Post Office struggles with tech improvements

While the Post Office is set to spend over R130 million to improve IT systems in the current financial year  - it says its technology initiatives are still lagging.

With the growing adoption of SMS tract-and-trace technology, internet-based stamp services and PO Box rentals – the Post Office says its struggling to stay on top of technology trends and does not have adequate funding to increase its investment in technology.

According to its 2012/13 strategic corporate plan R110 million will be spent on the next upgrades, while another R20 million will be used to provide disaster recovery capability for the critical SAPO IT systems.

Another R183 million would be allocated to IT staff and support, with R30 million set to be used on digital compliance initiatives.

Addressing Parliament, acting CEO of the Post Office, Nick Buick, revealed that despite its spending on technology initiatives, the organisation was facing a shortage of critical skills in the areas of IT, banking and digital technologies.

The threat of increased competition in the postal sector was addressed by the introduction of new initiatives he explained. The Post Office was also faced with an acceleration in technology innovation and required an increased investment in IT systems. It was also struggling with the cost of security and fraud prevention systems – while automation and outsourcing presented great challenges.