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IBM scores another massive outsourcing deal

And chocolate bars for life?

By Sonya Rabbitte

Published: 6 March 2002 16:50 GMT

IBM has won a $500m contract to overhaul Nestle's IT system, as the Swiss company works to centralise all its global data.

Nestle will standardize its IT centres around the world into just five main data centres as part of plans to cut $1.8bn in five years.

IBM will provide servers, storage and database software for the five centres, two of which will be based in Switzerland, the other three in Sydney, Frankfurt and Phoenix.

Nestle has traditionally had a regionalized approach to IT, with each country working of separate systems. However the company's profit margins are well below the industry average as it has had to duplicate systems in each country.

For related news, see:
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