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The difficulties in designing and implementing successful technological systems which support business objectives, good work practices and high quality outcomes are well known. Discusses the “modernisation” of the Australian Taxation Office – an ambitious ten‐year programme of organizational and tech‐nological change – which has its origins in the need for re‐equipment and the recognition that the new systems must support the way in which the Taxation Office would work in the future. Review of the programme mid‐term shows considerable success, but also areas where it has been difficult to achieve some of the aims. In spite of the participatory framework, participants tend to feel that technology has driven the process, rather than business or workplace requirements. In particular, some initiatives have impacted negatively on workers, and it has been difficult to integrate the implementation of new systems with the design of better work practices. Recognition of these problems has encouraged the development of new approaches to work and systems design, and considerable further organizational and structural change.