Contact Energy – Idea Hopper

The power of innovation drives cost reductions and greater profitability for Contact Energy Contact Energy – Idea Hopper

Contact Energy

Contact Energy Limited (Contact) is a New Zealand electricity generator, natural gas wholesaler and electricity, natural gas, broadband and LPG retailer.
The company is the second-largest electricity generator in New Zealand with over 4 billion dollars in assets across 10 generation sites and a retail customer base of over 400,000 connections.
Contact operates a complex suite of critical business applications to manage and support its generation.

Overview

The energy industry is demanding. Changes in customer expectations, regulatory pressures, weather, unforeseen outages, all with an ongoing imperative to increase operational efficiencies in a highly competitive market.
Contact incumbent IT Infrastructure wasn’t
in-line with Contact’s strategic direction,
High-cost on-premise IT infrastructure and support model
Lack of integration offered little insight and data intelligence
Unable to respond to customers changing needs
Service offering stagnated and fell behind its competitors
Inability to progress internal improvement opportunities
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“ We found that our competitors were expanding services and getting better returns from their generation assets – Digital adaptability and improved data insights

Slide

Client Specifications

Contact was seeking to reduce its operating costs whilst improving operational safety and performance. It also wanted to gain more value from its data and used this to transform its service offering to be more competitive.
Contact’s existing IT architecture was somewhat
cumbersome and outdated, with many different vendors providing critical point solutions which did not integrate easily. This complexity and perceived risk impacted Contact’s ability to adapt and progress cohesively or gain insights from its data.
“Energy companies must constantly develop and improve their intelligence. Intelligence takes data and puts into context our business and customer needs. Good intelligence enables us to leverage patterns for identifying opportunities and threats ahead of time”.

Strategy, Goals and Results

Results Any system loss or downtime had the potential to cost our client millions and put
safety at risk. Applications couldn’t simply be lifted and shifted with little consideration of a number of factors, a thorough test strategy and the ability to roll-back quickly was critical to
Goal 01

Reduce IT Overheads

32% Reduction in IT Support Costs
Goal 02

Cloud Based Architecture

84% IT Applications Moved to the
Goal 03

Optimise Operatonal Performance

$4m Savings from Internal Improvements
Goal 04

Increased Shareholder Confidence

19.4% Increase in Share Price

Our Approach

Digital Transformation provided the leadership, planning, design architecture and execution of the transition; along with managing service aggregation across numerous other vendors, communicating with business users and third parties throughout to ensure successful delivery.
Grouping applications and data-flows by common inputs and outputs; and through working closely across business units to understand data and people transactions, allowed the Digital Transformation to move applications in waves grouped by common needs with minimal disruption to normal operations.
As a result, Digital Transformation ushered in a new era for Contact and enabled their client to realise a long-awaited new operating model which immediately resulted in reduced operating costs.
Contact now had the technical capability they desired and platform from which they could confidently and safely move forward.

Requirements

Our solution

The communication between machines of different kinds sometimes cause troubles and inaccurate signal decoding results.
Advancements in technology – including machine-to-machine communications between smart sensors, referred to as ‘The Internet of Things’. For example, appliances in the home that can be monitored and controlled wirelessly by the homeowner wherever they are.
The potential market for servers and networking equipment development is still unstable and shrinks every year.
Market development – increasing market share in new markets such as servers and networking equipment. ARM’s technology is well placed to provide lower power options to transport, distribute, analyse and store data across the internet.
Demand for energy efficient technology – the market demands high performance products using low power technology.
This case study will demonstrate how ARM’s strategies contribute to the achievement of its business vision, aims and objectives using an integrated approach focusing on innovation, its people and its network of partners.

Results:

ARM has an innovative business model. ARM does not manufacture the products in which its technology is used.

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