Bill Shorten (Maribyrnong, Australian Labor Party, Minister for the National Disability Insurance Scheme) Share this | Hansard source

I thank the member for Cunningham for her question. Senate estimates this week heard some evidence about the allocation and conduct of a particular contract given to company called Salesforce. The background to this contract and the investigation was initially triggered following reports on 1 December last year. Following media reports, my agency heads reviewed contracts. They got Ian Watt to review procurement practices in the previous term and what observations there were to be made. Dr Watt has presented his review. This has been reported to the House.

But, in particular, the new leadership of the NDIA have had cause to review the contract entered into in February 2020 with Salesforce Australia for their CRM, their customer relationship management software. The contract is valued at $76 million. It was initially intended as a small project, but it kept getting revised upwards and not delivering.

Around the time the contract was entered into, there was a push to use Salesforce in other agencies across government. I'm informed that Microsoft was offering a similar product but for one-third of the cost. Within the agency, the NDIA, it was pushed by senior staff including, specifically, hand-picked appointees of the previous government. The then member for Fadden was the minister at the time.

There were questions asked about the appropriateness of the contract, and the contractor who asked this question and was sacked in 2021, under the previous government. After the change of government, Ernst & Young were brought in to do assurances and advise on the project. The problem is—

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