Company Analysis.

Introduction:

Capgemini  is  a French global IT services company, one of the world's largest management consulting, outsourcing and professional services companies 

·         global leader in consulting, technology, outsourcing, and local professional services

·         operating in 40 countries

·         Services are delivered through four disciplines; Consulting, Technology, Outsourcing and Local  Professional Services. 

·         Around 120,000 people in North America, Europe, South America and the Asia-Pacific region.

History:

·         In 1973 Sogeti acquired a majority stake in its major European IT services competitor, CAP.

·         In 1974 Sogeti acquired Gemini Computers Systems, a US company based in New York.

·         In 1975, following the two major acquisitions of CAP and Gemini Computer Systems, Sogeti renamed itself as CAP Gemini Sogeti.

·         In 1986, Cap Gemini Sogeti acquired the consulting division of US-based CGA Computer to create Cap Gemini America.

·         In 1991, Gemini Consulting was formed through the integration of two management consulting firms (United Research and The MAC group).

·         In 1995, the Center for Business Innovation at Cap Gemini was transformed from an institutional university model to a networked research capability under the leadership of its Director Christopher Meyer (author)

·         In 1996, the name was simplified to Cap Gemini with a new group logo. All operating companies worldwide were re-branded to operate as Cap Gemini.

·         In 2000, Cap Gemini acquired Ernst & Young Consulting. It simultaneously integrated Gemini Consulting to form Cap Gemini Ernst & Young.^[11]

·         In 2002, Cap Gemini re-launched its Sogeti brand, creating a new legal entity bearing the original name of the company, headquartered in Brussels, Belgium. The new company is focused on delivering IT services to a more limited range of markets.

·         In April 2004, the Group reverted to Capgemini (its current name).

·         In August 2006, Capgemini acquired Future Engineering.

·         In September 2006, Capgemini acquired a 51% shareholding in Unilever India Shared Services Limited (Indigo), a provider of financial shared services and Sarbanes-Oxley compliance services to the global Unilever Group. Indigo has operating centres in Bangalore and Chennai and employs approximately 600 staff.^[16]

·         In October 2006, Capgemini agreed to acquire Kanbay International for US$1.2 billion in cash ($29 per share). The acquisition will increase Capgemini's India staff to 12,000+(which is grown to 26,000+ in mere 4 years of time) employees. The acquisition was completed on 8 February 2007.

·         In February 2010, Capgemini announced the acquisition of IBX.

·         In April 2011, Capgemini acquired two French companies, Artesys, a provider of IT infrastructure offering, and Avantias, a provider of enterprise content management to businesses.

·         In June 2011, Capgemini finalized its acquisition of Prosodie, the multi-channel services operator.

·         In June 2011, Capgemini completed its first acquisition in China, Praxis Technology, a utility industry specialist.

·         In July 2011, Capgemini acquired the Italian IT services provider AIVE Group.

Acquisitions

§  Sesa in France (1987)

§  Hoskyns Group plc|Hoskyns in the UK (1990)

§  United Research in the US (1990)

§  Mac Group in the US (1991)

§  Volmac in the Netherlands (1992), developers of Cap Gemini SDM

§  Programator in Scandinavia (1992)

§  Gruber Titze and Partners in Europe (1993)

§  Bossard in Europe (1997)

§  Ernst & Young Consulting (2000)

§  Transiciel (2003)

§  Indigo (2006)

§  Future Engineering in Germany (2006)

§  Plecto AG in Germany (2006)

§  Kanbay International (2006)

§  Software Architects (2007)

§  Maxeda IT Services in the Netherlands (2008)

§  Getronics PinkRoccade Business Applications Services BV (2008), developers of Business Information Services Library

§  Vizuri Ltd (2008)

§  Empire in Czech Republic (2009)

§  Nu Solutions in Australia (2009)

§  IBX in Sweden (2010)

§  Strategic Systems Solutions Ltd in the UK (2010),KSAak

§  CPM Braxis [Brazil] (2010)

§  Thesys Technologies (India) (2010)

§  CS Consulting GmbH (2010)

§  AIVE Group in Italy (2011)

§  Vengroff Williams & Associates (2011)

§  ANZ Testing Services (2012 - deal not yet signed currently being negotiated, significant union opposition, 750 people)

Vision Statement:

The  business value of technology comes from and through people

Mission Statement:

With you, we create and deliver business and technology solutions that fit your needs and drive the results you want

Products and Services

·         Consulting Services 
Delivered by Capgemini Consulting: identifying, structuring and executing, on behalf of our clients, the transformation projects that will have lasting effects on their growth and competitiveness

·         Technology Services 
Design, development and implementation of technical projects for systems integration and IT application development

·         Outsourcing Services 
Assisting our clients in the total or partial outsourcing of their IT systems

·         Local Professional Services 
Delivered by Sogeti: supplying IT services that are suited to local needs (infrastructures, applications, engineering, operating)

Industry Expertise

·         Manufacturing

·         Retail

·         Consumer Products

·         Distribution and Transportation

·         Life Sciences

·         Aerospace and Defence

·         High Tech Energy

·         Utilities

·         Chemicals

·         Financial Services

·         Public Sector

·         Telecom

·         Media and Entertainment

Partners

·         SAP

·         Oracle

·         HP

·         IBM

·         Microsoft

                                                             Organisational Structure
  

Top Management

SWOT ANALYSIS

Strength:

·         It maintains a strong position in biusiness and consulting expertise. The Rightshoremodel is  focussedon cost reduction.

·         Done well with its ‘Collaborative Experience’  Approach:an  appropriate step for building IT and business needs.

·         Leverages Repeatable Frameworks

·         Strong  Presence in the European Marketplace.

                                                     Weakness

·        Strategy not highly differentiated from other North American competitors

 ·        Need to change focus from traditional systems to a balance of horizontal and  

      vertical capabilities.

·        Lack of coherence between leadership, strategy , marketing and sales.

   

                                                 Threat

·        Growth of local companies that are eating into its market share

·        The current Economic scenario after the US Recession and Euro Crisis has hit the companies growth  amidst uncertainties.

                                       Opportunities

·        Capture the  market  share in the emerging markets like Asia Pacific.

·        Leverage on its experience and expertise to create opportunities  where other competitors are lacking.