SEMA offshores IT but keeps printing at home

SEMA has made the shift offshore with its new ‘Technology Centre’ due to open up in the Philippines in March this year, resulting in job losses from the company’s Australian technology operations.

As part of an ongoing series of transformation projects, particularly in its technology area, SEMA announced this week that it would open a new Technology Centre in Manila, the Philippine capital, to increase flexibility, scalability and fast job turnaround.

While the move will see around 55 of its IT jobs go offshore, it will not affect the company’s printing and distribution operations, all of which are based in Australia. SEMA CEO, Keith Hunter, says that, although it made sense for the company to move its technology office overseas, its printing and distribution operations will stay put in Australia.

“We’re always looking for opportunities to conserve [costs] but the logistics involved in delivering printed articles prevents an overseas option,” says Hunter (pictured). “Production will always stay in Australia.”

Sema recently signed on for two high-speed Impika printers for its local production plants.

The multi-channel marketing services company settled on the Philippines for its new centre because of the high availability of skilled IT professionals, the minimal two-hour time difference from Australia, and the high rate of English spoken by the locals.

“We’ve always struggled to get staff in Australia,” says Hunter. “[But] there is a huge market of skilled resources in the Philippines.”

The company has stressed that its new Manila operation, which will provide IT product development, QA and testing services, will be wholly owned by and operated by SEMA Group in Australia, and that the move will not affect its customers. All data will remain sequestered in Australia.

“There will be no disruption to customers during the transition. SEMA remain committed to local production and is investing in local infrastructure,” says Hunter, adding that all “customer data and production will remain in Australia, as will customer sales and service.”