Dimension Data has issued a round of internal restructuring within the New Zealand organisation, resulting in a streamlining of operations and job losses.
Reseller News can reveal that the technology provider has made redundancies in the local market, but at this stage cannot confirm the exact number of staff that have been let go.
The change comes 18 months after the business cut multiple roles in Auckland and Wellington, as part of plans to offshore the company’s service desk division to India, as revealed by Reseller News.
Fast forward to 2018 and the system integrator has further tightened operations in New Zealand, in a bid to respond to increased market competition.
“We began our business transformation process around 18 months ago, ensuring we continue to provide our clients with innovative solutions and superior client experience,” Dimension Data New Zealand CEO, Wayne Yarr, told Reseller News.
“We have simplified our business model, aligned our operating procedures with our parent company and matched our go to market strategy with our clients’ needs.
“Now, to address resulting utilisation and duplication issues, we have taken the decision to reduce our workforce and realign some responsibilities and activities to market demand.”
According to Yarr, the changes are designed to improve “agility and responsiveness”, while ensuring the “long-term success” of Dimension Data in New Zealand.
“Our focus remains on delivering exceptional real-world solutions for our clients,” Yarr added. “By streamlining our business, we can ensure we have the capabilities and capacity to meet our clients’ needs now and in the coming years.
“Relentless, fast-paced change characterises our industry. Like all technology companies we have responded to these changes to ensure we continue to meet our clients’ requirements.”
The change comes as customer spending patterns continue to evolve across the channel in New Zealand, moving from large up-front deals with higher margin, to smaller and more consistent annuity revenue models.
Coupled with new end-user expectation around increased efficiency, Dimension Data - like many providers in the country - are facing a battle to deliver high-quality services at a competitive price point.
“Complexity in delivering managed services hasn’t necessarily reduced,” one source told Reseller News on the condition of anonymity. “It has just shifted, but customers don’t necessarily want to acknowledge that.”
In looking ahead, Yarr said Dimension Data will continue to work with government and enterprise organisations in New Zealand, while also leveraging the provider’s position on the telecommunications-as-a-service (TaaS) panel.
“Dimension Data has been a strong player in the New Zealand market for more than 30 years,” he added. “Our approach is to bring new dimensions to data through technology, insights and strategic thinking.
“We reduce complexity, unlock opportunities and help our clients achieve great things.”
Specific to the Kiwi market, Dimension Data’s solutions portfolio currently comprises of digital business solutions, customer experience and digital workplace, alongside digital infrastructure and cyber security.
“Today, we are helping to improve everything from the customer experience for busy travellers to delivering energy drinks for a discerning market to seamlessly connecting fans to major sporting events,” Yarr added.
“We also maintain strong relationships with our key partners. We will continue to bring local and global innovation to our New Zealand clients, leveraging the great expertise we have here in New Zealand alongside global best practice from Dimension Data and our parent group, NTT.”