ING selects LogicaCMG as outsourcing partner
Bangalore, Apr 26 (UNI) LogicaCMG and ING today announce the signing of a Memorandum of Understanding (MoU) for outsourcing activities in the field of application development, application maintenance and testing of IT systems, mainly relating to ING's banking operations.
The agreement was expected to have a value of over 200 million Euro based on a six-year period. Approximately 350 ING employees based in the Netherlands would join LogicaCMG. The final contract with ING was expected to be signed this summer, the company said in a release here.
Outsourcing of these activities was part of the efficiency programme of ING's Operations and IT organisation. This agreement was the first in a series of several planned outsourcing programmes ING Operations and IT announced in 2005. The works council of ING as well as the labour unions had been informed. The transaction was pending advice from the works councils and negotiations with the labour unions about employment conditions.
LogicaCMG Chief Executive Paul Schuyt, in the release, said the contract would significantly strengthen the company's position in the financial services market, besides helping further develop outsourcing capabilities.
In India, LogicaCMG had located its Global Services Delivery Centre in Bangalore. It also had offices in Mumbai and New Delhi.
The headcount was likely to grow organically to around 3000 from the current 2000 by this year-end to support its business plans in financial services and telecom sectors in India, besides its Global Services Delivery centre's activities.
With a current staff strength of over 2000, GSDC Bangalore was the fastest-growing operation of LogicaCMG worldwide and would soon be one of the largest operations by headcount across the LogicaCMG group. The GSDC in India provided applications management, offshore and onshore application development, software product engineering, infrastructure management, business process outsourcing, shared service centre operations, managed testing services and 24x7 helpdesk services.
UNI VK RG TS1622