Orkla ASA : Orkla strengthens its IT platform
Orkla has signed a five-year agreement with the US-headquartered consulting
and IT services company Cognizant on the operation of and support for Orkla's
The agreement was entered into with Orkla Shared Services (OSS), which is
currently responsible for the management of Orkla's IT systems and shared
services. OSS is a wholly owned subsidiary of Orkla.
Cognizant will thereby be taking over responsibility for IT infrastructure,
applications and support services, which are currently handled by OSS's
Service Operations department. This will strengthen Orkla's IT platform and
ensure more stable deliveries of IT systems and services to Orkla employees.
Moreover, the new agreement will give Orkla greater flexibility in choosing
new information technology.
The agreement will enter into force on 1 July 2013.
Cognizant is a leading global supplier of IT services. Headquartered in the
USA, the company operates worldwide and has a workforce of more than 160,000
"Orkla is increasingly dependent on business-critical IT systems. Through our
agreement with Cognizant, we will ensure that our IT solutions are provided in
a cost-effective, yet secure way. Orkla employees will experience improved
stability and accessibility in the systems and services that they use every
day. Having an agreement with such a professional service provider will also
ensure that we have the capacity to carry out major adjustments to meet future
needs," says Orkla President and CEO Åge Korsvold.
As a result of this agreement, a total of 65 OSS and former Rieber & Søn
employees will be transferred to Cognizant. Once the agreement becomes
effective, OSS will consist of 135 employees in the following departments:
oBusiness Solutions - provides consulting services related to IT and
oHuman Resources Services - provides payroll services.
oService Delivery Organisation - coordinates contact between customers and
The agreement with Cognizant will not entail dismissals. The agreement will
generate cost savings for Orkla of an estimated NOK 200 million over a
The transfer of infrastructure and services from today's OSS to Cognizant will
commence on 1 July and last for about four months. From about 1 September,
Orkla's employees will have access to a new Service Desk that will be staffed
24/7. Prior to that date, there will be no changes in the routines for
enquiries to OSS.
Oslo, 13 June 2013
EVP Corporate Communications and Corporate Affairs
Mobile +47928 45 828
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Source: Orkla ASA via Thomson Reuters ONE
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