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1 LogicaCMG

1.1 Overview and History

LogicaCMG are a telecommunications and IT consultancy company. They are headquartered in London and Amsterdam, and are active in 34 countries, have 21,000 employees and, in 2003, realised a turnover of 1.7 billion GBP | 2.6 billion EUR.

LogicaCMG are not one of the most prominent IT consulting firms and they do not advertise widely, except to fulfill their recruitment goals. The average member of the public cannot afford, say, a £5m electricty trading system, but the clients who need their services know who they are and often have had relationships with Logica or CMG that have lasted over 40 years. As a consequence of this relative obscurity, the LogicaCMG marketing literature that does exist lists various 'wow factors' that people may be surprised by:

• LogicaCMG systems supports the missions of over 150 orbiting satellites.
• LogicaCMG solutions handle more than half the world's foreign exchange traffic.
• LogicaCMG systems process two out of every three text messages sent in the world.
• LogicaCMG has delivered one out of every four multi-media messaging centres installed by wireless service providers across the globe.
• LogicaCMG HR outsourcing services process more than $90 billion of salaries globally each year.

1.2 The Merger of Logica and CMG

The merger of Logica (60%) with CMG / Admiral (40%), on December 30, 2002, represented the union of an established technology firm (Logica) with an established consulting firm (CMG). The move was generally considered by commentators at the time to be of good strategic value for both companies. Profit rises since the merger further validate the decision.

1.3 Logica during the IT Slump

LogicaCMG's strategy for success and survival has, for many years, been to be broadly-based by sector. In the 90s, city analysts were recommending that they pull out of the public sector and concentrate on telecoms. Come the IT slump of 2000, Logica still had their public sector business to fall back on, hence avoiding the worst tribulations of the dotcom slump.

2 External link

• LogicaCMG