AIB awards multi-year IT contract to Siemens

3 Dec 2003

AIB has awarded a multi-year IT infrastructure and maintenance contract to Siemens Business Services in a deal that will cover client/server and network equipment for all of AIB’s branches and offices in the Republic of Ireland, Northern Ireland and the UK.

The deal comes as part of a decision by the bank to rationalise suppliers and technology across the board.

Last year the bank put out a tender request for proposals to consolidate and integrate historically dispersed IT operations as well as rationalise suppliers and leverage strategic relationships. Earlier that same year AIB had been in discussions with Bank of Ireland over a possible technology services joint venture between the two organisations, but the plans were subsequently abandoned. The proposed merger was seen as helping to manage both banks’ processing costs more effectively and each had hoped to save €20m per year as a result.

The contract with Siemens Business Services is anticipated to deliver significant cost reductions for AIB and allow the bank to establish stringent service levels that fit its business purposes within budget.

“Our longstanding experience of the financial services industry combined with our nationwide coverage has enabled us to offer AIB a solution that fits their unique business requirements,” said the managing director of Siemens Business Services, Derek Wilson.

The head of service delivery at AIB, Vincent Smith, commented that the bank selected Siemens on the grounds of its best-in-class support across a broad IT infrastructure base, “while also providing the flexibility and responsiveness that our business environment requires”.

Another key aspect of the decision was that infrastructure maintenance and change within the bank was guaranteed by Siemens on the basis of minimal end user disruption.

By John Kennedy