Transpower awards IT outsourcing contract to Fujitsu in multi million dollar, three year deal with potential to extend to eight years

Fujitsu New Zealand has been awarded a three year, multi-million dollar contract to provide IT infrastructure services to New Zealand’s national electricity grid operator, Transpower, with the potential to extend it to eight years.

Transpower’s decision to award Fujitsu the contract follows a competitive open tender in which four vendors were short-listed.

David Gatland, General Manager Information Technology, Transpower said, “As a mature user of outsourced IT services we were seeking an outsourcing partner that would provide increased service levels, as well as someone who would help us focus on outcomes which aligned to our company strategy. We believe Fujitsu is the partner to help us do this.”

This new outsourcing agreement continues a long-term relationship between the two organisations with Fujitsu providing IT infrastructure services to Transpower since 1997.

“While Fujitsu has been adding value to Transpower’s business for many years, this contract win is evidence of the ongoing commercial value the partnership brings to their business,” said Rod Vawdrey, Chief Executive Officer, Fujitsu Australia and New Zealand.

“We look forward to taking on the challenge of bringing Transpower’s IT services and infrastructure to a new level of maturity, with increased capabilities, advanced systems and robust processes,” said Mr Vawdrey.

One of Transpower’s primary objectives in tendering its IT infrastructure outsourcing was to move towards a more outcomes-focused agreement. While increased service levels are one part of that outcomes approach, so too is a focus on reducing the cost of Transpower’s overall IT infrastructure services.

“By focusing on outcomes rather than outputs we are able to better align our IT investment to our business strategy. Fujitsu has come up with a number of innovative ways to ensure this focus remains, for example introducing a Service Providers’ Council, to enable better teaming across all our service providers, and a more robust governance process,” said Mr Gatland.

As the only transmission company in New Zealand, Transpower was keen to work with an organisation that had specific experience working with utilities companies in other countries. As one of the world’s leading IT services companies, Fujitsu was able to leverage its experience working with companies such as Transgrid and Macquarie Generation in Australia as well as British Gas, npower, Mitsui Oil & Gas and Scottish Water in the UK and Japan.