POL00031278 - Memo from Basil Shall to Paul Rich (and others) re Strategic Concurrence Process and Supplier Requirements

Evidence on official site

POL00031278

POL00031278

Memorandum \w uh ce Kn

To: Paul Rich

ce: Bob Peaple, Wendy Powney, John Meagher, Jeremy

From: Basil Shall oa

Date: 10/01/1996

Subject: Flash Report - Urgent!! - Supplier Requirements @
lea ae

Paul, 6 te ad

Summary of Issues ¢ 7 ~

As you know, Wendy and I are working with John and Jeremy on the Strategic Concui

Process. We had our first Supplier visit yesterday (with Cardlink) and it became quite cl
that our requirements process is lacking in 3 major areas.

* Reconciliation / Role of TIP \

* Office Balance / Cash accounting process 0 (L

* Interfaces with the TMS

The suppliers (Cardlink in particular) have capability in these areas, which has not been
properly harnessed. John and Jeremy have done an excellent job (with no formal
requirements) in keeping the supplier options open, but they are reaching a critical point of
‘freezing’ designs, and going firm on a single option. If we don't give them the direction
(which they are desparately seeking) they are very likely to choose an option which is not i
our best interests.

Issues in more detail:
Reconcilitaion / Role of TIP

Issue Affected area

An early commercial Commercial

‘must-have! supported by

Charterhouse, was to ensure provider for accurate

that the service provider did information for settlement.

not control the ‘end to end'

client product. There is no generic

reconciliation capabilty
provided by the supplier.
Each new on-line
authorisation product will
require a ‘bespoke’

This was to ensure that the
service provider could not cut
POCL out of the tranasction

The interfaces with the TMS Commercial

Issue Affected area Implication

chain. reconciliation process which
will cost us an appropriate

Apparently we have agreed sum of money

(through the TIP project ??) eae

that reconciliation between boot Gs Selena

the TMS and PAS will be pes esl

: : project becomes

done by the service provider, Ronables ass major

who will then inform POCL prectrarcemeanaes

of the result of the Biya eee

Secantilitba: now taken by the service
provider.
Service providers could cut
POCL out of the transaction
process in due course.(e.g
by offering it through Petrol
Stations at end of contract)

Office balance / Cash Accounting Process

Issue Affected area Implication

We appear to have specified Financial Control ¢ Dave Smith is currently

that the existing cash reviewing the way in which

accounting process (including Relationship with we account for Outlets. The

stock units) will continue to Agents result is this work is

be the way we control our urgently needed prior to

outlets. the ITT going out.
Otherwise we may be

Service providers are trapped into continuing with

incurring the cost of changing the existing cash account

standard retail software to process, and losing the

meet our cash accounting benefits of a more flexible

processes which may not be approach.

requirediin the fuse: ¢ The new Accounting and
Distribution Systems require
a different set of
information, and different
controls to those imposed by
the cash account. These may
not be supported.

Interfaces with the TMS

Issue Affected area Implications

+ Additional interfaces

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Issue Affected area

have not been fully specified.
TIP
This is primarily as a result of

the 2 issues highlighted Distribution
above, and possibly the way _IS Strategic
in which the requirements Concurrence
have been filtered into the

suppliers (i.e. not as a

complete set)

Implications
will be required unless
our requirements are
cleared before the ITT
is issued. These will
become expensive.

* The Business Case
Benefits of TIP and
Distribution (and
therefore their design)
are dependent upon
the right interfaces
being place from
TMS. These are being
jeopardised.

* The IS Strategy will
be compromised if the
appropriate
information /
interfaces are not
available.