Strategic CIO // Executive Insights & Innovation
Commentary
8/26/2009
04:43 PM
Bob Evans
Bob Evans
Commentary
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Infosys, Tata Sign Big Deals With BP; Advantage To Tata?

Oil and gas giant BP has picked both Infosys and Tata to develop and maintain applications across BP's sprawling global operations on six continents in more than 100 countries. While carefully worded press releases from each company featured prominent and mostly consistent comments from BP CIO Dana Deasy, the fine print suggests that Tata won the larger opportunity.

Oil and gas giant BP has picked both Infosys and Tata to develop and maintain applications across BP's sprawling global operations on six continents in more than 100 countries. While carefully worded press releases from each company featured prominent and mostly consistent comments from BP CIO Dana Deasy, the fine print suggests that Tata won the larger opportunity.Here's how the Infosys press release describes that company's deal with BP in the words of Deasy:

"I'm pleased to have selected Infosys as one of our strategic ADAM vendors. In awarding Infosys ADAM work for our Integrated Supply and Trading and Exploration and Production businesses, we look to leverage its capability and knowledge of the Oil and Gas sector. This agreement will enable BP to reduce complexity, standardize work processes, and lower our overall cost base."

And here's how the Tata press release describes its deal with BP, again in the words of CIO Deasy:

"I've been very pleased with the quality of TCS' proposal and to have selected them as one of our strategic ADAM vendors. In awarding TCS our refining, manufacturing and corporate IT maintenance work we look to benefit from their knowledge of the Oil and Gas sector. Additionally we see opportunities for TCS to help us deliver IT solutions to enable our upstream and trading businesses. This contract will help BP to reduce complexity, standardize processes and lower our overall cost base."

So: the Infosys deal covers Integrated Supply and Trading as well as Trading and Exploration, while Tata's deal covers refining, manufacturing and corporate IT. But on top of that set plan for Tata, BP also sees "opportunities for TCS to help us deliver IT solutions to enable our upstream and trading and businesses," Deasy says.

GM CIO Ralph Szygenda was always a major proponent of using some arbitrage in dealing with key outsourcers, and it appears that Deasy is following a similar approach with Infosys and Tata.

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