Blowing Balloons in the Cost Sector

The PLN information system project undertaken by PT Netway Utama collided with two signals: it was implemented without undergoing a tender process and the project budget was beyond the standard limit. Which of the budget items were inflated?

August 2, 2005

THE following information can cause practitioners in the field of information technology in this country to drool. The salary of the program director of a customer information system (CIS) project almost reached Rp150 million. This was the case with the CIS Master Plan Project (known as CIS-RISI) of the State Electricity Company (PLN). The two-year project valued at Rp137 billion was awarded without tender to PT Netway Utama in April 2004. Netway

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