HomeMy WebLinkAboutStaff Report 1764City of Palo Alto (ID # 1764)
City Council Staff Report
Report Type: Consent Calendar Meeting Date: 6/20/2011
June 20, 2011 Page 1 of 3
(ID # 1764)
Council Priority: {ResProject:ClearLine}
Summary Title: SAP Basis Support
Title: Approval Of Software Consulting Service Contract Amendment with Sierra
Infosys, Inc. in the amount of $84,000 for the SAP Basis Support of SAP Industry-
Specific Solution for Utilities, SAP Financials, Customer Relationship
Management System, Business Intelligence System and Utilities Customer
Electronic Services
From:City Manager
Lead Department: Administrative Services
Recommendation
Staff recommends that Council approve and authorize the City Manager or his designee to
execute the amendment of the attached usage-based professional services agreement
(Attachment B) with Sierra Infosys Inc. in the amount not to exceed a one-time increase of
$84,000 for SAP Basis support in fiscal year 2012. The total contract amount for fiscal year 2012
will not exceed $334,000. Fiscal 2013 amount will remain the same as $250,000. The total
contract amount for fiscal 2011, 2012 and 2013 not-to-exceed $834,000
Executive Summary
SAP Basis encompass a wide spectrum of tasks, ranging from Oracle data base administration,
system security, system monitoring and tuning, user authorization, system backup, system
landscape maintenance, support package application, SAP audit support, and project support.
These tasks are essential to SAP system health and security so that ongoing business continuity
is assured. The two in house Basis staff support five systems, over 1400 SAP users, 17 servers,
and 11 oracle databases in the live, 24/7 operating environment. To provide the necessary
support resources and skills for the SAP system, Basis together with six other support areas was
incorporated into the three-year overall SAP support and maintenance contract agreement,
established in 2010 with Sierra Infosys (CMR:291:10). The portion allocated to Basis support,
approximately $50K per year, would normally be sufficient with two full time in house Basis
staff. Unfortunately, one of the Basis staff has been out on medical leave since February 2011
and the period of absence will be up to twelve months. To minimize business impacts of staff
on medical leave, additional SAP Basis support from external vendors is needed.
Background
June 20, 2011 Page 2 of 3
(ID # 1764)
On July 2010, the City Council approved a three-year software consulting services contract with
Sierra Infosys Inc. in the amount of $750,000 for the support and maintenance of the following
SAP modules: Industry-Specific Solution for Utilities, financials, customer relationship
management, business intelligence and utilities customer electronic services, with each year
not to exceed $250,000. To address the in house Basis resource and skill gap, a portion of the
Sierra Infosys contract, approximately $50K per year was allocated to SAP Basis. The scope of
work for Basis support in the original contract was to implement various modules of SAP
Solution Manager, a tool to improve system management and monitoring efficiencies. With the
three-year contract in place, Sierra Infosys has been working with in house Basis staff and has
established a good working relationship through projects such as SAP Solution Manager, QAS
environment, and BI QAS/Dev rebuild. To fill in the resource gap while Basis staff on medical
leaves, a new list of Basis support scope of work has been established.
Discussion
Requests for quotation for the following scope of work, approximately equivalent to 5+ months
SAP Basis Support were sent to: Group Basis, Sierra Infosys, Inc. Cronus Consulting, and
GlobalSource IT.
o Perform and document Oracle data base related daily/weekly/monthly/quarterly
monitoring and tuning tasks for five SAP systems (UCES, ESS/MSS, ECC, CRM and BI)
o Perform and document SAP portal system monitoring tasks (CRM IcWeb, UCES, and
ESS/MSS)
o Provide assistance to SAP Basis Authorization Admin to implement fixes according to
SOSS report for ECC production, CRM production and BI production
o Perform Oracle data base patch/release upgrade ( from 10.2.0.20 to 11.2.0) for all
systems
o Assess and enhance ECC production file system configuration
o Perform ECC Support package upgrade to the latest version
o Perform CRM Support package upgrade to latest version
o Perform BI Support package upgrade to the latest version
o Perform UCES Support package upgrade to the latest version
o Develop Central User admin (CUA) strategy and implement plan
Sierra Infosys was selected because of the following reasons:
June 20, 2011 Page 3 of 3
(ID # 1764)
a.Lowest hourly rate ( $92/hour remote, $113 on site)
b.Efficiency and productivity: Sierra Infosys has been working with City’s Basis team and
functional team in the past few months and they are familiar with City’s environment
and configurations.
c.Dedicated resource : Sierra Infosys has dedicated one resource to support the City
Timeline
The time period for this request will be from July 2011 to July 2012.
Resource Impact
This contract will be funded from existing funds in the Information Technology Internal Service
Fund.
ATTACHMENTS:
·Attachment A: Amendment to Sierra Infosys Contract (PDF)
Prepared By:Jennifer Leu, Manager, IT
Department Head:Lalo Perez, Director
City Manager Approval: James Keene, City Manager