TechnologyOne trumps Civica in Wangaratta Win

TechnologyOne Ltd (ASX: TNE), a leading Australian provider of enterprise software solutions, has won a contract worth more than $1.1 million to supply its Financials, Supply Chain, Works & Assets, Property & Rating and Human Resources & Payroll solutions to the rural City of Wangaratta.

The council awarded the contract after inviting TechnologyOne and Civica to participate in a tender.

The contract win comes hot on the heels of the City of Ryde in New South Wales and the City of Fremantle in Western Australia deciding earlier this year to opt for a range of TechnologyOne solutions over Civica.

TechnologyOne has won more than 70 per cent of contracts where councils have sought a local government solution suite this year.

“These contract wins reinforce our position as the dominant player in the local government sector where we provide our software to more than 220 councils in Australia and New Zealand,” Executive Chairman Adrian Di Marco said.

“Rather than specialising in one software solution, we’ve built depth and breadth into our offering through the development of a full enterprise suite of products and this strategy is proving successful as smaller specialist providers continue to disappear.”

Civica has recently been acquired by UK venture capital company 3i. Two other players in the local government sector have also undergone an acquisition in the past 18 months. With recent consolidation and acquisition activity affecting several software providers in the local government arena, TechnologyOne is today the dominant supplier to the local government sector.

According to Ray Park, Director of Business Services, the Rural City of Wangaratta chose TechnologyOne solutions because of their integration capabilities, user engagement and high levels of functionality.

“What we wanted was a solution that would enable easy integration, centralise the storage and accessibility of corporate information, and engage users while enhancing the overall user experience,” said Mr. Park.

The council determined these requirements after a rigorous internal needs identification process. This showed that new systems were needed as the systems in use did not have the capability to effectively manage and share corporate information. In addition, the support, maintenance and integration of the existing application suite had become both complex and labour intensive.

“After the tender process we felt that TechnologyOne was the vendor most capable of meeting the council’s immediate and long-term requirements,” Mr. Park said.

Mike Preedy, General Manager, Local Government, TechnologyOne said, “TechnologyOne is well placed to secure three more substantial local government contracts this year. The company’s local government customer list demonstrates that TechnologyOne has a compelling offering for this market.

“The Rural City of Wangaratta has 27,000 residents and the council area covers some 3,600 square kilometres, while the City of Ryde has a population of more than 97,000 residents living in 16 suburbs, so these contract wins are evidence that TechnologyOne can tailor solutions specifically to the needs of local authorities, regardless of their size.”