Woolworths outsources service management

Woolworths has inked a five-year IT contract with IBM Global Services to supply Total Service Management (TSM).

The deal covers service management and maintenance of 130,000 hardware components such as printers, cash registers, servers, radio frequency devices and finger-scan time and attendance devices.

IBM integrated technology services general manager Terry Moloney said Woolworths was seeking greater flexibility to respond to changing market conditions.

"The contract will provide Woolworths' 1400 stores with on-demand IT infrastructure management and support," Moloney said.

"The five-year agreement will help Woolworths to reduce costs, increase efficiencies and enhance organisational responsiveness."

Under the terms of the agreement IBM will provide a single point of contact for service management of existing IT infrastructure across Woolworths Supermarkets including Safeway, Food for Less, BWS Liquor, First Estate Liquor, Plus Petrol and Dan Murphy.

The vendor will manage the delivery of the infrastructure management service and will facilitate a tender process to sub-contract aspects of services management to other vendors.

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