Vodafone Australia and Vodafone New Zealand have outsourced IT operations to Hewlett-Packard Australia.
The three-year, multimillion dollar, trans-Tasman deal includes the IT management of the telco's helpdesks, desktop PC and server operations across Australia and New Zealand.
A spokesperson for Vodafone Australia said that as part of the deal 64 IT support staff, from both Australia and New Zealand, will move across to HP.
Before this contract, the company's IT team consisted of 70 personnel.
The spokesperson said the remaining staff would move into other areas and a "few had left the organisation in the past couple of months".
The outsourcing of the whole of the IT support function was flagged in November last year when Computerworld obtained a draft document outlining the company's revised business plan for 2001, prepared on November 2 2001. Then-chief operating officer Grahame Maher for Vodafone Australia, said the business is "now extremely inefficient". The document said key to the business developing efficiencies would be a re-engineering of business processes, along with the sell-off and outsourcing of several projects, and partnering of non-core activities.
Included on the agenda was the outsourcing of the IT and engineering division.
The document said an operational saving of about $8 million would be achieved through the outsourcing of IT.
Maher, now managing director of Vodafone Australia, said: "HP's success in winning this project was very much due to the company's willingness to offer transitional employment to Vodafone staff as part of the agreement."
In conjunction with the outsourcing agreement, a program to upgrade and standardise Vodafone software to Microsoft Exchange 2000 XP with Bluetooth is scheduled early on in the contract.
Currently, Vodafone Australia uses Exchange for e-mail and will be upgrading from NT and Novell to XP. New Zealand will upgrade from Notes to Exchange 2000.