Product category:
Process Control: SCADA, ERP, MES and networks
News Release from: BASF IT Services
Edited by the Processingtalk Editorial
Team on 10 March 2006
BASF IT Services expands its external
business
For the first time in its history, BASF IT Services has seen a two-figure proportion of its turnover generated from customers outside the BASF Group in the last year
For the first time in its history, BASF IT Services has seen a two-figure proportion of its turnover generated from customers outside of the BASF Group in 2005 The proportion of external business in the total turnover amounted to around ten percent, following on from 6,3 percent in 2004
This article was originally published on Processingtalk on 14 Sep 2004 at 8.00am (UK)
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The total turnover of the IT service provider fell, conversely, by 22 million euros - a drop of 6 percent - to 364 million euros.
This can be traced to the efficiency enhancements that BASF IT Services was able to pass on in the form of reduced prices to its customers.
For the current year, the company is expecting an increase in the total turnover.
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The biggest new customer in 2005 was the Italy-based Sorin Group.
BASF IT Services is the exclusive full-service provider for this international manufacturer of medical technology.
Following the acquisition of the Hamburg consultancy, plan business, BASF IT Services is expecting to achieve its self-imposed target this year of 15 to 20 percent of its turnover with customers outside the BASF Group.
By means of this first takeover in the company's history, it has not only expanded its customer base but also its portfolio.
Its core competence of providing solutions for the process industry can now be considered as fit for providing solutions for industry as a whole.
"We are one of the few hived off IT subsidiaries in which the parent company has invested, and in every year of our nigh-on five year history our figures have been in the black," explains Dr Kurt Ettmuller, Managing Director of BASF IT Services responsible for the Finance Division.
"Our primary task is not to make big profits but to bring down the IT costs of our customers.
This counts as a success for all involved, even if it means a drop in our turnover.
All the same, on account of a further expansion of our business and the purchase of plan business, we are reckoning on an increase in our total turnover for 2006," says Managing Director Wolfgang Erny, responsible for the Division Sales and Delivery.
BASF IT Services was created in April 2001 with the consolidation of BASF IT units in Europe.
Including the results for 2005, the subsidiary has to date made savings for the BASF Group to the tune of some 300 million euros.
BASF IT Services, a BASF Group company, is among the leading IT service providers for the process industry in Europe.
It has some 2,300 employees and recorded an annual turnover of E364 million in 2005.
The company's key strengths are industry solutions, managed infrastructure services and business process outsourcing.
This expertise is based on years of experience in providing solutions to the world's leading chemical company, BASF.
Today, BASF IT Services operates one of the world's largest networks and around 1,000 servers for some 50,000 users in more than 250 locations.
The company, which is represented throughout Europe, is committed to standardising and developing customer-orientated, tailor-made solutions.
BASF IT Services is certified under the international quality management standard ISO 9001:2000 and the British Standard 7799.
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