Reply to post: Re: Actually...

Army had 'naive' approach to Capita's £1.3bn recruiting IT contract, MPs told

jmch Silver badge

Re: Actually...

"Why does the govenment keep spend our money with orgaisations that have a record of failure in delivering govenment contracts?"

As with everything else, companies evolve to survive in their environment. The environment of civil service procurement is one in which the cheapest bid is reflexively selected even when it's clearly below standard, the quoted price is clearly too low, the provider has an awful track record* etc. There are also either no penalty clauses, staggered payments etc or when there are, the trigger thresholds are too weak or too fuzzy or else the penalty / bonus process leaves too much discretion in the hands of individual civil servants.

Therefore the companies that thrive are the ones that bid low, bill high and deliver the cheapest possible shit they can get away with

*incidentally, not delivering on multiple contracts is not an impediment, as the companies' "CV" is that they have been AWARDED such-and-such contracts, not DELIVERED

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