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  General Motors Will Slash Outsourcing In IT Overhaul
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Last EditedRP  Jul 09, 2012 06:12pm
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AuthorChris Murphy
News DateMonday, July 9, 2012 04:00:00 PM UTC0:0
DescriptionGM's new CIO Randy Mott plans to bring nearly all IT work in-house as one piece of a sweeping IT overhaul. It's a high-risk strategy that's similar to what Mott drove at Hewlett-Packard.

Today, about 90% of GM's IT services, from running data centers to writing applications, are provided by outsourcing companies such as HP/EDS, IBM, Capgemini, and Wipro, and only 10% are done by GM employees. Mott plans to flip those percentages in about three years--to 90% GM staff, 10% outsourcers.
Insourcing IT on that scale will require GM to go on a hiring binge for software developers, project managers, database experts, business analysts, and other IT pros over the next three years. As part of that effort, it plans to create three new software development centers, all of them in the U.S. IT outsourcers, including GM's one-time captive provider, EDS, face the loss of contracts once valued at up to $3 billion a year.
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R:801400 ( 26.6800 points)
Tue, July 10, 2012 03:25:27 PM UTC0:00
The WaPo article and Obama ad have been convincingly debunked.

R:801400 ( 26.6800 points)
Tue, July 10, 2012 10:27:24 PM UTC0:00

That link picks apart Obama's ad. If you're interested in facts.

D:1RP ( 3311.3784 points)
Wed, July 11, 2012 03:30:20 AM UTC0:00
1) What does all of that have to do with the article posted?

2) The link is nitpicking to side with Romney's view. I posed elsewhere on this, but Romney invested heavily in companies whose entire purpose was to help other companies outsource workers, but how was he to know that these companies would outsource workers?? It's also wrong about when Romney left Bain - he didn't until 2001.

D:1RP ( 3311.3784 points)
Wed, July 11, 2012 03:45:11 AM UTC0:00
There’s no question that numerous public filings and some contemporaneous press references say Romney was still running things at Bain after 1999. But his campaign insists that whatever securities filings may have said, in practice, he was so busy running the 2002 Winter Olympics that he actually had no role at Bain after early 1999. That’s possible in theory. But there’s no evidence for it besides self-interested claims by Romney. And there’s plenty of documentary evidence to the contrary. After all, what you tell the SEC is really supposed to be true. - [Link]

R:801400 ( 26.6800 points)
Wed, July 11, 2012 03:53:05 AM UTC0:00
1.) It has everything to do with the one-liner that was originally posted in this thread.

2.) So now FactCheck is biased in favor of Romney? That's not a credible contention.

He resigned from the BOD in 2001. He was not actively involved in investment decisions from 1999-2001.

"Invested heavily?" No. Even if you accept the Washington Post article as gospel, we're talking about specific investments that make up a tiny part of Bain's overall portfolio.

And what companies are you referring to? Stream International? When Bain was a shareholder, they actually expanded US operations and hired thousands of workers. Yes, they had offshore call centers. So did every competitor and player in the computer software industry. "Their entire purpose" was not to export jobs.

Much is the same for SMTC. After being acquired by a Bain subsidiary, it expanded operations in Ireland and Mexico to meet demand in those regions. That is not exporting American jobs.

No company Bain invested in had such a purpose.

D:1414Forwardista ( 171.5051 points)
Wed, July 11, 2012 03:59:51 AM UTC0:00
00: 2.) So now FactCheck is biased in favor of Romney? That's not a credible contention.

FactCheck is not infallible.

R:801400 ( 26.6800 points)
Wed, July 11, 2012 04:24:09 AM UTC0:00
Apparently Obama is!

R:1844fortytwo ( -1.7414 points)
Wed, July 11, 2012 05:31:43 AM UTC0:00
I wonder if the timing of this news is political.

D:633WesternDem ( 892.4465 points)
Wed, July 11, 2012 07:06:08 AM UTC0:00
Investing in those companies was in the profit interests of Bain, they were a completely legal way to success in the free market, and Romney made a good business decision, even if it outsourced jobs -- that's the free market. If he wants to run on business experience, he should own this.

R:801400 ( 26.6800 points)
Wed, July 11, 2012 03:34:11 PM UTC0:00
Facts are pesky.