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Tuesday, October 10, 2006

Vodafone rings in outsourcing changes

Vodafone is outsourcing.

It has asked EDS and IBM to take over its application development and maintenance in order to reduce its cost base.

"The contracts, which are expected to help the company shave up to 30 per cent from its overheads, will be finalised in the coming weeks, according to the mobile phone giant.

Once the ink is dry on the deal, both EDS and IBM will look after some of Vodafone's core IT systems, including compiling code to manage the company's customer relationship management (CRM) and billing components.

"The outsourcing of this application development and maintenance work complements a series of other projects designed to reduce group overheads including the regional consolidation of data centres and the centralisation of network supply chain management," said Arun Sarin, Vodafone's chief executive."

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