if they think outsourcing will save them money then either they are deluded or doing it really wrong.
they will definitely end up paying more in the end.
Beleaguered Canadian train and plane giant Bombardier has signed a six-year $700m contract with IBM to outsource tech management and, er, cut costs – something Big Blue has expended considerable effort doing itself. The aerospace and transportation business last year confirmed it was axing more than 14,000 staff worldwide, …
"The tech deal includes IBM Services and IBM Cloud management"
'Cloud management services', the same project management applications re-gigged to run on a remote virtual machine .. in the 'cloud' 'cloud' 'cloud' ..
'"As part of our turnaround plan, Bombardier is working to improve productivity, reduce costs and grow earnings," said CIO Sean Terrain. The company said it expected "recurring cost savings" but didn't qualify them.'
We're going to fire 14,000 staff, the reduction in payroll will artificially and temporarily boost revenue. Using this as evidence of innovative management, we then take the salaries and pay ourselves a big bonus. By the time the accounts stagnate we're be long gone.
IBM India or Cairo, assuming that Bombardier doesn't specifically buy USA based support. There aren't many contractors left, since IBM is more focused on keeping the hand full of IBMer/Staffers who are left, busy... The Bombardier execs with the pay increase could care less who answers the phone, whether they speak fluent English, or actually have the skills to do the job...
To be precise: Quebec played along with a bit of industrial policy and funded them. Not Canadians at large.
Nice to know about the exec bonuses though. What a bunch of tossers. Ever increasing greed by execs is a pox in the face of workers, shareholders and in this case taxpayers.