by Divina Paredes

Fonterra taps HCL to manage ICT infrastructure

News
Feb 17, 2020
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“We are consolidating our external IT suppliers and through this we expect to make significant savings in our infrastructure IT spend over the next five years,” says Fonterra CIO Piers Shore

piers shore
Credit: Divina Paredes / IDG

Fonterra has chosen HCL Technologies to modernise and manage its entire technology infrastructure.

The multi-year deal will consolidate Fonterra’s technology suppliers and bring together the Kiwi dairy co-op’s IT infrastructure services under one umbrella. 

“Through our partnership with HCL, we are consolidating our external IT suppliers and through this we expect to make significant savings relative to our existing infrastructure IT spend over the next five years,” says Piers Shore, chief information officer at Fonterra.

“Fonterra is pleased to be able to draw on HCL’s global scale and efficiency,” says Shore.

“Fonterra employees have said there is room for us to improve the tools and technologies we use on a daily basis at work and this partnership with HCL will allow us to make major improvements for our employees in terms of end-user experience and provide the digital foundation to our transformation initiatives.

“Additionally, this partnership will enable us to improve our cybersecurity framework and strengthen our critical IT foundation.”

Fonterra is the world’s largest dairy exporter and sells its products to 138 markets around the world. It is owned by 10,000 farmers and their families, and employs 22,000 people across the globe.

In an earlier interview with CIO New Zealand, Shore states: “The key for Fonterra going forward is to partner much more strategically so we can have access to cutting edge technology.”

He says it is important to have a diverse network and diversity in his team at Fonterra. “I would like to leverage our core skill sets and look for innovation and creativity, and partner selectively.”

HCL, meanwhile, says the partnership will extend its presence to three offices around New Zealand. This will also bring around 60 new jobs to the Waikato region, as the local support services for Fonterra will be based at its Hamilton Delivery Centre. 

HCL says it will invest in local skills and work with regional companies and tertiary education providers to develop local expertise to fill the roles at the Hamilton Delivery Centre over the coming years.

“We have been supporting Fonterra for over a decade by managing its IT application support and maintenance portfolio including SAP,” says Michael Horton, executive vice president and country manager, Australia and New Zealand, for HCL Technologies.

“We are delighted to expand our partnership with Fonterra to modernise and manage the entire technology infrastructure. This will enable us to further support both Fonterra’s business strategy as well as the agritech sector overall in the region.”