Reports to: Chief financial officer
Size of IS shop: 295
Mobile PCs: 2152
Hand-held devices: 332
Total screens: 10,046
PC environment: Windows XP, Citrix, Dell
Server environment: OS4000; Unix; Windows 2003, 2000; Linux; Dell;
DBMS: SQL, Oracle, Progress
Address: 810 Great South Road, Penrose, Auckland
Key IS projects this year: Oracle e-business suite; virtualisation; unifi ed
communications; business continuity planning.
FLETCHER BUILDING IS Australasia’s largest building and construction
materials supplier, by market capitalisation, with leading market
positions in the United States and Europe. Fletcher Building employs
more than 20,000 people and runs more than 35 businesses at more
than 500 sites, with varied operations around the world.
With a range of market leadership positions in five divisions — building
products, distribution, infrastructure, laminates and panels and
steel — and its diverse geographical and industry base, Fletcher Building
aims to produce reliable earnings over the long-term, irrespective of
While Fletcher Building operates in cyclical markets it has followed a
strategy to improve the reliability of its earnings, maintain and improve
its internal capabilities, while also taking up any external acquisition
opportunities that meet its criteria.
CIO Paul Knight says it will continue to assess opportunities outside
the Australasian markets in products and technologies that are well
Fletcher made its last acquisition, the US$700 million ($776 million)
purchase of American laminates company Formica in 2007, from
private equity vendors. More deals are clearly on the horizon according
to the Australian Financial Review.
Chief executive Jonathan Ling expects the company to continue
making acquisitions worth 20 per cent of its total capitalisation every two years.
“Our real intention is to bed down Formica before the next one comes along,
but sometimes you can’t plan things exactly as you want them,” he told AFR, a sister
publication of CIO New Zealand.
Ling said diversification into the infrastructure and commercial building
sectors had helped Fletcher, while only about 5 per cent of revenue
came from the United States.
“We’ve been hammered a bit unduly because of perceived exposure
to the US,” he says, referring to the near 20 per cent fall in Fletcher’s
shares since the start of the year.
AFR has reported Fletcher has unused debt facilities of NZ$500
million and says Australia is its main target for acquisitions — although
the company also has plans to expand its Formica-Laminex operations
overseas. “In Australia and New Zealand there’s a general trend
towards consolidation, but I don’t think there is going to be a massive
raft of activity,” says Ling.
Key IS projects in the coming 12 months include virtualisation, unified
communications and business continuity planning.
Join the CIO New Zealand group on LinkedIn. The group is open to CIOs, IT Directors, COOs, CTOs and senior IT managers.