AR 2016-17 From the Chief Executive
In 2016/17, CenITex continued its transformation into a more customer-centric organisation, offering our customers an expanding choice of contemporary services, greater responsiveness and lower costs.
We made significant investments and significant progress in the provision of cloud-based services, including perhaps most importantly, a migration within the organisation to the Microsoft Office 365 environment for mail, productivity tools and collaboration. This is now available as a service in our catalogue and it appears likely that we will have transitioned as much as half of our customer base by the end of the 2017/18 financial year.
For a second successive year, we reduced prices across all our services and co-funded projects with customers aimed at modernising their ICT environments and enhancing the productivity of their workforces. We invested heavily in cybersecurity initiatives, including the launch of a 24x7 Security Operations Centre service to monitor and protect key customer ICT infrastructure.
We continued the two-day customer service training program launched last year, which is being attended by all staff, including those on the Executive team. We placed more staff on customer sites, invited customers to play key roles on project and program governance committees and actively engaged in many key customer forums.
Significantly, we implemented the “Customer 2020” structure which sees service delivery and technical staff across the organisation formed into virtual teams flexibly and responsively supporting key customer groups and departments.
Much has been done and there is much for our people to be proud of, but our transformation is not yet complete.
We need a still greater focus on our customers, more innovation and greater responsiveness to customer demands for change or for new technology and services. We need to continue our efforts to reduce costs and find ways to enhance our productivity. We need to expand our partnerships with industry to ensure we can enable our customers access to the best and most professional services and expertise available.
Based on our track record and based on the commitment and energy our people are bringing to these tasks, I am confident that we will accomplish what we are setting out to achieve.
Highlights of 2016/17
In the past financial year, we:
- Completed Program Unity with the Department of Health and Human Services (DHHS), which saw the migration of over 9000 users onto the Windows 8.1 desktop environment, the consolidation of data centre assets, and the migration of DHHS ICT services onto the Government Shared Platform (GSP).
- Successfully migrated all CenITex staff onto the Office 365 platform, supported by an extensive training program, and established the necessary expertise, industry partnerships and service offerings to support customers who wish to migrate from their existing
- Lotus Notes service in the coming year.
- Implemented a financial management system well suited to the needs of an organisation delivering ICT services to a complex customer base and which can be integrated with systems that track and bill services consumed from the cloud service providers.
- Introduced improved performance management reporting to enable our customers to analyse their data and gain greater insight into their consumption.
- Established a network join between the Department of Justice and Regulation (DJR) and the GSP, completed a major firewall refresh and worked closely with the Department to establish plans that will see a migration over the coming two years more fully onto the GSP.
- Launched our 24x7 Security Operations Centre which, drawing on information in real time from cybersecurity incidents from around the world, offers monitoring and protection for our customers’ critical infrastructure.
- Implemented a new customer billing reporting system using new technologies and practices to automate for greater efficiencies and accuracy, thus enabling more timely reporting and improved invoicing.
- Worked closely with Court Services Victoria on planning the migration of their existing ICT services to the GSP and the rollout of Office 365 across each court jurisdiction.
- Completed the DHHS Critical Reporting Tool project, which involved the transition of 24 reporting solutions and 2000 users from a legacy platform to a leading-edge, fully virtualised and secure cloud platform.
- Introduced a new service delivery model based on Prince2 and Agile methodologies and a virtual team structure to support the delivery of customer projects.
- Conducted our second independently run customer satisfaction survey, addressing all aspects of IT services and support provided by both CenITex and our customers’ ICT teams, the outcomes of which will enable us to jointly address service improvements.
- Began implementation of a new enterprise resource planning (ERP) system for finance, customer relationship management and project management.
- Completed a new cost model to support a restructuring of our Service Catalogue, improve cost transparency and realign service categories and prices to the market.
CenITex ended the year with a third successive financial surplus, this time of $7m. The majority of the surplus related to customer revenue contributions to purchase property plant and equipment needed for our customers’ project implementations. Total revenue this year was $167.6 million which was $12.9 million up on the previous year.
Pricing for services saw the absorption of cost increases consistent with increases in consumer price index as well as an across the board price reduction of 2.5 per cent of all GSP catalogue workplace and hosting services. A further 2.5 per cent discount was made available to customers who paid for their service consumption annually in advance. In addition to these reductions, a further 2.5 per cent rebate on all services for GSP customers was announced in January and backdated to the start of the financial year.
CenITex experienced another significant increase in internal and customer project activity. The original forecast was $36.5 million in project expenditure across both internal and customer portfolios. Due to increased demand, we delivered internal and customer projects well ahead of the forecast value to a total of almost $43 million.
For a second successive year, we reduced prices across all our services and co-funded projects with customers aimed at modernising their ICT environments and enhancing the productivity of their workforces.