Success Stories

IT Infrastructure Outsourcing Helps Shell Lower Costs, Drive Increased Efficiency


With more than 104,000 employees in more than 110 countries, Shell plays a key role in helping to meet the world’s growing demand for energy in economically, environmentally and socially responsible ways.

Despite turbulence in the gas and oil industry, Shell continues to grow its business globally. In 2007, earnings reached US$32 billion and capital expenditures US$24 billion.

To excel as a major oil and gas producer, Shell needs a reliable and versatile IT infrastructure that leverages new technology and enables business innovation. From helping to discover new oil to supporting teamwork across its global workforce, IT infrastructure is vital for the success of Shell’s business.

In October 2005, Shell began investigating options for IT infrastructure delivery in the future. In 2006, the company expressed the intention to outsource a substantial part of the IT infrastructure services, while retaining strategic control and also certain specialist services that bring specific competitive advantage.

As a consequence, the Infrastructure Sourcing Programme was launched as one of the largest and most complex business transformation programmes undertaken by Shell. Working together with sourcing advisory experts from TPI, Shell’s programme implemented a new infrastructure delivery model and sourcing strategy to bring substantial benefits to its business. The programme has impressed stakeholders within and outside Shell: every deadline set was hit; every target was met or exceeded. Powerful lessons can be learned from this programme setup and management.

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