back to article DXC will be damned if it lets cloud cannibalise the IT outsourcing biz before DXC does

DXC Technology, fed up with the cloud brigade eating into its own IT outsourcing (ITO) business, has set up an "integrated practice" with AWS to get in on the action itself. The unit will "deliver IT migration, application transformation and business innovation to global enterprise clients", DXC CEO Mike Lawrie promised …

  1. Destroy All Monsters Silver badge

    Pyramid rebalancing was about having fewer decisions makers in management and more workers doing the work.

    Like sharpening razor blades under a pyramidform structure.

  2. Anonymous Coward
    Anonymous Coward


    What he says: "On location mix, roughly 54 per cent of our employees are in nearshore and low-cost locations. We're planning to increase that mix by 10 to 15 per cent in our traditional business. We're also making progress off-shoring work provided by third-party contractors, while at the same time investing in our digital centres in the US, the UK and other countries."

    What he really means: "We'd like continuing access to the juicy revenue streams available in developed markets, we'd like to be protected by the secure rule of law and have access to enforceable contracts through a civilised justice system, and we'd like to be able to use reliable and properly telecomms and utilities. But, my investors, you will be pleased to know that at DXC, we don't want to pay for this. We don't even want to support these economies by employing people in them, if we can avoid doing that. And we want to ensure our taxable profits are as small as possible, and arise wherever tax rates are lowest. At DXC, we intend to milk the loopholes of poorly conceived trade and tax policies, and THAT is our business model. You will have seen that we're a big bit shit at technology - but that doesn't matter, because technology isn't what we do. What we do is labour arbitrage and tax avoidance. I look forward to the day when the only "onshore" employees of DXC, the only people paid Western pay rates, are myself and the directors of DXC, and I look forward to the day when we find a new reservoir of labour willing to work for less than our current Indian wage slaves "

  3. Anonymous Coward
    Anonymous Coward

    DXC Speak

    Here you go El Reg, let me translate for you:

    "best shoring, labour pyramid rebalancing, benefits from our Bionic automation programme and supply chain savings".

    Best shoring - When you've offshored everything that you can you are left with those difficult customers who insist unreasonably on territorial constraints - (eg ITAR or HMG). So you shitshore - find the cheapest place within the legal territory. Which means Puerto Rica or Newcastle etc Much cheaper than Washington DC or London.

    Labour Pyramid - no, not the traditional organistational management pyramid, but a pyramid made of salary bands. Those dratted people with their 20 years experience have managed to underhandedly work their career up to earning far more than a graduate. This can't be allowed to continue. Replace skilled staff with those eager fresh faced children or someone from the Job Centre who used to be a plumber. As they develop their skills (aka learning by their mistakes on customer's kit) you refuse to give them a raise.

    Bionic Automation - sounds sexy doesn't it? Million Dollar man perhaps? Well, it can't be the Million Dollar man because that's against the Labour Pyramid concept, no, lets replace some tasks with brand new technology - well, if you consider batch files, shells scripts and inbox rules to be cutting edge.

    Supply Chain Savings - we're DXC you peasants. Your bill? We're knocking 14% off of it and you can like it or lump it.

    If you need anything else translated, drop me a line while I'm still here....

    1. Anonymous Coward
      Anonymous Coward

      Re: DXC Speak

      Bionics - I agree these things are not rocket science and they all should be implemented 10+ years ago. But "culture" in ES was always that it's cheaper and easier to hire new people in cheap countries, cheapest possible people without any competence, so they learned to push thoughtlessly one button, than do any automation, even most simple and obvious one. Now with bionics it's finally put back into sanity. So even if these things are obvious (they are), they are very much needed.

      And about head cuts - I would say (and I know what I'm saying, if somebody yet didn't guess I'm from the inside) that still it's possible (and desirable) to let go many thousands of people in India, Phillipines, Costa Rica etc. and nobody would notice the difference that they are gone. They have close to zero knowledge about anything and close to zero usefulness for company. And I'm afraid all of them are from ES side, I was very surprised to see that CSC had much better skills profile than us when we merged. ES employed many thousands of people in some countries which no one had a clue what's the reason of having them (except for managers pumping up their egos and climbing on corpo ladder because their team is bigger than the other)

      Supply chain savings are funny. In other words: for majority of last year "because of systems migrations" DXC just didn't pay any invoices.

    2. fredesmite

      Re: DXC Speak

      Hi tech has become a cesspool. There was a time employee / employer loyalty .. that all came to an end with it staffing firms and Indian offshore in the 1990s.

  4. Miss Lincolnshire

    Are these chancers, CSC, still going?

    Why would anyone go tho DXC for AWS services when you can buy directly from Amazon without the added complication of Mike Laurie charging top dollar while screwing back the labour supporting you

    Plenty of better services from OVH, Amazon on the market and the migration technology is virtually identical wherever you go.

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