ANZ National Bank plans to get off its venerable core Hogan banking system and move to Systematics.
Australian staff were told earlier this month that the New Zealand business was examining whether to overhaul its core banking systems as part of a bank-wide transformation plan, according to The Australian newspaper.
The plan was aimed at building operational capability and efficiency and freeing up investment.
Computerworld has been told by sources within ANZ that approval has already been given to Systematics and that the business case will now be built.
One of the main drivers behind the decision appears to be the cost to income ratio, which the ANZ considers too high compared to those of the other major banks.
Banks everywhere are tightly controlling costs in the wake of the worldwide financial turmoil.
ANZ already has some experience with Systematics. Before the National Bank was sold to ANZ, it was running Systematics, but the two banks’ core systems were subsequently consolidated as Hogan on the one mainframe.
ANZ’s big push for expansion is in Asia where it has begun using the Infosys Finacle core banking system, which is expected to be progressively rolled out in the region as the bank expands.
Computerworld is told, however, that Finacle is not considered quite mature enough for operations such as those in Australia and New Zealand.