Waikato DHB shows how to flush money down the drain

10 APRIL 2018

The cancellation of Waikato DHB's ‘SmartHealth’ app and online service proves how easily public agencies can waste taxpayer money on IT white elephants, says the New Zealand Taxpayers’ Union.

Taxpayers’ Union spokesperson Louis Houlbrooke says, “The new Government says DHBs are desperate for funding, but it’s hard to have sympathy when they waste taxpayer money like this.”

“Only about 2.5% of the DHB’s population signed up for the app, and the $18.8 million cost worked out at over $7,000 per doctor’s consultation. The DHB have effectively flushed money down the drain.”

“We’ve seen government departments waste money on unpopular apps before, but never on this scale. Waikato DHB’s disastrous expenditure should be a warning to other agencies keen on high-tech services – there’s now an international industry based on duping bureaucrats into spending mega-bucks on technology they don’t understand.”

“Apps might sound hip and modern, but when it comes to service delivery, the urge to innovate shouldn’t trump basic value for money.”

ENDS

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