The BBC's management of its Digital Media Initiative - Public Accounts Committee Contents


Written evidence from BBC Broadcasting Cooperation

As requested at the PAC hearing of the DMI Project on 15 February, here are a few thoughts on the lessons learned from in-house delivery, including the value for money aspect of in-house programme.

Where software development projects rely heavily on in-house specialist expertise or where the project will drive significant changes to the working practices of specialist roles within the organisation it is typically more advisable to have direct control of the project in-house. In the case of FMI in-house rather than outsourcing the development as a fixed price contract, where control would be with the supplier.

That is not to say that all of the work on the project need be done in-house. On the DMI project we continue to use a number of off the shelf components and also have a number of vendors delivering custom technology under the control and direction of BBC staff. The key difference to a fixed price outsource is that the BBC retains direction and control and can therefore quickly correct the project if deliverables are not delivering as expected. Of course it also means that the BBC carries the financial risk of cost overruns that it would not under a fixed price contract.

Once the decision was taken to pull the project in-house the project team analysed the work to be done to determine who should deliver each component. In priority order, work was categorised into:

1.  Existing designs, code or other works that could be used to deliver the project.

2.  Components that could be purchased as standard, off the shelf deliverables.

3.  Custom components that could be delivered by third party specialist suppliers under the direction of the BBC.

4.  Custom components and integration that needed to be delivered by the BBC team.

This approach ensured that, where possible, components where delivered quickly and at a cost lower than could be done in-house while at the same time ensured that the relevant BBC expertise was used to deliver the unique or specialist components and the overall integration of the system. Additionally, at all times the BBC is in control of the direction prioritisation and specification of the deliverables and able to correct issues as they occur.

Key factors in delivering the project successfully include:

1.  Senior leaders(s) who have track record of successful delivery of large, complex software development projects (eg BBC CTO).

2.  Clear roles and responsibilities on the project.

3.  Separation of software development and integration from the business change and deployment functions. This ensures clear accountability.

4.  Close cooperation and integration between the functions on the project—requirements, technical architecture, deployment, test, technology operations, deployment, implementation and support.

5.  Embedded experts from the business into the project to define and validate the functionality and use cases.

6.  Close, ongoing management of the project with regular reporting and review.

7.  Clear and effective project governance with the appropriate representation on each group/board from across the project, business and suppliers. DMI in-house project governance attached.

February 2011


 
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© Parliamentary copyright 2011
Prepared 7 April 2011