Industry news

  • 1 Jul 2015 12:00 AM | Anonymous

    Capita has acquired third-party supplier and rival mortgage provider Vertex Mortgage Services in a deal worth £35 million.

    Vertex employs 340 workers and achieved an annual turnover of £22.9 million at the close of its last financial year.

    Capita chief executive Andy Parker commented: “As part of our strategy to support the financial services industry, Capita’s ambition is to become the mortgage processing partner of choice for existing mortgage providers and challenger banks.

    “The acquisition of Vertex MS is another key step towards achieving this goal. This is a market-facing continuous regulatory change and changing customer behaviours, and with Capita’s breadth of services and expertise we are well placed to help organisations with these challenges. This market therefore offers significant growth potential for Capita.”

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    Related: NHS Awards Capita with £400 Million Contract for Administrative Support Services

  • 1 Jul 2015 12:00 AM | Anonymous

    Capita has retained its position as the leading supplier of software, IT and business process services in the UK and won’t be going anywhere anytime soon, a report by TechMarketView has revealed.

    The top five UK service providers, in terms of their revenue, is as follows:

    • Capita

    • HP

    • IBM

    • Capgemini

    • Accenture

    The report claims that there was no change in the ranking of the top five suppliers since last year. In 2015 Capita has successfully managed to widen the gap between itself and second-placed HP.

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    Related: Capita buys rival Vertex Mortgage Services for £35 million

  • 30 Jun 2015 12:00 AM | Anonymous

    Outgoing Cisco Chief Technology Officer Padmasree Warrior has been approached by Wipro and offered a position on its board of directors, The Times of India has reported.

    Warrior could also potentially take up a role at Wipro in an advisory capacity. The news comes after Cisco revealed that three of its executives, including Warrior and services executive Edzard Overbeek, will be headed for the door, making way for a “next generation” leadership team.

    Zeus Kerravala, principal analyst at ZK Research, stated that the move would make perfect sense for Warrior: "Wipro has been a large Cisco reseller for years - she already has a relationship there. The tech industry in India is certainly doing very well… We're looking at India as being one of the early adopters of the Internet of Things and being a digital economy.”

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    Related: Wipro in Talks to Buy Equiniti in Deal Valued at Over £1 Billion

  • 30 Jun 2015 12:00 AM | Anonymous

    Accenture has beaten BT and been awarded a £60 million contract by the Department of Health (DH) to deliver the new NHSmail service.

    The original NHSmail service has run since 2004 and allows secure electronic mail and sensitive patient information to be shared among public healthcare bodies. The new NHSmail2 contract will run until at least 2020.

    The news comes after Accenture CEO Pierre Nanterme downplayed the importance of Accenture’s outsourcing activities, instead tipping digitalisation as the key profit driver for the future of his organisation.

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    Related: Accenture Wins £350m NHSmail Contract

  • 30 Jun 2015 12:00 AM | Anonymous

    The Indian outsourcing provider Tech Mahindra has issued a profit warning, blaming a “seasonally weak” mobility business for its drop in revenue in Q1 and 7 per cent fall in share prices.

    Tech Mahindra bought rival outsourcing company Satyam in 2012, after the firm was involved in one of India’s biggest ever corporate fraud cases.

    It’s been suggested that this profit warning could spell trouble for Tech Mahindra in the future, especially when the significant growth rate of other prominent Indian outsourcing firms is taken into account.

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    Related: Tech Mahindra Signs £50 Million Technology Outsourcing Deal with Circle Health

  • 30 Jun 2015 12:00 AM | Anonymous

    Gary Porter, Conservative MP and imminent new head of the Local Government Association, has called on the Prime Minister to stop increasing NHS budgets at the expense of unprotected areas of spending, claiming some Councils were likely to fail under new cuts.

    According to the FT, Mr Porter said “no one thought the NHS was providing value for money.” This is confirmed by a Government commissioned report, led by Lord Carter of Coles, which revealed in June 2015 that the NHS could save up to £5bn a year by 2019/20 if there is political and managerial commitment to change the way it works.

    The report highlighted that £2 billion could come from better management of the workforce, annual leave and sickness absence in particular, and an additional £3 billion could be saved through improvements to purchasing supplies and use of medicines.

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    Related: HP re-energises NHS Trust with complete IT systems overhaul

  • 29 Jun 2015 12:00 AM | Anonymous

    Manchester Airports Group (MAG) has chosen Capgemini to provide an enterprise resource planning (ERP) platform as part of a one-year contract.

    MAG is the country’s largest UK-owned airport operator, controlling four airports – Stansted, Bournemouth, East Midlands and Manchester – and serving roughly 48 million passengers every year. Capgemini will be upgrading MAG’s IT capability so that the group can continue to efficiently serve its growing customer base.

    The deal is part of a larger transformation for MAG, which includes the use of a geographical information system (GIS) provided by Esri.

    Garry Dowdle, CIO at MAG, commented: "The ERP transformation programme is at the core of MAG's IT strategy and will provide finance, human resources, and procurement with the right processes, data and technology for the job, delivering a step change in the user experience, and helping to make MAG a great place to work.”

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    Related: Capgemini Plans $564 Million Capital Boost for IGATE Acquisition

  • 29 Jun 2015 12:00 AM | Anonymous

    Computing has reported that the ITO partnership between Cambridge University Hospitals (CUH) and HP has been a resounding success, acknowledged by both sides of the outsourcing relationship.

    HP has digitalised CUH’s services in a way that allows frontline staff to quickly and securely access data and patient records.

    “All of our IT is now managed by HP – and the system is already delivering real benefits,” commented Dr Afzal Chaudhry, CUH’s chief medical information officer.

    However, some of the NHS workers have struggled with the transition, particularly those that are less “tech-savvy” than their younger colleagues. Chaudhry continued: "If you take some of the senior consultants who'd never left notepad and books.

    “They'd trained as a student, used them as junior doctors all the way through and some of these people, they'd been there for years. Then overnight we took everything that they knew, then threw it away.”

    Nevertheless, the majority of staff have transitioned well and are working more efficiently as a result of HP’s input.

    The new platform installed by HP is being widely adopted and utilised, with 3,200 people using the system onsite, and further staff using it offsite, on a daily basis. Even during its quietest periods in the early hours of the morning, CUH tends to find 300-400 individuals logged in at any given time.

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    Related: NHS Awards Capita with £400 Million Contract for Administrative Support Services

  • 29 Jun 2015 12:00 AM | Anonymous

    According to a poll conducted by CIPS, 45 per cent of buyers have no plan B that “stretches down the tiers of their supply chain” if plan A fails, Supply Management has reported.

    Meanwhile less than a third of buyers had a back-up strategy in place, while a fifth of those surveyed had no idea whether they had a plan B or not.

    CIPS’s group CEO David Noble said buyers “cannot outsource accountability and responsibility for the conditions in which these goods are produced and where raw materials are sourced.

    “Best practice requires a thorough understanding by companies of who their suppliers are. Many procurement professionals will be confident they have this understanding, but this knowledge is incomplete.”

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    Related: Report Reveals Evolution of Procurement Industry

  • 29 Jun 2015 12:00 AM | Anonymous

    Accenture CEO Pierre Nanterme has emphasised the importance of his company’s digital pursuits, as Accenture reported a 30 per cent increase in digitally-derived revenues in its most recent quarter.

    He pointed out that digital work now accounts for 20 per cent of his organisation’s total $7.8 billion in revenues, a percentage that is likely to grow over the coming years.

    “We’re not using any more, or much more, the terminology of consulting and outsourcing,” he’s stated.

    Accenture are currently undertaking a number of exciting digital projects across a wide range of industries, for clients such as Pizza Hut, Rio Tinto, healthcare businesses and a leading global shipbuilding company.

    Having said that, consulting and outsourcing are still key to Nanterme’s future vision: “When we created Accenture Operations, we created a very unique capability in the marketplace. I don’t believe that anyone else has been building a similar capability with two major capabilities in it, one, which is around infrastructure services, where you will find as much consulting and outsourcing in it.

    So it’s a combination of services from cloud-related services leveraging the Accenture Cloud platform from high value services in security and from indeed infrastructure outsourcing.”

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    Related: Technology and Talent are Key Differentiators for Maximizing Business Value of BPO Engagements

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