MCN Direct Newswire

Vol. 6 No. 23, 10 December 2007

This issue is sponsored by:

TeleWare, Hamilton Scott and The UK Consulting Industry Report 2006/7

This issue news

1. Deloitte named as advisor to London Olympics
2. Mike Jordan steps down from EDS
3. Accenture builds consulting presence in India
4. BT acquires IT services skills in Asia-Pacific
5. Sector focus pays off for Civica
6. Further information - feedback/pass on to a colleague/remove from mailing list

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1. DELOITTE NAMED AS ADVISOR TO LONDON OLYMPICS

Deloitte has been selected as professional services supporter for the London 2012 Olympic Games by the London Organising Committee for the Olympic and Paralympic Games (Locog).

The consultancy is the first 'second-tier' sponsor to be signed by London 2012 and will be the exclusive provider of professional services to Locog, offering management consulting and human capital, tax and financial support. Deloitte can activate its relationship and use the London 2012 trademarks and rights to Team GB and Paralympics GB from January 2009.

Deloitte chief executive John Connolly said: "This is a fabulous opportunity for everyone in our firm and a great platform for the Deloitte brand."

Paul Deighton, chief executive of Locog, added: "This is an exciting and innovative deal, with Deloitte supporting us not only with cash, which is essential as we raise the £2 billion of private finance we need to host and stage the Games in 2012, but also providing us with expert people. We will grow very quickly, to an organisation of 2,500 people at Games time. Having high-calibre secondees from Deloitte with a flexible range of skills across different operational areas will help us in our goal of building a world-class organisation to stage a truly memorable Games."

London 2012 has three tier-one partners: Lloyds TSB, the official banking and insurance partner; EDF Energy, the utility services partner; and Adidas as sportswear provider.

Worldwide Olympic partners signed up for 2012 include Atos Origin with its long-running contract to act as IT partner for the Games.

2. MIKE JORDAN STEPS DOWN FROM EDS

Mike Jordan, the chief executive of EDS who turned the company around after a financial collapse in 2002, will retire as chairman of the board at the end of this year and become chairman emeritus, offering strategic advice to the company's leadership team.

He will be replaced as chairman by Ron Rittenmeyer, who will also retain the titles of president and CEO.

Jordan, now 71, said: "This is the right time for me to relinquish my responsibilities as chairman. It's been a privilege leading EDS through its transformation and working side-by-side with some of the best people in the industry. I'm proud of what we have accomplished."

Jordan became CEO in March 2003, replacing Richard Brown. Ellen Hancock, presiding director of the board, commented: "Under Mike Jordan's leadership, EDS has set a firm foundation for sustainable, profitable growth and a return to market leadership."

Ron Rittenmeyer joined EDS in 2005 as executive vice president of service delivery and was later promoted to chief operating officer. In December 2006 he was appointed president and chief operating officer, and on 1 September this year he became president and CEO.

He takes the additional role of chairman as EDS celebrates a $52 million (£26 million), five-year outsourcing agreement with Polish telco Telekomunikacja Polska, the largest technology infrastructure outsourcing contract ever signed in Poland.

• Harry You, CEO of BearingPoint since March 2005, is leaving the company to pursue 'other opportunities', having improved BearingPoint's financial management and addressed issues of late financial statements. He will be replaced by Ed Harbach, who has been BearingPoint's president and chief operating officer since January.

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3. ACCENTURE BUILDS CONSULTING PRESENCE IN INDIA

Accenture has opened a management consulting centre of excellence in Gurgaon, Delhi, complementing its Indian capabilities in technology and outsourcing, and building its base of consultants in the country.

Gurgaon is the first of four Accenture management consulting centres planned for India with the others due to be set up in Bangalore, Mumbai and Chennai to service both Indian domestic and global clients.

Accenture will staff the centres with engineers, economists, analysts and statisticians, as well as experts in industries such as banking, utilities and travel. Business disciplines include shared services and risk management.

Harsh Manglik, Accenture's country managing director for India, said: "We established ourselves as the first global consulting firm in India in 1987 and we believe the opportunities for continued growth are endless. The new management consulting centres will enhance our consulting capabilities here to complement those we have in technology and outsourcing."

Accenture is also keen to fish in India's talent pool for consultants. Mark Foster, group chief executive for management consulting and integrated markets, explained: "We are focused on innovative talent management and recruitment in India, and we are on track to meet our goal of having as many as 2,000 consultants in our centres across India by the end of our fiscal year next August."

4. BT ACQUIRES IT SERVICES SKILLS IN ASIA-PACIFIC

BT has agreed to buy Singapore-based and listed IT services firm Frontline Technologies for S$202 million (£69 million). The acquisition will add 5,000 staff to BT's IT services capabilities in Asia-Pacific as well as new customers.

Frontline was founded in 1993 and offers IT consulting, infrastructure services, systems integration and IT outsourcing to local, regional and multinational customers. It has operations across Asia-Pacific and plays in the financial services, transportation, manufacturing, telecoms, education, healthcare and public sector markets.

François Barrault, CEO of BT Global Services, said: "Frontline will bring BT major new contracts in Asia and BT will be in a position to offer Frontline customers the full suite of BT products and services. We believe our combined reach and skills will create an unbeatable team in Asia-Pacific."

Frontline's three executive directors, including founder Steve Ting, will continue to lead the business once the deal is closed.

Sponsor

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As a consultant, you need to understand which sectors represent the best consultancy opportunities, which service lines are growing, how operational metrics are changing and the outlook for your industry in 2007 and beyond - this report will provide all of this information and more.

To find out more about the report, published jointly by the MCA and PMP, please visit http://www.pmp.co.uk/mcareport.asp or email reports@pmp.co.uk or telephone 01494 732830.

The Consulting Industry Report 2006/7 is sponsored by Maconomy.

5. SECTOR FOCUS PAYS OFF FOR CIVICA

UK services and software provider Civica is building profitable business through a sector-driven approach focused on local government, criminal justice, social housing, education, healthcare and defence.

Reporting its financial results for the year ended 30 September, Civica showed a 16% gain in operating profit to £21.6 million, on turnover rising 1% to £126.9 million.

Turnover relating to the company's owned software products grew 25% to £92.3 million. Some £32.3 million of this was generated by consulting services, which climbed 23% in the year.

Chief executive Simon Downing commented: "This has been another year of good progress for Civica both in the UK and internationally, supported by strong profits growth and cash generation. Given the sustained agenda for change in the public sector and the investments we are making across our core markets, the outlook for the business remains positive."

Highlights of the year included 80 new contract wins, an extension of international operations with new deals in Singapore, Malaysia and Brunei, and the establishment of a service transformation unit in local government to target service delivery projects. Civica closed its fiscal year with an order book up 6% at £96.5 million.

* This is the last issue of MCN Direct before Christmas. We would like to take this opportunity to wish all our readers and advertisers a very happy Christmas and prosperous New Year.

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Written by Sarah Underwood. Copyright 2010 PMP (UK) Ltd.

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