Industry news

  • 26 May 2011 12:00 AM | Anonymous

    The Cloud has promised much in terms of flexibility, agility, operational and cost savings. However , effective development of cloud application relies on sound underlying platforms; for development teams to be able to build cloud applications effectively, they need the right platform on which to create and deploy the applications. This needs to allow for scalability, for the multi-tenant architecture of cloud applications, where resources and costs are shared across a large pool of users.

    This is where Platform as a Service (PaaS) comes in. This year, 2011 has, in fact, been identified by Gartner as the year of PaaS, offering increased flexibility for short term projects, and the ability to provision and scale up quickly for resource intensive projects. However, despite its predicted uptake there is still considerable discussion around its definition. This may be, in part, because the PaaS market is still relatively young and evolving, a fact that was highlighted in a recent report from Forrester and, as the analyst John R Rymer noted in his blog: “the PaaS market is a sprawling, fast-changing, and immature market.”*

    So what is PaaS and what does it provide developers looking to capitalise on the cloud boom? In essence, PaaS is a loose term and occupies a huge space, between Infrastructure as a Service and Software as a Service although even within this, different vendors have different propositions. Broadly, it’s the ‘application infrastructure’ that is, the technology stack and computing platform, delivered as a hosted service. Elements such as the application servers, the customer portal, the BPM technology databases and file systems would all comprise this application infrastructure. It’s everything that is required in the cloud application design, development and lifecycle management.

    For developers, it means that applications can be deployed without the cost of buying the hardware and software, freeing development teams from the headaches of managing this themselves. The advantages for developers are clear; particularly for those projects that need to be started quickly without the need to purchase, manage or configure the hardware and software in house. It also means that wherever you are based you can make use of the computing services of the PaaS provider. Drilling further, we have the application Platform as a Service (aPaaS) the Gartner defined term which refers to the development and deployment environment for cloud-based applications, or as Yefim Natis of Gartner calls it the ‘extended application server’.

    Eventually I believe that everything we now term PaaS will, in actuality, move towards aPaaS however, semantics aside, it’s all about enabling development to be the main focus of activity. What’s more, this new era of cloud development I believe, by its nature demands an approach which offers more flexibility and provides a development and deployment environment in which teams can re-use different types of their software, no matter what language they have been written in. This kind of application platform also means that once written, applications can be taken to any new platform, be it cloud, or mobile, without having to re-write.

    This, in turn, means that teams can focus on the development aspects of a project that really matter; delivering applications which bring business functionality and add value, reducing costs and time of development projects , rather than provisioning for and creating the environment on which they are built.

    * The Forrester Wave™: Platform-As-A-Service For App Dev And Delivery Professionals, Q2 2011

  • 26 May 2011 12:00 AM | Anonymous

    The last few years have witnessed fundamental changes in the economy, society and technology with great implications for how organisations work, now and moving into the future.

    Throughout the mid 2000s, we lived in a period of great economic and business stability. Now, things have changed. The economic situation, although positive, remains tenuous. Globalisation has accelerated hugely, with many developing countries participating more prominently in the global economy. Technology has been transformed, in both the consumer and business worlds. While consumers’ daily habits have been altered by the near ubiquity of social networking and massively increased mobility from devices such as the iPhone, enterprises have seen—and fuelled—the rise of technologies such as virtualisation, cloud computing and real-time collaboration.

    These factors now combine to open up opportunities to improve efficiency, effectiveness and innovation in all areas—which, given the fragile economy, are an invaluable source of competitive advantage. For a long time, the rewards to be gained from real-time global collaboration and 24/7 working were considered to be the future of work—but it’s no longer in the future, the benefits can be achieved today.

    The forces reshaping work

    To understand the opportunities presented by the future of work, companies need to understand the factors driving it. These include a new generation of workers and consumers—the millennials—who are shifting how supply is created and how demand is manifested, a new generation of technology that is rapidly changing the IT landscape, and a new generation of business models, virtualized and globalized, that is changing how work is getting done.

    First, let’s look at the millennials. Today’s knowledge worker is representative of an entire generation of digital natives, accustomed to multitasking across a huge number of connected devices and applications, from social networks and instant messaging to smartphones and mobile applications. Until now, the technology they experience at home on a Sunday night has often been more advanced then what they use at work on a Monday morning, meaning they have actually had to take a step back when entering the workplace. But by giving them the right tools to replicate their digital lives in the workplace, they can truly improve an organisation’s overall performance, and in turn, the quality of service it can offer to its clients.

    The next driver is technology. Over the last decade, the internet has undoubtedly transformed the face of modern business. Within the last few years in particular, a raft of new web-based technologies has enabled the greatest potential benefits yet: closer, more interactive relationships between people, including those geographically distributed, and exponential growth of available information from around the globe, leading to real-time collaboration and changes in organisational form and function. Cloud computing, virtualisation, wikis, social networks and greatly increased mobility (via smartphones, BlackBerrys, 3G networks etc), if used in the correct way, can now allow an organisation’s knowledge to be banked, accessed, searched and shared. The implication is that everyone within an organisation can have access to the right information at the right time, adding their own insights as they do so.

    Finally, we have new working practices and business models. The combination of millennial workers and new technologies means that the virtualised and globalised enterprise is now a reality. While globalisation is not a new phenomenon, it is now reaching into almost every aspect of business. Today end-to-end activities are performed globally as if they were done in one location by a self-contained workforce. Virtualisation, not just with technology, but now with people (the “anywhere, anytime worker”) and business models (increased outsourcing of key processes and sub-processes) is key to this transition. Seamless work on international projects can be delivered by partners from any location, and with resources based all around the world, work can take place 24 hours a day. This means that relationships with partners, suppliers and even customers can be opened up to new levels of integration, innovation and cost-efficiency.

    Rethinking work, reinventing value

    For many organisations, the business models they use are still based on assumptions made back in the 1950s and 80s. In the context of today, expectations have changed, and so have behaviours. There is a great opportunity now for companies to re-evaluate what’s core knowledge processes and become more innovative, collaborative and flexible. If businesses do not take it, they risk being overtaken by more forward thinking competitors.

    As an example, we now have over 100,000 employees worldwide—and growing—across five continents. As you can imagine, we have collectively built up a huge bank of knowledge across many different technology disciplines and industry sectors. To embrace the future of work and put this expertise into the hands of any staff who need it, we built what we call Cognizant 2.0—a Facebook-like platform for programme management, knowledge sharing and collaboration. This platform enables colleagues working on entirely different continents to work together on projects in real time, boosting efficiency and cutting time-to-delivery. With more than 15,000 blog posts written and over 100,000 queries made to date, the collaborative technology forum has been a massive success. By making the combined knowledge of so many staff available to all, we have become more efficient, more dynamic, more responsive and more flexible.

    Clients, of course, benefit from an efficient and better-skilled partner, but the future of work can also include them on a level not seen previously. By giving them access to the same social networking system, they can see who from their global partners is online around the world and communicate with them in real time, get visibility into the exact status of projects and essentially interact with external colleagues on a much deeper level, leading to better communication and fostering stronger long-term relationships.

    The future’s bright

    This is really only the start. With technologies developing at such a rapid rate, and working habits continually evolving to match, the future of work may already be here but it will continue to change over the coming years.

    Forward thinking companies cannot afford to ignore these changes, especially as we all look for sources of competitive advantage coming out of the recession. New technology is ready to be used and the millennials are already in your offices—the challenge now is to use them effectively. The opportunity is there to re-evaluate what’s the core knowledge processes and transform them for more innovative, collaborative and flexible results.

  • 26 May 2011 12:00 AM | Anonymous

    There has been much discussion recently about data falling into the wrong hands, following the Information Commissioner Office (ICO) fines for companies that have inadvertently lost customer data. Not to mention information that has come to light from the Wikileaks scandals. There can be no denying that the issue of sensitive data is something CIOs need to tackle head on.

    Particularly with the ICO now having the power to fine organisations up to £500,000 for serious data breaches, ten times the maximum penalty level that had previously been in place. Interestingly for CIOs, certain commentators are now calling for even higher penalties and even the mandatory reporting of data breaches, as the debate on this issue looks set to run and run.

    These concerns around data sensitivity, combined with the growth in mobile devices in the workplace, such as smartphones and tablet devices, creates new challenges for CIOs in ensuring employees have access to the data they require to deliver their job responsibilities at optimum performance. In light of these issues, many CIOs now looking into self-service BI, to provide employees at all levels with reporting tools that enable them to navigate and share data sensibly across the organisation. According to a recent report from analyst house Gartner, self-service BI ranked fifth on CIOs list of top priorities in 2011*.

    However, it is important that CIOs not only enable an environment that encourages caution around sensitive data, but also remain one step ahead to manage their business critical data and the people who have access to it. This is because in the modern working environment, employees across all functions need access to data and information to make decisions without delay. Take the fall-out from the banking crisis as a prime example. While many institutions were pre-warned about the slowdown in inventory turnover, few banks had the data available to minimise the impact of the crisis. Many branch managers were crying out for data that outlined which dealers had inventory that was aging past a certain point. If the data had been available, institutions could have then tightened their lending standards and adjusted capital reserves accordingly.

    The good news for CIOs is that the prevalence of technology in companies is now driving flatter organisation structures, which in turn puts data into the hands of the many, not the few. As a result, this will help provide the right data, to the right people at the right time. So you will not end up having the sales team receiving irrelevant information about HR. In this case, people at all levels of an organisation have access to business intelligence (BI), and this is the driving force behind self-service BI. In other words, it is an organisation’s employees who know what information they require, so in certain cases, the CIO may wish to provide them with the reports and dashboards they need to make informed decisions.

    Despite these benefits of self-service BI, empowering employees with data can sometimes cause issues for CIOs, who must take certain measures to protect their company’s assets and limit the potential negative impact of human involvement. All this, while simultaneously embracing the cultural shift to self-service BI and providing the infrastructure to enable a return on investment.

    Often, the CIO’s IT team has many of the metrics that end users care about at its disposal, but it worries about sharing the information and being open to criticism. Additionally, there is rarely one person or group of people who represent the business that the IT team can speak to about overall service expectations. However, without sharing the metrics and demonstrating the adherence to service level agreements (SLAs), the IT team often wastes an excellent opportunity to boast about its value to the business.

    Therefore, the CIO must not only take steps to measure the performance of his or her own function, but must also take effective steps to share the same information with the entire organisation.

    Firstly, this involves managing the increasing customer demands. Today’s customers expect convenient, high-value services. That includes the ability to receive support or conduct transactions at any time, day or night. However, for most CIOs, employing service teams around-the-clock is cost prohibitive.

    Secondly, CIOs must consider the impact of poor service delivery. Relying on live agents to aid customers when they have questions or problems can create a high level of risk. Different skill sets and work ethics leave room for mistakes and inconsistencies that can result in lost business. For example, manufacturing teams worldwide could benefit from accessing all the data they need to ensure products will be delivered on time, or adjust schedules in real-time when incidents like the Japanese earthquake happen and cause delays to parts being available.

    Thirdly, and most importantly, CIO must look to their employees to provide business critical information around declining revenue. As CIOs struggle to realise acceptable levels of revenue from traditional reporting channels, they must take a more innovative approach to sales and tap into new income-generating opportunities. By providing reporting tools to employees, they will be able to get stronger feedback and new ideas that can help increase revenue across the business.

    In summary there is a clear opportunity for CIOs to benefit from self-service BI, due to mobility becoming key to future revenue generation. The good news for CIOs is that they can now access self-service BI platforms that enable them to manage data while shielding them from the underlying data infrastructure, so employees don't have to keep asking IT for help.

  • 26 May 2011 12:00 AM | Anonymous

    Logica, a leading European business and technology service provider, has announced the acquisition of Grupo Gesfor, a privately held Spanish consulting and professional services company founded in 1985. The acquisition will be financed out of existing debt facilities and is expected to be earnings accretive in 2012.

    Around 1,200 Grupo Gesfor employees with strengths in areas such as security, business intelligence, HR consulting and enterprise content management will join Logica. Grupo Gesfor’s presence in Spain and operations across Latin America will support our wider client base, particularly our many European clients already operating in these markets, and complement our existing presence in Iberia.

    The Grupo Gesfor business to be acquired had revenue of €64 million (c. £55 million) in the year ended 31 December 2010.

    The total consideration is expected to be up to €31.5 million (c. £25 million) of which €24 million (c. £19 million) will be paid in cash upon completion. Based on 2010 revenue, this would represent EV/sales of around 0.6x with assumed net debt of around £7 million.

    Andy Green, Chief Executive Officer of Logica, said:

    “The Spanish market is home to a number of major multinational companies and an important market for many of our existing European clients. Acquiring Grupo Gesfor supports our client intimacy strategy by extending our capabilities and presence to support clients as they grow in Spain and Latin America. This is a good time to be investing for the longer term.”

  • 26 May 2011 12:00 AM | Anonymous

    Software services exporter Infosys Technologies said on Tuesday it received a subpoena from a grand jury in a U.S. district court that requires the company to provide certain documents and records related to B1 business visas.

    B1 business visas allow companies to send their employees to the United States for short-term business purposes.

    Infosys said it intended to comply with the subpoena and to cooperate with the investigation.

  • 26 May 2011 12:00 AM | Anonymous

    Intetics has announced that it has been selected the number one outsourcing service provider in the ‘Rising Star’ category on the 2011 Global Outsourcing 100 Service Providers List.

    The list is compiled by the International Association of Outsourcing Professionals (IAOP), which annually conducts an independent assessment of the capabilities of outsourcing service providers and advisors to identify the best organizations in the world.

    The lists are compiled based on information provided by each company, in addition to an unbiased evaluation by a panel of industry-recognized outsourcing experts, led by Michael F. Corbett, IAOP Chairman. Judging is based on four criteria: size and growth, customer references, organizational competencies and management capabilities.

    “We are pleased that the hard work and dedication of our staff to delivering stellar service to our clients is being recognized by a highly respected organization like the IAOP,” said Boris Kontsevoi, President, Intetics. “The dominant position of Intetics demonstrates our enormous potential for continued growth and development.”

  • 26 May 2011 12:00 AM | Anonymous

    The higher cost of energy has fuelled demand for Mitie’s power efficiency services, encouraging the FTSE 250 outsourcing specialist to boost its full-year dividend more than 15 per cent.

    The group’s energy services – such as installing more efficient boilers and providing advice on power consumption – generate more than a third of Mitie’s total sales.

    During the year Mitie signed contracts to provide facilities and energy management for companies including Vodafone and Rolls-Royce, and its long-term order book increased 6 per cent to £6.8bn ($11bn).

    “Energy costs are increasing and companies are looking to save money,” said Ruby McGregor-Smith, chief executive. “The services we provide bring down the cost of energy.”

  • 26 May 2011 12:00 AM | Anonymous

    The federal judge overseeing the Java patent litigation between Oracle and Google has said it might be necessary to delay a trial until US authorities finish re-examining a number of Oracle's patents, a process that could take years.

    Oracle sued Google in August, alleging that its Android mobile OS infringes on seven of Oracle's Java patents. Google has denied any wrongdoing.

    "The larger the number of patents and patent claims at trial, the greater will be the burden on the jury's ability to comprehend and to reach a just and correct verdict," U.S. District court Judge William Alsup wrote in a filing this week. "The larger the number of patents and patent claims asserted, moreover, the more practical it will then seem to simply stay this case and see which claims survive PTO re-examination."

    Alsup had previously asked both Oracle and Google to reduce the number of claims each is making, in order to resolve the case more quickly.

  • 26 May 2011 12:00 AM | Anonymous

    Eversheds has cut 75 jobs across its Birmingham, Cardiff and Leeds offices as a result of a back-office outsourcing agreement with Accenture it announced in August last year.

    The outsourcing, which has seen more than 350 of Eversheds’ financial support processes taken on by Accenture in Bangalore since the deal was agreed, is due to be completed by September, with the firm predicting no further redundancies.

    The bulk of the job losses were in Birmingham, where 10 were made redundant in human resources (HR) as well as 20 in financial services, while Cardiff saw 20 redundancies in its financial services team and Leeds 15 in financial services support. Overall, the back-office team has shrunk by 88 roles, with 13 departures attributed to 
natural attrition.

  • 25 May 2011 12:00 AM | Anonymous

    Capgemini, one of the world’s foremost consulting technology, and outsourcing service providers has been awarded a five-year contract by the Hilti Corporation, one of the world’s leading technology suppliers for the construction industry.

    Capgemini Procurement Services, a new division of Capgemini Business Process Outsourcing unit, now provides the complete suite of electronic solutions for Hilti’s Procurement Indirect Materials, leveraging its IBX on-demand technology platform.

    The project with Hilti is now live with the first phase in Germany. More than 3,000 end-users are guided to an electronic ordering process with a full scope of call-off methods including catalogues, web-shops, vendor forms and free text orders. Hilti will channel all suitable indirect spend via one channel through the “IBX on demand platform”. Hilti and Capgemini further plan to introduce Contract Management, automatic Invoice Matching and Electronic Sourcing with Online RFPs (Request for Proposals).

    Capgemini will work with Hilti to reduce complexity and to increase transparency in the procurement process for indirect materials. The target is to increase efficiency, contract compliance and spend under management while achieving cost savings.

    Jürgen Friederici, Senior VP Procurement Indirect Materials, from Hilti said “We chose Capgemini above competitors because they were offering smart customer relationship management and best industry practice with realistic and measurable goals. Their offering focused on quality and a partnership built on honesty and trust. Capgemini’s eProcurement solutions and content management system with full integration into our ERP was unequalled. We look forward to working with them over the next five years.”

    Leif Bohlin, Capgemini Procurement Services Lead said: “This deal is the perfect match: Hilti’s on demand offering for drilling machines is the ideal metaphor to explain Capgemini’s Procurement as a Service model. Hilti is very well known for its outperforming and outlasting machinery – and we will supply them with an as robust ‘procurement as a service’ solution.”

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