Nokia appoints TCS for IT consolidation, innovation

Indian IT vendor says it has entered into a "long-term agreement" to streamline Nokia's IT operations and drive transformation across the latter's core business portfolios.

Tata Consultancy Services (TCS) announced Thursday it has been appointed by Nokia to consolidate its internal applications globally, as well as transform business operations across the Finnish phonemaker's core portfolios.

In a statement issued yesterday, the Indian IT vendor said it has "entered into a long-term agreement" with Nokia to transform its internal IT infrastructure following a "rigorous selection process". Nokia's brief for TCS is to consolidate its global internal applications suite with a single provider, and these apps include enterprise resource planning (ERP), customer relationship management (CRM), product lifecycle management (PLM), supply chain management (SCM), enteprise information management and corporate functions, it added.

Besides consolidation, TCS will also work with the phonemaker to rationalize and simplify its applications to enable business transformation across the latter's core portfolio, the company said.

Amit Bajaj, head of the Nordic and Baltic region at TCS, said: "Over the years, TCS has built a strong reputation as a partner that drives simplification and business enablement using its transformational framework that allows companies to drive significant next generation benefits. This deal with Nokia reflects our capability and commitment to the Nordic region."

The Indian IT vendor has over 4,500 professionals working across Sweden, Finland, Norway, Denmark and Iceland. It supports the operations of companies such as Ericsson, ABB, Telenor and SAS, said TCS.

Streamlining its internal IT operations aside, Nokia on Thursday also announced it will be reducing its global IT headcount by 300 people . It will transfer up to 820 employees to its partners, HCL Technologies and TCS, too. This, it said, will help increase operational efficiency and reduce operating costs.

The Finnish company is expected to report the full fourth quarter results on Jan. 24, on the back of preliminary results which it stated were "better than expected" due to strong holiday sales of its Lumia handsets .