Maybank signs IT Outsourcing Agreement with CSC Group
28 August 2003
Maybank today signed an IT infrastructure outsourcing agreement with CSC Computer Sciences Sdn Bhd and CSC Computer Services Pte Limited (CSC Group) to leverage on the expertise and services of a global IT service provider that will enhance benefits and value to Maybank Group and its customers.
The IT Outsourcing Agreement was signed at Menara Maybank with Datuk Amirsham A Aziz, President and CEO and Ms Hooi Lai Hoong, Deputy President representing Maybank while CSC Group was represented by Mr Michael William Brinsford, President, CSC Asia Group and Mr Andrew Stewart Groth, Vice President, CSC Asia Group.
Speaking at the signing ceremony, Datuk Amirsham said that the IT outsourcing initiative will contribute to reduced costs through processes and scale; reduce the risk of managing complex IT environment; achieve world class IT services comparable with the best financial institutions and expand the career opportunities for the IT staff.
"This IT outsourcing agreement with CSC Group is for a 10-year period that involves outsourcing Maybank Group IT infrastructure services in Malaysia and Singapore. The IT outsourcing contract is estimated at RM1.3 billion over this 10-year period and during this period CSC Group and its affiliates, CSAM & CSA will manage the IT infrastructure services in key functional areas being enterprise operations centre services, network infrastructure services, distributed computing services involving hardware maintenance and the provision of IT Help Desk Services for both Malaysia and Singapore," said Datuk Amirsham.
"CSC Group will provide us with services that are in compliance with our requirements to support and maintain our IT infrastructure services. This IT outsourcing initiative therefore is a strategic initiative to secure quality IT infrastructure services from experts in the business to allow us to focus more of our energy and resources into our core business and competencies which is offering enhanced financial products and services to our customers," added Datuk Amirsham.
Datuk Amirsham also said that Maybank undertook extensive consultation as well as imposed stringent criteria in the selection process of a strategic partner for its IT outsourcing initiative.
"Our IT outsourcing relationship with CSC Group, one of the world's leading IT services provider, will enable Maybank to access industry standard IT resources as well as best practices and methodology in IT infrastructure services to support our core business activities. We believe that Maybank as a group will greatly benefit from this relationship to enable us to focus on better and more innovative customer services," said Datuk Amirsham.
"Maybank has also imposed stringent service level agreements with the IT partner in compliance with both Maybank's as well as regulatory requirements. Maybank will continue to retain the application development function as well as IT strategy and architecture and IT security policy. Security and confidentially are maintained because CSC Group and its affiliates' staff are bound by confidentially agreement and compliance to the Banking and Financial Institutions Act (BAFIA).
On the staff affected by the IT outsourcing initiative, Datuk Amirsham said that the staff will be offered comparable remuneration packages as well as opportunities for career development in the new organisation.
"Maybank as a committed and responsible organisation has ensured that the 290 IT staff from Malaysia and another 30 staff from Singapore will be offered full-time employment in CSC Group and its affiliates. Affected staff will receive offers that are comparable to the terms and conditions they enjoyed in Maybank. In their new employment, they will also be offered attractive career development as well as give them greater opportunities to work with one of the leading global IT services," said Datuk Amirsham.
"We are delighted with Maybank's selection of CSC," said CSC Chairman and Chief Executive Officer Van B. Honeycutt. "This agreement will showcase CSC's ability to leverage our global strengths and experience, along with the delivery capabilities of our local affiliates, to provide business and operational results for clients."
"We also welcome Maybank employees who will join us and add dynamism as well as increase the pool of expertise in CSC and its affiliates. We look forward to their contributions and assure them that our organisation offers many opportunities to develop their IT professional skills as well as career advancement in our organisation," said Chuah Tai Eu, Managing Director of CSAM.
According to Chuah Tai Eu, the outsourcing contract represents a significant win for CSC in Asia. "This award aligns with CSC's strategy to make Malaysia one of its global IT hubs in the Asia Pacific region," he said. "We will deploy our most experienced team to deliver the best of CSC's capabilities, infusing our global experience, local delivery capabilities and financial services solutions in alignment with Maybank's business and technology goals."