Our client is a large engineering-led construction and mining company with around 50,000 employees working across leading infrastructure and resource projects around the world. It is an Australian listed entity, though it operates internationally in over 20 countries, undergoing a variety of activities in construction, contract mining, operation and maintenance, development, and delivery.
Our client’s existing ERP solution consisted of Oracle’s JD Edwards EnterpriseOne (JDE), and Business Intelligence (BI) solutions (OBIEE and Hyperion Planning) used to manage its core financial business functions. The ERP solution provided services for multiple business entities spread over its various locations around the world, each requiring secure business transactions between on-premise applications, external third-party organisations and other Cloud SaaS providers.
As part of its strategy to consolidate and modernise its operating environment, the client initiated a business rationalisation program with its core IT objectives to:
- Move to a cloud deployment model to provide global accessibility and scalability.
- Improve data sovereignty through locally deployed production environments.
- Provide a greater end user experience and system efficiencies equal or superior to legacy systems.
- Reduce capital and operating costs over five years.
As a long-term partner to the client, we were engaged to help the organisation find a solution, or set of solutions, that would help it restructure its business operating model aimed at centralisation and strong governance.
After thorough analysis, we put forward a proposal to transition our client’s ERP systems to an outsourced delivery model. It was proposed that the new model would not only provide our client with immediately reduced overheads, but would also simplify its global IT landscape, providing a greater return on investment over time, whilst contributing to broader transformational objectives.
As an experienced Managed Service Provider and Oracle Partner with extensive experience in delivering successful integration strategies and services – we we’re selected to define and develop a roadmap to transition the client to a cloud model and deliver the following:
- A JDE solution across their global operations – Australia, the Americas, Africa and Asia; running on an Oracle Cloud Platform.
- Offer a complete Oracle ecosystem back to the client, leveraging the automation available in Oracle’s Platform-as-a-Service (PaaS) and Infrastructure-as-a-Service (IaaS) Cloud offerings.
- An “as a service” package offering including all core applications on a subscription role-based per user model removing legacy platforms and transitioning from a Hybrid IaaS/PaaS/Apps layer to a next-generation end-to-end pay per use service.
- Sophisticated visual outputs sourced from a robust yet flexible and scalable data management and storage platform.
Our proposed approach considered three main factors:
- The objective for cost reduction of ICT variable costs.
- The risks associated with the transition from an in-house to an outsourced delivery model.
- The opportunity to integrate business systems and functions to provide greater accessibility and insights across the global organisation.
In order to achieve the above, we broke the journey into three phases:
Phase 1: Transition
- Successful Knowledge Transfer and transfer of identified staff to NRI.
- Establishment of NRI Service Desk processes and communication plan.
- WAN connection in place and working from NRI to client site.
- Removal of most hardware and software JDE assets from the client’s balance sheet.
- Customer Infrastructure and JDE Applications under Supplier responsibility.
Phase 2: Transformation
- Complete software asset transfer to the Supplier relating to the core JDE and BI solutions.
- Full consumption-based pricing model.
Phase 3: Extension
- Ability to recoup initial JDE license investment via a set of licence credits.
- Fully scalable, globally accessible platform.
Following the successful delivery of all three phases, our client now operates an outsourced delivery model with a strong offshore presence and works in an ongoing partnership with the NRI team who continue to own the core financials, reporting, and underlying platform service delivery.
In addition to the above, we delivered:
- A fully scalable, globally accessible platform.
- A flexible commercial model with termed price hold.
- A locally managed and globally deployed solution – catering for data sovereignty and security.
- A consumption-based service catalogue.
- Lower operating costs (TCO) over five (5+) years including Transformational costs.
- Direct Operating Company billing.
- A Customer Success Management Program to support deployment.