EDS Realigns Business Units With Focus On Business-Process Outsourcing

EDS

The plans include moves to combine elements of EDS' Information Solutions, E Solutions and Business Process Management lines of business into two new organizations: Operations Solutions and Solutions Consulting, effective April 15, the company said.

The new business lines are accompanied by the promotion of three EDS executives. Doug Frederick, president of Information Solutions, has been named executive vice president and sector executive for Operations Solutions. Paulett Eberhart, president of Information Solutions U.S., has been named president of Solutions Consulting. In addition, Paul Chiapparone, executive vice president of operations, has been named vice chairman of EDS.

Meanwhile, EDS also said E Solutions President John McCain "announced his intention to leave the company and pursue other interests."

Operations Solutions will integrate the company's traditional IT outsourcing operations, centralized and distributed systems and communications management with its business-process outsourcing capability. Solutions Consulting will combine EDS' fastest growing E Solutions consulting capability with its applications services business, according to information released by the company.

Company executives were not immediately available for comment. EDS CEO Dick Brown said the moves are aimed at simplifying the company's face to the market.

A.T. Kearney, EDS' business consultancy, will remain a separate line of business, Brown said in a statement. The new Solutions Consulting unit is expected to provide a strengthened delivery partner for A.T. Kearney and EDS' Product Lifecycle Management business unit. Solutions Consulting will encompass 40,000 professionals and is expected to have revenue in excess of $7 billion, the company said.

EDS said the $190 billion business-process outsourcing market, encompassing human resources, finance and accounting, CRM and procurement, is one of the economy's fastest growing segments.