T-Systems SA says its streamlining process is unlike others in the industry because it takes place while the company is on a sound financial footing.
The company is in the process of streamlining its business, which includes staff cuts, although the impact on headcount will be finalised only in July.
Human resources GM Mardia van der Walt-Korsten says a key differentiator between the process at T-Systems and other cutbacks in the ICT industry is the fact that T-Systems SA is financially sound.
"The measures we are implementing now are helping us to remain strong, become more competitive and grow our business."
Van der Walt-Korsten says the ICT market is maturing and demand for outsourcing services is changing.
"In order to give our customers the best service at the best price, we need to review our cost structures and take some proactive actions.
The company had to address, among others, contractually agreed price reductions with existing clients that will lead to a direct reduction in revenue for T-Systems SA and a substantial decrease in future profits if proactive steps are not taken now.
The company expects, through the process, to optimise delivery capacity and increase competitiveness to secure new business, reduce the cost base and maximise revenue potential and ensure a more price-competitive structure.
Other objectives include ensuring flexibility to adapt to customers` needs.
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