Industry news

Indian based Tech Mahindra Limited have revealed 27 per cent growth for the quarter ending June 30th, with revenue of Rs 4,103, an increase of 21.7 percent year-on-year.

The strong quarterly reports come after a recent merger between Mahindra Satyam which led to the creation of the fifth largest Indian IT outsourcing company with 84,000 employees worldwide.

Vineet Nayyar, Executive Vice Chairman, Tech Mahindra, said, “We have completed one of the largest mergers in Indian corporate space this quarter in a seamless fashion, fulfilling the commitment we made in April 2009. Our robust performance reinforces our belief in the inherent strength and cross leveraging possibilities, for the integrated entity.”

Major Indian IT outsourcers announce merger

Gloucestershire NHS Trust has placed tender for an integrated clinical information system.

The eight-year contract to provide a modern information and administration capable system would extend to Northern Devon trusts and Yeovil District trusts who have grouped together to tender.

The requirement for a new information system comes as the old patient systems employed by the NHS trusts become increasingly outdated.

Requirements for the new system include increased integration, real-time data, increased speed and an end to paper records.

Gloucestershire Hospitals NHS Foundation Trust described how the tendering process is expected to secure a service which "will underpin improvements in care for years to come."

NHS Trust signs seven year ITO deal with CGI

arvato secures HR contract with East Cheshire NHS Trust

The Ministry of Justice has awarded a contract to supply tracking services as part of the creation of an electronic tagging programme, to SME supplier Buddi, a specialist supplier of tracking services.

Buddi will work alongside outsourcing giant Capita to create a deliver a tagging service which is expected to be promoted to other public departments.

Buddi will provide software and tracker tags to the programme while Capita co-ordinate the project as overall services and systems integrator, other suppliers include Astrium and Telefónica.

The employment of SME specialist comes as part of the government’s attempts to encourage SME employment in public contracts to deliver value and specialist services.

The MoJ stated: “With Buddi forming part of today's announcement it sends an important message to the market that the government is serious about making our contracts accessible to SMEs".

Capita secures multimillion MoJ electronic tagging contract

MoJ scraps procurement programme

The cloud market will generate nearly $20 billion in revenue by the end of 2016, according to a new report from Market Monitor, part of 451 Research.

The report looked at the expected growth of IaaS, PaaS and SaaS in the cloud market and predicted an increase in compound annual growth rate (CAGR) of 26 per cent.

The report which saw predictions from a multitude of sector analyst forecasted the continued growth of cloud uptake.

Yulitza Peraza, analyst at 451 Research and coauthor of the report, said: “Cloud computing is on the upswing and demand for public cloud services remains strong", but added that cloud adoption faced obstacles in the form of “security concerns,

transparency and trust issues workload readiness and internal non-IT-related organizational issues."

Businesses look to hybrid cloud says new research

Accenture deploys cloud platform for NHS radiology centres

Sears Canada has moved to outsource IT operations to IBM, with plans to outsource further IT services to Wipro.

The outsourcing operation will see IBM deliver IT programmes alongside payroll and finance services.

The move to outsource operations comes as Sears directs investment into its core retail business, with a focus on building a competitive business, including improving store site infrastructure and an increasing drive on enhancing e-commerce capabilities.

IBM will deliver new services from sites in the Philippines, with Wipro providing services from India should Sears look to further extend outsourcing operations.

IBM moves to acquire cloud security company

Wipro Limited announce second quarter impressive financial results

The Ministry of Justice (MoJ) has selected Capita to provide electronic tagging services in a deal valued at £400 million.

Capita has been selected as the preferred bidder for the contract, which will see the IT outsourcing giant acting as systems integrator between various services involved in delivering electronic tagging used by the MoJ, while providing electronic monitoring and support services.

The electronic tagging service is expected to leverage long term savings for the MoJ in reducing re-offense rates and the need for prison sentences.

The contract will also see Capita working with the MoJ to promote the departments monitoring and support services to other public sector departments where such capabilities are required including the NHS and social care providers.

The contract represents a huge opportunity for Capita, with the large scale contract creating the potential for many more public sector tagging contracts.

Capita chief executive, Paul Pindar, said: “When fully live, this is expected to be the largest, single and most advanced ‘tagging’ system in the world”.

The tendering process had has originally seen Capita face completion from rival firms G4S and Serco, however both outsourcing providers pulled out after being accused of overcharging by the Justice Secretary.

Ministry of Justice’s handling of outsourcing is ‘shambolic’

Ministry Of Justice Expects £100 Million Savings Through Shared Services

Jaguar Land Rover has moved to expand their procurement capability as the car manufacture looks to increase growth in the UK.

The company has created 100 new positions including purchasing managers, procurement specialists and development engineers as Jaguar Land Rover seek to capitalise on almost £10 billion of investment in the UK supply chain and drive future growth.

The development of the car manufactures UK infrastructure includes the construction of a new plant in Staffordshire as the company prepares for the release of a series of new products.

2012 saw a 30 per cent growth in sales with revenues of £15.8 billion over the 12 months to 31st March 2013. 85 per cent of revenue came from the export market with Jaguar Land Rover now looking to overseas expansion with the construction of plant in China in addition to plans regarding an additional plant in Saudi Arabia to meet increased demand.

Jaguar Land Rover looks at Merseyside expansion

Jaguar Land Rover moves production to China

A audit carried out into procurement spending by the Ministry of Defence (MoD) found that suppliers had been overpaid to the tune of £100 million.

The spend recovery audit by officials found that overpayment of £100 million occurred throughout last financial year. This level of overspend was generated from duplicate orders and overpayments for common goods and services.

The revelation comes as the government undertakes recovery audits in all departments.

“Every government promises a crackdown on fraud and error, but we are delivering, with £6.5 billion saved last year alone” said Cabinet Office minister Francis Maude.

The minister added that the public sector was moving for with improved communications to “enable different parts of government to share data about fraudsters and work as one to catch them. This will ensure we further reduce the shocking losses to fraud and error much faster.”

The development of big data and improved analytics processes have allowed the public sector to improve overspend detection rates.

UK moves ahead with outsourcing MoD hardware procurement

MoD move to expand procurement services

Accenture have had their contract to provide application outsourcing services to the RSA insurance group extended for an additional five years until the end of 2020.

The original application contract, which began in 2003 and has been previously extended, provided maintenance and development services to the insurance group.

The RSA group with around 23,000 employees internationally said that the extension will help to further reduce IT costs while developing product offerings and customer service with additional cost savings.

Accenture deploys cloud platform for NHS radiology centres

Accenture see sales growth from increased outsourcing demand

The Institute for Economic Affairs (IEA) has recommended the dropping of the HS2 high speed rail project.

The recommendation comes as fears rise that the project could nearly double in cost to as much as £80 billion before completion.

The IEA questioned the economic sense in the construction of HS2 with the spiraling cost of the project, with a rise of 30 per cent in June to £42.6 billion.

IEA director Dr Richard Welling, said: "The evidence is now overwhelming that this will be unbelievably costly to the taxpayer while delivering incredibly poor value for money.”

The government line has promoted the rail-line framework as being key in stimulating the UK economy.