C & W bags £100m contract from tesco

NEW DELHI, INDIA: Cable & Wireless has signed a five-year £100 million partnership contract with Tesco to create a new next generation telecommunications network for the retail group’s UK and international operations.

Cable&Wireless will become the exclusive supplier of data, fixed and mobile voice telecommunications to Tesco in the UK, streamlining the group’s existing systems into a single, efficient IP network, based on next generation platforms. This network will have 40 times the capacity of Tesco’s current network and will be built on Cable&Wireless’ Multi Service Platform (MSP).

Cable&Wireless was awarded the contract following a 14 party tender process, offering what Tesco   described as the “most innovative solution”, which addressed all of today’s business issues and provides a roadmap to make technology a genuine enabler within Tesco.

The network will bring together all of Tesco’s existing UK communication infrastructure, connecting more than 1800 Tesco sites including stores, regional offices and distribution centres. Internationally, the network will directly connect Tesco’s operations in 14 separate countries including China, India, Japan, the USA, Republic of Ireland and Turkey connecting over 400,000 people.

Cable&Wireless will implement a VoIP (Voice over Internet Protocol) platform on the network, which will significantly reduce Tesco’s voice and data call costs, as well as enabling the introduction of a Fixed Mobile Convergence (FMC) solution for Tesco employees.

FMC, a service offered exclusively by Cable&Wireless in the UK, will enable Tesco staff to use their existing mobile phone for all calls – operating as a fixed line phone in the office, and roaming on to a mobile network when outside. The service will better equip Tesco’s ‘mobile’ employees, such as logistics staff, as well as significantly reducing its call and equipment costs.

The MSP-powered network will also allow Tesco’s management to consider a range of innovative communication tools to improve operations and add to the customer experience:

In-store information kiosks – an interactive information ‘desktop’ within the store, able to direct customers to items, market in-store offers and provide other information.

‘Telepresence’ tele-conferencing – high-definition video conferencing technology, provided by Cisco Systems. The MSP will enable Tesco to lower the cost of video-conferencing, and activate additional features such as shared documents and interactive whiteboard facilities. Increasing video conference usage will lower Tesco’s executive travel costs, drive productivity and help the group to meet its carbon emission reduction targets.

Staff communication and development tools – staff information and management presentations can be broadcast to stores and distribution centres, in the UK and internationally, to keep colleagues informed. International offices will also be able to access centralised management systems over the network. 

Commenting, Jim Marsh, Chief Executive Officer, Cable&Wireless Europe, Asia & US, said:

“This is a landmark customer win for Cable&Wireless. We’re very happy to be working with the UK’s largest supermarket group and a world leader in Tesco. We designed and developed our next generation network to deliver the most innovative, but reliable services to enterprise customers like this. Tesco will have a network that enhances its ability to do what it does best: sell to customers.”

Nick Folkes, Tesco’s IT Director, UK Infrastructure and Operations, said: “Of 14 central bidders, Cable&Wireless was the only company that really listened to us, understood our needs, and sought to provide network solutions that fully met them. Innovation was at the core of the service. This next generation network opens up a new set of opportunities for us. We can be much more creative in terms of the services we can offer our customers, as well as our staff.”