Technology giant IBM is to be the supplier of the electronic staff record system covering 1.4 million NHS staff in England and Wales.

IBM was named as preferred supplier last December, replacing McKesson UK as supplier of the payroll and human resources computer system.

Computer and stethoscope

The five year staff record contract is worth between £200m and £450m

The five year contract, worth between £200m and £450m according to the original tender document, will start in June as part of a phased rollout due to be complete in December.

The IBM system is designed to allow integration with social media and web conference facilities, meeting requirements set out by the NHS Electronic Staff Record Central Team last year.

An IBM spokeswoman said: “The improved interface will give NHS employees easier access to new and existing HR services including mobile, expenses and e-learning.

“A critical tool for the NHS in England and Wales, the electronic staff record provides payroll, learning and talent management and the centralisation of workforce information. It also provides a range of other services covering human resources.” 

McKesson UK, which in 2013 told HSJ that it intended to bid for the latest contract, has administered the health service’s electronic staff record system since its inception in 2001.

McKesson UK’s former parent company, US based McKesson Corporation, announced in May 2013 that it would be leaving the UK healthcare software market.

At the time McKesson Corporation said: “The planned sale [of McKesson UK] forms part of wider changes to McKesson’s portfolio whereby McKesson has made the decision to divest several businesses.

The UK arm was bought in June by US private equity firm Symphony Technology Group.

The unsuccessful bidders for the electronic staff record contract have been named as CSC and Steria.