Oh Capita! Thirsty outsourcing titan finds small oasis in contract desert
Socks away £37m to consolidate claims-handling for compo scheme
Capita's Customer Management tentacle is to consolidate claims-handling on behalf of the Financial Services Compensation Scheme (FCSC) in one of the few good pieces of news this year for the beleaguered tech biz.
The loss-making outsourcing titan signed an extension with M&S in January, prolonging customer service phone and online support for a further five years, but has not trumpeted any other major wins outside of the public sector. Until today.
The £37m agreement with the FSCS runs for 4.75 years - an unusual length - with an option to extend it by a further two years.
“Capita will become the sole provider for all inbound and outbound customer contact and the handling of pension, insurance, mortgage, deposit and investment claims,” said Capita.
The sickly business was one of three service providers previously dealing with FCSC claims processes for the past decade, and will be asked to make the claims management process more efficient.
Apparently Capita is preparing to roll out the big guns and will “deploy advanced digital and customer management capabilities to drive improvements in experience across all channels”.
These are lean times for everyone’s favourite outsourcing badass, what with the £515m loss reported for the Capita's fiscal '17; a profit warning in January; and no central government contract signed with Whitehall so far this year.
In fact the only deals London Stock Exchange-listed Capita has shouted about is the extension with M&S, one with the Beeb and one with NI Invest.
CEO John Lewis was brought in last autumn to solve the problems caused by decades of acquisitions that Capita failed to properly digest, to correct contracts that went awry and return some focus to the group. Quite a task. ®