The Hindu Business Line : Cognizant in outsourcing pact with Kimberly-Clark

Cognizant Technology Corporation, a US-based IT services company with development centres in India, has signed an IT application outsourcing agreement with Kimberly-Clark Corporation. The size of the deal was not disclosed.

Along with this deal announcement, Cognizant also announced that it would set up its Latin American Operations.

To begin with, the company expects around 100 people working in Buenos Aires, said a company official.

The agreement has an initial term of five years with one-year extension option. It covers an array of SAP and customised software applications, including strategic planning, product management, supply chain planning and execution; sourcing, sales and marketing; data exchange and compliance; enterprise management and customer management, according to a Cognizant press release.

Cognizant will deliver a broad range of IT applications services to Kimberly-Clark across various locations in North America, Europe, India and Latin America.

Cognizant will also leverage its relationship with SAP in delivering large-scale, global SAP applications projects.

Through this approach, Cognizant will help Kimberly-Clark transform its IT footprint, reduce costs and drive new IT-based capabilities, the release said.

According to Mr R. Chandrasekaran, President and Managing Director, Cognizant, "This deal is the first of its kind by a major consumer products firm to do full application outsourcing. Cognizant won this deal against multi-nationals and tier-1 India companies."

Focus on Latin America

Cognizant will co-manage Kimberley-Clark's one-year old `captive' operation in Buenos Aires, with plans to expand Cognizant's presence there and grow the centre. Cognizant will serve other customers from this centre in the future.

Buenos Aires' similar time zone allows ease of working with North American and European operations.