UXC Red Rock heading north!

We made a very important announcement this month marking a huge step forward in our expansion into Asia. We were to close a deal to acquire asset-lifecycle management player Convergence Team Ltd. Visit the press release on our web site for the details: http://www.uxcredrock.com/news-events/red-rock-in-the-news/878-uxc-red-rock-consulting-announces-acquisition-of-convergence-team

fran-foo-thumbnailBut on the basis of the deal I spoke to one of Australia’s leading IT journalists – Fran Foo, Deputy Editor at The IT section of The Australian newspaper about our plans, and here is the coverage we received as a result:

UXC Red Rock to expand in Asia

ORACLE software specialist UXC Red Rock has acquired asset life cycle management provider Convergence Team as it seeks to further expand into the Southeast Asian market.

UXC Red Rock will absorb about 30 staff from Convergence Team to add to its 600 staff in 11 offices in Australia, New Zealand, Singapore and India.

Brisbane-based Convergence Team will be folded into UXC Red Rock’s consulting practice and led by asset life cycle management industry director Stuart MacDonald.

UXC Red Rock CEO Jonathan Rubinsztein declined to reveal financial arrangements but said the company had been working with Convergence on a project two years before the ­acquisition on a few projects in Asia-Pacific.

“It’s (the acquisition) a good opportunity for more growth in Southeast Asia … it will allow us to grow in asset-intensive industries,” Mr Rubinsztein said.

He said the deal would extend the group’s capability to cover more Oracle applications. UXC Red Rock is the software giant’s largest partner in Australia.

It will also help UXC Red Rock make further inroads into engineering, construction, mining and utilities markets, he said.

UXC Red Rock is a subsidiary of ASX-listed UXC and counts Blackmores, Coca-Cola Bottling, Indonesia, Corporate Express, Wotif, Heinz Australia, Lion Nathan, Australian Vintage, Bis Industries, Engineers Australia, SEQ Water Grid Manager and New Zealand fertiliser co-operative Ravensdown as customers.

Convergence Team has clients across a range of industries such as chemicals, ­financial services, manufacturing, healthcare, hospitality, power and energy, and oil and gas.

They include ExxonMobil Chemicals, Shell Chemicals, Unilever, GE Wind, Veolia Water, Constellation Energy, Keppel Energy, Western Container Corp, SingHealth, Singapore Land Authority, UOB Bank, Resorts World Sentosa and Marina Bay Sands.

Solution providers for Oracle rival SAP are also experiencing consolidation. For instance, Victorian IT services company Viatek earlier this year acquired CN Group, an SAP consulting specialist in Sydney.

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A Rock Solid Strategy!

10ReasonsInfoG_smallOne of the more exciting ventures I’ve ever been involved in in my career has been participating in the evolution of a business called Rock Solid. Working closely with its founder, Tony Bain, together we have been able to fundamentally disrupt the business of SQL Server Database management. No matter what space you are able to disrupt, it is always exhilarating and exciting – I can highly recommend it!

Rock Solid’s story was covered this week here in The Rust Report.

Tony has been able to innovate a tool to manage and monitor SQL Server databases that can slash the cost of their management – up to 60 per cent of traditional costs – for clients. Now, as that message has begun to get across, the growth of that business is exponential.

This has brought its own challenges for us of course, but ones that we welcome. Managing huge demand and scaling a business to meet that rapid demand are good problems to have! The next challenge for the team is to capitalise on this exciting opportunity now, international expansion, more growth, innovative partnership and so on. But the experience has also proved for me that the incubator model is powerful – as Tony himself explains well:

“[Red Rock] shared the vision and understood what our objective has always been…they have allowed us to heavily invest in our technology, putting us at a considerable advantage in terms of our capability to rapidly grow the business.”

Start Ups need capital of course, but they also need direction, advice, resources and so on. This venture has helped me realise that the incubation sector in Australia should be expanded and this is maybe something Government should help more with? 

The Only Constant is Change

Next month is our ninth consecutive Red Rock Leadership Forum – our biggest day of the year. We will be holding it the splendid Sydney Town Hall in the CBD and expect hundreds of partners and customers from within the not inconsiderable Oracle ecosystem in Australia to attend to learn about the latest in Cloud, Datacentres and Applications.

gearoidWhile I’m excited every year as we gather together all our stakeholders into one big room to discuss the hot topics of the day, I’m particularly excited this year because we’ve arranged for one of my most inspirational friends, Gearoid Towey,  to give a brief motivational talk on how to manage transition.  With Oracle now finally bridging the gap quite aggressively from on-premise to cloud and the wider industry embracing this massive change at some pace, we all face a great deal of transition in our professional lives.

Transition was something Gearoid Towey was forced to face alone.  When his career as an elite Irish Olympic Rower came to a sudden end after the 2004 Olympics in Athens, he found that there was very little assistance for him in how to cope with life after professional sport.  As he researched it further he found so many former athletes had struggled with the impact such a change had on their sense of identity and purpose.  We can think most recently of the obvious troubles haunting Ian Thorpe.

You can read more here about how Gearoid coped with this transition  but register now for the Red rock Leadership Forum to hear his advice for embracing change and managing transition.  The only constant is change in this life so his advice will be most valuable I can assure you!

red rock

From little things, big things grow…

We had some nice coverage in the Australian this week, detailing the growth we are experiencing at the moment. The IT editor Stuart Kennedy spoke to me about how we were growing and I provided an overview of how we were building out our practice:

TheAusIT - NOv12

Naturally this is a summary of our conversation and I went into more detail about the consolidation trend I was seeing in the market as customers were demanding more of an end-to-end service.  In many ways this explains our growth at the moment. We have been able to provide customers with a much more comprehensive consulting service because as Oracle has expanded its offering, so we have expanded our expertise and scope. The acquisition of Tripoint Online’s Peoplesoft expertise earlier this year is a great example of that. As that growth has come in depth, we have also expanded across ANZ, opening new offices in Perth recently and investing in our New Zealand practice (most recently with this acquisition of Jireh).

Our growth has been steady – $75 million to 150 million in just three years – and we should be on track to hit $200 million in the next 12 to 18 months. It is not easy growing at this rate, but I believe that as long as we focus mainly on a commitment to customers and an adherence to our strong sense of corporate culture, we can sustain it. Time will of course be the judge!

Tripoint puts Red Rock on top

We scored some coverage this week around UXC’s acquisition of Tripoint Online, an erstwhile competitor of Red Rock who had run into trouble of late.  UXC will roll Tripoint into our business and subsequently the acquisition makes Red Rock the largest Oracle partner in Australia.

AFR – UXC and Tripoint

It is important to note – and I’m pleased that the AFR article does so – that we have been growing organically at a very steady pace without the  acquisition but obviously the extra experience and customer relationships will help us. In fact iTnews did carry the quote from UXC MD, Cris Nicoli that:

A large attraction for us in proceeding with this deal includes the fact that Tripoint brings a high pedigree in PeopleSoft consulting combined with a mature service delivery model and strong multi-vendor partnerships that will compliment Red Rock’s current market position.”

So it strikes me as fitting that just as Oracle secured a leadership applications position through the acquisition of a struggling rival – Peoplesoft – so have we!

But it is worth making the point also that the cultural fit around values builds a solid environment for an harmonious blend of the two practices I hope and reinforces why I think values can be so important to business success.  So I am very positive about making this acquisition work.

Here is some other coverage from the deal:

Government Alert: UXC’s Red Rock acquires Tripoint Online

ARN: Red Rock Consulting acquires Tripoint Online to boost Oracle expertise

Trader Dealer: UXC Acquires Tripoint Online

ITWire: UXC’s Red Rock acquires Tripoint Online