IT majors in race for Rs 1,000-cr postal modernisation contract
With increasing competition across sectors for its different kinds of services, the over 150-year-old Indian postal system is set for a major technological advancement to improve its customer service, deliver new services and improve operational efficiencies. The Department of Posts (DoP) is understood to have given a go-ahead to its Information Technology (IT) modernisation project under the India Post 2012 plan, which has thrown opportunities of over Rs 1,000 crore for Indian and global IT vendors.
According to highly-placed industry sources, DoP has initiated the process to identify IT implementation partners for developing core applications covering key areas such as mail operations, financial services, postal insurance, finance and HR. The department has already invited expressions of interest for the project. It would shortlist the interested companies based on the project requirements. The contract is expected to be finalised early next year.
Sources said most of the leading Indian and global IT services companies, including TCS, Infosys, Wipro, HCL, IBM, HP and Capgemini have shown interest to participate in the contract, which will be for a duration of two-three years. “DoP is faced with twin challenges of increasing competition and continuing advances in communication technology, especially in mobile telephony and the internet. In order to provide the best-in-class customer service, deliver new services and improve operational efficiencies, DoP has undertaken an end-to-end IT modernisation project to equip itself with requisite modern tools and technologies,” an official note said.
DoP currently has the largest postal network in the world with 155,015 post offices spread across the country. Out of that, only 12,604 head post offices and sub post offices have been computerised so far. By the end of 2012, the department wants to computerise all post offices that would help it offer its various services seamlessly. DoP currently uses about 56 standalone IT applications that run in silos and do not speak to each other.
The IT implementation partner will develop integration architecture model using service oriented architecture so that all the post offices will be able to provide affordable services in an efficient manner.