Last year was the year of change at Entelect, in particular to accommodate our growth and maturity as a business. We welcome on board our new team of general managers as well as the appointment of Martin Naude to Entelect’s Chief Technology Officer and Shashi Hansjee to Entelect Software’s Managing Director. We are already seeing the benefits of this restructure with an order book that we are battling to keep up with. As before, we are not compromising on quality when it comes to hiring, so will only grow as fast as we can find quality people. Our ethos of providing high quality people and software solutions at competitive pricing continues to deliver results.
Entelect’s rebranding exercise was a success. By June this year we will be launching a new web presence on our Web and Recruitment Manager product suites. In particular, we are pleased to announce the formalisation of our business-to-business branded entities, focusing on the full supply chain of software engineering delivery, namely:
Entelect Software: Focusing on custom software development solutions to business
Entelect Online: Delivery of online software products to business
Entelect Placements: Catering for the recruitment and resourcing aspects of our clients
Entelect Training: Training software engineering professionals
Entelect Software, which makes up about 85% of our turnover continues to be the cornerstone of our business. We had a difficult 2010 as a result of a couple of sizable project delays beyond our control, but closed off the year well with the start of a few big projects, in particular Liberty BurnjOules – an online loyalty programme for Liberty Health. This is a full software outsource to Entelect and with version 1 launch now complete, we understand it is the single biggest implementation of Microsoft Azure in Africa – which puts Entelect at the forefront of cloud computing worldwide.
Our three biggest Software clients for 2010 were Discovery (Health, Invest and Life), Standard Bank CIB (who have been with us for many years), and Liberty (Health and Life). We ran custom development projects for about 25 active clients at any one time, with a healthy spread of JAVA and .NET projects. Besides servicing the South African market, one of our strategic intents is to deliver outsourced software solutions to international clients. In this respect we welcome on board Hollard in Australia as a client, who we have no doubt we will have a long and mutually beneficial relationship with.
Entelect Online, which is now in its second year of operation, grew from 50 to 150 client installations in 2010. Although this business currently only constitutes about 5% of our turnover, it is showing great long term growth potential, following the international trend towards the “software as a service” model. We do believe that we have some unique value propositions, so look forward to delivering on these. This business is maturing with the appointment of our first four Resellers who include Entelect ERP (a Sage reseller), Cyclenation (Australia), Advendurance and Baobab International.
Entelect Placements continues to deliver solid results with a comfortable 5% of turnover despite a small team. We expect steady growth for 2011 and will focus on the delivery of quality professional people to our clients.
Entelect Training, which is in its infancy, will be taking a grassroots approach by launching a distance learning solution for school children in the next couple of months. The focus will be on laying the foundations with maths and over time will lead into tertiary level training for software engineers. Of course, we will continue to provide customised training courses for our Software clients and partners.
Our investment in research and development will be significant this year, and we look forward to delivering innovative software solutions to large, medium and small enterprises, both locally and abroad, so expect a few exciting announcements down the line.
We wish all our clients and partners a profitable and healthy year ahead!