EU Computer Systems Cannot COPE

Financial Times ^ | 12/17/02 | George Parker in Brussels

[FlyingA]

The computer system at the heart of the European Union's €98bn (£63bn) budget is to be completely overhauled, a move that supports the criticisms made by Marta Andreasen, the "whistleblower" accountant who faces disciplinary action.

Ms Andreasen was suspended from her post as EU chief accountant earlier this year after claiming that the European Commission's accounting systems were open to fraud.

On Tuesday, Michaele Schreyer, the EU budget commissioner, will admit that the current accounting computer system cannot cope with new financial regulations. A team is considering whether to scrap the system and replace it or redesign it.

Ms Schreyer has ordered the review as part of a drive to improve by 2005 the way the Commission accounts for the large sums of public money for which it is responsible.

But the confirmation that the system is not up to the job is likely to anger supporters of Ms Andreasen, who claim that she has been unfairly treated.

The Argentine-born accountant became embroiled in a bitter clash with Jean-Paul Mingasson, the Commission's former budget director-general, who opposed her campaign to replace the system, known as Sincom 2, with the widely used SAP system.

"I was told that SAP would be too expensive, that a contract would have to go through a lengthy tendering process and that other directors-general did not want it," Ms Andreasen said.

She took her case to Romano Prodi, the Commission president, and eventually complained to MEPs - a move that led to the start of disciplinary proceedings.

However, Ms Schreyer's two options for improving the Commission's computer systems are both likely to involve the extended use of SAP.

"If this is correct, then the arguments I was making earlier in the year have been vindicated," Ms Andreasen said on Monday.

The overhaul of Sincom 2 will be welcomed by the EU's court of auditors, which has criticised its "lack of basic accounting functions".

A draft court paper earlier this year spoke of its "lack of security".

[FlyingA]

Hey Lets Get India and all the H1b visa people to work on this. Outsource.

LOL

[Cicero]

I'm not familiar with these systems, but two-to-one that the Euros were trying to avoid paying licensing fees.

[chiefqc]

She took her case to Romano Prodi, the Commission president .....

============================================================

Boy does she have some nerve, don't she know that Prodi is never wrong.

[dfwgator]

Ms Andreasen was suspended from her post as EU chief accountant earlier this year after claiming that the European Commission's accounting systems were open to fraud.

Further proof that no good deed goes unpunished.

[TopQuark]

That's a good guess. However, I think that this is another instance of what seems to be a pattern in government: no matter what proven solutions are available off-the-shelf, somehow a cutom-made system is ordered. Naturally, the installation base of something like Oracle and SAP is much greater and those products are both much more attuned to the used needs and debugged. The firm that produced the custom-made software has received the money, paid the kickbacks, and is probably dissolved.