Posted on 29 August 2012.
Fuji Film Holdings Corporation has announced that it signed a definitive agreement with Australia’s largest business service provider Salmat Limited (ASX: SLM) to acquire Salmat’s Business Process Outsourcing (BPO) division.
The acquisition, worth AU$375 million, covers all the shares of Salmat Document Management Solutions Pty. Limited, Salmat’s wholly-owned subsidiary, SDMS’s 11 subsidiaries as well as Salmat Asia Limited, SDMS’s Asian business unit.
Their consolidated sales and underlying EBITA were AU$316 million and AU$49.5 million respectively for June 2012 term. The BPO business includes printing/delivering important postal matters including electricity/gas/water/communications invoices and bank account statements to end users, digitalizing and automatic processing of corporate clients’ invoicing work to reduce costs, delivering information by email, as well as compiling a database of scanned paper documents and their management/storage.
Leveraging their advanced IT data management capacity, they have been successful in streamlining operations and achieving higher efficiency and reducing costs by automating work processes while linking digital printing devices and work flow systems.
Positioning the document solutions business as one of its key growth areas, Fujifilm Holdings is strongly promoting the business shift from the hardware-centric business offering multifunction devices and printers to the solutions and services business.
The acquisition of SDMS provides the company with the biggest capability to offer BPO services in Australia. Integrating SDMS’s know-how in BPO with Fujifilm Group’s powerful marketing capacity — sales performance, brand strength and customer base —, the company will expand its solutions and services in China and other Asian markets. Further, by introducing its print devices including the next-generation inkjet printer Jet Press series in work processes, it aims for business growth and expansion beyond what the current business trend affords.
Working with Salmat to form a partnership, and also together with SDMS’s knowledge and experiences in handling massive customer data and building a consistent workflow from printing to post-print processing, Fujifilm Group will accelerate the expansion of solutions and services business leveraging its document outsourcing business.
Salmat chief executive Grant Harrod attempted to explain in the most plain-English way he could yesterday about the junk mail company’s change of strategic direction.”You would have noted in the past we referred to ourselves as a multi-channel communication company. We’re now shifting our focus to become an omni-channel communication company,” he said, as Salmat announced the sale of its business process outsourcing arm.
Helping lay people understand the change of direction and ”not wanting to get caught up in semantics”, Harrod went on to explain the switch from multi to omni-channel.”Rather than a multiple, disparate, unco-ordinated range of channels, we’re very much wanting to provide integrated and seamless service relationships to our clients.”
Harrod said the switch was necessary, given customers were ”talking about the need to become more omni-focused”.
Harrod also said: ”We will continue to use our direct sales team to target tier one, but likewise evolve our SME or LVN portal as a self-service function to drive SMEs.”