In an article on Business insider, It looks like Deloitte mismanaged vaccine work that they won from the CDC in the United States. We previously posted about EY winning new vaccine work. We said that the big 4 would probably win similar work. Well apparently Deloitte already won work and mismanaged it.
The CDC signed a $16 million contract with Deloitte to create a website where states could schedule their vaccine appointments in May 2020. Deloitte received another 28 million in December 2020. This brings the total to $44 million. States could choose to opt in but many states decided not to opt in to Deloitte’s site.
State’s chose not to opt in to Deloitte’s system because of performance issues. Deloitte’s system has only helped administer 4% of the country’s vaccines. The system has many glitches including cancelling appointments with no notice. Deloitte came up with an excuse that the system has more scope than was initially thought and that it has had no downtime for updates.
Many experts say the work should have been given to a company like Google since it is all technology based. Deloitte’s technology relies on a fixed “waterfall model” that can’t handle many changes.
Many states are looking to abandon Deloitte’s solution completely.
There are other people accusing Deloitte of stealing their technology. The New York Times ran that article. If that is true, then they had a really bad technology. I think their main claim is that Deloitte stole their technology during the bidding process where Deloitte was in the meetings.
Tiffany Tate claims that she had a solution with another government contractor that had extensive experience with government institutions. She also happens to be african American. This is very interesting. It seems like the federal government and Deloitte aren’t as woke and social justice as we thought. Why didn’t Deloitte partner with her.
Additionally, Deloitte just won a new project in New York to help them with their vaccine rollout so this should get really interesting.
$44 million is a lot of money. You have to remember that most big 4 accounting audits aren’t 44 million. That would be one of Deloitte’s largest audit engagements if it were. This government and covid work is huge business for the big 4, and it is probably why they are trying to hire so many people right now.