Industry news

  • 6 Apr 2011 12:00 AM | Anonymous

    Dell Inc has named Suresh Vaswani, who was earlier joint chief of the IT business at India's Wipro Ltd , as the executive vice-president of Dell Services' applications and business process outsourcing business.

    Vaswani will also take over as the chairman of its India operations, the world's No. 2 personal computer maker said in a statement issued late Tuesday, adding, he will report to Steve Schuckenbrock, President of Dell Services.

    As executive vice-president at Dell Services applications and business process outsourcing unit, Vaswani's focus will be on building next-generation service offerings and grow Dell's process capabilities globally, Dell added.

  • 6 Apr 2011 12:00 AM | Anonymous

    Westminster Council will deliver savings of £9 million after it extended its customer services contract with Vertex for another two years until November 2014.

    The services that are being extended are customer services, information and communication technology and banking operations.

    Following a strategic review of the contract and recognising the challenges faced within the council over the next three years, Westminster and Vertex have agreed to extend the provision of these services while delivering savings of £9 million to the council. This contract extension will also provide stability through a period of significant change in Westminster and the predicted increase in demand for services, particularly in London during 2012.

    The human resources, facilities management, outsourced procurement and transport functions part of the current contract will expire in November 2012 and be re-procured. The Vertex contact centre handles 100,000 calls per month and currently received 20,000 visits per month in the One Stop Services.

    Cllr Melvyn Caplan, Westminster Council’s cabinet member for finance and resources, said: “Westminster aspires to be a global leader in city management and leading up to the 2012 Olympics, customer services will play a critical role in how people access and use our services.”

    “Vertex provides a vital service to residents, businesses and visitors and we are pleased to extend our partnership with them to maintain and improve our services.”

    “We know there is more work to be done and we will build on what we have achieved so far to provide the best possible service and value for money to people across the city.”

    Paul Sweeny, CEO of Vertex, said: “We are delighted to be continuing to work with Westminster Council, especially during such a critical time of change. It is vital that at this time, citizens continue to receive world class customer service alongside the council delivering the necessary savings required of it.”

    Vertex was first awarded the contract with Westminster Council in November 2002 and the value of the main contract is around £30 million per year.

  • 6 Apr 2011 12:00 AM | Anonymous

    Air transport IT specialist, SITA, has announced a programme to build a community cloud dedicated to the air transport industry that will improve efficiencies and reduce costs. The ATI Cloud programme builds on SITA's unique community role in the industry and meets a strong demand from its ATI customers.

    SITA's investment in shared cloud infrastructure is already well underway and the ATI Cloud applications and services will go live from June. These include infrastructure, platform, desktop and software-as-a-service offerings, which will enable true end-to-end business and IT solutions on demand for the unique needs of air transport.

    Francesco Violante, SITA CEO, said: "SITA has a successful 60-year track record of working solely for the air transport community, taking a long-term view and investing for the industry's future. Our global communications backbone and industry knowledge provides the foundation for our investment in the ATI Cloud."

    The air transport industry is truly unique and has very special needs. It integrates many different players such as airlines, airports, manufacturers and GDSs that share numerous business applications and must co-operate across the air transport eco-system. It operates on a complex set of national, regional and global regulations and standards, requiring a consistent approach across stakeholders and across IT services.

    Violante added: "The best way to really serve the industry's needs is to build an integrated cloud combining network and IT solely dedicated, and specifically tailored, to the air transport industry. SITA has a community ethos of providing solutions to the air transport industry and providing the ATI cloud is the logical next step for SITA."

    "The ATI Cloud is firstly about having a secure and reliable global network, and SITA already has that; the ATI Cloud is about managing shared IT infrastructure such as that at airports, in which SITA is a leader; and it is about optimising the operation and distribution of applications from data centres to end users. As the leading provider of air transport IT solutions, SITA has now committed to the delivery of the ATI Cloud."

    The ATI Cloud is based on six large regional virtual data centres across five continents; together with virtual data centres based at large airports. Services will be delivered through leading-edge self-service and automation portal technology, providing IT managers with on-demand provisioning, control, visibility and reporting. End-users will be no more than 100 milliseconds away from one of the data centres.

  • 6 Apr 2011 12:00 AM | Anonymous

    The European Outsourcing Association and the National Outsourcing Association are now accepting entries into their annual awards.

    EOA Summit & Awards

    Hosted by the Spanish chapter, the 2011 European Outsourcing Association (EOA) Summit will bring together the world’s leading outsourcing suppliers, end users and support service providers for a two day conference focusing on the latest innovations, trends and developments in the European outsourcing market.

    Date of event: 20th & 21st June 2011

    Location: Madrid, Spain

    Deadline: Entry forms must be received no later than 5pm on Friday 27th May 2011.

    For a complete list of awards categories and for information about how to submit an entry, please visit the NOA site http://www.noa.co.uk/index.php/site/summit/

    NOA Summit & Awards

    For the first time ever the NOA will be bringing together its annual Sourcing Summit & Awards.

    Now in its eighth year, the annual National Outsourcing Association Awards (NOAA’s) is firmly established as the highlight in the outsourcing industry calendar and attracts over 500 people. This combined with the 9th NOA Sourcing Summit will create a must-attend event for professionals involved in sourcing across all business sectors.

    Date of event: 9th & 10th November 2011

    Location: London, England

    Deadline: Entry forms must be received no later than 5pm on Friday 5th August 2011.

    For a complete list of awards categories and for information about how to submit an entry, please visit the NOA site http://www.noa.co.uk/index.php/site/awards/

  • 6 Apr 2011 12:00 AM | Anonymous

    Genpact Limited, a global leader in business process and technology management, has announced that it has signed a definitive agreement to acquire Headstrong Corporation, a global provider of comprehensive consulting and IT services with a specialized focus in capital markets and healthcare, for cash consideration of $550 million. Genpact expects the transaction to be accretive to earnings per share on a GAAP basis in 2011. The transaction is being funded by a combination of existing cash and acquisition financing, and is expected to close by May 31, 2011, subject to customary regulatory and other conditions.

    “Headstrong is a complementary high-growth business, built by talented leaders, that is an excellent fit strategically, financially, operationally and culturally. With this acquisition, we are gaining critical domain and technology expertise in the complex, but highly attractive, capital markets industry vertical. This expertise – combined with our capabilities in business process management (BPM) and Smart Decision Services that encompass analytics and reengineering – will create a uniquely powerful value proposition for clients,” said Pramod Bhasin, president and CEO of Genpact.

    Headstrong has approximately 3,700 employees in seven countries and generates a significant amount of revenue from employees who are onsite with clients in the United States, the United Kingdom and Japan. Headstrong generated revenues of approximately $217 million in 2010 and Genpact expects Headstrong’s long-term growth rate to be in excess of 20% per year.

    “This transaction is the next stage of our evolution and it immediately positions Headstrong to emerge as the global leader in domain-led services to the capital markets,” said Sandeep Sahai, CEO of Headstrong. “Our companies’ combined offerings create a compelling value proposition, with significant potential to offer Genpact’s extensive expertise in business process management, reengineering, high-end analytics and infrastructure support to our clients. We are also excited about adding our capabilities to Genpact’s strong client portfolio in the banking, financial services and insurance markets. Our geographical footprint will also increase, allowing us to provide these enhanced services from more locations, including in the U.S., Mexico, Poland, Hungary and China. Finally, we are all thrilled to join the Genpact team.”

    Genpact’s Chief Operating Officer Tiger Tyagarajan said, “We are combining forces for our clients who seek a nimble provider with global scale, specialist knowledge and end-to-end solutions, such as through Smart Enterprise Processes (SEPSM). By enhancing our domain expertise, we can more broadly deliver our end-to-end solutions to clients in specific industry verticals. The acquisition of Headstrong will also help us expand operations in the U.S. and shift our center of gravity to be even closer to our clients.”

  • 5 Apr 2011 12:00 AM | Anonymous

    Affiliated Computer Services (ACS), A Xerox Company, has announced a $200 million, five-year agreement with MGM Resorts International to provide managed information technology services.

    In addition, ACS will bring high-tech expertise to Las Vegas when it establishes a locally -based Center of Excellence. This center will be dedicated to applying the latest technological innovation to support MGM Resorts International by using best practices that have been successful in other industries. ACS' Centers of Excellence serve as flagship delivery centers that attract multiple clients seeking applied innovation and expertise.

    "Working with an innovative business partner like ACS allows us to focus on our core business: delivering a winning combination of quality entertainment, luxurious facilities and exceptional customer service," said Becky Wanta, chief information officer of MGM Resorts International.

    ACS will assume responsibility and performance of all service desk and desk side support to MGM Resorts International's employees; manage and continually update company's IT equipment; manage the IT purchasing needs as well as the storage of vital data.

    "Our clients benefit from the continual investment we make developing secure and reliable IT systems," said Derrell James, executive vice president and group president, ACS IT Outsourcing Solutions. "We've established deep expertise in serving the unique business needs of the hospitality industry and are well-positioned to continue growing our presence in the market."

  • 5 Apr 2011 12:00 AM | Anonymous

    Infosys has announced it has been named a “Leader” in The Forrester Wave™: Global IT Infrastructure Outsourcing, Q1 2011 as well as recognised as offering strong consulting-led infrastructure transformation.

    According to the March 2011 report, Infosys offers strong consulting-led infrastructure transformation and has a solid roadmap for planned enhancements. It is a rising power in the IT infrastructure management space. The research report further states that Infosys “has diverse geographic client distribution across the globe, a robust partner ecosystem, and a stand-out story on innovation and continuous improvement.”

    Infosys received the highest possible scores for the following:

    Ø customer value proposition and vision

    Ø innovation and continuous improvement

    Ø operations and strategy consulting

    Ø planned enhancements and investments to support strategy

    Ø ecosystem participation and global client geographic distribution.

    Anand Nataraj, Vice President and Business Unit Head, Infrastructure Management Services, Infosys Technologies: “We believe Forrester’s rating confirms our position as a leader in the market. Infosys helps organisations transform their IT Infrastructure by aligning it to their business objectives and maximizing the value of their investments. By co-creating solutions with our clients and partners, Infosys helps improve users experience and agility, reduce the cost and complexity of their technology and operations, and stay ahead of the technology curve.”

  • 5 Apr 2011 12:00 AM | Anonymous

    Serco Group plc (Serco), the international service company, today announces that it has been selected as a preferred bidder for the Work Programme by the UK Government's Department for Work and Pensions.

    Serco have been named as a prime contractor in two areas: Coventry, Warwickshire, Staffordshire and The Marches (West Midlands); and South Yorkshire (Yorkshire and the Humber). Through a strong network of public, private and voluntary sector providers, Serco will support jobseekers into sustainable employment.

    Under Flexible New Deal, the current employment programme, Serco has contracts in three areas (Wales, West Midlands and Greater Manchester) and, with our network of 72 public, private and voluntary sector providers, has already successfully supported the entry of over 20,000 people into sustainable employment.

    Christopher Hyman, Chief Executive of Serco Group, said: "We are pleased to be helping deliver Britain's biggest employment programme. By integrating the technical expertise of small back-to-work providers, and matching them to the needs of individuals, we have already had a high success rate in helping thousands of people to find jobs. Our approach ensures that the voluntary and community sectors can participate fully in the Welfare to Work market. And we see further opportunities to apply our partnering approach to other areas, as we help our customers in the UK and across the world tackle their financial and operational challenges."

  • 5 Apr 2011 12:00 AM | Anonymous

    Any CIO who has been through the complex mergers and acquisitions (M&A) process before will understand the consequences that come from not having a clear strategy for integrating IT systems. Having an unclear strategy can have huge implications on the actual bottom line of the business, yet so many companies still consider IT as an afterthought of the M&A process. Recently, we have witnessed a surge in M&A speculation, with the likes of the LSE/TMX exchange takeover deal. Furthermore, the tech M&A fever spewed more heat as shares of Facebook rose sharply around stories of a potential buyout deal with Twitter.

    The result of this speculation has led to much debate and discussion about how fast or slow the IT integration process should be. My personal opinion is that the faster you get the integration done, and the more involved the CIO is with the process, the better it will be for both parties. It is also important that the CIO looks to explore new ways to position themselves as a key cog in the complex M&A wheel.

    When the CIO and his operations and technology people are around the table with the finance or marketing teams, everyone has good reasons for why "their" version of the business process is the quickest, the cheapest and the most scalable. Given the importance of data, information and analytics to any organisation these days, CEOs are expecting their CIOs to play major roles in the redesign and enablement of new business models. This presents an outstanding opportunity for CIOs to enhance strategic value within the M&A team. Here is a perfect opportunity for CIOs to step up into a leadership position and work with their partners in the business to truly integrate the best parts of each of the legacy processes into a new best-of-breed process.

    However, in order to achieve this leadership position and successful integration, the CIO must work and build a relationship with the M&A team right upfront. IT has to be part of business growth strategy and not an afterthought. If the IT integration team is not part of the M&A process right from the due diligence phase onwards, then there is something seriously wrong with the strategy. Integrating systems and processes is very complex and if not carried out correctly, can have a huge impact on the entire day-to-day performance of any business.

    For example, the acquired organisation may decide to use a project management process to send out invoices to their customers. In contrast, the acquirer may adopt a manual process handled by their finance department. This can be a major point of concern because the IT team members who work closely with the overall M&A team will require deep and thorough understanding of the invoicing process in order to align their applications correctly. Therefore, from the CIO perspective, the best way to handle this process is to develop an IT risk assessment document and ensure the mitigation strategies are embedded into the overall M&A framework.

    There is also the fundamental issue of whether to categorise applications and integrate them in a phased manner. All organisations have numerous applications, which have been developed over many years. Some, like email, are lifeblood applications, and others have been developed to address a bespoke business problem. In theory, an M&A should provide the CIO with a great opportunity to clean up their application portfolio and develop a plan to retire rarely used applications. In general, the strategy should be to integrate the business critical applications, into the lifeblood category. This includes enterprise resource planning (ERP), Invoicing, HR and financial applications. This will make it much easier to integrate the applications supporting ancillary business processes like executive travel booking.

    However, it is worth noting that for the CIO, integrating IT does not start or end with integrating applications. It starts with integrating the infrastructure like networks, telephone systems and goes well beyond applications with IM and chat support, rolling out of help desk and finally the email setup. However, there are two common sticky points that organisations often faced with integrations. Firstly, size limit on emails. This can be a very difficult issue to handle especially in cases where larger organisations are taking over smaller organisations. Large and medium companies tend to have strict quota on email. This is classic example of why the CIO needs to be involved from the outset.

    In addition to handling applications and management processes, developing clear templates and deliverables at each phase should also be taken into consideration. Depending on the stages an organisation follows for integration, such as due diligence, the CIO also has to evolve the IT strategy with the business phases. IT can only be effectively aligned if each phase of the strategy has a clear set of pre-defined documents which can be used by any team member without too much of knowledge transfer, and clear deliverables which articulate any key concerns or measures. For example, the IT team should highlight the major risks in the process of integration, and then suggest an ideal timeframe for completion based on all the factors in the due diligence phase. In follow up, a clear step-by-step project plan for integration should be developed as part of the signing and closing phase. Finally, documents should be in place to report weekly during the post signing process, and stakeholders should also be able to address the major challenges right away.

    The final and perhaps most critical area that CIOs should be fully involved in is the organisation structure, specifically when merging the acquired IT team into the existing IT department or function. Unless the acquired company will be a stand-alone entity, most organisations will have only one leader, so it’s important to rationalise and identify synergies among staff. CIOs should look to estimate how many people they will require incrementally within their team by assessing both skills and workloads. Whatever the situation, CIOs must keep in mind, there will be a period of time where retaining the acquired team will be critical.

    In summary, CIOs clearly have the opportunity to transform their role from manager of the IT cost center to a recognised business leader who not only delivers operational efficiencies but who also drives innovative change and enable sustainable business value and growth. In order to achieve this, they must strike the right balance between engaging and building the relations wit the M&A team, demonstrating the broad range of ways in which they can make major contributions to business strategy and execution.

  • 4 Apr 2011 12:00 AM | Anonymous

    If your organisation is looking at diving into social media for the first time (or is ready to expand its social media efforts) you’re probably wondering: Is this something we should do ourselves, or should we hire someone to do it for us?

    Social media disrupts the long-standing rules of business in many ways, but it can transform the way a business operates and open up avenues of opportunities which were currently not available.

    Social media also requires an internal commitment from your organisation. A social media strategy simply won’t be sustainable if you are not investing time and resources from within. You can’t have everything handled by a third party.

    People want to interact with real people at your organisation, and the authenticity and immediacy of that experience is essential. In fact, for social media to work, you need a social media point person - someone who will lead your efforts and who has the authority to make social media an organisation priority.

    At the same time, there are many good reasons to supplement your efforts by outsourcing some of the work - from set-up and design, to ongoing technical assistance and content creation. Above all else, it’s very easy for social media to take a back burner if you try to handle it all internally. For that reason alone, securing outside help is a good idea. If you’re paying someone to do the work, then the work will get done, not languish at the bottom of someone’s to-do list.

    Crafting a comprehensive social media policy is also vitally important for an organisation to meet their own expectations and take full advantage of the many opportunities which social media can offer.

    "Social media offers tempting opportunities to interact with employees, business partners, customers, prospects and a whole host of anonymous participants on the social Web," said Carol Rozwell, vice president and distinguished analyst at Gartner. "However, those who participate in social media need guidance from their employer about the rules, responsibilities, 'norms' and behaviours expected of them, and these topics are commonly covered in the social media policy."

    Some organisations confuse policy creation with policy communication. A policy should be well-written and comprehensive, but it is unlikely that the policy alone will be all that is needed to instruct employees about their responsibilities for social media. A well-designed communication plan, backed up by a training program, helps to make the policy come to life so that employees understand not just what the policy says, but how it impacts on them. It also explains what the organisation expects to gain from its participation in social media, which should influence employees in their social media interactions.

    According to Amy Southerland, of Spurspectives, a social media and communications advice website: “In addition to just getting things done, there are a number of other benefits that make social media outsourcing a good idea - regardless of the size of your organisation or the scope of your social media plan.”

    1. Speed: If you are new to social media - or ready to embark on a broader social media strategy - outsourcing can get things up and running quickly.

    2. Training: An outside team can teach you how to do things, set up workable systems and schedules, and then transition some duties back to your internal team over time if that makes sense for your organization.

    3. Reach: You will have access to the outsourced team’s existing networks, which can help your social networks grow bigger - and faster.

    4. Experience: You’ll also benefit from your outsourced team’s experience with other clients. This will allow you to avoid pitfalls and learn about options and alternatives.

    5. Synergy: An experienced team will be able to create integrated system of social media tools and channels, rather than a loose patchwork, allowing you to maximize your social media “nodes” for greater impact.

    6. Branding: You want to select a partner with marketing and design capabilities in addition to social media know-how. The right team will make sure that everything you do supports your overall marketing strategy, including branding and identity.

    7. Strategy: An outside social media team can help you develop a strategy and keep you focused on achieving long-term goals.

    Amy continues: “How much of the work you will want to send out-of-house (and how much of it will need to stay out-of-house over time) will depend on several factors, including your staff’s knowledge and familiarity with social media, how much time your staff can spend each week creating content and tending to your social networks, and the overall size and complexity of your social media plan.”

    So the question remains, should an organisation outsource their social media? The short answer is yes... and no. You can't outsource the culture of being social, nor can you outsource the very reason people follow you. You can, however, outsource the actual work, the daily monitoring, and the time it takes to use each channel efficiently.

    If social media is managed well, internally or externally, the end result is that there is a presence that will represent the company online, engage with their past, present, and potentially future customers, and maintain that engagement to build relationships. The decision is ultimately yours.

Powered by Wild Apricot Membership Software