ING has reached a final agreement with LogicaCMG on the outsourcing of application management, IT maintenance and testing activities related to ING’s banking operations in the Netherlands. More than 300 employees will be transferred to LogicaCMG. The six-year contract has a value of over E200 million and will take effect on the first of January 2007.
The agreement is the first outsourcing contract to be finalized within the Operations and IT efficiency program that was announced on November 2, 2005.
ING says its efficiency program is on track and is expected to generate annual cost savings of E460 million, including E230 million for the streamlining and outsourcing of the Operations & IT organization as of 2008.