Infosys wins IT services contract from Swedish retailer

The contract will help ICA Gruppen reduce cost in stages by about Rs 50 crore starting from 2016

IT services major Infosys today said it has been selected by ICA Gruppen, Sweden's leading retailer, to manage its IT operations.

The contract will help ICA Gruppen reduce cost in stages by SEK 75 million (about Rs 50 crore) starting from 2016 (compared to 2014).

As part of the agreement, Infosys will provide services across application and infrastructure maintenance to drive operational efficiency and ensure IT projects add value to the business, the Bangalore-based firm said in a statement.

The agreement expands on the existing partnership between Infosys and ICA Gruppen with the retailer doubling percentage of its IT operation provided by Infosys, it added.

It also covers the full scope of IT services within ICA Gruppen, including IT infrastructure and group-wide IT services and IT support for the Swedish business unit, ICA Sweden, Infosys said.

ICA Gruppen estimate this partnership will reduce costs in stages by "SEK 75 million (approximately Rs 500 million)", starting from 2016 (compared to the year 2014), India's second largest software services exporter added.

"The fact that we are now scaling up outsourcing is a key step in the development of our IT operations. With a strong and skilled IT partner, we will create greater flexibility for new business requirements," ICA Gruppen CFO Sven Lindskog said.