tech

Eisai signs global IT outsourcing contract with Accenture

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Accenture has signed a contract to provide information technology (IT) system maintenance and operations, as well as monitoring and operations of servers and networks for Eisai Co Ltd in the U.S. and Japan.

Under this contract, Accenture will deliver services including operations, maintenance and monitoring of Eisai’s applications and infrastructures (excluding a portion of research and development) in the U.S., and a part of Eisai’s enterprise resource planning systems including accounting, production management and related systems, as well as its IT infrastructure, such as servers and networks in Japan. This contract runs for seven years in the U.S. from April 2015 until March 2022, and for nine years in Japan from April 2015 until March 2024.

The global pharmaceutical industry is undergoing significant standardization in areas of new drug development, medical practices, and regulations for new drug review and approval. This contract will enable Eisai to strengthen its global competitiveness by further reducing global IT costs and enhance its global IT solution delivery framework. This, in turn, will enable Eisai to build a global IT governance structure that is more efficient and effective.

“During Eisai’s recent growth, Accenture has been supporting Eisai in many initiatives, and it is our pleasure to have this opportunity to play an important role in this key project that is designed to ensure even greater growth for Eisai in the future,” said Atsushi Egawa, senior managing director, Products, at Accenture in Japan. “We will use our experience accumulated in the pharmaceutical industry, our IT operational processes that are standardized globally, and our deep expertise in continuous business improvements to support Eisai’s successful business.”

© Business Wire

©2024 GPlusMedia Inc.

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I've known several companies that have bought into the outsourcing model Accenture and IBM tout. Short term it looks good on the balance sheet, but towards the end of the contract costs become bloated and velocity slows to a snails pace. Many companies go back to in-house IT at the end of their contracts. Some cut out the middle man and bid directly to the Indian firms (Disney rather famously did that with a multi-billion IBM contract).

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Accenture, where everything is outsourced.

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