Elizabeth Arden outsources operations to IBM

Cosmetics and toiletries giant Elizabeth Arden has outsourced its data centre operations to IBM.

Cosmetics and toiletries giant Elizabeth Arden has outsourced its data centre operations to IBM.

Under the six-year deal, IBM will provide round-the-clock operations and technical support, disaster recovery, hardware and software maintenance, security management and hosting for IBM eServer systems. 

The companies declined to release financial terms of the agreement. 

"IBM is integrating Elizabeth Arden's IT systems and providing 24/7 support," said IBM spokeswoman Gretchen McWhorter. 

She said the company will see significant benefits in its supply chain management and inventory management. "Elizabeth Arden told us this will cut their inventory management processing time by 75%, so they can send out shipments faster and respond to customers' orders faster." 

Elizabeth Arden chief information officer Robert Donohue said the deal is part of the company's broader strategy to reduce costs. It has used the IBM agreement as a model for outsourcing its other IT functions, including desktop support, help desk service support and messaging system support, to other service providers. 

McWhorter said this contract is an example of an outsourcing agreement that is not just for enterprise customers. "Companies with less than 2,000 employees can take advantage of this as well."

Linda Rosencrance writes for Computerworld

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