Jewellery giant Pandora has struck a second deal to help save almost £25m through a major IT overhaul.
Pandora has partnered with Tata Consultancy Services (TCS) for application maintenance, application development, and end user services, including service desk, store support and IT security.
The deal with TCS comes on top of Pandora’s cloud agreement with Accenture, which was announced in July. Combined, the two new partners will deliver IT services previously provided by around 60 suppliers.
The consolidation will significantly improve Pandora’s digital capabilities and cut annual IT costs by at least DKK 200 million (£24m).
“The deal with TCS completes the transformation of our IT setup and is an important milestone for Pandora. It gives us a large global partner with strong skills in retail, who will help us provide better and more cost-efficient digital services to the business and our customers,” says Pandora’s CIO Peter Cabello Holmberg.
The IT transformation is part of Programme NOW, Pandora’s brand relaunch and business turnaround plan. Programme NOW targets total annual cost reductions of DKK 1.2 billion (£142m) by the end of 2020. The savings will fund investments in strengthening Pandora’s brand through increased marketing spend, a new store design, a new online shopping experience and more.
Over the coming year, Pandora will gradually move from its current IT vendor setup to TCS and Accenture. The transition is expected to be completed during the second half of 2020.