Page 3: Economic factors
Economic factors change rapidly and are sometimes difficult to predict. The global economic recession has affected how most firms conduct business, perhaps by looking for cost-savings or reducing waste. As businesses focus on areas where efficiencies can be made, some might choose to outsource functions to reduce costs, rather than employing people with specialist skills. This has created increased demand for outsourced services such as those Logica offers. Logica’s employees have the specialist IT skills required to offer businesses of all types efficient and effective ways to manage systems and processes.
Logica was selected by BAE Systems, the global defence and security company, to provide a Human Resources outsourcing service for its employees within the UK. Logica works with BAE to increase the effectiveness of its systems and to enhance the efficiency of its operations. This improves how BAE engages with its employees to maximise their potential. This also helps BAE to reduce its costs and focus on growth.
The recession in the UK has also heightened the need for the government to cut spending. One example of this is the government’s commitment to achieving savings through the better use of its technologies. As a result Logica has been awarded a 10-year outsourcing contract with the Serious Organised Crime Agency. During this contract Logica will manage the Agency’s information and communication technologies and related services. This creates efficiencies by bringing together data centres and networks, whilst helping the agency to exploit intelligence and case management more effectively through an integrated system.
Similarly, Logica’s services have helped Transport Scotland to put together the largest ticketing scheme in the world. This has involved the installation of new electronic ticket machines on 7,000 buses and 200 bus operator sites. The system processes over 12 million journeys every month and delivers cost-savings in terms of employee time.