Electronic Data Systems (EDS) has acquired IT management
consultancy the Feld Group, a purchase intended to strengthen EDS'
executive ranks and IT-transformation and business process
outsourcing services.
EDS bought the Feld Group for about $41m in cash and $48m in
restricted stock, warrants and options.
EDS will gain skills, staff and software for reorganising
companies' IT departments, as well as two senior executives who are
stepping into a pair of new and key positions at EDS.
The Feld Group, founded in 1992, has among its success stories
the transformation of the IT departments such as
PricewaterhouseCoopers. Most of its staff of about 60 people is
transferring over to EDS.
The Feld Group's value proposition has traditionally been that
it can deal with chief information officers at their level, said
Gartner analyst Lorrie Scardino. "They're very focused on the chief
information officers and on alignment of business and IT. That's
what they do best," she said.
Charlie Feld, founder, chief executive and president of the Feld
Group, and Steve Schuckenbrock, chief operating officer of the Feld
Group's consulting business, will lead two of EDS' three new
operating groups, reporting to EDS chairman and chief executive
officer Michael Jordan.
Feld will become executive vice-president of EDS' Portfolio
Management group, while Schuckenbrock steps in as executive
vice-president of the Global Sales and Client Solutions group.
These three operating groups replaced multiple lines of
businesses. The new operating structure, announced by Jordan last
year along with other restructuring measures, is meant to simplify
the way EDS interacts with customers, improve how it delivers
services and sharpen the focus of its services portfolio on EDS'
core outsourcing strength.
Juan Carlos Perez writes for IDG News Service