DUBLIN, Ireland; Oct. 21, 2002 – Exel, the global leader in supply chain management , has awarded Accenture a five-year outsourcing contract to manage and operate its pan-European financial shared services centre.
The centre, which Exel established in 1998, supports 10 of Exel’s European freight markets and has helped improve the controls, visibility and flexibility of Exel’s European freight finance function through consolidation of the company’s European’s financial processes.
The outsourcing contract with Accenture represents the next phase of Exel’s shared services programme, through which the company, teaming with Accenture, will transform the financial processes of its European freight business to improve service, customer satisfaction and operational efficiency.
Under the agreement, which builds on the seven-year relationship between the two companies, Accenture will take over the day-to-day management of Exel’s essential — but non-strategic — finance functions such as accounts payable, freeing Exel to focus on its core business of supply chain solutions. These solutions encompass the complete supply chain, from design, consulting, freight-forwarding, warehousing and distribution services to integrated information management and e-commerce support.
Approximately 130 of Exel’s freight professionals will become Accenture employees and continue to support Exel’s European freight business.
“Exel operates in a very competitive market place and it is increasingly important for us to achieve excellence, efficiency and control in our administrative functions. This was the key driver for us establishing our shared services centre in 1998 and remains a key objective for the future. This agreement with Accenture is an exciting step forward in achieving our goals and developing financial processes that will support our growth in coming years,” said John Coghlan, Exel plc, group finance director summarising the reasons for this significant development.
“While executives have long realized that outsourcing basic business activities can enhance operational efficiency, only a select few are ready to use it as a tool to help increase customer satisfaction,” said Peter Franz, global managing partner of Accenture’s Transportation & Travel Services industry group. “Through this innovative approach to managing its financial operations, Exel is poised to solidify its position as an industry leader.”
The shared services centre, located in Dublin, will join Accenture’s global network of more than 40 delivery centres that provide economies of scale and more cost-effective solutions through the use of repeatable solutions, processes, methods and tools. Accenture’s finance and accounting business process outsourcing unit, Accenture Finance Solutions, comprises approximately 2,600 finance and accounting professionals who provide services to more than 20 clients globally.
Exel, a UK listed, FTSE 100 company, has turnover of over £4.5 billion (US$6.5 billion) and employs more than 60,000 people in 1,300 locations in over 120 countries worldwide. Exel’s customers include over two thirds of the world’s largest, quoted non-financial companies. More information is available at www.exel.com.
Accenture is the world’s leading management consulting and technology services organization. Through its network of businesses approach – in which the company enhances its consulting and outsourcing expertise through alliances, affiliated companies and other capabilities – Accenture delivers innovations that help clients across all industries quickly realize their visions. With more than 75,000 people in 47 countries, the company generated net revenues of $11.57 billion for the fiscal year ended August 31, 2002. Its home page is www.accenture.com.