Global grocer Tesco has announced today that it is to invest $45 million (£27.5 million) in its IT infrastructure, consolidating its systems.
US-based firm CA Technologies will now manage and monitor the IT processes across the entire Tesco group, including Tesco Bank, Tesco.com and Tesco Mobile.
Having previously run several solutions across its business, the UK’s biggest retailer has decided to bring the whole of its IT supply chain management, which covers 472,000 staff members across 14 countries, under CA’s control.
Mike McNamara, Chief Information Officer of Tesco, commented: “Our systems infrastructure needs to work for our IT team in order to do their job for our customers, our colleagues and our suppliers.
“We rely on CA Technologies software to tame a very big, distributed, heterogeneous infrastructure.”
As former Chief of Supply Chain and IT at Tesco, current CEO Philip Clarke would be keenly aware of the necessity of getting these systems to work smoothly and it is no surprise to see him make investment in this area a priority having taken over at the retailer in March of this year.
This new deal will see CA’s relationship with Tesco continue into a third decade, with the Nasdaq-listed company now solely entrusted with ensuring the health and performance of the grocer’s mainframe, desktop computers, servers, networks, credit card transactions, suppliers and supply orders.
Colin Bannister, Chief Technology Officer & President of Technical Sales for UK and Ireland at CA, said: “We have been a strategic IT partner to Tesco for the past 20 years and are delighted to further develop our relationship with this new investment.
“The longevity of this partnership demonstrates that our solutions have a proven track record of successfully solving Tesco’s IT infrastructure problems, helping the brand to do more with less, become more agile, enhance customer satisfaction and ultimately create a more profitable business.”