Case study: New Zealand Post

Supporting 1600 users and a 8000 FTE organisation

Cost of change disappeared & complete self sufficiency

Ongoing operating costs  reduced by more than NZ$1.5 million annually

Increase in Profitability, Safety and Employee Engagement

Overall purpose of the Business World project

With serious changes underfoot in the traditional mailing business, NZ Post Group faced challenges in transforming their business model to a diversified services platform.

In step with changing times, with fewer letters mailed each year, a thorough restructure of the Group’s supporting technology was obvious. Responding to and anticipating local and global shifts in customer needs, New Zealand Post embarked on an ambitious transitional journey toward a modernised and more service focused business model with the customer at its heart.

New Zealand Post required a dynamic yet centralised financial management solution to simplify and centralise their business processes. They achieved this by replacing PeopleSoft, their ageing and highly customised legacy system, with UNIT4 Business World ERP – a single core application – to produce the elusive ‘single source of truth’ for all financial data across the entire Group.

The move to UNIT4 Business World not only consolidated their heavily customised legacy systems but in the process significantly reduced their cost of ownership whilst allowing the Group to undergo upgrades with significant ease and reduced cost.

“It’s been a real case study in terms of how successful we can be working with a vendor - people outside the project couldn’t figure out who was a NZ Post team member and who was an Agilyx Team member” - Mark Yeoman, CFO, NZ Post

Measurable Benefits

Reduced Costs – New Zealand Post have drastically reduced their cost of ownership through their decision to consolidate their ageing finance systems into a single unified core application – UNIT4 Business World. The Group’s ongoing operating costs have reduced by more than NZ$1.5 million annually. Bankable future savings are assured and by leveraging Unit4’s ‘milestone’ and ‘experience pack’ upgrade pathways – the usual upgrade headaches are a thing of the past.

Increased Performance – ince implementing UNIT4 Business World the Group has experienced a significant increase in productivity and related performance. Whilst the man hours allocated to calculating and reporting on year-end profits has been reduced by a full 40%, using the new finance system they were still able to consolidate their year-end within 5 working days instead of the previous 10.

Timely & Accurate Information – The amount, depth and breadth of the financial information now available to managers dwarfs the previous system, allowing clear and accurate oversight of the most vital mechanics of the organisation – their financial overview and forecast. Combine this increased capacity for meaningful reporting with a boost in timeliness and accuracy and you have a thoroughly revitalised situation when it comes to the financial management of the organisation.

Modules they adopted
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Modules they adopted
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Key Outcomes

A cloud-first strategy

UNIT4 Business World is delivered entirely natively in the cloud on a SaaS (Software as a Service) model leveraging a low cost secure cloud environment. This allows the Group to reduce their reliance on ownership of a technology stack, which supports a business in true change mode.

A unique partnership oriented business agreement

NZ Post needed a transformation partner who would go on  a journey of rapid change with them, acting as a single unified team. Agilyx worked to align the interests of customer and vendor, sharing the responsibility for the project outcomes and weighing ‘risk’ and ‘reward’ outcomes for the project delivery schedule. This approach ensured that the maximum energy, time and creativity was focused on generating solutions and delivering the business benefits, while optimising the project schedule and minimising commercial debate around decision points.

Keep it Vanilla

Having suffered from heavily customised legacy systems in the past the Group strategy was clear in wanting to avoid customised solutions that were too expensive or too complex to upgrade and maintain. “Keep It Vanilla” became one of the guiding principles of the project and the bar for the choice of a ‘non-vanilla’ functionality was set very high. This has helped ensure that the lifetime cost of ownership will be kept to a minimum.

Needing a game-change in thinking and ways of operating, New Zealand Post required a dynamic yet centralised financial management solution to simplify and centralise their business processes.
Needing a game-change in thinking and ways of operating, New Zealand Post required a dynamic yet centralised financial management solution to simplify and centralise their business processes.