Tech Mahindra’s Failed $75 Million DMV Contract Boondoggle
The local think tank, Nevada Policy Research Institute that promotes the principles of limited government and free markets has published a scathing report on Indian IT company Tech Mahindra’s $75 Million contract to upgrade NV DMV.
According to an audit released in late 2017, it was revealed that the program was months behind schedule. The audit cited the DMV’s failure to “ensure compliance with requirements, protocols, and procedures” — aka providing basic oversight — as the primary cause for the delays.
There were a few other failures, however, that rested solely with the Indian-based multinational firm. First, Tech Mahindra had only delivered 6 employees to begin work, despite originally promising that 25 members of its so-called “A-Team” would be deployed on the project.
The second, and admittedly much larger problem, was that not all of the employees could speak English.
Under the section of the audit entitled, “Contractor Did Not Provide Personnel Proficient in
English,” we learn that the “DMV had to edit project documentation and meeting minutes provided by the contractor for grammar and spelling because they were not written in a clear manner and were not useable.”
Imagine awarding a $75 million technology contract to a foreign company, then receiving the meeting minutes
written as if they were translated through Google — because that’s basically what the DMV seemed to be facing.
After the audit was made public, Tech Mahindra was finally fired.