Geac New Zealand is to make around 40 people redundant from its product development business as it refocuses product development strategy for its NT-based client-server offering to the world market. This follows a recent announcement that it planned to take on 100 new staff.
"Upon reviewing our strategy of the past nine months, we have decided to concentrate on the business needs of the Asia-Pacific region," says general manager Viv Gurrey, who was recently made responsible for the operation and distribution of the product in Asia-Pacific.
"We'd re-sourced up to launch the product to the North American market, but we've now decided that was not a good decision and we will focus on natural vertical markets," she says.
"Over the past four years we have operated a substantial pro-duct development centre out of Australasia, focusing on this single global offering. Now we've decided to leave being developers of a catch-all solution to our competitors, whose products are developed offshore in Europe and the States, with little influence from this region into their development."
Gurrey says Geac will endeavour to re-deploy the redundant staff.
"In New Zealand, Geac's business is ostensibly ERP, and that's where the growth lies. We will be able to deliver focus to StreamLine in a market where our competitors are trying to be all things to all people, and they are suffering as a result."
The company is still looking at 30% to 40% growth this year, she says.
A few weeks ago, Geac said it planned to double its operations in New Zealand over the next two years, with the creation of 100 jobs. The company currently employs 170 - 70 of those in software development.