Articles about outsourcing

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Lloyds Banking Group to splash £3bn on tech

Lloyds Banking Group is to splash £3bn on IT investment, amid a major outsourcing and cost-cutting programme. In a trading update, the Halifax, Lloyds Bank and Bank of Scotland brands owner revealed its "business transformation" budget had increased 40 per cent on the previous year. It also reported bumper pre-tax profit for …
Kat Hall, 22 Feb 2018
Palace of Westminster

Oh dear, Capita: MPs put future UK.gov outsourcing in the spotlight

The UK government faced an urgent question in Parliament today over its reliance on troubled outsourcing firm Capita following a serious profit warning by the public sector provider – just weeks after Brit construction firm Carillion went bust. Labour MP Rachel Reeves asked about the serious financial concerns at Capita, after …
Kat Hall, 1 Feb 2018

Thorn leaves CGI UK's side: Prez exit 'to pursue other interests'

The UK president of Canadian outsourcing biz CGI, Steve Thorn, has stepped down to "to pursue different career opportunities" after 25 years with the firm. Thorn started at Logica in 1992, which was snapped up by CGI for £1.7bn in 2012. He was made CGI UK president in 2016. Tara McGeehan, senior veep of UK Energy, Utilities …
Kat Hall, 24 Jan 2018
surprised nerd, image via Shutterstock

M&S extends customer support contract with, er, Capita

Despite ditching other tech suppliers in a consolidation push, Marks & Spencer – purveyor of Brit middle-class dreams – has extended a customer support agreement with everyone's fave outsourcing titan, Capita, for £70m. The five-year contract renewal to manage marksandspencer.com across voice, online and web chat channels …
Paul Kunert, 18 Jan 2018
Outsourcing

'No evidence' UK.gov has done much to break up IT outsourcing

The scandal around Carillion has put the UK government's addiction to outsourcing in the spotlight. Yet it is a practice that has been going on for many decades - not least in public sector IT. For some years now the government has made noises about breaking away from the "IT oligopoly" – a phrase coined by former Cabinet …
Kat Hall, 17 Jan 2018

Wave Tata, Capita: You've lost mega-contract to rival outsourcer

Financial services slinger Prudential is to kick Capita to the curb, cutting short a 15-year mega deal and switching the administration of its life and pension policies to Tata Consultancy Services. The initial £722m agreement – one of Capita's largest to date – started in early 2008 when Capita took on 1,750 of Pru's people …
Paul Kunert, 16 Jan 2018

220 heads to roll as Steria hacks away at UK.gov back-office IT biz

French outsourcer Sopra Steria plans to make 220 folk redundant from its UK government business as part of a major upheaval of its public sector operation. The Register has seen evidence that the firm plans to put 400 people at risk of redundancy and expects 220 roles to go. The redundancies are part of a shake-up of its UK …
Kat Hall, 15 Jan 2018
Boss leans back comfortably in desk. Pic via Shutterstock

Tata for now: Marks & Spencer transfers 250 tech jobs to outsourcer

Middle-class nirvana Marks & Spencer – the British purveyor of classy date-night grub and frumpy clothes – is slashing its tech supplier base and sending 250 staff to Tata Consultancy Services under an IT outsourcing accord. The High Street giant will pay a one-time "implementation cost" of £25m to offload delivery and …
Kat Hall, 10 Jan 2018

Oh good. Transport for London gives Capita £80m for WAN, LAN and Wi-Fi

Transport for London has inked an £80m deal with outsourcing giant Capita to provide Wide Area Network services in the UK capital. Under the deal, Capita will maintain WAN, LAN and Wi-Fi networks across more than 1,000 TfL sites from August 2018. The deal is for five years, with the option to extend it for another five. TfL …
Kat Hall, 21 Dec 2017
keyboard with 'Help' key

'Subdued' year for poor old Capita means more 'restructuring' needed

Outsourcing giant Capita is broadening its "restructuring" programme (AKA offshoring and automating more jobs), while reporting that 2017 has been a "subdued" year for the biz in a trading update today. This time last year, Capita told staff before Christmas it planned to axe 2,250 roles, including sending more jobs to India …
Kat Hall, 14 Dec 2017

IBM reminds staff not to break customers in pre-Xmas fix-this-now rush

Bosses at IBM's Australian outpost have been forced to remind staff to do their best work during the pre-Christmas rush – that time of year when outsourced clients want a lot of stuff done in a hurry before much of the world shuts down to overeat. Internal communications seen by The Register this week state that human error by …
Simon Sharwood, 13 Dec 2017

Staff at Steria gov shared services centre offered voluntary redundo

Workers at the Sopra Steria-run UK government shared services centre received an early Christmas present this week: the opportunity to apply for voluntary redundancy. The Shared Services Connected Limited (SSCL) entity was set up as a joint venture four years with the Cabinet Office to consolidate back office services across …
Kat Hall, 6 Dec 2017
Palace of Westminster

UK.gov: IT contracts should be no more than 7 years. (Not 18, Fujitsu)

The British government has once again told departments to break their addiction to big contracts, specifying that deals with suppliers should be no longer than a paltry seven years. The advice from the Cabinet Office, Exiting Major IT Contracts: Guidance for Departments (PDF), stated that in past years many government …
Kat Hall, 10 Nov 2017
Man counts pounds and pence. Photo by Shutterstock

Oh dear, DXC: Outsourcer loses two UK.gov contracts

Exclusive The Department for Work & Pensions has not renewed a pair of contracts it held with Frankenfirm DXC Technologies – a loss the outsourcing business was lamenting in its latest financial results. El Reg can reveal that the government department opted not to renew the legacy HP Hosting and Desktop agreements that were in place …
Paul Kunert, 9 Nov 2017
BT Tower photo via Shutterstock

Flagging outsourcing biz and sports rights weigh down BT profits by 4%

BT reported a 4 per cent drop in net income to £1.8bn for its second quarter as sports TV rights costs and its underperforming outsourcing biz hit the bottom line. Overall sales fell 2 per cent to £5.9bn for the three months to September. Revenue for Global Services dropped 10 per cent to £1.26bn, with total earnings …
Kat Hall, 2 Nov 2017
California

Super Cali goes ballistic, small-cell law is bogus. School IT outsourcing is also... quite atrocious

California Governor Jerry Brown has vetoed a state bill that would have allowed telcos to put up loads of small-cell antennas, and thus boost phone coverage, against city officials' wishes. Brown said that the proposed law, which was written by State Senator Ben Hueso (D) and backed by the wireless industry cheerleaders at the …
Shaun Nichols, 16 Oct 2017
Exhausted looking business man on phone in from of laptop. Photo by Shutterstock

How's that 'turnaround' year going, Capita? ...Sheesh, sorry I asked

At the halfway point of a turnaround year for listing tech outsourcing ship Capita, the vital statistics are still moving in the wrong direction with top and bottom line slipping and major contract challenges noted. It's almost a year since UK-based Capita issued its first ever profit warning that forced a divisional …
Paul Kunert, 21 Sep 2017

RBS sharpens axe again: 900 IT jobs to go by 2020

The Royal Bank of Scotland is planning to show 40 per cent of its London-based IT staff the door by 2020, according to Unite the union. The mostly taxpayer-owned bank is also preparing to cut contractor numbers by 65 per cent, the union said. The announcement would mean around 650 permanent staff and 230 contractors could …
Rebecca Hill, 15 Aug 2017

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