Articles about Bpo

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Trustmarque has been sold yet again – this time to Capita for £57m

Capita has acquired Microsoft licensing house and managed services biz Trustmarque for £57m in cash – the fourth time the company has changed hands in three years Trustmarque, part of the Liberata Group, was rolled onto the market in February by parent Ardbid Ltd, appointing investment bank William Blair to find a buyer, as we …
Paul Kunert, 21 Jun 2016
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Xerox lays out BPO breakup plan

Xerox has detailed the plans that will see the legendary compute company split itself into two different branches. The former photocopy king says that it has named Ashok Vemuri as the CEO of what will become the Xerox Business Process Outsourcing (BPO) company. "Ashok's deep industry experience and proven track record of …
Shaun Nichols, 14 Jun 2016
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Craig Wilson just can't catch a break. Tries to leave HPE, finds self back again

Will someone please spare a thought for industry old-timer Craig Wilson, the former UK boss of Hewlett Packard Enterprise Services who - we are told - was glad to escape the firm’s internal politics. Wilson departed the job in autumn 2014 amid a reorg that saw Jacqui Ferguson take change of the local operation, returning from …
Paul Kunert, 25 May 2016
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Capita not sitting on Hands: IT Enterprise Services boss splits

Capita IT Enterprise Services (ITES) overlord Peter Hands has strapped on his walking boots and strolled right out of the business for pastures news, the company has confirmed. Insiders claimed Hands had been under some pressure from the group’s joint COO Dawn Marriott-Sims, who was critical of the whole of ITES, “especially …
Paul Kunert, 11 Apr 2016

Serco slashes profit outlook thanks to call centre biz exit

Profits at outsourcing giant Serco are expected to plunge by almost 50 per cent next year to £50m next year, on revenue down 20 per cent to £2.8bn, according to a statement released today. The warning follows the loss of a number of key public sector deals which had previously contributed toward a sizeable chunk of its revenue …
Kat Hall, 07 Dec 2015
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CSC trumps Capita bid for Xchanging by a whole 10 pence

CSC has confirmed it has thrown its hat into the very small ring of firms bidding to take over Xchanging, offering six per cent more than rival bidder Capita. Capita was left the only bidder for Xchanging earlier this month, when private equity outfit Apollo upped and left the negotiating table. Capita’s 160p per share offer …
Joe Fay, 13 Nov 2015

Sorry Xchanging staff, only Capita at negotiating table now

Tiny cries of anguish might have been heard across the City today as one of the suitors for London-based Xchanging confirmed it is standing up from the negotiating table, leaving only Capita seated. LSE-listed Xchanging confirmed last month it had accepted Capita’s offer of 160 pence per share offer, valuing the BPO and …
Paul Kunert, 04 Nov 2015
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Ex-Trinity boss McDonagh bags NED role at Trustmarque

Trustmarque has hired former Trinity Expert Systems CEO Steve McDonagh as a non-exec director to provide consultancy on the fluffy white stuff - cloud services that is, for the absence of doubt. McDonagh was in driving seat at TES when it acquired Eurodata in the summer of 2011, but the firm subsequently succumbed to cash flow …
Paul Kunert, 26 Oct 2015

Contract losses and re-org slap Logicalis

The structural overhaul and sweeping management changes at Logicalis UK, coupled with unavoidable exchange rate losses, are causing some bottom line slippage with operating profit crashing. Datatec, the parent of integrator Logicalis, distributor Westcon and a consulting division, rolled out some unaudited financials today for …
Paul Kunert, 21 Oct 2015
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Capita gets green light to acquire Xchanging

The powers that be at LSE-listed BPO and software provider Xchanging have accepted a formal 160 pence per share bid from Capita, despite it being lower than one from a private equity player. Last week, Xchanging confirmed it had received approaches from the Brit outsourcing giant and a 170 pence per share offer from Apollo …
Paul Kunert, 14 Oct 2015
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Capita and private equity biz circling, sniffing around Xchanging

What a place employees at troubled Xchanging find themselves this morning: both Capita and private equity firm Apollo Global are bidding to buy the LSE-listed tech biz. The insurance market BPO specialist and software provider confirmed to the City this morning it has permitted both businesses to look under the hood. …
Paul Kunert, 05 Oct 2015

Trustmarque: 2014 was a helluva year – for all the wrong reasons

Trustmarque swung to a loss in a challenging 2014 caused by a write-down of acquired Opin Systems, the correction of overstated profits in the prior year and commercial uncertainty leading up to its sale to Liberata. The licensing specialist turned over £135.4m in the twelve months, £99m of which was based on Microsoft …
Paul Kunert, 02 Oct 2015
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Story to write next chapter for Civica Group

Specialist software and outsourced services slinger Civica Group has hired former Capita exec Wayne Story to take charge of the UK sub. Most recently, Story was interim CEO at equity-based plan admin services outfit Equatex, and remains non-exec director at Montagu Private Equity and board chair at recruiter GatenbySanderson …
Paul Kunert, 21 Sep 2015

From the frying pan, into the fire: HP Services veteran Craig Wilson is off

Former HP Enterprise Services UK chief Craig Wilson is to take control at London-listed software and BPO provider Xchanging from the start of next year. For the past 11 or so months, Wilson – who was replaced at HP ES by Jacqui Ferguson, one-time chief of staff for CEO Meg Whitman – was veep of corporate restructuring to …
Paul Kunert, 16 Sep 2015
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Serco CEO Soames brags about £250m sale of BPO private sector biz

Scandal-hit Serco has finally resold its private-sector business process outsourcing (BPO) division to the previous private equity owner Blackstone for £250m, equating to a loss of £165m. The division consists of middle and back-office skills across customer contact, transaction and financial processing, as well as related …
Paul Kunert, 16 Sep 2015
Champagne Not Included

Capita cracks open the bubbly after 10 per cent sales jump

This year's huge Capita spending spree boosted the company's sales by 10 per cent to £2.28bn, according to the outsourcing giant's first-half results for 2015. During that period, the outsourcer splashed a total of £279m on 11 businesses, most recently snapping up Scottish business intel outfit Barrachd. Profits before tax …
Kat Hall, 29 Jul 2015

CSC picks up axe, takes aim at its own profitable bits

CSC confirmed last night it is to split the US public sector biz from the rest of the group – the only division last quarter where sales aren’t dropping and which generates the highest operating profit. As expected, the hard-pressed integrator is to hive off the operation into a separately listed company, with sales of $4.1bn …
Paul Kunert, 20 May 2015
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Value of European outsourcing deals plummets

The number of mega outsourcing deals shrank by 25 per cent in Europe for the first quarter of 2015, with just 128 contracts, valued at €1.9 billion (£1.4 billion), according to outsourcing analysts Information Services Group (ISG). David Howie, a partner at ISG, said the figures reflect a trend toward smaller deals, although " …
Kat Hall, 24 Apr 2015

French outsourcer Atos fattens revenues on UK public sector

French outsourcer Atos posted bumper profits int its first quarter, mainly buoyed by the UK public sector deals. Revenue rose 17.6 per cent to €2.4bn (£1.7bn), compared with the same quarter last year. The UK was the biggest market for the outsourcer, growing 15 per cent to €511m (£367m) compared with the same quarter last year …
Kat Hall, 22 Apr 2015

Good news! Your job's not going to the Philippines

Vietnam is now outsourcers' preferred host nation, but Bulgaria is making a tilt for the top spot, according to real estate outfit Cushman & Wakefield's annual “Business Process Outsourcing (BPO) and Shared Services Location Index”. The study (PDF) ranks nations by costs, risks and conditions, with a 50/20/30 weighting for each …
Simon Sharwood, 22 Apr 2015

Martinwolf: The state of the tech industry in Q1 2015

Beginning this month, The Channel and martinwolf M&A Advisors are forming an editorial partnership to feature martinwolf’s commentary and analysis concerning the challenges and opportunities facing the IT industry. The organisation, exclusively focused on the IT industry, has completed more than 130 transactions and sold seven …
Martin Wolf, 15 Apr 2015

Lexmark splashes $1BEEEELION on Kofax

Lexmark International is trying to counter flatlining revenues and falling demand for print hardware by splashing $1bn to consume enterprise software seller Kofax. Under the terms of the deal, Lexmark will cough $11 per share and fund the buy with non-US cash on hand and existing credit facilities, it said. Kofax’s portfolio …
Paul Kunert, 25 Mar 2015

Bad news, IT bods: UK's tech outsourcing up 15% last year

IT outsourcing contracts agreed in 2014 totalled £3.44bn in value, with nearly a third of that value accounted for by deals struck in the energy and utilities sector. Those deals were worth £1.05bn and accounted for most of the 187 per cent year-on-year rise in the sector on £373 million spent on all outsourcing deals in the …
OUT-LAW.COM, 16 Feb 2015

Trustmarque ready to rock n roll in tech channel again

Interview With the branding issue out of the way, an enlarged Trustmarque has cut costs, embedded the exec team and is hiring - a far cry from the less than certain outlook for the business last summer. The York-based organisation this week merged with sister company Trinity, forming a £170m turnover technology wing of business process …
Paul Kunert, 16 Jan 2015

BPO playa Liberata stitches together its resellers' hit squads

Liberata has lobbed together its Microsoft licensing arm Trustmarque and cloudy biz Trinity, with the latter’s brand name set to disappear from view. The business process outsourcing firm added to its technology portfolio last summer with the speedy buy of Trustmarque, which changed accounting practises and then found itself …
Paul Kunert, 13 Jan 2015
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It's a bad day to be Serco's CEO... or an investor, come to that

Scandal-hit integrator Serco today issued its fourth profit warning of this fiscal and calendar year, confirmed a £1.5bn write-down and provision to cover to loss-making contracts and effectively exited private sector business process outsourcing. The financial markets reacted negatively, sending the company’s share price …
Paul Kunert, 10 Nov 2014
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Steria, the MoJ and a £56 MILLION Shared Services write-off

A botched ERP project at the heart of the Ministry of Justice's Shared Services Programme has led to the outsourcing of the back-office functions to Steria – the very company given the original contract to set up the "in-house" systems. Departmental accounts for the MoJ's fiscal '14 ended 31 March reveal the cost of the failure …
Paul Kunert, 27 Jun 2014

Ministry of Justice IT bods to strike over outsourcing fears

Nearly half of the unionised techies at the UK's Ministry of Justice have voted to strike over proposals that could shift IT service work into the private sector. At the heart of the matter is the Cabinet Office's excitingly titled Next Generation Shared Services Strategy, which was published in March 2013: the strategy's …
Paul Kunert, 20 Jun 2014
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UK.gov back-office battle may see British Justice offshored

The Ministry of Justice is reviewing the current way back office functions are deployed, citing further cost savings as the reason for doing so – and not, as our sources state, because of departmental in-fighting. Under the Next Generation Shared Service Strategy (NGSSS) rolled out by the Cabinet Office last March, the plan was …
Paul Kunert, 03 Mar 2014

Big 20 cash hoovers: Slurp. Floop. Darn. Sluurrrp. Where's our public sector IT dosh?

Half of the top 20 software and IT services (SITS) suppliers to UK.gov saw their public sector biz decline last year as Cabinet Office Minister Francis Maude and his merry band of axemen waged war on the oligopoly. The names on the list collated by TechMarketView remains unchanged on a year ago but the proportion of revenues …
Paul Kunert, 21 Feb 2014

All change at the top of Westcon as CEO Douglas exits

Westcon Group has confirmed that Dean Douglas' four-year plus stint as CEO will end in January when Dolph Westerbos rolls into town amid sliding profits. The enterprise distie - networking, security and unified comms - revealed that Douglas - who sat in the CEO hot seat from 1 April 2009 - is to leave the business to "take up …
Paul Kunert, 03 Dec 2013

UK.gov provider frees Microsoft partner TES from administration

Business process outsourcing firm Liberata IT Solutions, which is responsible for several large government contracts, has devoured Microsoft Gold partner Trinity Expert Systems (TES) in a pre-pack administration. This came after TES succumbed to pressing cash-flow issues. Coventry-based TES called in the receivers Deloitte …
Paul Kunert, 11 Oct 2013

SEC asks Affiliated Computer Services to step aside, snaps on rubber glove

The Securities and Exchange Commission is probing bean counting methods used by Xerox tentacle Affiliated Computer Services. In a filing, the copier monster confirmed the SEC has been "conducting an investigation of certain accounting practices" at ACS, an outsourcing and data centre management player that Xerox forked out $6. …
Paul Kunert, 08 Oct 2013

IBM offloads customer services biz for half a BEELLION DOLLARS

IBM is planning to outsource its Business Process Outsourcing customer services after last night confirming plans to offload the unit to US tech distie and BPO player Synnex for $505m. Under the terms of the deal, Synnex will cough $430m in cash and $75m in stock to take on 45,000 soon-to-be-ex IBMers operating across a network …
Paul Kunert, 11 Sep 2013
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Indian IT exporters coin windfall profits as rupee plunges

India has in recent weeks descended into a financial crisis, but despite dire economic warnings, industry watchers believe that the period of instability could actually benefit the country’s IT services giants and their outsourcing customers. Wednesday saw the Indian rupee fall to another new low, dropping over two per cent to …
Phil Muncaster, 23 Aug 2013
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India's outsourcers fume over new US immigration bill

Indian outsourcing body NASSCOM has labelled a new immigration bill being considered by the US as “discriminatory”. The Border Security, Economic Opportunity and Immigration Modernization Act could bring in sweeping reforms including limiting the number of H-1B visas – the class of visa granted to temporary foreign workers – …
Phil Muncaster, 21 Jun 2013

EU Justice Department stalls India's security clearance

India’s outsourcing giants are likely to face more delays in their frustrated bid to tap a potential IT services market worth $30 billion, after a report emerged suggesting the EU still has big data security concerns with the country. The EU and India have been trying to finalise their Broad-based Trade and Investment Agreement …
Phil Muncaster, 19 Jun 2013

EMC chief: Why today's IT channel will soon cease to exist

If I had to suggest just one hallmark of the IT channel, I would choose stability. The various organisations that make up the chain have clearly defined roles and well-established business models. But this state of affairs is about to undergo a period of great change. This change has already started, but the pace is set to …

India’s outsourcers battle for customers in a cloudy universe

Analysis The rumblings started in the late 1990s. Indian services companies were getting into outsourcing. Almost before the news broke, deals followed. Before long, India was a destination for all manner of serious jobs and a byword for getting things done well and at a price western nations struggled to match. Fast forward a decade or …
Phil Muncaster, 27 Mar 2013

Breakaway pressures Indian industry group NASSCOM

India’s all-powerful IT trade association NASSCOM could be facing a period of upheaval after a group of 30 software companies decided to form their own think tank to lobby politicians, foster entrepreneurship and promote India as a global software hub. With over 1,400 members, not-for-profit NASSCOM has been the granddaddy of …
Phil Muncaster, 05 Feb 2013

Cognizant filing stokes Indian outsourcer growth fears

An SEC filing from IT services poster boy Cognizant has sent ripples of uncertainty through the entire Indian tech sector after some interpreted it as a sign the company is expecting slower growth in 2013. The filing from NASDAQ-listed Cognizant, whose revenues beat those of IT giants Infosys and Wipro in the last quarter, …
Phil Muncaster, 07 Dec 2012

Philippines tech industries survive floods

To the west of the Philippines' capital, Manila, lies Laguna De Bay, a colossal freshwater lake that has just become the site of what can loosely be called maritime services startups. The new businesses sprung up weeks ago after the annual monsoon hit the Philippines harder than usual. The lake filled, then spilled into …
Simon Sharwood, 30 Aug 2012
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Logica's UK order book crashes by 80 per cent

Logica's UK outsourcing ordering book took a hammering in Q1, falling 80 per cent year-on-year – albeit against a strong 2011. At group level the integrator turned over £971m in sales during calendar Q1, down 1 per cent year-on-year. The pipeline slid by nearly a quarter to £1.05bn and the outsourcing backlog was down 4 per cent …
Paul Kunert, 11 May 2012
The Register breaking news

Telstra wins fixed Indian licences

Telstra has secured three new telecommunications licences in India via a joint venture with Microland. The licences allows the Australian carrier and its local partner to provide customers in India with international and national long-distance telecommunications and ISP services. The new licences will see Telstra International …
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Public-sector software and services looking limp

Resellers punting software and IT services (SITS) to the public sector have been warned to prepare for meagre times ahead with only business process outsourcing providing major pockets of growth. This is according to research veterans at TechMarketView (TMV), who claim that compound annual growth rates (CAGR) across the …
Paul Kunert, 09 Sep 2011
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HP misses Q1 sales, revises 2011 downward

Hewlett-Packard's new president and chief executive Leo Apotheker now knows what it is like to be Carly Fiorina, who ran the company two executives ago. Not just because they held the same power at HP, but also because they missed their numbers soon after taking the reins. In the first quarter of fiscal 2011 ended January 31, …
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Unisys hit by mainframe, services declines in Q3

The ClearPath mainframe upgrade cycle that Unisys has been enjoying for the past three quarters started to run out of steam in the third quarter, cooling off the company's revenue and profits. The top and bottom line at Unisys was also hit by declines in its various services business. For the quarter ended 30 September, Unisys …
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Steria wins passport processing deal

Steria is to take on a number of business processing services for the Identity and Passport Service (IPS). It has won a contract with CSC to provide business process outsourcing services for passport applications, including the data verification and validation processes. Steria said this will complement the technology platform …
Kable, 25 Jun 2009
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Indian outsourcers prepare for US trade war

India’s outsourcers are girding their loins for a trade war with the US over Barack Obama’s attack on US companies who export jobs and hide profits overseas. President Obama outlined a plan last month to encourage US firms – especially tech outfits – to stop spinning jobs overseas. The idea of “US jobs” being done by cheaper …
Joe Fay, 10 Jun 2009
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Capita forced to dismember benefits software biz

Capita must sell off a chunk of IBM OPENSystems (IBS), a recent acquisition, on competition grounds. If it can't get a sale it must flog the entire IBS business, bought last year for £78m. Today the British BPO and computer services group issued this statement, on receipt of the Competition Commission's final ruling. "The …
Drew Cullen, 04 Jun 2009