the RGM’s. Also under discussion will be the reporting
structure into Mena Rego, Paul Rich and links with other automation
projects. Similarly, the Special Task Force arrangements should be made at
this time. This is a critical piece of work to sort out how POCL owns and
manages the implementation rather than the PDA on its behalf.
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2.5.4 SATISFACTION FORUM
e¢ POCL Research Services delivered and discussed their first output from focus
groups regarding user satisfaction with the implementation process. The’ full
report is available but the summary stated that user awareness and training
had been very well received whilst survey, preparation and installation had a
few issues. All of these issues have been addressed with Barrie. Davies and are
being resolved.
2.6 CLIENT MANAGEMENT
2.6.1 ACCEPTANCE SPECIFICATION REVIEWS
e These continued during the period with involvement in:
Reconciliation
PAS/CMS
CAPS Interface
EPOSS
POCL Infrastructure
e Of note was the MIS Acceptance Specification which was.signed off without
change-and so no meeting!
, © Some of these were only the initial sessions, for instance the POCL
Infrastructure held on 3/7/97 started at 11:00 and finished at 19:00 with a
new date to finish the 31 or so issues outstanding.
2.6.2 NFSP EXECUTIVE COUNCIL
© The briefing to the NFSP Executive Council took place on Monday 16" June
in Malvern. Barry Davies, Lorraine Holt, Jacqui Haxton and Peritas carried
out the presentation and demonstrations.
© The single message Which emerged from dinner with the General Secretary
(Colin Baker) and the President (John Peberdy) was one of communications,
or-rather lack of. There is a lot of interest.and enthusiasm for the project but
improved communications will help a lot. Colin Baker noted that his
communications lines:with POCL have not been maintained. He comments
on this in this month’s Sub Postmaster journal. Next week’s meeting with
Colin Baker and his two Assistant General Secretaries (Liam Foley and
Martin Johnston) wil! enable us to consider how the issue can be’changed for
the better.
2.6:3 GOVERNMENT COMPUTING 18/19 JUNE
e Pathway were part of the ICL theme within the Informed Society with our
demonstration illustrating the “high street.” Wendy and Helen were the
mainstays for the two days. John Wolfe was delighted with our contribution
and particularly with the professional manner of Wendy and Helen.
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2.6.4 CARDS
e Following closely on the sign off of the War Pensions’ cards last month, all
the cards.saw the first changes to their text during this period. The first
instigated by OFTEL was raised by Pathway to establish the new Helpdesk
telephone numbers which will be introduced from 1/7/97. These changes,
affecting all five cards had barely been approved by the PDA when they
taised a CRN (P47) to change the text on the reverse which affected four (all
but NI). De La Rue Card Systems have been most responsive and produced
the proofs which were signed off on 26/6. Costs input to the CRN amount
to £1100 from DLRCS and £1000 from Anna Campopiano for the
communications side.
2.6.5 TEMPORARY PAYMENT CARD
© The design of the text layout, line images and security features (including the
Welsh variants) have been approved by the PDA and we now move to the
more knotty problem of getting the colour mix correct. I would. hope that
this will be:very close’to final approval by the end of July.
2.6.6 POST & TELEKOM AUSTRIA AG
e This opportunity came to a head with the OJEC notice appearing (in
German) and requiring our Statement of Interest & Capability to be delivered
to Vienna by 27/6/97. Subsequent activity revolved around getting Rod
Scott’s statement re insolvency etc. “notarised” and the certificate couriered
out. Similarly with getting a statement from Barclays ‘Bank.
e Ihave heard today that we have successfully qualified to be invited to tender
with three other parties.
© Following the success of our participation at Government Computing we are
very likely to be requested for a demonstration stand atva briefing being set
up for labour MPs in relation to the HMCE PFI bid. Peter Naughton from
Bruce Naughton Wade is also being used by Yatin Mahandru.
« SINGAPORE: We-hosted a visit from Lee Ching Chen, Deputy. Director,
Computer Services from Singapore Post.
3 CURRENT CRITICAL PROBLEMS
¢ Getting a re-plan date that we then stick to and deliver to is top priority.
Business Development is dependant on us delivering the early stage products.
We have delivered IGL and Release 1 but are now missing out: This leaves
the account teams in a difficult position and we trying hard to manage the
news channels - witness twice last week clients were told by POCL that there
was anything from a four to a twelve month slip! Unfortunately they didn’t
say against which baseline.
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4 ISSUES
e Customer Education plods on. I believe we are getting closer and the point
will come shortly where decisions MUST be made..I do not see BA coming
up with appropriate funds, so we will have to look at cutting’ the programme.
There has already been a slight indication of that-in reference to one TV blast
rather than two.
5 COSTS
° To be provided at summary level only by the Programmes Office.
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Organisation and Personnel
1 MONTHLY SUMMARY
© Following the recent organisation reviews there has been a significant
increase in recruitment requirements, whilst.at the same time good progress
has been made in resolving outstanding high profile vacancies in Customer
Service. There are still, however, currently twenty live vacancies across ICL
Pathway .
¢ It was mentioned in last months report that shortfalls in the’ Group
Resourcing process had been exposed by the level of activity. Major effort
has gone into addressing this over the last few weeks. Group Resourcing have
responded positively to requirements and have worked with Personnel to
implement solutions, including the short term provision of Daniel Osmer on
a full time basis to ICL Pathway and a commitment to enhancing the
recruitment techniques employed.
e A Search & Selection organisation, Barratt Webb, has been engaged by ICL
Pathway to resource the business critical‘roles of Development and Test 8
Integration Manager
2 PROGRESS
e There are no handshake milestones affected by Personnel
3 CURRENT CRITICAL PROBLEMS
e Resourcing the Development and Test & Integration Manager roles is high
priority and whilst permanent people are being sought, the roles will be filled
by ‘interim management. Initial delays:in the Group Resourcing process have
undoubtedly impacted. hard on the Programme
4 ISSUES
e As-soon as the result of replan activity becomes clear, it is essential that the
full impact on Manpower Planning is ascertained
e Throughput in Personnel remains very high and steps are being taken to
manage the level of activity most effectively
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1 SUMMARY
e We are now in the final stages of our design study for Deutsche Post AG
which is planned to be delivered on 21" July. Activity this month centred on
a one week joint working session with Fujitsu ICL in Germany involving
David Hollingsworth (full-time) and Alan Ward (part-time) from our side. A
party of 10 from came to the UK for an update from us and a visit to 2 IGL
offices on 26" June. This was well received but new people that DPAG have
brought into the project have missed previous presentations and discussions
will take some time to get fully up to speed.
e Our joint proposal with Escher/An Post/ICL Denmark to Post Denmark has
succeeded in getting us onto a shortlist of 2 along with NCR. The next stage
is development of a demonstration which is to be completed in July.
« We have responded to an RFI from Post and Telekom Austria who wish to
pre-qualify likely suppliers prior to issuing an ITT w/c 7" July. Sterling work
by Martin Johnston resulted in a credible document being submitted in very
short timescales. I plan to use our German team to assist in resourcing the
next stages if we are successful.
¢ Australia Post have issued an RFP for Architecture Definition and
Management. They want a team of up to 15 to work in Melbourne from July
97 - December 97. This is not the way that we had proposed working with
them during their visit in May and I have declined to bid. They understand
this but want to keep an ongoing dialogue with us.
e Little progress has been made in progressing the Heads of Agreement signed
with Escher and An Post to work towards a joint venture. We need to define
some concise, short term, achievable steps that everyone can identify with
and work towards them if this vision is to become a reality.
2 PROGRESS
. There are no handshake milestones affected by international sales.
3 CURRENT CRITICAL PROBLEMS
. None.
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4 ISSUE
e Although our approach to the above joint opportunities with Escher.and
An Post has been agreed in principle we currently have no commercial
agreements to support proposals that we are now making. We need to get
these in place or we shall be exposing ourselves and other parts of ICL and
Fujitsu to commercial risk.
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