Optimation focuses on IBM opportunities after selling Australian business

Optimation focuses on IBM opportunities after selling Australian business

Optimation Group targets opportunities created by shifts in IBM's go to market model.

Neil Butler (Optimation)

Neil Butler (Optimation)

Credit: Supplied

New Zealand IT services provider Optimation Group is focusing on its core New Zealand business after the sale of its Australian Mentum Systems business.

The sale, announced yesterday, would allow the group to boost resources and focus on growth in its core New Zealand Optimation and Presto businesses, Optimation Group chair Neil Butler said.

Since launch in 2014, Mentum had tripled in size and expanded its reach within its client segment Australian defence, Butler said.

“It has been very satisfying to grow Mentum to this point and it’s a logical time for the business to move to new ownership to continue that journey,” Butler said.

The deal came as long standing Optimation customer Corrections, New Zealand's largest government agency, takes its business back to market after more than a decade. 

Butler said Optimation would be accelerating its drive to build world-class enterprise digital and cloud solution capability.

“Our recent partnerships with IBM and its subsidiary Red Hat, and the new appointments of Sallie Purser to general manager business operations and Pat Cullen to executive director are part of this journey,” he said.

Both Purser and Cullen joined Optimation from IBM New Zealand.

Purser was general manager partner ecosystem and Cullen was software client leader responsible for large software deals in New Zealand. 

They are charged with developing Optimation’s new IBM relationship as the tech giant shifts from direct sales and management to relying on partners.

“We are focusing on opportunities created by this change for both our Optimation and Presto businesses,” Butler said.

Optimation’s other partners include AWS, Microsoft and low-code platform OutSystems.

The company had been doing considerable work across the market to support enterprise customers’ digital and transformation initiatives, Butler said.

"Our business partners bring a suite of technologies that are pivotal these projects.”

In particular, Optimation was aiming to make the most of its expertise in low code technologies to speed up and reduce the cost of transformation for clients.

Recently, Optimation started work with Accuro Health Insurance to transform its core business system and to take a "digital first" approach to customer experience.

Other transformation clients included Jae Cleaning and the Medical Council of New Zealand.

Optimation's Presto business, meanwhile, was a technology talent and resourcing provider.

New recruitment and sourcing consultants joined earlier this year, along with the addition of a Philippines-based sourcing capability.

“We are rapidly evolving the business to best help customers in an environment of acute talent shortages,” Butler said.

Butler said Optimation would continue to partner with Mentum and the FTS Group where appropriate while independently, pursuing opportunities with government agencies across Australia.

Optimation’s locally developed SCP software product, for instance, had been successfully deployed in New Zealand with Corrections and the Defence Force.

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