Market report
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Xansa is a UK-based outsourcing and technology company that specialises in delivering business services that help our clients do more. Our 8,600 people, enabled by leading technology, operate out of facilities in the UK and India to meet our clients' needs in five fundamental ways: HR outsourcing, finance and accounting outsourcing, applications management, IT transformation and web access. We provide these services for major organisations across the public and private sectors.
What sets us apart from our competitors? Our focus is on outcomes rather than inputs. And we work closely with our clients to ensure that those outcomes precisely meet their requirements.
In the public sector we serve some of the largest, most complex Government departments and their agencies. Under the Office of Government Commerce Catalyst framework, Xansa is registered to supply a wide range of IS/IT consultancy and services. These include strategy, e-business, security, ERP, financial management and accounting. Increasingly, we are extending our public sector expertise to local authorities as well.
In the private sector our client base includes companies engaged in financial services, retail, utilities, telecoms, media and logistics. The companies for which we work are among the leaders in their fields. Within financial services these include tier 1 UK banks and life and pension companies such as Lloyds TSB and Co-operative Financial Services. Among utilities we also work for the larger players, like Thames Water, many of which are part of global corporations. Retail clients include those names that dominate UK high streets such as Tesco and Boots.
Looking ahead, we see growing potential in the local government market, particularly for the type of shared services approach that Xansa pioneered with the NHS. This model could be adapted in two ways – either by sharing services among different authorities or within a single authority across a wide variety of departments or units. In either case, success will rely on new partnerships throughout the value chain. These could include companies that specialise in security, infrastructure, telecoms, property or the provision of frontline services.
In the private sector, as inflation rises, all businesses are facing higher costs, increasing competition and rising consumer expectations. To retain or increase their customer base without sacrificing the bottom line, they are turning to outsourcing services in finance and accounting, human resources, IT and web solutions – all areas in which Xansa demonstrably excels.
Similarly, Xansa's human resources outsourcing provides better HR for less. Building on one of our earliest services, payroll processing, we have expanded our offering to meet client demand. Today, Xansa provides a full range of integrated HR services as well as consultancy. One of our largest contracts is also one of our newest: a multi-process HR outsourcing deal with Lloyds TSB – the first of its kind in the financial services sector.
When it comes to IT services, we have the technology and, just as important, the people to make a difference throughout our clients' operations. After 45 years, we also have the experience and scale. Xansa's IT capabilities are vast, encompassing everything from the management of Europe's largest SAP retail implementation to the maintenance of the entire application portfolio for a high street bank.
As consumers and citizens alike increasingly turn to the internet for routine and one-off transactions, web solutions are assuming new importance. That is why clients in both the private and public sectors are turning to Xansa. We have been developing web solutions for a number of years; from developing the UK's first separately branded internet bank with the Co-operative Bank in 1999 to supporting Boots' largest retail outlet today, Boots.com. For the UK Government our online initiatives have included a pioneering HR portal, an award-winning online grants system and the jobs and skills website.
Increasingly the power of technology is allowing businesses to examine their performance in new and exciting ways. Businesses generate massive quantities of data and locked within this can be the answers to fundamental business questions. Often the challenge is that data volumes are large, it resides in multiple locations, in a variety of formats, and is quickly out of date and/or has a significant number of errors. Xansa is at the forefront of using technology to quickly unlock that information from our clients' systems to give them a competitive edge. We already provide analytics services to banks, retailers, utilities, the government and even, the fastest moving business of all, F1 racing.
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One example is our relationship with Oracle. With more than 200 Oracle specialists, Xansa has become one of the UK's largest and most experienced Oracle Delivery Practices. As a certified Oracle Partner we have immediate access to one of the world's greatest sources of end-to-end ERP expertise. By combining Oracle's skills with our own focus on change management, together we are delivering the right solutions for clients like Solihull Metropolitan Borough Council.
Our partnership with SAP dates back to 1990. Since then, the Xansa SAP offering has expanded in the UK and India to cover every aspect of the SAP product suite from core ERP to the latest functions and technologies. Close liaison with SAP Consulting ensures secure delivery and risk reduction, particularly for new modules or new technology. With large customers across the Retail, Media, Government and Logistics sectors, Xansa's SAP expertise supports, enables and improves our customers' business processes and systems, delivering cost savings together with ongoing innovation. Recently, to maximise the client benefits of our partnership, we have developed a SAP Enterprise Innovation Centre, accessible to clients from anywhere in the world.
Our relationship with Microsoft is equally close. As a Microsoft Managed Partner and a subscriber to Microsoft Premier Support, Xansa has a privileged standing with the most powerful software organisation in the world. This has manifold benefits for Xansa clients, including the involvement of Microsoft consultants when needed, quality assurance and stress-testing for all of our Microsoft-based solutions and continuing support throughout the solution lifecycle. Most important of all, our partnership with Microsoft enables us to concentrate on what we do best: helping our clients to become more efficient by concentrating on what they do best. Which is precisely what we did when creating a job-seekers website for the Department of Work and Pensions. This has not only attracted 600,000 page requests every day, but also a host of awards, including Government Computing Best Partnership Project in the Public Service and a British Computer Society Award for Innovation.
To accomplish this, we will build on our strengths in the private and public sectors.
In the public sector, we do not foresee a materially different agenda in relation to the services we are selling. If anything, the drive for efficiencies will increase.
At the same time, we will put particular emphasis on expanding our offering to local government – which, in line with national policy, is expanding its powers and services.
Throughout the public sector, our focus will be on those opportunities that can give us the scope and scale to make a positive and lasting contribution to our clients' business – and to our bottom line.
Leveraging the convergence of IT and business process outsourcing will remain a major objective in both the public and private sectors. By successfully delivering an outsourcing contract, we are often able to expand our client relationship through the introduction of a range of complementary offerings as well. Pursuing this strategy had a positive impact on our 2006 orderbank, which was up by almost £100 million.
One of Xansa's greatest strengths is our offshore capability centred in India. For our purposes – and those of our clients – it provides an ideal mix of language, cultural affinity, a well-educated workforce and a convenient time zone. Therefore, we will continue to expand our operations in such complex, value-added services as medical underwriting.
Xansa's continuing success relies on enhancing our ability to provide clients with increased efficiencies and lower costs. The demand is there and growing. And our offering is more than keeping pace as Xansa develops compelling new business propositions based on real market needs and application of the latest, most robust – and most appropriate – technologies.
But at Xansa technology is never an end in itself. It is an enabler for our clients and the Xansa people who serve them. Which is why we are also continuing to hire and retrain highly skilled employees with an unswerving commitment to client service delivery.
We are doing more to help our clients do more of what they do best.
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What sets us apart from our competitors? Our focus is on outcomes rather than inputs. And we work closely with our clients to ensure that those outcomes precisely meet their requirements.
Our market
Each of Xansa's clients is different. But all have similar objectives. They want to boost their customer appeal by improving the quality and delivery of their services. Yet in increasingly competitive environments, they recognise the need to keep their costs under control. At Xansa we understand both of these imperatives, which drive both the public and private sectors.In the public sector we serve some of the largest, most complex Government departments and their agencies. Under the Office of Government Commerce Catalyst framework, Xansa is registered to supply a wide range of IS/IT consultancy and services. These include strategy, e-business, security, ERP, financial management and accounting. Increasingly, we are extending our public sector expertise to local authorities as well.
In the private sector our client base includes companies engaged in financial services, retail, utilities, telecoms, media and logistics. The companies for which we work are among the leaders in their fields. Within financial services these include tier 1 UK banks and life and pension companies such as Lloyds TSB and Co-operative Financial Services. Among utilities we also work for the larger players, like Thames Water, many of which are part of global corporations. Retail clients include those names that dominate UK high streets such as Tesco and Boots.
Market trends
Public spending accounts for more than 45% of GDP in the UK and is still rising. However, the rate of growth has tapered off at national level due to political uncertainties that are slowing down the pace of major spending decisions. Nevertheless, the drive for greater efficiencies and fewer civil servants – as spelled out in the still influential Varney and Gershon Reports – has its own momentum and the target of £20 billion in savings by the end of 2007 remains. So does Xansa's ability to help make efficiency a way of life throughout the public sector. In 2006 our skills, experience, culture and philosophy continued to meet public sector requirements.Looking ahead, we see growing potential in the local government market, particularly for the type of shared services approach that Xansa pioneered with the NHS. This model could be adapted in two ways – either by sharing services among different authorities or within a single authority across a wide variety of departments or units. In either case, success will rely on new partnerships throughout the value chain. These could include companies that specialise in security, infrastructure, telecoms, property or the provision of frontline services.
In the private sector, as inflation rises, all businesses are facing higher costs, increasing competition and rising consumer expectations. To retain or increase their customer base without sacrificing the bottom line, they are turning to outsourcing services in finance and accounting, human resources, IT and web solutions – all areas in which Xansa demonstrably excels.
Service delivery
In finance and accounting for example, we are the largest Europe-based provider. Xansa clients include BT, O2, MyTravel, Lloyds TSB, BBC and, the biggest organisation of them all, the NHS. Whatever the size of the organisation, whatever the sector, we enable our clients to concentrate on their core activities; leaving the otherwise costly and time-consuming distractions of transactional activities to us. Typically, we save our clients anywhere from 33%– 45% of their costs by taking on their finance and accounting processes.Similarly, Xansa's human resources outsourcing provides better HR for less. Building on one of our earliest services, payroll processing, we have expanded our offering to meet client demand. Today, Xansa provides a full range of integrated HR services as well as consultancy. One of our largest contracts is also one of our newest: a multi-process HR outsourcing deal with Lloyds TSB – the first of its kind in the financial services sector.
When it comes to IT services, we have the technology and, just as important, the people to make a difference throughout our clients' operations. After 45 years, we also have the experience and scale. Xansa's IT capabilities are vast, encompassing everything from the management of Europe's largest SAP retail implementation to the maintenance of the entire application portfolio for a high street bank.
As consumers and citizens alike increasingly turn to the internet for routine and one-off transactions, web solutions are assuming new importance. That is why clients in both the private and public sectors are turning to Xansa. We have been developing web solutions for a number of years; from developing the UK's first separately branded internet bank with the Co-operative Bank in 1999 to supporting Boots' largest retail outlet today, Boots.com. For the UK Government our online initiatives have included a pioneering HR portal, an award-winning online grants system and the jobs and skills website.
Increasingly the power of technology is allowing businesses to examine their performance in new and exciting ways. Businesses generate massive quantities of data and locked within this can be the answers to fundamental business questions. Often the challenge is that data volumes are large, it resides in multiple locations, in a variety of formats, and is quickly out of date and/or has a significant number of errors. Xansa is at the forefront of using technology to quickly unlock that information from our clients' systems to give them a competitive edge. We already provide analytics services to banks, retailers, utilities, the government and even, the fastest moving business of all, F1 racing.
back to topStrategic partnerships
One of the strengths which our clients appreciate most is our awareness of our limitations be that in scale, experience or specific expertise. Equally important is our ability to make those limitations irrelevant by establishing partnerships with companies whose qualities complement our own.One example is our relationship with Oracle. With more than 200 Oracle specialists, Xansa has become one of the UK's largest and most experienced Oracle Delivery Practices. As a certified Oracle Partner we have immediate access to one of the world's greatest sources of end-to-end ERP expertise. By combining Oracle's skills with our own focus on change management, together we are delivering the right solutions for clients like Solihull Metropolitan Borough Council.
Our partnership with SAP dates back to 1990. Since then, the Xansa SAP offering has expanded in the UK and India to cover every aspect of the SAP product suite from core ERP to the latest functions and technologies. Close liaison with SAP Consulting ensures secure delivery and risk reduction, particularly for new modules or new technology. With large customers across the Retail, Media, Government and Logistics sectors, Xansa's SAP expertise supports, enables and improves our customers' business processes and systems, delivering cost savings together with ongoing innovation. Recently, to maximise the client benefits of our partnership, we have developed a SAP Enterprise Innovation Centre, accessible to clients from anywhere in the world.
Our relationship with Microsoft is equally close. As a Microsoft Managed Partner and a subscriber to Microsoft Premier Support, Xansa has a privileged standing with the most powerful software organisation in the world. This has manifold benefits for Xansa clients, including the involvement of Microsoft consultants when needed, quality assurance and stress-testing for all of our Microsoft-based solutions and continuing support throughout the solution lifecycle. Most important of all, our partnership with Microsoft enables us to concentrate on what we do best: helping our clients to become more efficient by concentrating on what they do best. Which is precisely what we did when creating a job-seekers website for the Department of Work and Pensions. This has not only attracted 600,000 page requests every day, but also a host of awards, including Government Computing Best Partnership Project in the Public Service and a British Computer Society Award for Innovation.
The way forward
Our aim is for Xansa to continue growing – both in revenue and profit.To accomplish this, we will build on our strengths in the private and public sectors.
In the public sector, we do not foresee a materially different agenda in relation to the services we are selling. If anything, the drive for efficiencies will increase.
At the same time, we will put particular emphasis on expanding our offering to local government – which, in line with national policy, is expanding its powers and services.
Throughout the public sector, our focus will be on those opportunities that can give us the scope and scale to make a positive and lasting contribution to our clients' business – and to our bottom line.
Leveraging the convergence of IT and business process outsourcing will remain a major objective in both the public and private sectors. By successfully delivering an outsourcing contract, we are often able to expand our client relationship through the introduction of a range of complementary offerings as well. Pursuing this strategy had a positive impact on our 2006 orderbank, which was up by almost £100 million.
One of Xansa's greatest strengths is our offshore capability centred in India. For our purposes – and those of our clients – it provides an ideal mix of language, cultural affinity, a well-educated workforce and a convenient time zone. Therefore, we will continue to expand our operations in such complex, value-added services as medical underwriting.
Xansa's continuing success relies on enhancing our ability to provide clients with increased efficiencies and lower costs. The demand is there and growing. And our offering is more than keeping pace as Xansa develops compelling new business propositions based on real market needs and application of the latest, most robust – and most appropriate – technologies.
But at Xansa technology is never an end in itself. It is an enabler for our clients and the Xansa people who serve them. Which is why we are also continuing to hire and retrain highly skilled employees with an unswerving commitment to client service delivery.
We are doing more to help our clients do more of what they do best.
back to top