Infrastructure teams have 'eye on door' as SAP migration enters critical phase
Asda is transferring more than 100 internal IT workers to Indian outsourcing company TCS as it labors to meet deadlines to move away from IT systems supported by previous owner Walmart by the end of the year.The UK's third-largest supermarket expects affected staff to meet line managers from June 24, while the transfer date is set for September 16. Contractors will be let go at the end of their current contracts.
"As part of this process, we have taken the difficult decision to propose some changes to our technology function to ensure we have the necessary skills and capabilities in place to support these new systems. We have opened a collective consultation with colleagues impacted by this proposed change and will do all we can to support them during this process that they may find unsettling. We are fully on track to complete the three-year Project Future program by the end of this year.
The move came as private equity company TDR Capital gained majority ownership of the supermarket group. It was acquired from Walmart by the brothers Mohsin and Zuber Issa and TDR Capital in February 2021 at a value of £6.8 billion. The US retail giant retained"an equity investment."Asda's delayed SAP migration forces extension to Walmart's backend support contract
The UK retailer had signed a three-year deal with Walmart in February 2021 to continue to support its existing system, but wasthat deadline was"totally unachievable," the Walmart deal extends to September 2025, giving the UK retailer room to accommodate further delays without renegotiating the contract.suggests a downbeat mood in the IT team, with some managers expressing disappointment and saying the team did not deserve its fate.
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