Procter & Gamble (P&G) has chosen IBM’s Business
Transformation Outsourcing (BTO) unit to operate P&G’s global
employee services operational processes, including payroll
processing, benefits administration, compensation planning, travel
and expense management, expatriate and relocation services, HR data
management, stock option administration, employee relations, and
learning systems administration. The agreement begins 1 January and
is valued at more than $400m over 10 years.
The Bottom Line: To follow P&G’s lead will require companies
to establish a clear picture of the processes to be outsourced and
their existing associated costs.
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