Conversations from the Mirror42 Team

Information Hub for Shell, T-Systems, EDS, AT&T?

by Karel van der Poel on Apr 3rd, 2008

03/31/08

Royal Dutch Shell will spend nearly $4 billion during the next five years on outsourcing contracts with AT&T, T-Systems and EDS. The petroleum giant awarded $1.6 billion to AT&T, $1 billion to T-Systems and $1 billion to EDS.

An amazing outsourcing deal. Surprisingly enough, Shell has gone with a multi-vendor outsourcing strategy rather then naming one of the MSP to take the lead and manage the others on behalf of Shell.

Now it is up to Shell to implement a framework that allows them to keep a tight contol on the entire supply chain. After all, the service is a sum of its components: The SAP environment managed by T-Systems -> over the network managed by AT&T -> to the desktops managed by EDS. My advise to Shell:

  • A common set of KPI definitions and control framework for the IT supply chain
  • A role and web-based information hub where all suppliers will participate
  • Agreement on what KPI information the suppliers will share, how they will share and how often they will share.
  • An audit trail on the reliability of this information

Such an information hub should allow Shell to monitor the costs & quality of services, and drive improvements across the entire IT supply chain. The result: there is an incentive for all vendors not only to focus on their own component, but also on the entire value chain.

If anyone at Shell is reading this and thinks this make sense…. We are Dutch & Direct too and we believe we can be of help in implementing a control framework for your outsourcing contracts.