NEW DELHI, INDIA: ACS strengthened its IT Outsourcing (ITO) presence globally by providing infrastructure services like network services, storage, desk operations, midrange, security, mainframe and desktop support.
Employing around 70,000 people all over the world, this company earned the revenue of $6.4 billion in 2008 wherein ITO represents approximately 25 per cent of ACS' revenue. The company provides BPO and ITO operations in more than 100 countries. ACS also sees significant opportunity in Europe. In 2008, ACS expanded its ITO business into Europe, acquiring companies in the U.K. and in Germany to enhance its global capabilities.
Having seen no impact of global slowdown, its president and CEO Lynn Blodgett says, “ACS has a recession Top 10 Service Providers: IT Infrastructure 1. Affiliated Computer Services (ACS) 2. HCL Technologies 3. Wipro Technologies 4. Tata Consultancy Services (TCS) 5. Unisys 6. Infosys Technologies 7. Patni Computer Systems 8. CGI Group 9. Mphasis 10. Microland Source: Global Services and neoIT, 2009 Global Services 100 Study resistant model that performed well again this year. We delivered strong performance in revenue, earnings, cash flow and bookings. We are proactively managing the business to take advantage of opportunities in this market and undertaking several initiatives to increase resiliency of our business.”
New business signings for the fiscal year-to-date period were an estimated $1.6 billion of total contract value, which was 20 per cent increase over the prior comparable period. From a service line perspective, BPO generated 86 per cent of new business signings and ITO generated 14 per cent.
The company’s new business signings for the fiscal year-to-date period were $405 million of annual recurring revenue. The Commercial segment accounted for 60 per cent of revenues and grew 8 per cent, of which 4 per cent was internal. The Government segment accounted for 40 per cent of revenues and grew 7 per cent, excluding divestitures, of which 4 per cent was internal.
Citing Ingersoll Rand’s 10-year renewal deal as unusual, ACS is confident about its remote infrastructure management services and hopes to get more contracts in near future.
Other recent renewals were Ingram Micro and The Queen’s Health System.
Believing that there is clearly an opportunity in the current economy to reduce costs in outsourcing space, the company offers multiple innovative solutions to help clients reduce IT budgets, such as virtualizing clients’ server environments or consolidating their data centers into pooled environments.
The company recognizes that incremental RIM or just moving workloads to low-cost labor locations has reached the point of diminishing returns and minimal differentiation. For many years ACS has been investing in automation and the reduction or elimination of human interaction within the RIM environment.
“In addition to speeding resolution, an automated RIM environment identifies the types of incidents that occur so that they can be addressed proactively by eliminating the incident altogether,” says ACS Technology Innovation for the IT Outsourcing Business Vice President Nagesh Kunamneni.
“Using quality assurance tools, like a Pareto chart our engineers easily see the most common incidents for a client and research the root cause. For example, if a particular client is continually experiencing backup issues, the problem may be inadequate C drive space — something that could be remedied by a server reconfiguration. Instead of spending time writing tickets, skilled personnel now can focus efforts on continued automation and remedying points of pain,” he added. ©Global Services
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