The Navy Marine Corps Intranet (NMCI) project, undertaken by Electronic Data Communications (EDC) is the biggest government undertaking of its kind. It aims to provide a single seamless network which would provide a centralized communication to the Navy and Marine. It also aims to integrate the legacy systems with the new secured environment. The NMCI project aimed to connect about 400,000 desktops into a common network, which would provide a unified communication to all Navy and Marine bases (Calbreath, 2004).
Due to the magnitude of the project, it has been subject to much speculation. Despite of initial claims by the EDS, there have been serious issues. EDS aimed to have 160,000 seats by 2002 fall, where in reality only 60,000 seats were likely to be in place by the end of year, as per EDS’s program director for Navy Operating Forces (Verton, Huge Navy IT Outsourcing Deal Passes First Hurdle, 2002).
According to Lt. Gen. Edward Hanlon of the Marine Corps, EDS was not fully prepared to implement the contract. The reason could have been lack of insight or not understanding the process. He also observed that the network services were not always available to the users due to which the rate of progress is very slow, which is extremely frustrating for everyone. This slow rate also poses the danger of reduction in workforce. “'We will lose the government workforce if we don't very soon start to produce the same level of efficiencies that they've had before,' Lengerich said. 'They will leave and you would leave too, if you worked for a business that no longer had efficient processes.' (Onley & McLaughlin, NMCI offcials press for big changes, 2004)”
The delays have been due to several reasons, due to which it has not been an easy ride for the EDS. EDS claimed to have lost about $171 million in the integration process for the U.S. Navy and Marines during the earlier parts of 2004. The project ultimately became
References: Calbreath, D. (2004, June 29). EDS cites losses on military contract. Retrieved June 14, 2009, from signonsandiego: http://www.signonsandiego.com/uniontrib/20040729/news_1b29eds.html DOD Needs to Ensure That Navy Marine Corps Intranet Program Is Meeting Goals and Satisfying Customers. (2006, December 8). Retrieved June 14, 2009, from U.S. Government Accountability Office: http://www.gao.gov/products/GAO-07-51 Information Technology: DOD Needs to Leverage Lessons Learned from Its Outsourcing Projects. (2003, April 25). Retrieved June 14, 2009, from U.S. Government Accountability Office: http://www.gao.gov/products/GAO-03-371 Onley, D. S., & McLaughlin, M. (2004, June 25). NMCI offcials press for big changes. Retrieved June 14, 2009, from Government Computer News: http://gcn.com/articles/2004/06/25/nmci-officials-press-for-big-changes.aspx Perez, J. C. (2004, February 5). EDS Posts Q4 loss, blames U.S. Navy Contract. Retrieved June 14, 2009, from networkworld: http://www.networkworld.com/news/2004/0205edsposts.html Rufolo, S. (2004, September 16). U.S. Navy, EDS Modify NMCI Contract. Retrieved June 14, 2009, from channelweb: http://www.crn.com/government/47900114;jsessionid=FAIBK4PENZ1SGQSNDLPSKHSCJUNN2JVN Verton, D. (2002, May 13). Huge Navy IT Outsourcing Deal Passes First Hurdle. Retrieved June 14, 2009, from computerworld: http://www.computerworld.com/managementtopics/management/outsourcing/story/0,10801,71098,00.html