TransACT completes 18-month IT 'lift-and-shift'

 

Migrates off ActewAGL systems.

Canberra telco TransACT completed an 18-month, $3.5 million IT ‘lift-and-shift’ in July, after company directors decided to move it in a different direction from sister company ActewAGL.

TransACT relied on corporate services from utilities company ActewAGL under a Feburary 2004 management agreement but severed the arrangement in January 2010.

In April last year, TransACT enlisted former CSIRO chief information officer Roze Frost as general manager of IT to establish a new IT capability for the company.

No IT staff were moved from ActewAGL to TransACT, which had until July 2011 to begin hosting its own infrastructure, telecommunication business support systems (BSS) and enterprise applications.

“They’re an energy, gas and water company; we’re a telecommunications company,” Frost explained.

“It was a little bit about telecommunications standing on their own and expanding into managed services and things like that.”

With staffing, cost and time constraints to consider, Frost decided to have only two in-house IT managers and base TransACT’s new IT strategy on outsourcing and cloud computing.

Within a year of Frost's appointment, TransACT moved 165 bespoke BSS applications from ActewAGL to Canberra technology outsourcer Cordelta and engaged Logica to manage its 70 in-house servers.

The migration cost about $1.5 million in total.

It went live with a cloud-based payroll and human resources system by NetSuite partner Infinet in December 2010 and NetSuite’s OneWorld hosted enterprise resource planning (ERP) suite for finance, project accounting, inventory management and warehouse management on July 1 this year.

Remember to sign up to our CIO Strategies bulletin for the strategic thinking to help CIOs and IT managers plan, evaluate and execute IT initiatives.

The cloud implementation involved NetSuite consultants and cost about $2 million. Prior to the move, TransACT shared ActewAGL’s Oracle ERP system.

TransACT also considered consuming BSS software-as-a-service but was limited by a lack of Australian cloud computing data centres and government requirements that data remain onshore.

NetSuite served its global customers from five data centres in the US and had no plans to deploy Australian infrastructure or build telco-specific software in the near future.

Frost said TransACT’s clients were predominantly Australian Government agencies. She described the ERP deployment as a “good first step into the cloud”, adding that TransACT stored no customer information in Netsuite.

Lessons learned

With just over a year to rebuild TransACT’s IT, Frost said outsourcers Logica and Cordelta had been “brilliant” in discovering and documenting the systems they were to take over.

She said the telco’s retail team were well-versed in its BSS requirements and would continue working closely with Cordelta to keep the custom applications well-aligned with the business.

But because of its long-term, informal outsourcing relationship with ActewAGL, TransACT lacked management staff with an end-to-end view of the Oracle ERP system, she said.

“You really need to know your business processes from end-to-end and with all the processes being outsourced in the past, it was really hard to say what they were,” she said.

The telco relied heavily on NetSuite consultants who worked closely with TransACT’s ten-person finance team to bed down the new, cloud-based ERP.

Although change management was “not as robust as it should have been”, Frost said TransACT’s 300 staff had responded well to the new systems and there were no major hiccups to date.

“We didn’t get it perfect, but it was a pretty good implementation for what it was and certainly met all of our expectations,” she said.

“We’ve done a lot of training [for the NetSuite ERP], but probably not enough at the time ... We’re reinvesting at the moment in more consultancy from NetSuite to help us bed it down more and refine some of the things we haven’t got right.”

Frost said the project was successful with the telco now able to “[stand] on our own two feet”.

Even with only two in-house IT staff, she said it would not be difficult for TransACT to keep its outsourcing relationships going.

“It’s not hard to pick up the knowledge and manage the contracts. The retail side of the business actually has a huge amount of knowledge in how the business works,” she said.

“I’ve been in outsourcing for a while and it does work, but you need to make sure that [outsourcers] pick up the knowledge that they need about the technology and ... also have business knowledge.”

Reports emerged this week that TransACT could be acquired by iiNet for between $60 million and $80 million. Both telcos have declined to comment on the matter.

Copyright © iTnews.com.au . All rights reserved.


TransACT completes 18-month IT 'lift-and-shift'
 
 
 
Top Stories
Frugality as a service: the Amazon story
Behind the scenes, Amazon Web Services is one lean machine.
 
Negotiating with the cloud email megavendors
[Blog post] Lessons from Woolworths’ mammoth migration.
 
Qld govt to move up to 149k staff onto Office 365
Australia's largest deployment, outside of the universities.
 
 
Sign up to receive iTnews email bulletins
   FOLLOW US...

Latest VideosSee all videos »

The great data centre opportunity on Australia's doorstep
The great data centre opportunity on Australia's doorstep
Scott Noteboom, CEO of LitBit speaking at The Australian Data Centre Strategy Summit 2014 in the Gold Coast, Queensland, Australia. http://bit.ly/1qpxVfV Scott Noteboom is a data centre engineer who led builds for Apple and Yahoo in the earliest days of the cloud, and who now eyes Asia as the next big opportunity. Read more: http://www.itnews.com.au/News/372482,how-do-we-serve-three-billion-new-internet-users.aspx#ixzz2yNLmMG5C
Interview: Karl Maftoum, CIO, ACMA
Interview: Karl Maftoum, CIO, ACMA
To COTS or not to COTS? iTnews asks Karl Maftoum, CIO of the ACMA, at the CIO Strategy Summit.
Susan Sly: What is the Role of the CIO?
Susan Sly: What is the Role of the CIO?
AEMO chief information officer Susan Sly calls for more collaboration among Australia's technology leaders at the CIO Strategy Summit.
Meet the 2014 Finance CIO of the Year
Meet the 2014 Finance CIO of the Year
Credit Union Australia's David Gee awarded Finance CIO of the Year at the iTnews Benchmark Awards.
Meet the 2014 Retail CIO of the Year
Meet the 2014 Retail CIO of the Year
Damon Rees named Retail CIO of the Year at the iTnews Benchmark Awards for his work at Woolworths.
Robyn Elliott named the 2014 Utilities CIO of the Year
Robyn Elliott named the 2014 Utilities CIO of the Year
Acting Foxtel CIO David Marks accepts an iTnews Benchmark Award on behalf of Robyn Elliott.
Meet the 2014 Industrial CIO of the Year
Meet the 2014 Industrial CIO of the Year
Sanjay Mehta named Industrial CIO of the Year at the iTnews Benchmark Awards for his work at ConocoPhillips.
Meet the 2014 Healthcare CIO of the Year
Meet the 2014 Healthcare CIO of the Year
Greg Wells named Healthcare CIO of the Year at the iTnews Benchmark Awards for his work at NSW Health.
Meet the 2014 Education CIO of the Year
Meet the 2014 Education CIO of the Year
William Confalonieri named Healthcare CIO of the Year at the iTnews Benchmark Awards for his work at Deakin University.
Meet the 2014 Government CIO of the Year
Meet the 2014 Government CIO of the Year
David Johnson named Government CIO of the Year at the iTnews Benchmark Awards for his work at the Queensland Police Service.
Q and A: Coalition Broadband Policy
Q and A: Coalition Broadband Policy
Malcolm Turnbull and Tony Abbott discuss the Coalition's broadband policy with the press.
AFP scalps hacker 'leader' inside Australia's IT ranks.
AFP scalps hacker 'leader' inside Australia's IT ranks.
The Australian Federal Police have arrested a Sydney-based IT security professional for hacking a government website.
NBN Petition Delivered To Turnbull's Office
NBN Petition Delivered To Turnbull's Office
UTS CIO: IT teams of the future
UTS CIO: IT teams of the future
UTS CIO Chrissy Burns talks data.
New UTS Building: the IT within
New UTS Building: the IT within
The IT behind tomorrow's universities.
iTnews' NBN Panel
iTnews' NBN Panel
Is your enterprise NBN-ready?
Introducing iTnews Labs
Introducing iTnews Labs
See a timelapse of the iTnews labs being unboxed, set up and switched on! iTnews will produce independent testing of the latest enterprise software to hit the market after installing a purpose-built test lab in Sydney. Watch the installation of two DL380p servers, two HP StoreVirtual 4330 storage arrays and two HP ProCurve 2920 switches.
The True Cost of BYOD
The True Cost of BYOD
iTnews' Brett Winterford gives attendees of the first 'Touch Tomorrow' event in Brisbane a brief look at his research into enterprise mobility. What are the use cases and how can they be quantified? What price should you expect to pay for securing mobile access to corporate applications? What's coming around the corner?
Ghost clouds
Ghost clouds
ACMA chair Chris Chapman says there is uncertainty over whether certain classes of cloud service providers are caught by regulations.
Was the Snowden leak inevitable?
Was the Snowden leak inevitable?
Privacy experts David Vaile (UNSW Cyberspace Law and Policy Centre) and Craig Scroggie (CEO, NextDC) claim they were not surprised by the Snowden leaks about the NSA's PRISM program.
Latest Comments
Polls
Which bank is most likely to suffer an RBS-style meltdown?





   |   View results
ANZ
  21%
 
Bankwest
  9%
 
CommBank
  11%
 
National Australia Bank
  17%
 
Suncorp
  24%
 
Westpac
  19%
TOTAL VOTES: 1456

Vote