Deutsche Post DHL outsources more IT functions in Germany to T-Systems

Deutsche Post DHL and T-Systems have reached an agreement to further intensify their collaboration: The existing contract covering the computer center as well as infrastructure, network and desktop services has been re-signed ahead of schedule and extended by a further five years to 2014.

At the same time, the world's leading mail and logistics services group reached agreement on other services with T-Systems, a Deutsche Telekom subsidiary. The contract, worth a high triple-digit million euro amount overall, is part of a global initiative launched by Deutsche Post DHL to achieve efficiency gains in the provision of IT and telecoms services. The agreement reached with T-Systems aims at cost savings of almost EUR400 million over the next five years.

"This represents an important step towards optimizing our IT infrastructure in Germany and will have a beneficial impact on our business customers," said Johannes Helbig, Chief Information Officer of Deutsche Post DHL's MAIL division. "This agreement with T-Systems will bring about further improvements in our processes and save considerably on costs."

Besides the services provided to date, the new contract will also cover additional value-added services. As part of its future role, T-Systems will assume responsibility for complete process chains between Deutsche Post DHL and its customers. In addition, the Telekom subsidiary will take on the operation of 65 applications plus additional computer center services previously carried out by other Deutsche Post DHL suppliers. Under the terms of the agreement some 100 employees of Deutsche Post DHL will transfer to T-Systems with effect from April 1, 2010.

"We view this contract extension with Deutsche Post DHL, and expansion of the range of services beyond traditional outsourcing and infrastructure management, as both recognition of what we do and as an incitation," stated Reinhard Clemens, Member of the Deutsche Telekom Board of Management and CEO T-Systems. "Also, the new members of staff will give us sought-after specialist experience of the logistics sector and SAP. We are delighted to have signed a contract that will bring benefits to both parties."

As recently as mid-December T-Systems North America signed another agreement with Deutsche Post DHL covering service provision in the USA. On January 1, 2010 T-Systems took charge of the former Deutsche Post DHL computer center in Scottsdale, USA. This agreement also has a five-year term with a contract valued in the mid double-digit million euro range.