Archive for September, 2011

Companies must ensure IT outsourcing is used efficiently

September 30th, 2011

Companies using IT outsourcing in London should take action to take control of the service and ensure it is being used effectively, an expert has claimed.

James Peel, product manager at Opsview, has highlighted the many benefits that cloud computing can provide to companies.

“It’s very low friction getting cloud services up and running, which is fantastic in some way. But the problem is it’s all too easy to set up cloud services and people tend to end up deploying far more than they originally intended,” he explained.

He warned that cloud sprawl is a problem that can be a serious problem for businesses, where ineffective use of existing cloud resources results in escalating costs.

Mr Peel gave examples such as the IT department deciding to set up additional servers rather than looking to increase the efficiency of their existing hardware, leading to increasing bills over time.

He also highlighted that in large companies where the IT department reacts slowly there is a risk that other departments will independently set up cloud servers, increasing losses through duplication and obsolescence.

This can be hard to keep an eye on and can be the worst-case scenario for many companies, as it is hard to monitor and can lead to a substantially increased bill at the end of the month, he warned.

The product manager highlighted the fact that many managerial staff are unaware of how many cloud services their employees are using and the way that these technologies are being utilised.

He warned that many firms have not developed the centralised control and monitoring that is necessary to ensure the efficient use of cloud computing resources.

“It means that [people] are doing their own thing and there’s no central control,” he explained.

Mr Peel said that the essentially departmental nature of the technology can make it difficult to get a complete and open understanding of the situation.
He claimed that this can be addressed by companies changing the way that they approach these problems and by introducing new tools to improve the situation.

The situation is one of ‘policing’ the use that employees are making of these facilities and while it is important to give staff autonomy it still needs to be monitored, he explained.

Mr Peel stated that firms should consider what central mechanisms they can put in place to track the extent of the company’s cloud computing and its efficiency, as this will enable the organisation to step in and make changes that will reduce the number of wasted resources.

“Certainly, you want to put the tools in place so you know what the bill is going to be at the end of the month,” he explained.

Mr Peel added that there will be a certain point where processes evolve or become so central to a company that using IT outsourcing to fulfil them is no longer necessary and it is then that they should be brought in-house.

His comments follow recent figures published by Opsview that found 57 per cent of IT directors are currently concerned that cloud services costs could spiral out of control.

It also found that more than half of organisations are also unsure how many cloud-based services their employees are actually using.

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Compass global spree to exploit outsourcing

September 30th, 2011

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Compass has embarked on its most aggressive acquisition spree in seven years as it seeks to hand out its menus to armies, office workers and schoolchildren in canteens and restaurants worldwide.

The Surrey-based company has spent £425m ($664m) on 13 deals in 10 countries including Japan, the Netherlands, Sweden and India. In the UK, it bought Cygnet Foods, a supplier of hot or ready-to-heat meals to 450 schools, mostly in north-east England.

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Richard Cousins, chief executive, said the group was benefiting from the trend towards outsourcing as companies sought to focus on core competencies and governments looked to cut costs. “This has been a big year for us. We have done a big deal in every corner of the planet,” he said.

The company, which serves about 4bn meals each year in more than 50 countries, said full-year revenues were expected to rise about 5 per cent from last year, helped by a 7 per cent increase in North America and a 9 per cent rise elsewhere.

Despite this, Mr Cousins acknowledged it was a “tough world”, with business slowing throughout Europe. Sales in the UK and Ireland, which account for 10 per cent of group earnings, are down 1 per cent on the previous year as companies and governments cut corporate catering and hospitality amid government austerity measures and a slow economic recovery.

The group has passed on the impact of food inflation to customers, raising prices by about 2 per cent as some commodities prices doubled. Labour costs, which account for about half of group expenditure, remained fairly stable in most parts of the world, but could rise in emerging markets such as Brazil and China, where it is expanding its business. A £15m-£20m hit from the Japanese earthquake would also push operating profit margins about 0.2 percentage points lower.

Wyn Ellis, analyst at Numis, said the rapid pace of acquisitions made sense after several years spent streamlining the business and withdrawing from non-core markets. “Compass has a strong balance sheet and is a powerful cash generator and it has seen an opportunity to develop the business with sensible medium-sized and small bolt-on acquisitions,” he said.

“This strategy makes a lot of sense as small businesses are relatively easy to integrate and Compass has a strong record of delivering good returns on these. Investors will still want to see a somewhat flabby balance sheet addressed when they deliver their results in November.”

Source:http://www.ft.com/cms/s/0/8b77d2a6-ea7f-11e0-b0f5-00144feab49a.html#axzz1ZRrEfXYu

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Vodafone Germany: No Decision On Possible Outsourcing Of Some Tasks

September 29th, 2011

Vodafone Germany, a unit of Vodafone Group PLC (VOD), clarified Wednesday it is reviewing a possible outsourcing of tasks within its digital subscriber line, or DSL, customer-care divisions in Essen and Eschborn, but no decision has yet been made.

Such a measure would potentially affect 600 Vodafone employees, who could be transferred to other companies, a company spokesman said. Vodafone employs 12,000 people in Germany.

Vodafone has been expanding its long-term evolution technology, which has led to a drop in the amount of work for its DSL, or broadband, customer services.

“This is not about layoffs or the closing of a site, but it is about securing jobs, possibly within external companies,” the spokesman said.

The statement follows a call for a protest by German labor union Eisenbahn- und Verkehrsgewerkschaft, or EVG, which said Vodafone was about “to cut 600 jobs Germany-wide.”

Source:http://online.wsj.com/article/BT-CO-20110928-708904.html

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Freeborders’ CIO to Discuss China’s Role in the Global IT Market at HYSTA 2011 Annual Conference

September 29th, 2011

A global provider of consulting, technology and outsourcing solutions to financial services and internet based business, announced that Paul Liu, CIO at Freeborders, will discuss the role that China plays in the global information technology industry during the HYSTA (Hua Yuan Science and Technology Association) 2011 Annual Conference on October 1, 2011, in Santa Clara, CA.

Alongside seven other co-founders of HYSTA-CGSA, Liu will share his insights on the path China is taking to become a new leader in the global outsourcing market. Drawing upon Freeborders’ more than ten years of experience in driving technology innovation with a service model that blends Chinese and Western business practices, Liu will address critical success factors, such as access to technical talent and IT infrastructure requirements. In addition, Liu will discuss the use and adoption of social media channels in China along with other industry experts on the panel “Social Media Evolution in China and its Global Impact.”

Founded in 1999, HYSTA is one of the leading Chinese professional associations in the United States. It promotes career development and facilitates the exchange of business ideas between Silicon Valley and China. The HYSTA annual conference is one of the largest summits focusing on China, entrepreneurship, hi-tech and venture investment in Silicon Valley.

Source:http://www.prweb.com/releases/2011/9/prweb8836108.htm

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Hanu Software Selected For “Top IT Services Companies on the Inc. 5000″

September 29th, 2011

Hanu Software Solutions, Inc. of Princeton, NJ has been honored with recognition from Inc. Magazine in its selection of “Top IT Services Companies on the Inc. 5000.” The company is ranked #164 in the IT Services industry and #1432 overall.

Hanu Software, one of the fastest growing IT services companies in the country, provides high-quality integrated outsourcing services to independent software vendors, enterprises and startups. Some of their key services include offshore software development, cloud application development, mobile application development, offshore software testing and business process outsourcing (BPO).

“We are absolutely thrilled to be recognized as one of the fastest-growing companies during a struggling economy,” said Anil Singh, founder and CEO of Hanu Software. “Our strong growth in a relatively short period of time speaks volumes not only about our talented workforce, but the faith our customers have in our ability to deliver high-quality integrated outsourcing services to them.”

Each year, Inc. Magazine releases the Inc. 500|5000 rankings with a comprehensive look at the fastest-growing, independent companies in the nation. The list represents an important segment of the economy, spotlighting entrepreneurial companies that spur innovation and drive the economy forward.

“Now, more than ever, we depend on Inc. 500/5000 companies to spur innovation, provide jobs, and drive the economy forward. Growth companies, not large corporations, are where the action is,” says Inc. magazine Editor Jane Berentson.

Source:http://your-story.org/hanu-software-selected-for-top-it-services-companies-on-the-inc-5000-270676/

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GFI outsourcing swap trading venue compliance

September 29th, 2011

The National Futures Association said Wednesday it has entered into a preliminary agreement with interdealer broker GFI Group Inc. GFIG -4.31% to help GFI’s swap trading platforms comply with the Dodd-Frank financial regulatory overhaul.

Swaps are privately traded, off-exchange derivatives that will have to be executed on open platforms called “swap execution facilities” or other approved trading venues as a result of the Dodd-Frank Act.

Regulators have yet to pin down what they want these swap execution facilities to be and how they want them to work, but GFI and a host of other market participants believe they have systems that will qualify for SEF designation.

The U.S. Commodity Futures Trading Commission, which along with the Securities and Exchange Commission was tasked with writing rules to implement Dodd-Frank, has proposed allowing swap execution facilities to contract with a registered futures association or other registered entity to assist them in meeting certain core principles.

GFI is the first of these would-be swap execution facility owners to announce plans to outsource regulatory functions this way once the Dodd-Frank rules are finalized. The National Futures Association so far has held talks with between 10 and 20 potential future swap execution facilities with a view to signing formal regulatory services agreements.

“I do think every entity is exploring if they will outsource or do the work in house,” National Futures Association spokeswoman Karen Wuertz told Dow Jones Newswires earlier this month. “Some efforts are truly exploratory, and some are only considering becoming a SEF and are not operating a platform now.”

The National Futures Association has provided regulatory services for futures exchanges for more than 10 years.

“We look forward to working with GFI as we enhance our surveillance systems to assist GFI and other SEFs in meeting their regulatory responsibilities,” the trade group’s president, Daniel Roth, said in a statement.

GFI said the agreement will involve information sharing and technology development for the trading of all swaps that GFI brokers that are regulated by the Commodity Futures Trading Commission, including commodity, foreign exchange and index credit default swaps. The Securities and Exchange Commission will have oversight over security-based swaps, including CDS designed to pay out on a default from an individual issuer.

Source:http://www.marketwatch.com/story/gfi-outsourcing-swap-trading-venue-compliance-2011-09-28?reflink=MW_news_stmp

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CEEOA Launches the New Information Analytical Portal about IT Outsourcing in the CEE region

September 29th, 2011

CEEOA announces the launch of new information analytical portal about IT outsourcing in the Central and Eastern European countries, ITOnews.eu.

The main objectives of portal ITONews.eu are to form the complete view on the potential of the CEE region, the promising cluster for outsourcing services provision, and to create the common information flow about IT outsourcing from Central and Eastern Europe.

The website has a new look and additional features designed to improve usability. The new cleaner and less cluttered design allows for easier navigation and provides enhanced functionality. Intuitive navigational tools, new fonts, and updated graphics and layouts will help site visitors access information more quickly and easily.

Visitors to the site are able to explore the region for the updates and developments IT outsourcing industry through news, press-releases, publications, videos, analytic materials. ITOnews.eu also contents useful articles and other interesting information and shows the activities of companies from the region the most widely and impartially. General information about CEE countries with data about markets volume, number of companies and employees is placed in separate profiles that allows as more detailed as possible to learn about advantages of each country, regional news are devided by countries as well. Users can find the information about past and upcoming outsourcing regional and global events on the website. There is also a quick access to other CEEOA projects such as catalogue of IT outsourcing companies from Central and Eastern Europe – ITOlist.eu.

Recognizing the importance of online communication, different social media components were integrated to the ITOnews.eu portal that allows for sharing the information in social networks like Facebook, LinkedIn, Twitter, etc and though many other social media tools.

Having a well-organized and well-built website is a vital tool for any organization, product or service to showcase its ability to deliver compeling communication. It is supposed that portal ITONews.eu will become the indispensable information source for consumers of professional outsourcing services that are interested in business development or finding partners in Central and Eastern Europe, as well as for analysts.

Source:http://your-story.org/ceeoa-launches-the-new-information-analytical-portal-about-it-outsourcing-in-the-cee-region-270447/

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