Accenture Strengthens Position as a Leading Provider of Outsourcing Solutions to BP and the Energy Industry
Houston and New York, May 22, 2001 – Accenture and BP announced today a $175 million expansion of BP’s U.S. downstream (refining and marketing) energy outsourcing agreement. BP has selected Accenture to design, build and run critical business systems that support the majority of BP’s U.S. downstream back-office business processes. This new aspect features a solution, based on SAP’s IS-Oil platform, which is designed to improve BP’s downstream business operations by harmonizing key processes and underlying technology. Under the nine-year agreement, Accenture’s Senergy Business Center will provide long-term system support starting in July, 2001. The Senergy Business Center, based in Houston, is the business operation hub for information technology and business process outsourcing services for several leading energy companies. The services include, among others, accounts payable, general accounting, treasury, financial analysis, and application management.
BP has added a number of unique business systems to its portfolio through its recent merger and acquisition efforts of Amoco, Burmah Castrol, and Arco. With this agreement, Accenture is charged with providing end-to-end service for the delivery and operation of an enterprise-wide application enabling improved back-office productivity and quality, while providing a uniform system platform to more rapidly enable future technology and process advances.
This deal builds on the two companies’ January 2000 and December 2000 announcements of $300 million outsourcing agreements to provide financial and administrative (F&A) services, the largest contract of its type ever signed in the downstream energy sector. “Accenture’s record of providing powerful outsourcing solutions made the decision to expand our relationship easy,” said Alan Eilles Downstream CFO, BP. “I have no doubt this will be an efficient and seamless process and will allow BP to focus on our core businesses. This agreement reinforces our commitment to put people, process and technology together with a service provider who will work with us to maximize value for our customers and shareholders.”
“The expansion of our outsourcing relationship with BP is a testament to the results we have achieved by working together,” said Mike Scimo, a partner with Accenture’s energy practice. “The synergies we can exploit through combined business process and technology improvements will accelerate our shared transformation agenda. Accenture is committed to outsourcing and other innovative solutions for the downstream energy industry. We see opportunities that transcend modest improvements in efficiency or cost. By combining Accenture’s outsourcing, venture capital management, and strategic alliances, we will offer solutions to help downstream companies innovate, grow, and achieve considerable competitive advantage.”
This agreement also reinforces the January 2001 commitment by SAP and Accenture to work together to deliver e-business solutions to the energy industry. The global alliance was created to produce solutions and provide related support services, resulting in reduced cycle times and reduced costs for web-enabled enterprise systems and processes.
BP and Accenture have worked together for more than a decade, developing solutions for the energy industry and delivering value through innovation, continuous improvement, economies of scope and scale. The agreement solidifies Accenture’s leadership position as a provider of technology and business process-based outsourcing solutions to the U.S. energy industry.
Accenture is the world’s leading provider of management and technology consulting services and solutions, with more than 70,000 people in 46 countries delivering a wide range of specialized capabilities and solutions to clients across all industries. Accenture operates globally with one common brand and business model designed to enable the company to serve its clients on a consistent basis around the world. Under its strategy, Accenture is building a network of businesses to meet the full range of any organization’s needs -- consulting, technology, outsourcing, alliances and venture capital. The company generated revenues of $9.75 billion for the fiscal year ended August 31, 2000 and $5.71 billion for the six months ended February 28, 2001. Its home page is http://www.accenture.com.
BP is an international energy company involved in the exploration of crude oil and natural gas; refining, marketing, supply and transportation of hydrocarbons; manufacturing and marketing of petrochemicals; solar power systems; and gas-fired power generation. Visit BP’s website at http://www.bp.com.