Part of the food giant's £2.4bn 'Globe' SAP project…
By Andy McCue
Published: 27 June 2007 14:22 GMT
Food and drinks giant Nestle has signed a three-year extension to its $75m IT outsourcing contract with Indian company Satyam.
Nestle originally signed a three-year deal with Satyam in 2004 for SAP application support for the company's 'Globe' project - one of the world's largest global SAP rollouts.
The $2.4bn Globe project is aimed at standardising the way Nestle does business around the world by building a single SAP system for procurement, distribution and sales management across 500 factories in 85 countries.
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♦ Satyam's IT campus
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♦ Bangalore's Electronics City
♦ SAP and Wipro in Bangalore
Satyam's role was initially to provide custom development work around mySAP and the interface to Nestle's legacy applications.
As part of the Nestle deal Satyam provides a dedicated offshore software development centre in Bangalore and a disaster recovery facility in Hyderabad, with a team of 350 tech staff. That figure will rise to 500 over the next year on the back of this contract extension.
The exact value of the deal extension has not been disclosed but Satyam said it expects revenues from the overall deal - including the original contract in 2004 - to total around $75m.
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