'Now we can get on with our core rail freight service'
Leonard Neill
SPOORNET HAS signed a R1.4billion five-year strategic partnership agreement with IT provider Arivia.kom which will see the rail operator outsourcing the bulk of its IT needs. The partnership rates as one of the largest black empowerment IT deals in South Africa to date.
"Now we can get on with the core business of operating a rail freight service which can begin to meet the demands of our varied customers, and do it efficiently without having the bother of handling all the network problems that arrive daily," said Spoornet acting chief executive Tshidi Nyama.
The agreement paves the way for the outsourcing of around 70% of Spoornet's IT facilities management over the next five years. This includes the provision of mainframe, midrange, network, help desk and distributed computing environments, as well as payroll bureau service.
"It enables Spoornet IT to focus on the use and creation of information technology," Nyama said.
"Our internal IT department will continue to set the IT direction and architecture standards, fulfil a programme management role, manage IT agreements and ensure the optimal creation and use of IT across Spoornet. An internal IT department that is closely aligned with Spoornet's business strategies and needs will more effectively serve these roles."
The agreement, she says, ensures that meaningful cost and revenue advantages for the business are aggressively driven. It identifies common goals, mutually agreed measures for success, and ways to make the relationship a win-win for both parties.