How outsourcing can cut your IT costs by 30 per cent

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How outsourcing can cut your IT costs by 30 per cent
How outsourcing can cut your IT costs by 30 per cent

Date: 05.03.2018

Capita IT Enterprise Services, one of the outsourcer’s biggest divisions, would be a FTSE250 company in its own right. Clients include many local councils, defence, insurance, health, retail, education, energy and utility and other commercial businesses. Executive director Peter Hands tells Business Technology why outsourcing IT makes more sense than ever… Business Technology: Capita is one of the largest IT services providers in the UK. How many people know this? Peter Hands: A lot of people wouldn’t perhaps recognise Capita as being as big as it is in IT, because often we’re sitting behind another part of Capita delivering the IT to support BPO transformation projects. But in recent years we have secured many IT transformation contracts independently, growing our identity in the IT industry. This year, IT Enterprise Services will bring in about £1bn in revenue. BT: What do you say to clients who are thinking about outsourcing their IT? PH: The pace of technology change is not getting any slower. What has changed is that you need to be more agile and have less capital tied up in IT. Outsourcing IT is like outsourcing anything else: if it’s not your core business, then you’re probably not as good at it as somebody whose core business it is. IT is becoming ever more critical to running businesses today. In many cases, whether public or private sector, they often don’t have the scale or technical buying power to get “best in class” IT all the time. Business Technology: Capita is one of the largest IT services providers in the UK. How many people know this? Peter Hands: A lot of people wouldn’t perhaps recognise Capita as being as big as it is in IT, because often we’re sitting behind another part of Capita delivering the IT to support BPO transformation projects. But in recent years we have secured many IT transformation contracts independently, growing our identity in the IT industry. This year, IT Enterprise Services will bring in about £1bn in revenue. BT: What do you say to clients who are thinking about outsourcing their IT? PH: The pace of technology change is not getting any slower. What has changed is that you need to be more agile and have less capital tied up in IT. Outsourcing IT is like outsourcing anything else: if it’s not your core business, then you’re probably not as good at it as somebody whose core business it is. IT is becoming ever more critical to running businesses today. In many cases, whether public or private sector, they often don’t have the scale or technical buying power to get “best in class” IT all the time. https://www.telegraph.co.uk/sponsored/business/business-reporter/11432105/capita-outsourcing-cut-it-costs.html

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