Thursday 18 June 2009

Insourcing

(By Richard Holway 2.00pm 18th June 09) There is another very interesting article on outgoing TfL CIO Phil Pavitt in today’s Computing – IT shakeup is just the ticket for TfL. In his time as CIO, Pavitt has brought 15 outsourced contracts back in house. He’s also changed TFL’s thick-client PC policy to thin-client and reduced average cost per user from £3,800 to just £800. Supplier costs have fallen 41% and IT staff costs are down 20%.

If true (and why would it not be?), it really shows that the kind of efficiency savings projected in the Operational Efficiency Programme are really possible – albeit not from the outsourcing route that Martin Read advocated. Indeed Pavitt is infamous as an ‘insourcer’. Something that might bring some fear to the boardrooms at Capgemini, BT and Fujitsu as Pavitt takes up his new role as CIO at HMRC.

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