Top Steelmaker Corus Awards £26 Million IT Contract to Capgemini for Further Five Years

| Press release
Capgemini will deploy multinational resources and technological innovation to cut costs and boost service levels.

Corus has awarded IT outsourcing contracts totalling £26 million and covering the five-year period 2008-2013 to Capgemini UK plc, extending the relationship that has existed between the two companies for more than ten years. Corus is one of the world’s top steel producers, with revenues of over £11 billion and annual steel production of around 20 million tonnes.

Under these new contracts Capgemini will continue to manage the mainframe computers that support the core production, supply chain, stockholding, purchasing, sales ordering and invoicing activities at the main Corus UK manufacturing sites including Llanwern, Motherwell, Port Talbot, Rotherham, Scunthorpe and Teesside.

Capgemini, which won the contracts against bids from other leading multinationals, will deploy its Rightshore® strategy, which makes its global resources available to UK customers, on behalf of Corus. Capgemini teams in the UK, Poland and India will work in collaboration to maximise cost-effectiveness for Corus and to enhance service levels for the 10,000 Corus UK employees who rely on the mainframe systems in their daily work.

The new contracts involve the transition of existing IBM and ICL (Fujitsu) mainframe services from Corus sites to Capgemini secure data centres in Bristol and Rotherham, and a technical refresh of the infrastructure. Capgemini will provide overall service management from the UK, with operational management provided from its infrastructure management command centre in Krakow, Poland and additional technical support from a Capgemini centre in Mumbai, India.

Bruno Laquet, Chief Information Officer at Corus, said: ‘The quality and efficiency of our mainframe systems is of key importance to our customers and employees in ensuring that we manufacture and deliver the right products with the right quality at the right time. Capgemini will therefore have a vital role in helping our UK operations achieve our many ambitious objectives over the next five years, and I am confident that they will fulfill this role to the highest standards.’

By introducing new but proven techniques such as utility computing, virtualisation and adaptive storage, Capgemini aims to significantly reduce mainframe running costs while delivering enhanced service levels including system availability greater than 99.9 per cent on a 24x7x365 basis.

Dean Freeman, Director, IT Multisourcing Programme at Corus, said: ‘Capgemini was able to demonstrate a terrific track record in running mission-critical IT for major multinationals and key government departments. They have also done excellent work for Corus over the last ten years and gained deep understanding of our business and IT needs, and all these factors, together with their convincing and cost-effective proposals, made them our first choice in awarding these important contracts.’

Capgemini will also work closely with Corus to introduce technological innovation in the IT support provided to keep pace with changes in the Corus markets, organisational structures and products, to introduce continuous improvements and to ensure that IT support remains world-class throughout the period of the contract.

David Bee, Account Director for Corus at Capgemini UK plc, said: ‘We are proud of our many achievements at Corus during our long relationship with them, and we look forward to building on these achievements with  our close collaboration now set to continue for a further five years with the possibility of extension.’

About Capgemini 

Capgemini, one of the world’s foremost providers of consulting, technology and outsourcing services, enables its clients to transform and perform through technologies. Capgemini provides its clients with insights and capabilities that boost their freedom to achieve superior results through a unique way of working - the Collaborative Business Experience - and through a global delivery model called Rightshore®, which aims to offer the right resources in the right location at competitive cost. Present in 36 countries, Capgemini reported 2007 global revenues of EUR 8.7 billion and employs over 83,000 people worldwide.

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Press contact:

Tom Barton

Capgemini UK plc

Tel.:+44 (0)870 238 2491