PARIS and STOCKHOLM, February 2, 2010 – Having collaborated together since summer 2009, Capgemini and IBX decided to join forces in order to drive development of a new global procurement service offering and further expand the addressable market for IBX’s best-in-class technology. The deal adds IBX’s strength in software-as-a-service purchasing technology to Capgemini’s global sourcing, business process outsourcing (BPO) and transformation expertise.
According to AMR Research1, outsourcing of supply management processes has grown in recent years: “The market grew 30 percent in one year, driven by procurement and strategic sourcing services being offshored to India in record numbers.” With a solid track record on the BPO procurement area, Capgemini is ready to tackle this new growth opportunity and will make use of its Rightshore® delivery network including strong offshore operations in India, China, Brazil and Poland.
IBX, a recognised pioneer in the field of e-purchasing, is headquartered in Stockholm, with 240 employees located across Europe and in the US. The company is a strong cash-generating company with 30 million Euros of revenues and an EBITDA2 margin of 16 percent. IBX operates 2 million purchase orders per year - a purchasing volume of 12 billion Euros - for more than 200,000 end users. Its clients include some of the largest and most recognized corporations in the world including Ericsson, Kraft Foods, IKEA, Deutsche Post DHL, LEGO System , Skanska and Deutsche Lufthansa.
“Joining forces with Capgemini strengthens our global capabilities, paving the way for the next generation of a Procurement-as-a-Service provider. Collaboration with Capgemini started in late summer and has been very positive. Capgemini’s competence within outsourcing and procurement and global reach is very impressive. When combined with IBX’s software-as-a-service purchasing technology platform, global supplier network and sourcing and procurement expertise, we will be able to provide even better solutions for our customers”, said Leif Bohlin, CEO of IBX Group and newly appointed head of the new, combined procurement BPO service entity.
“Procurement platforms can provide immediate gains for companies looking to outsource processes. In addition, we enable clients to manage their sourcing strategy on a global basis, helping them manage their business better,” said Hubert Giraud, global leader of Capgemini BPO. “Now that our unique offering provides the end-to-end capabilities from transformation consulting to global sourcing, organizations need only seek a single partner for procurement outsourcing. Not only does the fully integrated approach achieve significant savings faster, the required investment to recognize and achieve the saving is also less.”
The new end-to-end BPO procurement solution will include a full suite of products & services, including business process outsourcing, the software-as-a-service procurement platform, and an established global supplier network with more than 20,000 suppliers.
The transaction should be finalized by the end of February, subject to the approval of the relevant anti-trust authorities.
For more information about Capgemini’s business process management capabilities, please visit /services/outsou rcing/bpo/.
For more information about IBX on-demand procurement solutions please visit: http://www.ibx.se/purchasingexpertise.as px.
Capgemini, one of the world’s foremost providers of consulting, technology and outsourcing services, enables its clients to transform and perform through technologies. Capgemini provides its clients with insights and capabilities that boost their freedom to achieve superior results through a unique way of working, the Collaborative Business ExperienceTM. The Group relies on its global delivery model called Rightshore®, which aims to get the right balance of the best talent from multiple locations, working as one team to create and deliver the optimum solution for clients. Present in more than 30 countries, Capgemini reported 2008 global revenues of EUR 8.7 billion and employs 90,000 people worldwide.
More information is available at www.capgemini.com.
Capgemini’s expertise is recognized in Business Process Outsourcing (BPO) with a solution portfolio that spans Finance & Accounting, Customer Care & Intelligence, Procurement, Assurance Management, Human Resources and Knowledge Process Outsourcing services. As part of Capgemini’s Rightshore® delivery network, BPO professionals provide services to clients worldwide 24 hours a day, seven days a week, in over 35 languages, from centers located in Australia, Brazil, Canada, Chile, China, Guatemala, India, Poland, and the United States.
As a pioneer in the field of e-purchasing, IBX delivers measurable impact to client’s bottom lines through its comprehensive Efficient Purchasing framework. IBX serves blue chip corporations globally through proven purchasing experience, with a high value supplier network and best of breed e-sourcing and e-procurement technology. The company enables its customers to generate sustainable cost savings through better spend visibility, increased spend under management and contract compliance. IBX offices are located in Stockholm (HQ), Antwerp, Chicago, Copenhagen, Frankfurt, Helsinki, Milan, Oxford, Oslo and Paris. For more information visit: www.ibxgroup.com or http://www.ibx.se/ibx-overview.aspx.
Images of signing: http://www.ibxgroup.com/capgemini-acquir es-ibx.aspx
Rightshore® is a trademark belonging to Capgemini.
1 AMR Research (acquired by Gartner, Inc.): “The 2009 Supply Management BPO Landscape: Short-Term Body-Shopping Trumps Business Transformation,” Phil Fersht & Mickey North Rizza, June 2009
2 EBITDA: Earnings before Interest, Taxes, Depreciation, and Amortization