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SABC opts for IBM-led team to improve back end processes

IBM, with business partners SAP, Bytes Technology, Datacentrix, Softfinity and Masana Technologies, has been awarded a multi-million rand contract to implement an integrated Enterprise Resource Planning (ERP) system for the South African Broadcasting Corporation (SABC).

The new solution will replace the SABC's existing systems with a single and flexible solution enabling a responsive interface with the national broadcaster's customers and stakeholders, from television production to license fee collection. The SAP ERP solution essentially includes providing capabilities for enhancing the back-office operations such as finance, human resources and project management.

It will help give the SABC accurate information necessary to enforce internal controls in line with corporate governance requirements and integrate its database with a cost efficient operating environment. As part of the transformation staff will be retrained to use the new technology more effectively. Employees in general will have a central source of information, which will speed up decision-making.

The mySAP Business Suite solution includes its core ERP components as well as the SAP for Broadcast Media Industry Solution (IS-Media).

Business imperatives

Mark Harris, IBM South Africa's Country General Manager, said the IBM-led team won the SABC deal on the back of the company's proven global Business Consulting Services experience in the broadcasting industry. He said that IBM's role in advancing black enterprise development was also a key contributing factor.

"We understand the SABC's business imperatives and are able to apply our Intellectual Property (IP) and deep broadcasting experience to provide the optimal solution. Our solutions will also help reduce the cost and implementation time."

Dali Mpofu, SABC's Group Chief Executive Officer, said that understanding its business requirements, the SABC had developed the Information Systems and Information Technology Strategy and Roadmap as a key business imperative in 2002. "That this roadmap is now following through into actual implementation through projects like ERP is already a major achievement for the SABC and we have been approached by many broadcasters to share our learnings in this area."

Serve customer base

"The implementation of the mySAP Business Suite and SAP for Broadcast Media Industry Solution will replace multiple legacy outdated systems aligning internal processes, effectively delivering to the SABC a single consolidated view of all processes and data across the entire organisation. In addition to delivering extensive business critical SAP based back office functionality, it will enable the SABC to serve their complex broad customer base across all broadcast means, thereby enabling the SABC to achieve their vision of being the Pulse of Africa's creative spirit," says Claas Kuehnemann, Managing Director, SAP Africa.

Afzal Patel, the Managing Director of Kagiso Ventures Limited, Bytes Technology Group's empowerment shareholder, said: "We believe the team can add tremendous value to the SABC. This project is an excellent example of BEE, international and local expertise combining harmoniously to create a winning solution."

The SABC will be able to tap into IBM's knowledge base, IP resource in broadcasting technology digitisation trends and other IT solutions for broadcasting as it improves its business processes. The broadcaster will also leverage the resources available at IBM's Institute for Business Value (a thought leadership organisation helping IBM customers with growth strategies).

The SAP based IT solution will be implemented over a period of 15 months, and work began this month.

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