Suncorp Group has outlined that it is on track to reap AU$170 million in efficiency benefits by the 2018 financial year from its technology optimisation program.
The optimisation program builds on the group's plan to configure itself into a "One Company. Many Brands" business model, and follows on from the company's Building Blocks and Simplification programs.
"Optimisation will further deliver efficiencies from transformation of claims processes, ongoing rollout of the SMART repair network, Super Simplification, business intelligence, technology, and procurement," the company said.
The update comes as the company reports its half year results for the period ending December 31, 2015. The group achieved net profit after tax of AU$530 million, down from the AU$631 million that was recorded during the corresponding period from the previous year.
During the half year period, under the optimisation program, Suncorp decommissioned seven of 13 legacy warehouses, migrated 55 percent of total systems and applications to the cloud, and decommissioned 5 percent of its technology systems.
At the same time, the company said its business intelligence transformation continued to progress well, as it moved more legacy systems off and into the group's new data and analytics environment.
Suncorp first announced its optimisation program back in August 2015 when announcing its full year results.
At the time, the company said: "It is focused on building an optimised platform that will deliver a unique combination of enhanced technology, systems, and capabilities. This is the culmination of the simplification and integration work that will unlock future earnings growth opportunities for the group."
Suncorp Group's CEO and managing director Michael Cameron said on Thursday the optimisation program helps build the foundation of the company's strategy to remain relevant.
"Suncorp has created enormous value by focusing on the strategic assets of capital cost and culture. We have also made advancements on the customer front which has typically been within each line of business," he said.
"Mastering the customer capabilities across our business remains our greatest opportunity. The most sustainable and successful companies create value for their customers."
Looking forward to 2H16, the company plans to launch and have its new Super Simplification platform operational, see 65 percent of total systems and applications migrated to the cloud, have 10 percent of systems decommissioned, and have nine out of 13 legacy warehouses decommissioned.
Cameron added that while the group has 9 million customers, its strategy is focused on "broadening and deepening the relationship with existing customers", and not necessarily increasing the number of customers. This falls under the company's "Customer Platform" approach, with Cameron noting this will require "some realignment of the operating model" and that changes will be announced shortly.
Suncorp Bank chief executive John Nesbitt has previously described the group's rollout of Ignite as a project "on steroids", as 12 out of 17 legacy systems are decommissioned and 580 processes are re-engineered.