MIS 100 2007(1-20)
1 University of Auckland
2 New Zealand Defence Force
3 Fonterra Co-operative Group
4 University of Otago
5 Telecom New Zealand
2006 Ranking: 5
Senior IS executive: Mark Ratcliffe, COO, technology and enterprises
Reports to: CEO
Size of IS shop: 2250
Mobile PCs: 3670
Hand-held devices: 600
Total screens: 11,533
Industry: Information - telecommunications
PC environment: Windows XP, HP, IBM
Server environment: AIX, HP Unix, Irix, MVS, Solaris, HP Others, iSeries, pSeries, Silicon Graphics, Sun
DBMS: DB2, Oracle, SQL, Sybase
Address: Level 2, Telecom Networks House, 68-86 Jervois Quay, Wellington
Key IS projects this year: Operational separation; number portability; local loop unbundling; Next Generation Telecom – IP network rollout; Yahoo! Xtra joint venture; voice services platform replacement.
Telecom, New Zealand’s largest listed company, is undergoing significant change and strategy revision in order to drive the business forward in the new regulatory environment.
New Government telecommunications legislation announced in 2006 included proposals for operational separation of Telecom’s business into wholesale, retail and network units. It provides for unbundling of the last mile ‘local loop’ access and the sale of standalone broadband without a phone connection, known as ‘Naked DSL’.
Mark Ratcliffe, chief operating officer technology and enterprises, says Telecom’s focus is on engaging positively with Government and the wider industry in order to develop the operations, products and wholesale services that meet the requirements of the Government’s regulatory review. “Our key business objectives are to implement a sustainable, future-proof separation model that meets the requirements of the Telecommunications Act. We have proposed a structurally separated access network company that would own and operate the network assets. This would allow for a simpler separation model and faster delivery of local loop unbundling and Naked DSL. It would also allow for deregulation in other areas, enabling Telecom Retail to innovate and compete vigorously for customers, and further broadband network investment. We are consulting with Government and the wider industry on this now.”
Business challenges include developing and implementing an effective separation regime in collaboration with Government and industry, and adapting to this new operating environment. Telecom is also prioritising work streams to ensure it delivers local loop unbundling and Naked DSL as required under the new legislation. “The telecommunications industry is at a critical juncture. Telecom is obviously at the heart of the regulatory reforms being implemented. However, the changes being introduced impact the entire industry: It is critical the right incentives for investment are retained in order to further enhance telecommunications services to New Zealanders,” says Ratcliffe.
Echoing the trends offshore and locally, Ratcliffe says Telecom is also encountering supply constraints in its traditional sourcing approaches for skilled staff. “The shortage of skilled IT people we’re experiencing is similar to the dot com boom and Y2K days of seven or so years ago. This has been heightened by the volume of work required to implement critical projects including operational separation, local loop unbundling and Naked DSL.”
This year, Telecom will invest in a wide range of internal IT initiatives including ERP, business intelligence and CRM systems, server virtualisation, VoIP and mobilisation technologies, disaster recovery and e-business projects. Network de-commissioning and extension of customer product and services offerings are also planned.
Telecom is committed to continued investment in its broadband and mobile networks, after accounting for the new regulatory environment. Telecom has begun network expansion with the rollout of ADSL2+ infrastructure that will lay the foundations for Telecom to offer broadband connections with average speeds of eight to 12MBps for residential customers in the five principal metropolitan areas. Further broadband initiatives are being evaluated as part of the current separation and operational review. Telecom is also actively evaluating the potential of emerging mobile technologies for delivery of mobile voice and data.
6 Ministry of Social Development
7 Fletcher Building
8 Carter Holt Harvey
2006 Ranking: 10
Senior IS executive: Pat O’Connell, chief information officer
Reports to: Chief executive officer
Size of IS shop: 150
Mobile PCs: 1500
Hand-held devices: 1000
Total screens: 8300
PC environment: Windows XP, Dell, IBM
Server environment: Windows 2003; Solaris; Linux; AIX;
Compaq; Dell, iSeries, pSeries; Sun
DBMS: DB2, Oracle, SQL
Address: 640 Great South Road, Manukau City, Auckland
Key IS projects this year: M&A support; legacy system migration.
Business integration and growth are on the agenda for Carter Holt Harvey — which was purchased for $NZ3.3 billion by entrepreneur Graham Hart in March 2006. A softening economy exacerbated by a challenging export market is the main challenge faced by Carter Holt Harvey, says CIO Pat O’Connell. He says new business integration and synergistic use of existing IT capability are key IT goals for the group. “Accurate information, fast information and optimised planning are all important to the business, and are processes in which IT has a significant impact.”
In the coming 12 months, Carter Holt Harvey will continue a number of upgrade projects in the areas of ERP, business intelligence and financial systems. Hardware upgrades and work on server virtualisation are also on the agenda. O’Connell says Carter Holt Harvey has not made a significant investment in VoIP to date, but this year will extend data connectivity through access to 802.11-based wireless networks and mobile technologies. The e-channel is an additional focus area, and like many organisations in this year’s MIS100, Carter Holt Harvey is planning to upgrade disaster recovery and business continuity systems.
O’Connell says all IT functions are conducted in-house with the exception of SAP development and support, which is outsourced to former Carter Holt Harvey subsidiary Oxygen Business Solutions.
Ongoing acquisition activity by Hart’s Rank group also continues to provide challenges.
“We are constantly reviewing options for synergistic integration from all aspects — operations, application portfolios, licensing, and technologies, as we bring more business under the Carter Holt Harvey umbrella,” says O’Connell.
9 ANZ National Bank
2006 Ranking: 7
Senior IS executive: Tomasz Smaczny, chief information officer
Reports to: Graham Hodges, CEO
Size of IS shop: 500
Mobile PCs: 1800
Hand-held devices: 0
Total screens: 10,100
Industry: Finance and insurance
PC environment: Windows 2000, XP; HP; Dell
Server environment: Windows 2000, 2003; Solaris; Citrix; AIX; HP; Dell; Tandem; Stratus; Sun; IBM
DBMS: SQL, DB2, Oracle, Sybase
Address: 1-9 Victoria Street, Wellington
Website: www.anz.com/nz and www.nationalbank.co.nz
Key IS projects this year: Telling platform replacement programme; sales and service platform replacement programme; direct link platform upgrade programme.
ANZ National is New Zealand’s largest bank when it comes to customer numbers. The bank’s focus for the coming 12 months is on growing the business both in revenue and market share, with technology identified as critical to the execution of these business goals, says CIO Tomasz Smaczny.
“We must be positioned to partner and enable the business to achieve these goals. Accordingly, alignment with the business is a critical requirement for the Technology Team and we have invested considerable effort developing a Technology Business Strategy that reflects and supports delivery of the business’ goals,” says Smaczny.
The Technical Strategy of ANZ National also reflects this alignment. Smaczny says team structure follows strategy, and the technology team has recently moved to a new structure and operating model specifically designed to underpin its focus and engagement with the business. The new structure includes adoption of a business unit-oriented and portfolio approach to managing technology. This model has also been designed to encompass and deliver greater leverage of resources across the extended technology team.
“We recognise that people are the foundation of our success and have established a variety of programmes to ensure that we attract, retain and foster talented people. One such programme has been the development of clearly defined people and technical leadership streams, which provides our team members with viable options to pursue either career path,” says Smaczny.
Based on the new Technology Business Strategy, ANZ National has allocated substantial investments in its banking channels with channel IT projects for internet banking, telling, telephone banking, and call centres. These projects deliver the infrastructure that the business requires to transform its operating model, says Smaczny. Other projects include a sales and service platform replacement investment, hardware upgrades; server virtualisation and implementation of VoIP infrastructure. Business continuity and disaster recovery planning are further focus points for 2007.
The largest areas of IT project expenditure are the telling platform replacement programme, sales and service platform replacement programme and direct link platform upgrade programme.
10 Massey University
11 Progressive Enterprises
2006 Ranking: 13
Senior IS executive: David Morrison, manager IT
Reports to: Managing director
Size of IS shop: 64
Mobile PCs: 100
Hand-held devices: 400
Total screens: 4400
Industry: Wholesale and retail trade
PC environment: Windows 95, 98, 2000, XP, CE; Compaq/HP
Server environment: OS4000; Unix SVR4; Windows NT, 2000, XP; Compaq; iSeries; NCR
DBMS: DB2, Oracle, SQL, Teradata
Address: 80 Favona Road, Mangere, Auckland
Key IS projects this year: Systems integration.
A focus on sales, customer services and integration of IT systems are key priorities for Progressive Enterprises in 2007.
Acquired by Woolworths Australia in 2006, Progressive Enterprises continues to seek to leverage synergies in New Zealand with the new parent company.
David Morrison, IT manager for Progressive, says significant improvements are to be expected in the supply chain as a result of implementing Woolworths’ supply chain systems. From these changes IT will help their primary customer – the supermarkets – to deliver competitive advantage to Progressive Enterprises.
The support of senior management for IT, along with the necessity of an upgrade following the acquisition, is reflected in the IT project line-up for Progressive over the coming 12 months.
Progressive Enterprises is a light outsourcer, outsourcing IT education, some applications development and HR payroll.
12 Air New Zealand
13 Inland Revenue Department
14 Auckland University of Technology
15 University of Canterbury
16 New Zealand Police
17 Land Transport New Zealand
18 ASB Group
19 Bank of New Zealand
2006 Ranking: 21
Senior IS executive: Paul Tait, chief information officer
Reports to: Chris Bayliss, general manager technology and operations
Size of IS shop: 300
Mobile PCs: 1685
Hand-held devices: 1268
Total screens: 7338
Industry: Finance and insurance
PC environment: Apple Mac; OS/2; Desktop Unix; Windows 2000, XP; Dell; IBM
Server environment: AIX; HP Unix; SCO Unix; Sun; Windows 2000, 2003; HP Intel-based; xSeries, iSeries, zSeries
DBMS: DB2, Informix, Oracle, SQL, Sybase
Address: State Insurance House, 16 Willis Street, Wellington
Key IS projects this year: Re-use of components through service oriented architecture; strengthening online and mobile banking capabilities.
Strategic priorities for the Bank of New Zealand in 2007 include building retail banking presence through excellent service. This will be achieved through offering customers new and unique ways to save money on fees and mortgage interest, as well as ways to earn higher interest on deposits.
“We’ll also be looking at ways to streamline the customer banking experience further, making it easier, cheaper, and faster to bank with us. Our latest offering ‘TotalMoney’ encompasses all of these things and based on the extremely positive response we’ve had from new and existing customers, it’s the packaged solution they’ve been waiting for,” says CIO Paul Tait.
Tait says a key business challenge for the BNZ is in creating the ability to be as nimble as smaller niche banking players. “However in saying that, our success at the Cannex Banking Awards shows that not only are we the best value for money in terms of the large banks, but our home lending, personal lending, and credit cards offerings are strongly competitive with anything available on the market.”
The regulatory moves afoot in respect of unbundling and opening up the Telecom network, as well as portability, are all positive and will enable improved service opportunities for the BNZ, says Tait. “The other major challenge is the cost of mobile termination fees as a result of the high interconnect fees that are being passed on to customers. These significantly threaten the profitability of pushing our services online at costs customers will find acceptable. For example, it is expensive to preserve free calling into our 0800 numbers for account enquiries from mobile phones. Some innovative thought is required to continue to deliver cost effective personal mobility for customers, something we are working on presently.”
2006 ranking: 22
Senior IS executive: Phil Brimacombe, chief information officer
Reports to: CEOs of Waitemata and Manukau DHBs and healthAlliance COO
Size of IS shop: 98
Mobile PCs: 350
Hand-held devices: 0
Total screens: 5350
Industry: Health and community services
PC environment: Windows XP, HP
Server environment: Linux; Windows 2003, Windows 2000, Windows NT; Solaris; AIX; HP Intel-Based; Sun Microsystems, IBM RS/6000
DBMS: Oracle, MS SQL
Address: Middlemore Hospital, Otahuhu, Auckland
Key IS projects this year: Mental health clinical information system; chronic care clinical information system; electronic referrals; electronic medication record.
Responsible for providing IT strategy, operations and services to two Auckland District Health Boards — Waitemata and Counties Manukau — healthAlliance takes a long-term strategic view of the needs of both DHBs, says CIO Phil Brimacombe.
To support the two DHBs, healthAlliance develops and deploys clinical information systems that provide valuable information for both primary and secondary healthcare providers. Brimacombe says there is a need to reduce fragmented and paper-based information systems and continually develop and provide an integrated information view. That way, clinicians can get one view of the patient’s radiology reports, outpatient notes, test results and notes from other clinicians involved in that patient’s care. “For example, it’s very important to get the health of children right as the health problems of early life tend to become more complicated later in life. We developed the Well Child information system, which went on to become the national immunisation system, and want to expand that further to electronically capture and integrate more Well Child information and involving external providers such as Plunket.”
The three greater Auckland region DHBs are jointly implementing a mental health information system. It will eventually be linked to GPs and other providers so decisions on mental health care are not made in isolation. Similar integrated information developments are in place or in development for community health workers.
“A lot of people don’t need to be in a hospital and instead receive care from community health workers like district health nurses and physiotherapists or occupational therapists. At the moment a lot of the information these workers gather is manual and paper-based,” says Brimacombe.
healthAlliance will soon embark on a business intelligence project to deliver better financial information to DHB managers and on a large server virtualisation project. Brimacombe says healthAlliance finds virtualisation “quite challenging” due to the complex clinical applications the DHBs use. “It’s quite easy for organisations with off-the-shelf applications to virtualise, but our highly specialised applications demand their own quirky hardware. That said, we have to do it because we have hundreds of servers.”
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