One of the UK's largest insurers, Royal and SunAlliance (R&SA) has outsourced its IT and printing operations for 10 years, in a deal that could be worth £92m, if all contractual obligations are met.
The outsourcer, T-Systems, the business customer unit of Deutsche Telekom, will take over two print facilities in Birkenhead (Liverpool) and Easton (Bristol) with 63 employees being transferred to the service provider.
This means T-Systems could transform the company's print utility, claimed Shirley Campbell, R&SA's UK HR director, allowing T-Systems to offer similar services to other companies. "There are two immediate benefits for us: our outsourced staff will be joining a highly progressive and fast growing business and R&SA will be embracing best-in-class technology and printing processes," she said.
The R&SA spokeswoman claimed the company is better off concentrating on its core competency while T-Systems makes technology improvements to the IT and printing infrastructure and sells the service on. "[The deal] will continue to improve quality, scalability and deliver savings," said Campbell.
In February T-Systems signed a ten-year IT outsourcing contract UK energy giant, Centrica.