News
Xchanging acquires BAE Systems' remaining 50% share in jointly owned HR services company
17 Jan 2007
Xchanging, the business processing services company and BAE Systems, the premier global defence and aerospace company, have today announced the completion of Xchanging's purchase of BAE Systems' 50% stake in the jointly owned company, Xchanging HR Services, a business established in 2001.
This deal, regarded as a landmark for Xchanging in its business development, marks the natural evolution and success of its Enterprise Partnership model of outsourcing, which has transformed an internal cost centre for BAE Systems into a revenue-generating and profitable business.
BAE Systems has realised benefits from the relationship, including Xchanging providing investment in its HR infrastructure. BAE Systems will continue to enjoy a professional HR service with Xchanging HR Services, through a relationship which is characterised by trust, contractually guaranteed Service Level Agreements, and ongoing commitment to service improvements.
David Rich-Jones, MD of Business Lines, including Procurement, HR, Hosting and Accounting services, said: "This deal demonstrates that Xchanging's Enterprise Partnering model goes beyond the traditional parameters of outsourcing to generate superior value. BAE Systems is our most long-standing client in our HR Services sector, and we look forward to delivering continued excellence in our business relationship for the HR community."
David Andrews, Chief Executive Officer of Xchanging, said: "This is a landmark deal for Xchanging and one which perfectly sums up our distinctive partnering approach. It moves beyond outsourcing and off-shoring because it guarantees savings and builds a capital upside for our partner. We are all about the transformation of a back-office cost base into a successful enterprise, predicated on quality and competitive prices. In short, Xchanging cost for profit.