Critical.
Authoritative.
Strategic.
Subscribe to CIO Magazine »

Commbank signs up to $1 billion Telstra services deal

Deal to supply next generation telecommunications capabilities and fully managed services

The Commonwealth Bank (CBA) has announced Telstra is to be the beneficiary of a 10 year, up to $1 billion, managed service contract ahead of a planned telecommunications network upgrade aimed at creating a future-proof IT platform.

Under the outsourcing deal, worth up to $100 million per year, Telstra will provide next generation telecommunications capabilities and fully managed services to the bank’s branches, contact centres, eftpos network and non-branch ATMs.

The significant business transformation project is also aimed at increasing customer convenience and accessibility which will help support the bank’s customer satisfaction goals.

In an ASX statement Michael Harte, group executive enterprise services and CIO, said the agreement, which is part of the organisation’s ‘Smart Sourcing’ strategy, would help align execution with business outcomes.

“Our arrangement with Telstra is a partnership which is directly focused on customer satisfaction through well defined shared goals, commitments and business outcomes,” he said. “This is the first time we have stuck a deal of this kind.”

The Smart Sourcing strategy, as articulated by the CBA, aims to progressively review service provision to drive enhancements within the business.

David Thodey, Telstra Enterprise & Government Group managing director said the company’s Next IP and Next G networks would play a fundamental role in achieving CBA’s transaction and customer service objectives.

Telstra will begin transitioning the management of the CBA’s network services from current provider Gen-I today, however Gen-i will continue to continue to work on other projects and provide strategic support. The deal follows similar business transformation outsourcing announcements from the banking sector.

In December, BankWest announced it had signed $2.5 million contract to outsource network monitoring for more than 1500 devices over two years.

The deal was aimed at reducing network problems over the BankWest and St Andrew's networks which connect 200 sites across Australia.

Join the CIO Australia group on LinkedIn. The group is open to CIOs, IT Directors, COOs, CTOs and senior IT managers.

More about: BankWest, CBA, Commonwealth Bank, etwork, Telstra
References show all

Comments

Post new comment

The content of this field is kept private and will not be shown publicly.
Users posting comments agree to the CIO comments policy.
Login or register to link comments to your user profile, or you may also post a comment without being logged in.
Related Coverage
Related Whitepapers
Latest Stories
Community Comments
Tags: CBA, commonwealth bank, outsourcing, Telstra
Latest Blog Posts
Whitepapers
  • 5 Best Practices for Achieving Peak Performance in SAP Environments
    Given how deeply businesses rely on their SAP systems, it’s simple to see that maximizing performance and uptime is critical. What’s not so simple is figuring out how to understand, let alone optimize, performance in these complex, dynamic, and interrelated ecosystems. This paper offers five best practices that can help administrators more effectively measure and improve SAP performance.
    Learn more »
  • Workshifting: a global market research report
    New business requirements are transforming the demands placed on IT. To operate effectively in today’s fast-paced global environment, organisations need to be able to get work done anywhere, anytime, by any type of worker to achieve the best results. This is the context for the rise of workshifting—the practice of moving work to the most optimal location, time and resources. As one of the most comprehensive reports ever conducted into the role of desktop virtualisation in enabling workplace flexibility and mobility, it reflects the growing consensus of those using technology to improve the performance of their organisation.
    Learn more »
  • Magic Quadrant for Enterprise Disk-Based Backup/Recovery
    While backup is among the oldest, most performed tasks in the data center, the industry is undergoing significant change as organisations accelerate new technology adoption and show a propensity to implement new solutions, in some cases from vendors that are emerging or new to the backup market.
    Learn more »
All whitepapers
rhs_login_lockGet exclusive access to Invitation only events CIO, reports & analysis.
Recent comments