Rolls Royce has awarded Capgemini a contract to manage its new multi-sourced strategy as it moves away from sourcing everything from HP.
The engineering giant signed a 12 year contract worth £1.3 billion in 2000 with EDS, which was later acquired by HP, through a single sourcing contract. But it is now moving to a strategy to use multiple suppliers who will be managed by Capgemini.
As service integrator, Capgemini will coordinate suppliers working with Rolls Royce in 50 countries, supporting 40,000 users. It will also support applications such asRolls Royce’s SAP Enterprise Resource Planning (ERP) and supply chain software systems, which was deployed in 2007
Simon Ricketts, Chief Information Officer at Rolls-Royce, said Capgemini was selected, following competitive bids from several global IT firms.
The transition to the new model will be complete by the end of 2012. The contract will be delivered mainly in the UK, US, Poland and India.
Lee Ayling, partner at KPMG, aid Capgemini has good experience managing multi-sourcing environment through its role in the HMRC Aspire contract. He added that multi-sourcing is on the up. “[Multi-sourcing is becoming increasingly common with businesses buying best of breed IT services.”
Image Credit: Rolls-Royce plc, copyright © Rolls-Royce plc 2012