New Zealand dairy giant Fonterra is contracting US computer company EDS to undertake some of its information technology work.

Fonterra’s chief information officer Marcel van den Assum said he was keen to leverage EDS’ capabilities, which would be far more effective than the dairy company’s own IN landscape, reported Computerworld.

“There’s still some work to be done, but outsourcing is the right direction for us,” Van den Assum said. “We see no competitive advantage in the IT infrastructure – it’s a utility you plug the applications into.”

Fonterra chief executive Andrew Ferrier has previously identified the dairy giant’s IT systems as a weak link. The company recently installed business management software provided by German’s SAP.