EDS and Towers Perrin Join Forces To Deliver Comprehensive HR Services
18 Jan 2005
EDS and Towers Perrin Create New HR Outsourcing Company
Towers Perrin Chairman and CEO Mark Mactas and EDS Chairman and CEO Mike Jordan
EDS and Towers Perrin have created a new company that builds on the robust capabilities of its parents to deliver HR outsourcing services.
In forming the jointly owned company – announced Tuesday – Towers Perrin and EDS become the only organization with the consulting, technology and delivery capabilities for all-around HR outsourcing services.
“This is about two proven leaders coming together to bring real solutions to the marketplace,” said Steve Schuckenbrock*, executive vice president for EDS Global Sales & Client Solutions. “And we share a common vision that the time is right for this strategic venture.”
The new company will offer HR consulting, benefits administration, payroll, work force administration and development and compensation management.
“The market for HR business process outsourcing is growing rapidly, and the potential is tremendous,” said EDS' Vice President of HR Services Steve Bohannon*, who will lead the new company. “It doesn't matter which industry you're talking about – banking, manufacturing, retailing, insurance – every business must fund human resources.”
He said the new company will create an integrated end-to-end service delivery and business process implementation and allow clients to focus on their core business. The results are demonstrated in more tightly integrated HR processes, lower administrative costs, improved access to HR data, and enhanced HR program and plan management for clients.
The companies' complementary strengths in the HR market allow them to quickly deliver solutions to meet the increasing market demand.
Much of that demand, he said, will come from companies wanting to buy “multi-process, best-in-class solutions with a single point of accountability.”
“Additionally, outsourcing is a more attractive option than building your own shared services organization, which eventually detracts people and resources from a client's core business,” Bohannon said. “This is a natural evolution of EDS' core strength in outsourcing from IT to administration and transaction management.”
*Schuckenbrock left EDS/ExcellerateHRO in May 2006.
*Bohannon left ExcellerateHRO in August 2006.