New strategies for Growth: Bouncing Back with a New Strategy

The early 1990s proved to be a turbulent time for the Group. Huge changes rocked the technology world, as well as the broader economy. New competitors were entering the market and the pace of globalization was accelerating. Cap Gemini Sogeti needed a new strategy to address this evolving market.

A new direction

In 1990, the Executive Committee and the 550 top executives of Cap Gemini Sogeti decided that leadership would form the core of the company’s future strategy. This strategy was put into action through the acquisition of SCS in Germany, and Hoskyns in the UK, the European leader in outsourcing. The company also boosted its management consulting services by acquiring US-based United Research Corporation and The Mac Group.

Crisis and transformation

At the end of 1991, as a result of economic factors including the first Gulf War, Cap Gemini Sogeti reported its first drop in revenues (10% compared to the previous year). This downturn signalled the need for a large-scale corporate transformation.

Launched at the Group’s 18th Rencontres in June 1992, Genesis, the group’s first transformation plan, lasted 24 months, involving difficult choices and a complete corporate restructuring. The end result was a new organization, composed of 7 Strategic Business Areas that combined countries and sector specializations. A new approach was also introduced that focused on teamwork and developing long-term relationships with clients.

Values and people

During this period, the company reaffirmed its commitment to its 7 core values: honesty, boldness, trust, freedom, team spirit, modesty and fun. To support and transmit these values, the Group decided to open a training center near Paris. The Capgemini Group University was founded in 1991 and hosted more than 10,000 managers and employees between 1992 and 1994.

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