Software AG and Logica expand partnership to help clients counter the recession

18 June 2009

Software AG and Logica today announced that they are expanding their successful partnership focused on helping organisations improve their business performance and counter the recession. The partnership has already implemented over 100 successful projects in France and will be extended to cover all major European markets. The partnership helps organisations identify key business areas that can benefit from process automation and optimisation and counter the conflicting demands for cost-cutting, increased efficiency, regulatory compliance and accelerated M&A activity forced on organisations by the current economic downturn.

Software AG and Logica have seen increasing interest in business performance driven software, unabated by the global financial slowdown. All industries are facing competing management attention for issues such as market consolidation, regulatory compliance, cost management and opening new growth opportunities and markets. These competing pressures can only be effectively balanced and managed through software.

This is supported by a survey of over 500 IT managers in France in March of 2009 by Pierre Audoin Consultants, a global market research and strategic consulting firm for the software and IT services industry, examined the impact of the recession on IT. The results showed that although cost reduction is currently the primary IT concern, organisations also see further integration, flexibility and innovation as major issues.

Software AG’s Henning Bruestle, Vice-president Global Alliances, today called for all executive board members to become aware of the new business opportunities being opened by the latest developments in the software industry. “It is imperative that IT investment decisions receive full board attention in the current economic climate” said Bruestle. “Executive boards that that are not aware of the strategic value that IT can bring to the enterprise are in danger of losing out to faster, more agile competition.”

This is supported by a recent Software AG survey of banking and insurance companies show that IT is seen as a strategic resource by a majority of enterprises and increasingly at an Executive Board level. IT transparency, flexibility and modernisation are seen as important goals and over 60% are implementing business process management projects as a result. The alternative course to providing that flexibility is unacceptable - replacing existing systems, and thereby the embedded intellectual capital - had just a 7% response rate.

“We now see increased levels of demand from other major European markets”, said George Abou Harb, Enterprise Architecture & SOA Global Practice leader of Logica. “Customers need to take advantage of these technologies quickly and that is where we can help. We have built a team that can identify the optimal business performance enhancing project for an organisation and make it become real immediately. Moving fast in a recession is the difference between success and failure”.

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