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Tuesday 27 January 2004
EXPERIENCE WINS KAZ A $10M DEAL
Author: James Riley
Publication: AUS (p...
IBM's innovative On-Demand pricing structure gave Orica more flexibility, he said.
About a dozen companies bid for the Ori...
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Tuesday 27 January 2004
DOWN LOAD
Publication: AUS (p25, 27-01-2004)
Section: Featu...
Wednesday, 28th January
2004
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KAZ wins $10m Orica contract
Brian Corrigan, ARN
23/01/2004 12:14:22
ASX-listed KAZ Group has won a five-year managed serv...
for selective sourcing and being clear about what they want to get
out of it.
"We have an installed base of loyal customer...
KAZ wins $10 million Orica deal
James Riley
22 January 2004
AUSTRALIA'S largest chemical firm Orica has dumped foreign own...
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Press Releases Kaz outsourcing
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Press Releases Kaz outsourcing

Published on: Mar 4, 2016
Source: www.slideshare.net


Transcripts - Press Releases Kaz outsourcing

  • 1. [ Business Names ][ Next ] Tuesday 27 January 2004 EXPERIENCE WINS KAZ A $10M DEAL Author: James Riley Publication: AUS (p29, 27-01-2004) Section: Features Keywords: "Orica (13)","Incitec (1)","Incitec Pivot (1)" * OutsourcingORICA, Australia's largest chemical company, has dumped foreign- owned ATOS Origin as its primary IT outsourcing partner in favour the local KAZ Group. The five-year, $10 million deal includes a complete technology refresh of Orica's back- end IT infrastructure. The hardware systems owned or leased by ATOS Origin are to be replaced with an IBM P-series systems. Orica's IT services manager Leigh Rowe said the company had been careful ensure that there was no costly overlap during the transition. Mr Rowe said that Orica's first foray into IT outsourcing with the ATOS Origin deal signed five years ago had been based on a traditional outsourcing model. Under that deal, ATOS Origin had either bought or leased all of Orica's hardware, acquired its data centre, and offered jobs to Orica IT staff. Mr Rowe said the company had been working on a replacement for that deal for at least a year, with work in the early months devoted to designing a transition system that would enable a company that had largely dispensed with internal systems to reclaim control of its IT destiny. The KAZ contract will be rolled out between now and June 30, when the ATOS Origin contract expires. KAZ will manage a split production facility across two data centres under a shared services model providing IT infrastructure to Orica's four main divisions. Orica says the new contract would deliver big savings despite the cost of the complex transition. Although the new systems would run precisely the same applications software -- SAP enterprise management systems -- the more flexible, powerful and cheaper hardware would reduce overheads significantly, Mr Rowe said.
  • 2. IBM's innovative On-Demand pricing structure gave Orica more flexibility, he said. About a dozen companies bid for the Orica work. Of those, half were serious and three-to-four were top-notch, he said. Orica had an outsourcing relationship with KAZ through work it had done for Incitec Pivot, a company acquired by Orica. KAZ's work at Pivot gave it a head start in bidding for the wider Orica business, Mr Rowe said. It always helped to have personal relationships, Mr Rowe said. Orica's main business lines are industrial (non-military) explosives; chemicals; fertilisers; and consumer products such as paints and home renovation products. [ Business Names ][ Next ] © News Limited, 2004
  • 3. [ Previous ][ Business Names ][ Next ] Tuesday 27 January 2004 DOWN LOAD Publication: AUS (p25, 27-01-2004) Section: Features Keywords: "Orica (2)" Blade servers keep their cool at the OpenIT staff from the governing bodies of the four tennis Grand Slam events will assess how technology additions are coping as the Australian Open moves into the business end of the tournament this week. Snap- together blade servers, piloted at last year's US Open, are in use for the first time at this year's Australian Open to run the results system. Full story -- Page 27 Incubator's fate falls to BITS THE South Australian Government is waiting for the Federal Government to toss more money at its incubator program, Playford Capital. Science and Information Economy Minister Jane Lomax-Smith is considering a report on a review of the organisation, but seems to be waiting on a decision from the Department of Communications, Information Technology and the Arts. Full story -- Page 28 Experience wins KAZ a $10m deal Orica, Australia's largest chemical company, has dumped ATOS Origin as its main IT outsourcing partner in favour the local KAZ Group. The five-year, $10 million deal includes a complete technology refresh of Orica's back-end IT infrastructure with IBM P-series systems. Full story -- Page 29 [ Previous ][ Business Names ][ Next ] © News Limited, 2004
  • 4. Wednesday, 28th January 2004 Search Careers | eBusiness | eMarketing & eMedia | Internet | Money & Markets | .NET | Networking | Open Systems | Security | Software Development | Storage Solutions | Wireless & Telecoms Orica's signs $10m infrastructure, on-demand services deal Computerworld Staff, Computerworld 22/01/2004 16:06:18 Orica Australia has signed a $10 million deal to refresh its IT infrastructure and outsource a range of on-demand computing technologies. Orica's manager of IT shared services Leigh Rowe said the company is in a growth period and it was essential to have "absolutely reliable systems that can scale quickly to reflect changing market demands". The Melbourne-based chemicals and mining services group awarded the five-year contract to to KAZ Group's technology services division in Melbourne which will provide Orica with IBM's on-demand computer technology. As Orica's technology and outsourcing partner, KAZ will provide disaster recovery services and refresh Orica's technology though virtualised and autonomic computing technologies. Orica conducted an open tender for this contract, reviewing both tier-one and large tier-two outsource vendors for the work. Send Us E-mail | Privacy Policy Copyright 2004 IDG Communications. All rights reserved. Reproduction in whole or in part in any form or medium without express written permission of IDG Communications is prohibited. Reuters content is copyright 2004 Reuters. Click for restrictions.
  • 5. KAZ wins $10m Orica contract Brian Corrigan, ARN 23/01/2004 12:14:22 ASX-listed KAZ Group has won a five-year managed services contract with Orica worth an estimated $10 million. In addition to providing managed services, KAZ will conduct a technology refresh. This will include the introduction of two IBM p690 Unix machines as the customer moves into an on-demand environment. "The new infrastructure will have some dark capacity, which means we're not paying for it but can get it turned on as we need. This gives us quick scalability," manager of IT shared services for Orica, Leigh Rowe, said. "We are also using logical partitioning, which means we can use one p690 for several systems and reallocate resources as we need. Employing a split production environment also saves us going to an expensive subscription-based disaster recovery model." KAZ won the deal after beating off competition from the usual suspects. Rowe said a dozen companies had tendered for the contract but a shortlist of three had seen KAZ win out over HP and previous incumbent, Atos Origin. "KAZ has a very good technology offering and very strong links with IBM," explained Rowe. "They were quite flexible in their approach to negotiating the contract, have been quick in making decisions and came up with a very good value proposition." Managing director of KAZ Technology Services, Andrew Richardson, said the transition would be completed and all business units would go live by the end of June. The turn of the year has been something of a purple patch for KAZ. It announced the signing of a $4 million outsourcing contract with the NSW Department of Mineral Resources last week and put pen to paper on a $20 million deal with the Department of Defence in December. "We have a value proposition that works and we have a track record of delivering," said Richardson. "The market is moving towards our strengths. The mega-deals ? where the IT department is thrown over the fence ? have proved to be ineffective. Companies are now going
  • 6. for selective sourcing and being clear about what they want to get out of it. "We have an installed base of loyal customers that are happy to tell others how good we are and we don't have the overheads of the multinationals, which means we are able to be flexible and deliver at a price point where we can make good money but our competitors will struggle." Richardson claimed KAZ was close to signing another big deal in WA but was unwilling to provide details at this stage. Send Us E-mail | Privacy Policy Copyright 2004 IDG Communications. All rights reserved. Reproduction in whole or in part in any form or medium without express written permission of IDG Communications is prohibited. Reuters content is copyright 2004 Reuters. Click for restrictions.
  • 7. KAZ wins $10 million Orica deal James Riley 22 January 2004 AUSTRALIA'S largest chemical firm Orica has dumped foreign owned ATOS Origin as its primary IT outsourcing partner in favour the local KAZ Group, signing a five-year, $10 million deal with the company. The deal includes a complete technology refresh of Orica’s back-end IT infrastructure, in which the hardware systems currently owned or leased by ATOS Origin are to be entirely replaced with new IBM P series systems. Orica's IT share services manager Leigh Rowe said the company "had been careful to co-terminate the hardware leases with the services contract" to ensure that there was no costly overlap during the transition from one provider to another. Mr Rowe said that Orica’s first foray into IT outsourcing – through the ATOS Origin deal signed five years ago – had been based on the more traditional outsourcing model. Under that deal, ATOS Origin had either bought or leased all of Orica’s hardware systems, had acquired its data centre, and offered jobs to Orica IT staff. Mr Rowe said the company had been working on a replacement for that deal for at least a year, with several early months devoted to designing a transition system that would enable a company that had largely dispensed with internal systems reclaim control of its IT destiny. The new outsourcing arrangement under KAZ will be rolled out over stages bewteen now and the expiry of the ATOS Origin contract on June 30. Under the terms of the new agreement, KAZ will manage a split production facility across two separate data centres under a shared services model providing IT infrastucture to Orica's four major divisions. Orica claims despite the cost of the complex transition from its original outsourcer to KAZ, the new contract would deliver big savings. Although the newly acquired systems would run precisely the same applications software – prinarily its SAP enterprise management systems – the more flexible, powerful and cheaper hardware would reduce overhead significantly. Mr Rowe said the march of technology also gave Orica a more flexible technical platform, and the more innovative pricing systems the the IBM On Demand structure meant more flexible financial options were available to the firm. About a dozen companies originally bid for the Orica work, of which Mr Rowe said about six were "serious" and three to four we top notch. Orica had already maintained an outsourcing relationship with KAZ, which provided infrastructure services to Incitec Pivot for several years – a company that was acquired by Orica. The known capabilities of KAZ through its work at Pivot gave the company somewhat of a headstart in bidding for the wider Orica business, Mr Rowe said. It always helped to have personal realtionships with those inside any customer, Mr Rowe said, particularly where that company has maintained a high level of service. Orica generates global revenue of more than $4 billion and employs more than 9,000 staff worldwide. It four main business lines include industrial (non-military) explosives, chemicals,
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