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Wild ERP's Manager Wanted Out

Published: Tuesday, December 30, 2008 5:39 PM PST



You may have seen the news the other day that Greg Levin, the city's comptroller, announced that he was leaving City Hall to take a job with a foundation tied to San Diego State.

Levin is best known for his work in bringing the city up to date on its audits.

But that's old news.

Levin was increasingly consumed with his work managing the massive overhaul of the city's computer system, the OneSD project -- or ERP. And he apparently wanted out.

Yes, Wild ERP.

Greg Levin
I'm telling you, this project is a huge deal. Its budget is $36 million (equal to the entire cost of running the city's library system for one year to put it in perspective) but it is overdue by months -- maybe even a year -- and every minute city employees work on it longer than they planned is more money that wasn't budgeted. This comes, of course, at a time when the city's finances are more frightening than perhaps they ever have been.

It is argued -- credibly -- the new system will save the city money in the long term and make it more efficient. But it has to be implemented first and that's not going well.

Levin was the project manager. And when it became clear in November that the city's contractor in charge was not getting the job done, he and Mary Lewis, the city's chief financial officer, decided to fire the firm. It was at that point that Levin asked if he too could hand off the project to someone else.

At least that's what I heard.

I asked Levin to comment.

He confirmed.

"Yes, I did I asked to be removed from the project because I knew there was going to be a change in direction and I wanted to focus on my first love which is accounting and financial reporting," Levin said.

So what happened? The Mayor's Office refused Levin's request to be moved from the project.

A month later, the comptroller left -- yet another manager to take this project, chew on it a little bit and either leave or be pushed out. The software changeover was the brainchild of Sanders' former top aide Ronne Froman and it was initially managed by Rick Reynolds. Froman quit and Reynolds was fired. Then it was managed by Matt McGarvey, the city's top information technology official. He quit. The city's current chief operating officer, Jay Goldstone, juggled it along with about a dozen other major responsibilities.

And then he gave it to Levin and Lewis.

Levin's done. I called the Mayor's Office to see how they'd manage the project now.

Rachel Laing, the mayor's spokeswoman, told me they were trying to figure it out now. The city has no current chief information officer, but an official named Nader Tirandazi was temporarily serving in that role. He would be taking over the project for the time being, Laing said.

"He will keep the ship running until they get someone in there permanently," she said.

-- SCOTT LEWIS




Editor´s Choice
The reader comments you won't want to miss. (Editor's Choice selection do not represent the views of the editors. They are comments that seem to add to the discussion as opposed to less productive insults or arguments.)

The city never bothered to get a qualified software project management professional, relying instead on political bean counters with zero experience in the world of creating complex systems. No surprise that the vendor would take advantage of this incompetence and bilk the city. No surprise it's late and over-budget. No surprise that the entire project has to be re-done at a higher price. This boondoggle isn't an accident. It's the predictable result of political arrogance and technical incompetence that characterizes San Diego today.

Posted by Fred Williams | reply to this comment
December 31, 2008 5:19 am

Based on what has happened so far, there is a good chance that the City's ERP project will ultimately fail. These projects (ERP's) are extremely difficult to implement in the best organizations with highly focused management. ; even more difficult in public organizations with a long history and culture of decentralized management and lack of tight management (ie, the City). It would be useful for the Voice to study the history of the County's successful implementation of its ERP system some years ago and compare that to the City's current effort. No one in their right mind would want to lead this effort as it is now structured and I hold the Mayor responsible for not understanding what is needed for the project to be successful. I suggest the Mayor assemble an ad hoc volunteer advisory committee of outside IT project management professionals to review this.

Posted by Richard | reply to this comment
December 31, 2008 8:31 am

The Mayor's office was pushing the project HARD before the primary election. The campaign knew that the lack of progress and the price of the project could be a significant issue going into November. The office was desperate to implement some of the consultant's recommendations...ev if the affected department's said they could not work with current staffing. The new procedures require more staff to implement NOT less. As soon as the Mayor won the election in the primary, everyone backed off. It was no longer politically important to demonstrate progress. No one but Donna Frye and city staff was noticing. The cost of all of the staff hours for useless meetings are "soft" costs so not tracked. I don't blame Levin for bailing. A lot of people wish they could!

Posted by T. Tanaka | reply to this comment
December 31, 2008 9:50 pm

15 Comments so far on this story...

This is very significant. Most of the people who work on this project want out but have no where else to go. Everyone at the City is stretched thin and the ranks are getting thinner with budget cuts. It's pretty depressing actually.

Posted by Ann | reply to this comment
December 30, 2008 8:34 pm

Since you seem to know so much about this project Fred perhaps you can explain to the rest of us the details on who is providing the project management. Please include names and backgrounds for all three from the city, the vendor, and the data processing corporation and what their specific duties are. Thanks!

Posted by OhBrother | reply to this comment
December 31, 2008 10:10 am

It would appear that their "duties" were to go along with a project that had an unrealistic schedule, an ill-defined scope and a severely underestimated budget. I think that it's time for the City to face the music and reset this project on the right track. In my opinion, Greg Levin is an honorable person who tried his best to make sense of a poorly constructed effort. His leaving is a great loss to the City. Blame should fall squarely on those who pushed the original schedule and budget while ignoring the feedback that came from the departments, SDDPC and even those sister municipalities that served as references (Portland, Tacoma etc). Support now needs to be given to those charged with cleaning up this mess. It is not going to be easy.

Posted by 4merSDIT | reply to this comment
December 31, 2008 4:33 pm

Brother, project estimation and risk analysis is not new. To better understand the subject see: link and link and link and link and link and link and link I'm sure you'll agree that this project's failure was highly predictable, and any professional would have taken steps to ameliorate the risks. Instead, they used strategic misrepresentation to cover for their own incompetence. We're all going to pay the price. Blame arrogant and incompetent Councilman Jim Madaffer for most of the problems, since this was his baby from the start.

Posted by Fred Williams | reply to this comment
January 3, 2009 9:57 am

One, you did not answer Brother's question. Two, this was not "Madaffer's baby". Three, I do not know about Brother, but I do not believe this project's failure was highly predictable. And four, I am sorry but Wiki is about the last place anybody who knows their stuff goes to for reference. Your work looks to be outdated, even by federal standards. What large projects have you led during the past five years?

Posted by larry | reply to this comment
January 5, 2009 3:16 pm

OhBrother, one more for you...I wrote this myself. link

Posted by Fred Williams | reply to this comment
January 3, 2009 9:57 am

Having an integrated accounting, billing, CRM and other systems is a good feature for the city. One of the problems with the SAP ERP that was selected is that SAP lacks the accounting support for large municipalities (Fund Accounting). Everything related to San Diego's ERP is experimental because there are no similar cities using SAP that San Diego can access as a reference platform. If the ERP is implemented, San Diego will be the first large city to ever implement an SAP ERP. Also the funds that have been spent are for custom programming and do not include the SAP licensing fees. SAP licensing fees are expensive. Purchasing hopes that the City will be able to negotiate rates more favorable than the standard rate because this is the pilot implementation.

Posted by SDish | reply to this comment
January 1, 2009 10:22 am

With all due respect, I am not sure that your information on SAP in the govt. market is completely accurate. City of Houston, City of Phoenix, City of Portland, a number of large State of CA departments are SAP ERP customers. The SAP system does support fund accounting (Funds Management Module; ability to support both full and modified accrual accounting). SAP is pretty well established in the government marketplace. The SAP product is there but these are complex and politically challenging implementations. Nobody is wild about change and ERP is all about change.

Posted by GovtEmployee | reply to this comment
February 20, 2009 5:11 pm

Having an integrated accounting, billing, CRM and other systems is a good feature for the city. One of the problems with the SAP ERP that was selected is that SAP lacks the accounting support for large municipalities (Fund Accounting). Everything related to San Diego's ERP is experimental because there are no similar cities using SAP that San Diego can access as a reference platform. If the ERP is implemented, San Diego will be the first large city to ever implement an SAP ERP. Also the funds that have been spent are for custom programming and do not include the SAP licensing fees. SAP licensing fees are expensive. Purchasing hopes that the City will be able to negotiate rates more favorable than the standard rate because this is the pilot implementation.

Posted by SDish | reply to this comment
January 1, 2009 10:22 am

It's simple really, poor leadership from the not so strong Mayor Sanders. How else could you define the letting go, moving on of most of his top people.

Posted by Seek The Truth | reply to this comment
January 3, 2009 1:19 am

Ex-Admiral Ronne Froman's main purpose in her well-compensated "public service" roles, first at the San Diego Unified School District and then at the city itself, seems to have been to slide expensive, complex, under-budgeted technology makeovers through the legislative process and then to retire from the field. Donna Frye's advice that City Council take a look at the School District's mixed IT experience before embarking on this pig-in-a-poke "reform" was ignored. A new year, another scandal unfolds.

Posted by Fed Up | reply to this comment
January 3, 2009 9:25 am

SDDPC is a drain on all of San Diego. the entire operation should be completely outsourcred to a private copmapny that knows how to design and implement complex systems. The contract should be a for a set amount, half pais up front and the other half when completed. The city should not be able to make any changes until after the agreed upon project is completed. ALL employees of SDDPC should be terminated. Remember Roger Telamendez for days gone by. Things have not changed. there must be a complete house cleaning.

Posted by Hal | reply to this comment
January 23, 2009 7:17 am


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The Scott Lewis on Politics blog, abbreviated cleverly as SLOP, is a collection of observations, insights and the occasional scoop on public affairs in San Diego. Please feel free to e-mail Scott at scott.lewis@voiceofsandiego.org.


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