Articles about Outsourcing

Dorms at a Pegatron factory

Apple is making life terrible in its factories – labor rights warriors

Pressure from Apple to lower costs is driving worsening conditions for workers at the company's manufacturing partners. This is according to watchdog group China Labor Watch, which says [PDF] that under CEO Tim Cook, the Cupertino giant has asked the companies that assemble its products to cut their own costs, and those …
Shaun Nichols, 26 Aug 2016

Sharp's new CEO warns of job losses amid 'optimization'

The new CEO of Sharp Electronics has warned that there will be job losses at the consumer electronics company amid a broader restructure. Tai Jeng-wu now heads the company following the takeover by Foxconn for $3.8bn, which saw the giant take a 66 per cent ownership stake. The job losses have long been rumored, and Foxconn …
Kieren McCarthy, 22 Aug 2016
Sharp knife slices at a salami as previously sliced pieces lay on the chopping board. Photo by Shutterstock

HPE sharpens knife for next salami-slicing staff redundo round

HPE is aiming its guns at 220 roles in the UK and Ireland in what appears to be becoming its quarterly firing exercise at the biz. In a memo sent to staff seen by The Register, Maurice Mattholie, HPE UK and MEMA veep of Infrastructure Technology Outsourcing (ITO), told employees the move was part of its Workforce Management …
Kat Hall, 22 Aug 2016

Two G4S call centre staff sacked over 999 answering scam

Two G4S staff who were investigated over a scheme to fraudulently meet quotas for responding to emergency calls within a reasonable time have been fired. Earlier this year five former Lincolnshire police employees were suspended from their jobs with G4S after allegedly calling 999 during quiet periods to improve their …
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£11bn later: Smart meters project delayed again for Crapita tests

There has been yet another delay in the ongoing saga of cash-burning that is the UK’s national smart meter initiative. While the communications infrastructure was due to be switched on today, the £11bn project’s turn-on has now been delayed again until September, the BBC has reported. The Data and Communications Company (DCC …
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IT security splurge surge

Worldwide spending on information security products and services will reach $81.6 billion in 2016, an increase of 7.9 per cent over 2015, according to research and advisory firm Gartner. Consulting and IT outsourcing are the largest categories of spending on information security, but this is poised to change. In the run-up to …
John Leyden, 09 Aug 2016
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Liberata in £43m buyout by Japanese firm OUTSOURCING Inc

OUTSOURCING Inc (OSI) – a Japanese player that does what it says on the tin – has acquired UK public sector BPO specialist Liberata for £43m. The buyer is has spread its tentacles via more than 70 subsidiaries into outsourcing across multiple industries including engineering, manufacturing, administrative and recruiting. …
Paul Kunert, 02 Aug 2016
Chain expressing freedom (Stepph / Wikimedia)

Capita was always going to axe staff under Project Vincent – sources

Capita was always going to axe staff working in the outsourced O2 call centre under an initiative code-named Project Vincent once the two-year TUPE agreement period was over. Or so claimed employees that headed into Capita’s office in Glasgow, Scotland, today knowing it will be their last – still at least they won’t have to …
Paul Kunert, 29 Jul 2016
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BT sees 35% sales gain as it digests hearty EE meal

Sales jumped by 35 per cent for BT's first quarter to £5.7bn, with profit before tax up 16 per cent to £802m - mainly due to its £12.5bn slurp of EE. The mobile operator contributed £1.2bn for the quarter and £84m in operating profit. Elsewhere other parts of the biz were lacklustre. Its Wholesale biz fell 10 per cent to £ …
Kat Hall, 28 Jul 2016
Comically sad tearful man doing fake-looking wail of despair. Photo by Shutterstock

Boo hoo. Brexit to hit Capita's bottom line

Outsourcing giant Capita has hinted that the UK's decision to leave the EU will have an impact on its bottom line, while recording a sales increase of 5 per cent to £2.4bn for its first half-year results. Profit before tax rose by 27 per cent to £186.1m, compared with the same period in 2015. Andy Parker, chief exec of Capita …
Kat Hall, 27 Jul 2016
Man relaxes, stretches out, outs his feet up on a cloud.... Fun but hammy stock pic. Photo by Shutterstock

Getting comfortable with cloud-based security: Whom to trust to do what

There are some bits of computing that you just don’t want to trust other people with. They’re just too sensitive. But at the same time, there are some things that people can do as well or better than you, for a lower cost. Finding a balance between the two can be tricky, but useful. Take cybersecurity as an example. It’s …
Danny Bradbury, 27 Jul 2016
Files in manager's desk drawers: manila folder marked "Redundancies". Image via shutterstock

Third time unlucky? HPE in redundancy talks with UK services staff

Hewlett Packard Enterprise has told UK and Ireland Enterprise Services (ES) staff they face the axe once again – in a third round of redundancies in less than a year. The company, which is offloading the division to CSC in the next financial year, is asking for volunteers this time unlike the previous compulsory job cuts. In …
Paul Kunert, 22 Jul 2016
Profits down, image via Shutterstock

Logicalis: Top line shrinks as UK restructuring continues

Restructuring at Logicalis that weighed heavy on the integrator’s financials in recent times will be over and done with at some point before the, er, end of next February. Datatec, the London-listed parent of Logicalis and networking and comms distie Weston, today issued a heads up for first quarter trading ended June - sales …
Paul Kunert, 20 Jul 2016
Ronan Dunne, CEO of O2

Ronan Dunne jumps O2 ship

Head of O2 Ronan Dunne - he of "sending staff to Capita is better than redundancy" fame - has stepped down from the biz after eight years. Dunne will be replaced by chief financial officer Mark Evans, who has been CFO since 2012. Dunne will step down from the board on 31 July, but will continue to "support the business with …
Kat Hall, 15 Jul 2016
Man throws briefcase in the air happily on the beach. Photo by Shutterstock

Capita redundo staff: We are free at last, free at last… at the end of this month

More than a year after Capita initiated redundancies at its O2 call centres, the staff based in the Glasgow offices are finally set to exit the building at the end of this month. A call for volunteers to leave the business was first made in June 2015, and a couple of months later 700 of those placed at risk put their hands up …
Paul Kunert, 14 Jul 2016
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IBM puts Global Tech Services staff at risk in 'skills remix'

A second round of UK redundancy consultations are set to kick off for IBMers working in the Global Business Services (GBS) division, company insiders have told us. Big Blue initiated numerous job-cutting programmes this year as it reacted to fewer big ticket outsourcing deals and the rise of cloud computing by sending more …
Paul Kunert, 13 Jul 2016
Mark Holt Trainline

Trainline.com dumps Oracle and Microsoft, gulps AWS Kool-Aid

Interview Mark Holt, CTO at TheTrainline.com, is an unashamed AWS believer. He is dumping all of its legacy tech in a complete migration to the cloud, with the US cloud firm now being its sole supplier. "Now we have an Oracle Exadata Database Machine that we are about to throw in the river,” he says. That move has had tangible results …
Kat Hall, 13 Jul 2016
Sad man stares glumly over boxed contents of desk. Image via shutterstock (Baranq)

900 Hewlett Packard Enterprise staff to leave building by month end

Nearly 900 UK-based personnel at Hewlett Packard Enterprise are to be released into the wilds at the end of this month, according to the redundancy schedule seen by The Register. The majority of those made to walk the plank come from Enterprise Services, which is the area that has been hit hardest in HPE’s continuous cost- …
Paul Kunert, 04 Jul 2016
Lawyer up

Prominent Brit law firm instructed to block Brexit Article 50 trigger

Law firm Mishcon de Reya has been instructed to launch a legal challenge to block Britain from leaving the European Union, in spite of the popular vote to leave the bloc. Solicitors and barristers from Mishcon de Reya are working with Blackstone, Matrix and Monckton Chambers to argue Article 50 of the European Union – the …
Gavin Clarke, 04 Jul 2016
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BA 'offers' IT bods extra leave, flexible working - unpaid of course

British Airways bosses were this week told to ask staff to "volunteer" to take unpaid leave, as the sorry cost cutting saga enveloping British Airways rumbled on. This includes all BA employees, not just the fleet of techies working at the company, and is in addition to redundancies already confirmed in the last month. “As we …
Paul Kunert, 27 Jun 2016

Vendors suspend tech orders as Brexit slaps Brit pound

BREXIT If there is one thing the IT industry despises it is uncertainty and there was lashing of the stuff poured across the UK following the Brexit vote. Most major vendors already came out in favour of the Remain camp - including Microsoft, IBM, HPE, SAP, EMC, Cisco and many others - the result was so unexpected for the community …
Paul Kunert, 24 Jun 2016
Pennies in a jar. Photo via Shutterstock

Technology shares slide with Brexit vote, except ARM

BREXIT Shares in British technology companies are mostly sliding after citizens of the United Kingdom voted for the nation to leave the European Union. The FTSE 100 fell more than 8 per cent at opening this morning, slicing over £100bn off of the market capitalisation of the UK's most highly rated bluechips, although this has since …
Secretary of State for the Home Department Theresa May. Photo by Twocoms/Shutterstock.com

Home Office ignores plight of BA techies as job offshoring looms

The Home Office has stonewalled the GMB trade union’s attempts to raise the plight of British Airways IT staff whose jobs are being sent to an Indian outsourcer – and the potential security implications involved. The GMB has written four letters to the Department’s Secretary Theresa May – seen by us – after BA hired Tata …
Paul Kunert, 24 Jun 2016

From Watson Jr to Watson AI: IBM's changed, and Papa Watson wouldn't approve

Completed in 1983, IBM's prestigious South Bank office in London, on the banks of the River Thames, owes a lot to the Brutalist style of architecture, popular in the 1960s and 1970s. It makes heavy use of concrete: a solid building for a solid company. The IBM logo has been outside that building for more than 30 years, an …
Billy MacInnes, 23 Jun 2016
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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
Girl and computer, photo via Shutterstock

UK's education system blamed for IT jobs going to non-Brits

Immigration is an issue swaying electorates around the world, including Britons, who will next week decide whether to leave the European Union and Americans, who will soon decide whether to vote for Donald Trump as president in November. While this is generally assumed to affect low-pay, low-skilled jobs, it can affect those in …
SA Mathieson, 17 Jun 2016
Xerox split

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
A large hand flicks an icon of a little red man. Image via shutterstock (Lasse Kristensen)

British Airways slaps 'at risk' sticker on nearly half its app delivery dept

Almost half the application delivery techies at British Airways (BA) might be pushed out of the company in December under redundancy plans outlined to staff. The airline is in cost-cutting mode, and the GMB union warned in February that BA was considering outsourcing and offshoring IT to Indian titan Tata Consultancy Services …
Paul Kunert, 13 Jun 2016

Microsoft's biggest UK reseller flashes fuller figures for '15

Microsoft licensing mountain Trustmarque won’t have done its chances of snaring a new private equity backer any harm by pushing out a decent set of trading figures for calendar year 2015. The York-based reseller, which merged with sister biz TES at the start of last year, reported turnover of £191.9m, up eight per cent on a …
Paul Kunert, 06 Jun 2016
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UK Home Office is creating mega database by stitching together ALL its gov records

Exclusive The UK Home Office is secretly creating a centralised database on the good folk of Britain without presenting the capability increases to the public or subjecting them to Parliamentary scrutiny. The Register can reveal the project, which was described as simply a “replatforming” of the department's aging IT infrastructure, has …
Bare knuckle fight, photo via Shutterstock

Salesforce's data centre team 'fought' AWS cloud outsourcing

Analysis Salesforce’s cloud server staff, those behind its flagship SaaS cloud, fought tooth and nail against their employer’s embrace of Amazon’s cloud. Marc Benioff, Salesforce’s chief executive puffed last week he had a “great meeting of minds” with Amazon’s Jeff Bezos on embracing AWS. Salesforce has chosen AWS to power its core …
Matt Asay, 03 Jun 2016
Files in manager's desk drawers: manila folder marked "Redundancies". Image via shutterstock

HPE is still swinging the layoffs axe: 500 more services folk get chop

Another quarter and another round of people are being crammed into Hewlett Packard Enterprise Services’ employment cannon – 500 poor souls in the UK and Ireland have been told to stand in line. As revealed by El Reg some months ago, HPE’s Enterprise Services (ES) division – the one being merged with CSC – put nearly 1,100 …
Paul Kunert, 02 Jun 2016
The route of the MAREA submarine cable funded by Microsoft and Facebook

Microsoft and Facebook, swimming in the sea,
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Microsoft and Facebook have decided to fund a submarine cable together. The MAREA cable will run from from Virginia Beach, Virginia to Bilbao, Spain. Virginia's new territory for trans-Atlantic cables, so Microsoft and Facebook are talking this up as adding resiliency to traffic between the USA and Europe. Bilbao's already a …
Simon Sharwood, 27 May 2016
HP CEO Meg Whitman

Whitman deletes another chapter in HP history as CSC and ES borg

Hewlett Packard Enterprise CEO Meg Whitman is dismantling another legacy bequeathed to her by a predecessor as she waves goodbye to Enterprise Services. The first lady of Palo Alto has already closed the chapter opened by one-time CEO Carly Fiorina who had signed off the buy of Compaq, only for HP's PC business to be ejected …
Paul Kunert, 26 May 2016
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Hardware sizzles for HPE – and brings home the bacon

Software and IT services might make the world go round – at least in the heads of Wall Street moneymen – but it was hardware that once again brought home the bacon for Hewlett Packard Enterprise. For the three months ended 30 April (second quarter fiscal year 2016 – summary, tables [PDFs]), HPE's turnover edged up one per cent …
Paul Kunert, 25 May 2016
A large hand flicks an icon of a little red man. Image via shutterstock (Lasse Kristensen)

Ding ding: IBM rings bell for round two of job cuts at GTS

IBM has told foot soldiers in the Global Technology Services operation to brace themselves for a second round of redundancies in the UK. Chris Wilson, director of the Technical Support Services division within GTS, told staff in a memo on Friday that it is “forming” an Employee Consultation Committee. This body will “ …
Paul Kunert, 23 May 2016
A large hand flicks an icon of a little red man. Image via shutterstock (Lasse Kristensen)

Hewlett Packard Enterprise hiring temps to cover for redundancies - sources

Hewlett Packard Enterprise is hiring temps to cover gaps caused by the exit of hundreds of techies it recently axed, some of whom provided services to clients including the Department for Work and Pensions. This is according to multiple insiders, who told us the picture might have been worse had HPE not halted some of the job …
Paul Kunert, 17 May 2016

Cloud security 101: Get a little more intimate with your provider

You can get many different services in the cloud these days, and cyber security is among them. These days, cloud service providers will take care of everything from email scanning through to watching where your employees surf (and stopping them from going there, if necessary). Most of them claim to do a better job than the …
Danny Bradbury, 16 May 2016

Roll up, roll up: Dot Net Solutions has a 'war chest'

Microsoft minnow Dot Net Solutions is to stage a roll-up of the fragmented small biz managed services space in Europe. Dot Net, a seller of Azure public clouds on which it provides app dev, messaging & collaboration, back-up and DR, has bagged unspecified funding from US MSP New Signature, which itself got $35m from Columbia …
Paul Kunert, 03 May 2016
Trillian chats to a depressed Marvin the Robot in the 2005 film version of Hitchhiker's Guide to Galaxy. C Walt Disney Pictures

Food for Deep Thought: 42 is IBM's answer to Life, the Universe and Everything...

Analysis Deep Thought calculated the number 42 to be the Answer to the Ultimate Question of Life, the Universe and Everything. Over at IBM it was the frequency the word "transform" was used to explain another dire quarter. The supercomputer in The Hitchhiker's Guide to the Galaxy took 7.5 million years to determine the importance of …
Paul Kunert, 29 Apr 2016

Hewlett Packard Enterprise: Wanna walk the plank voluntarily? You got it

Exclusive Hewlett Packard Enterprise is to initiate a voluntary redundancy (VR) option nearly two months after putting 1,092 UK staff in Enterprise Services (ES) on the chopping block. Techies at HPE were told they were in scope for compulsory job cuts in March including 780 in IT Outsourcing and 173 from the Application Business …
Paul Kunert, 27 Apr 2016
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Ah, so that's why Adapt wasn't put in the shop window in 2015

The reason why Lyceum-backed Adapt remains Lyceum-backed is contained in their latest set of annual profit and loss accounts - company growth stalled and so a sales process was halted. The London-based outfit was expected to come onto the market last last year and tasked M&A and corporate finance advisor ARMA Partners with …
Paul Kunert, 18 Apr 2016
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Brexit would pinch UK tech spend but the EU wouldn't care – survey

If the United Kingdom chooses to leave the European Union – a so-called “Brexit” - Europe's information technology industries would not bat an eyelid and IT spending in the sceptred isles would only experience a “mildly negative” dip. That's the consensus opinion to which analyst outfit IDC is putting its name after polling …
Simon Sharwood, 18 Apr 2016

Met cops shop for £150m IT system. Must have: Data centre ops

London's Met Police is seeking a supplier for a 10-year contract for an integrated IT system worth up to £150m in its latest attempt to update its clunky technology. That system is intended to be a commercial off-the-shelf solution that will boost coppers' operational policing via a system that manages all their end-to-end …
Kat Hall, 11 Apr 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

Rackspace invites itself into your data centre

Rackspace will bring its cloud to you: the company has revealed a new offering whereby it will pour OpenStack into a box and run it from its own data centres, a third party's bit barn or your own premises. On-premises clouds are all the rage at present: Microsoft's AzureStack is in preview and is winning support from the likes …
Simon Sharwood, 10 Apr 2016

This year's H-1B visa lottery jammed full in just six days

Analysis The US Citizenship and Immigration Services (USCIS) reports that all of this year's 65,000 H-1B visa applications have now been applied for, as well as 20,000 extra applications for skilled workers – less than a week into the process. "USCIS will use a computer-generated process, also known as the lottery, to randomly select …
Iain Thomson, 08 Apr 2016
Doctor Who – The Zygon Invasion. Pic credit: BBC

The BBC flashes £560m ICT deal at hungry tech suppliers

The BBC has once again opened its wallet and is enticing suppliers to bid for a £560m ICT and hosting contract – part of its plans to replace its mega £2bn Atos contract. Over the next eight years it expects to splash between £400m and £560m on the deal, via a "single contracting entity" for end user compute services, hosting …
Kat Hall, 05 Apr 2016
Goats, image via Shutterstock

Bring on the goats! Apple's cloud failure demands further sacrifice

Apple at 40 In four decades, Apple has done more than most companies to seamlessly blend software and hardware, creating beautifully functional products. However, software (and hardware) no longer live exclusively on our devices, and the one thing that continues to frustrate Apple is the cloud. Way back in 2011, Apple chief executive Tim …
Matt Asay, 01 Apr 2016
HMRC photo, Gov.uk

HMRC dangles £10bn in outsourcing meat before hungry SME hounds

HMRC is poised to take on new suppliers next month to replace its mega £10bn Aspire IT contract with Capgemini and Fujitsu – the system underpinning £500bn of annual tax revenues. In a statement, the department said it "expects that the contracts will be of interest to smaller and medium-sized companies, as well as the larger …
Kat Hall, 30 Mar 2016