E.On signs £2bn IT outsourcing deal with HP and T-Systems

E.On, the energy company has announced the signature of its first £2bn IT outsourcing deal with IT services providers HP and Deutsche Telekom's T-Systems.
 
The contract has a minimum term of five years and a maximum term of seven and stipulates that HP will be responsible for end-user computing including management of datacentres and datacentre processing services. E.On will no longer be using SAP systems for these services. Backup recovery and web servers will also be hosted by the company. It will also manage desktop printer services as well as office and workplace IT devices.
 
T-Systems will be in charge of the network and telecommunications services, including the unified communications system. IT systems and tasks related to security are however still managed by E.On.
 
Edgar Aschenbrenner chairman of the management board of E.On IT, declared that the firm had the willing to streamline their IT and make it more efficient in order to maintain the company’s leading role in the extremely dynamic energy market.
 
The initiative, which is part of E.On's Performance Enhancement Programme, will trigger some 1,400 internal IT jobs transfer to the partner companies, which were chosen partly because of their previous experience of integrating employees into their workforce. The transfers are due to take place in the second quarter 2011.

 The outsourcing deal follows the closure of the company's Rayleigh Customer Service Centre in January, which resulted in the loss of 600 jobs, and the announcement earlier this month that the company was planning to sell off its Central Network business in Coventry, which may lead to a further 200 redundancies.