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Articles about Outsourcing

Outsourcing giant Capita gets share boost from confident outlook

The London stock market was pleased by Capita's 14 per cent rise in annual profits (before tax) today, sending shares up almost six per cent in the first half of the day. Not only had the British outsourcing group pulled in more profits for fiscal 2013, it also said it was feeling pretty chipper about this year, after winning £ …

O2 and Capita finally ink £1.2bn outsourcing deal

O2 has signed the expected deal outsourcing its telephone support to Capita, transferring 2,700 staff in a 10-year deal worth £1.2bn. The deal was only announced in May, though that followed months of discussion and a fair bit of rumour. The Communication Workers Union reckons this to be the UK's biggest ever outsourcing deal, …
Bill Ray, 03 Jul 2013

O2 averts strike action over mass Capita outsourcing deal

The Communication Workers' Union has called off its strike ballot, scheduled to close today, following a last-minute deal with O2 and outsourcing giant Capita, the details of which haven't been released. The union called the ballot last week, following O2's announcement that call centre staff would be transferred to outsourcing …
Bill Ray, 18 Jun 2013
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CEO of bloated outsourcing firm Capita quits after 26 years

Fat cat chief exec Paul Pinder is to quit after 26 years at outsourcing giant Capita to head up small, private equity-backed businesses. The man who, along with other top brass, pocketed a 20 per cent pay hike last year as IT Services staff had their wages frozen and bonuses shelved, is to be replaced by Capita deputy chief exec …
Paul Kunert, 18 Nov 2013
Houses of Parliament at night-time

NAO: £4bn of gov work doled out to just 4 outsourcing giants

In spite of the Cabinet Office's tough talk about binning hefty suppliers whose performance is crappy, four outsourcing giants caught up in contractual issues have amassed £4bn of government business. The fabulous four include Capita, Serco, G4S and Atos, which collectively banked £1.05bn in profits globally in 2012. Between …
Paul Kunert, 12 Nov 2013
management cio2

O2 brushed off outsourcing 'rumour' - but it's happening ... to THOUSANDS

More than 3,000 helpdesk staff at mobile network O2 will be transferred to outsourcing giant Capita and around 600 made redundant by August, according to the Communications Workers Union. The trade union described the move as "a betrayal". O2 owner Telefonica, meanwhile, told the Telegraph that only 2,000 positions would be …
Bill Ray, 21 May 2013
g_cloud_uk_gov

UK.gov to drive stake through heart of big IT outsourcing deals

A wave of huge government IT outsourcing contracts finishing this year won’t be renewed as No.10 snatches back control of Whitehall technology from tech firms. Civil servants will now be expected to take greater responsibility for their departments’ systems and policy, and only engage with suppliers through G-Cloud. Ahead of …
Gavin Clarke, 08 Jul 2013
The Register breaking news

London council £1bn outsourcing plan survives vote

An eleventh-hour attempt to kill London Barnet Council's billion-pound outsourcing plan has failed. The "One Barnet" plan to commission government services from private companies - potentially including BT and Capita - will roll on after the Conservative Council leader of the London borough survived a no-confidence vote last …
Anna Leach, 08 Nov 2012
ROGUE TRADER SIDE TEASER EWAN MCGREGOR IN film rogue trader still...

Outsourcing fingered as UBS cops £30m fine

The perils of outsourcing have again come under the spotlight after regulators investigating the $US2.3bn loss at Swiss bank UBS pointed to key risk management failings at a third party provider based in India. The FSA and Swiss regulator FINMA launched a joint investigation into UBS in September 2011 after it came to light that …
Phil Muncaster, 27 Nov 2012

IDC: Outsourcing sector needs rescue fund for cloudy customers

The outsourcing industry should develop a voluntary crisis fund to give protection to customers should their services provider hit the wall. This was proposed by IDC in light of 2e2's recent high profile collapse that left some customers scrambling for alternative suppliers, and highlighted the pitfalls of outsourcing. One …
Paul Kunert, 15 Feb 2013
The Register breaking news

Outsourcing your own job much more common than first thought

Computer programmers outsourcing their own jobs and pocketing the profit from salary differentials overseas is much more common than first thought. Last month, Verizon reported that an investigation into a client had revealed that the unnamed company's star programmer, a chap dubbed Bob, had outsourced his job to a Chinese firm …
Iain Thomson, 27 Feb 2013
The Register breaking news

China raked in £184bn from IT outsourcing in 2011

China’s software and IT outsourcing industry is booming, rising by a third in 2011 to reach a whopping 1.84 trillion yuan (£184.33bn), according to new government figures released by the Ministry of Industry and Information Technology. The stats, seen by state-run news agency Xinhua, represent around a 4 per cent increase on the …
Phil Muncaster, 28 Feb 2012
The Register breaking news

North Tyneside: Mega-outsourcing deal will SAVE jobs

North Tyneside council is to outsource all its ICT services, along with finance, procurement, revenues and benefits, customer services and human resources to mega-services provider Balfour Beatty. The company has been named preferred bidder for a contract which is intended to help the north east council to cut its costs. North …
india

India's grip on offshoring eases ever so slightly

India's dominance of the offshoring industry has eased ever so slightly, with Mumbai losing its position as the world's second-best place to outsource to Filipino capital Manila, according to the new Tholons 2014 Top 100 Outsourcing Destinations rankings report. The news isn't all bad for India: it's still home to six of the …
Simon Sharwood, 21 Jan 2014
The Register breaking news

End in sight for IT jobs outsourcing massacre

The offshoring of IT work to developing countries has been very popular with accountants looking to cut costs, but the limits are being reached of what jobs can conceivably be sent overseas. Research by The Hackett Group estimates that of the 8.2 million business service jobs available in the US and Europe in 2002, only around 4 …
Iain Thomson, 23 Mar 2012
The young 'uns try a few more pierogi

Attention, CIOs: Stop outsourcing or YOU will never retire

Walk down the hall. Look into the IT room. How old are the people in there? How are they getting on? Or are they just getting on? Would you trust them to keep the server lights on in a couple of years? Is there anybody actually in there at all? If there isn’t, your company may be part of the problem that’s keeping John Harris …
Joe Fay, 14 Mar 2013
Great Wall of China

India's outsourcers look east with eyes on Asian tigers

Indian IT services group Nasscom is turning its attention eastwards with a focus on China, Japan and other previously untapped markets in an attempt to maintain the industry’s double-digit growth. The country’s outsourcers have historically focused their efforts on customers in the UK and US, but president R Chandrasekhar said …
Phil Muncaster, 21 Mar 2014
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HP inks $1.4bn outsourcing deal with energy firm E.ON

Hewlett-Packard and European energy mammoth E.ON IT announced they have signed a five-year, $1.4bn infrastructure tech-outsourcing services contract. Under the deal, HP is to provide data centre operations and workplace services. The agreement is expected to "strengthen E.ON’s competitiveness and create a more flexible …
Lewis Page, 15 Dec 2010

Tata says USA rejecting HALF of Indians' work visa requests

Indian IT services giant Tata Consulting Services (TCS) has said as many as half of its visa applications to the US are now being rejected as Washington continues to clamp down on immigration ahead of a new bill passing through Congress. TCS global head of human resources, Ajoyendra Mukherjee, told news site Livemint that the 50 …
Phil Muncaster, 18 Feb 2014

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
The Register breaking news

Bury council considers mass outsourcing

Bury council is considering a transformation programme that would involve transferring the delivery of most services to private or third sector organisations. It has published a consultation document on it future that includes a number of commitments within the programme. These begin with the key point that it "will start with …
The Register breaking news

O2 scoffs at call-centre outsource fears, forgets to rule it out completely

Rumours that O2 UK plans to outsource all its telephone support work have been dismissed as speculation by the mobile network operator. The cynical among us will note that's not the same as completely ruling it out. The whisperings were enough to prompt an emergency motion from the Communication Workers Union, stating that more …
Bill Ray, 25 Apr 2013
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Capita closing in on public WAN player Updata

Top brass at Surrey-based broadband network services player Updata Infrastructure UK are understood to be mulling over a leading offer from Capita, sources have told us. As The Channel revealed last November, public sector player Updata confirmed it was locked in "active" discussions with a bunch of interested parties. People …
Paul Kunert, 14 Feb 2014
Prison window

Euro chief of scandal-smacked Serco leaves as cop probe continues

It is a case of out with the old and in with the er...old after Jeremy Stafford, the European boss at outsourcing giant Serco, got on his bike, leaving current UK COO Andrew White as his replacement. These are tough times for Serco, which is the subject of a probe by the Ministry of Justice and subsequently the Met into fraud …
Paul Kunert, 22 Nov 2013
US flag

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
Handshake

Outsourcer Atos outsources hardware, data centre refresh

Outsourcing monster Atos has thrown out the overhaul of its own tech infrastructure to Kelway in a five-year deal valued at £150m in total. The London-based reseller giant will refresh the desktop and data centre hardware estates at Atos' managed services biz in the UK and Ireland, and provide associated services. The contract …
Paul Kunert, 17 Mar 2014
axe_channel_teaser

Top Brit biz giants love to outsource IT so much, they're gonna do it more

Most UK businesses involved in outsourcing IT are planning to either increase or maintain the current levels to which they outsource, according to a new survey. A survey of more than 230 of highest spending UK businesses on IT by Whitelane Research revealed that more than a third of those businesses are planning to increase the …
OUT-LAW.COM, 07 Aug 2013
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Outsourcing goes inside

An Indian outsourcing firm is working with prison authorities to set up a 200 man unit to handle back office and data entry functions for businesses worldwide. Charlapally Central Jail near Hyderabad was chosen because 40 per cent of prisoners are well-educated. Lags will get the chance to learn some skills that might actually …
John Oates, 12 May 2010
The Opal-card-ready 'flip' cover for Samsung's Galaxy S3

NSW government gets into the smartphone case business

Today's Sydney Morning Herald reports that the right-leaning government in the Australian state of New South Wales has decided to outsource lots of public service jobs because it believes there's a limit to what governments should do. Why, then, is the same government entering the business of selling mobile phone cases? The …
Simon Sharwood, 28 Mar 2014

Serco CEO walks the plank as firm fights off Ministry of Justice probe

The CEO at scandal-hit outsourcing monster Serco has quit as the company lifts the covers off its 'corporate renewal programme' designed to persuade the UK government that it's fit to manage public sector contracts. Back in August, Serco confirmed British cops are probing allegations over fraud related to its Prisoner Escort and …
Paul Kunert, 28 Oct 2013
Prison window

UK fraud squad bends over Serco, G4S for 'phantom crims' probe

The UK's Serious Fraud Office (SFO) has launched a criminal investigation into contractors Serco and G4S after an audit allegedly suggested the companies were massively overcharging for the electronic tagging of offenders. Sources in government told The Guardian that the two firms billed Blighty for monitoring at least 18,000 …
Iain Thomson, 05 Nov 2013
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Destination Korea: an emerging market for IT services

South Korea is being touted as the latest outsourcing market for global IT services firms to target, and could even emerge as an offshoring destination in its own right in the future, according to analyst outfit Ovum. The IT analyst’s latest Emerging Outsourcing Opportunities reportclaims the South Korean IT services market is …
Phil Muncaster, 03 Jun 2013

FORCE gov.uk suppliers to stick to 'open data principles' – MPs

UK government suppliers should be required to adhere to the same "open data principles" as government departments, a committee of MPs has proposed. The House of Commons' Public Administration Select Committee backed calls from UK Information Commissioner Christopher Graham, among others, for greater transparency in the …
OUT-LAW.COM, 20 Mar 2014

Infosys set for $35m fine over US visa naughtiness

Indian IT services giant Infosys is bracing itself for a $35 million (£22m) fine from the US government for visa irregularities, in what will be the largest financial penalty ever handed out for an immigration infraction. The fine, expected to be announced later today, comes after a Department of Homeland Security and State …
Phil Muncaster, 30 Oct 2013
india

Tamil Nadu's XP migration plan: Go Linux like a BOSS

The Indian State of Tamil Nadu will solve its Windows XP problem by adopting Linux. Tamil Nadu is home to over 70 million people and its capital city is Chennai, a hub for India's business process outsourcing industry second only to Bangalore. The decision to move to Linux is outlined in this letter (PDF) from the State's …
Simon Sharwood, 04 Apr 2014
Abbott and Costello dressed as policemen

UK gov dials 999 over Serco prison escort fraud claims

Outsourcing giant Serco is being probed by the cops over allegations of fraud relating to its Prisoner Escort and Custody Services (PECS) contract with the Ministry of Justice. Under the terms of the contract, Serco is supposed to ferry defendants from prison to court on time and is measured against this. The suspected fraud …
Paul Kunert, 29 Aug 2013

Beginning of the end for Cenitex

Victorian IT agency Cenitex is to become a broker of services rather than a direct provider of services, under an expression of interest released today by the state government. The change was foreshadowed in May in a document posted to Scribd. Victoria's minister for technology Gordon Rich-Phillips said the new tender marks the …

Sony battery recall as VAIO goes out with a bang, not a whimper

If you're one of the few people who bought a Sony VAIO Fit 11A laptop/tablet convertible unit in the last few months, you need to unplug it immediately and step away from the system, Sony has warned. "It has come to our attention that some of the internal, non-removable battery packs provided to us by a third party supplier and …
Iain Thomson, 11 Apr 2014
Prison window

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
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Outsourcing suddenly less popular

Demand for outsourcing has fallen as global economic troubles hit the outsourcing industry, according to research produced by an outsourcing consultancy. Its advisors expect demand to increase early this year, the company said. Outsourcing consultancy EquaTerra asked its advisors whether demand was increasing for outsourcing …
OUT-LAW.COM, 30 Jan 2009
Not Smart and not a book, but a smartbook

Alcatel unveils 'cheaper-than-Chromebook' Lapdock-alike phablet-powered laptop

Alcatel had the distinction of previewing the least powerful device at MWC. At the mobile extravaganza, the French firm unveiled the prototype of the Hero, a dumb terminal which interfaces to its Hero mobile phone to provide a full screen and keyboard. The device is called a smartbook, but all the smarts actually reside in the …
Simon Rockman, 03 Mar 2014

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
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New-wave offshorers present exotic new risks

A need to drive down costs is forcing many multinationals to look at emerging Asian offshore locations such as Indonesia and Vietnam, but IP security and privacy concerns continue to hold them back, according to a new report. Gartner’s Leading Locations for Offshore Services in Asia/Pacific 2014 report, paints a mixed picture. …
Phil Muncaster, 26 Mar 2014
The Register breaking news

Romania chucks €21m at IBM for Bucharest IT project

IBM will get €21m in state aid from Romania's government for a €51.2m project in the country that's expected to create around 900 jobs. Big Blue is planning an IT consultancy project in Bucharest and Brasov, the Ministry of Finance told financial daily Ziarul Financier (translated by Google Translate). The aid package is one of …
Quantum CEO Jon Gacek

Quantum expects to see Q3 revenue hike, sheds 60 extra bodies

Quantum expects to report a seasonal third quarter revenue hike in its third 2014 fiscal quarter ended 31 December, with lower costs helped by manufacturing outsourcing and several additional redundancies. El Reg storage desk has received several emails about the latter and they were also confirmed by the company. Revenues for …
Chris Mellor, 16 Jan 2014

Cameron to ink cyber deal with India, protect Brit outsourced data

Prime Minister David Cameron will step up UK co-operation with India on cyber security on Tuesday in a bid to better protect data stored on Indian servers as well as share intelligence on breaking threats. Cameron is in India as part of a three-day trade trip designed to build stronger business ties with the vast emerging nation …
Phil Muncaster, 19 Feb 2013

HP wants HUNDREDS of hapless staffers OUT by April - trade union

Hundreds of British HP workers are being lined up for the chop this quarter with almost a half expected to come from Enterprise Services. Ian Tonks, national officer for IT and comms with trade union Unite, met with HP last week - as did the UK Works Council - to thrash out the latest tranche of local job cuts. He told us: "784 …
Paul Kunert, 11 Feb 2014
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Financial firms face tax bill on outsourcing arrangements

Banks, insurance companies and other financial services providers who outsource administrative functions abroad could be hit by changes to the VAT rules coming into force on 1st January 2010. Under current rules, where services are provided by one business to another, the place of supply for VAT purposes is generally deemed to …
OUT-LAW.COM, 15 Oct 2009

NASSCOM appoints new boss to corral India's outsourcers

India’s all-powerful IT body NASSCOM has appointed a new head honcho to guide the industry to hoped-for revenues of $US300 billion (£183bn) by 2020. Former Indian telecom secretary R Chandrashekhar took the reins as president on Monday from the outgoing Som Mittal, who served from 2007. Unsurprisingly, he struck an optimistic …
Phil Muncaster, 07 Jan 2014
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Outsourcing prices on the wane, says Gartner

If IT vendors think that their services businesses are going to save their cookies this year, they may have another thing coming. According to a report just released by the analysts at Gartner, prices on infrastructure outsourcing services are expected to drop this year and next by anywhere from 5 to 20 per cent on new deals. …