BAA

The drive to do more for less when it comes to IT systems and services is a uniting factor for organisations operating in today’s cost-focused environment. As a result, an increasing number of organisations are embracing the managed services model rather than traditional outsourcing or in-house service delivery.

According to a survey by PMP Research, more than 60% of organisations are now using managed services as part of their IT strategy, with reduced operational costs and improved service levels being key drivers.

BAA opted for the managed services route when it realised it could make savings and efficiencies by consolidating its existing contracts with a single supplier. To help enhance productivity even further, BAA also embarked on the roll-out of a new desktop infrastructure, which will help support the company’s future objectives and development.

As a result of the new infrastructure and a desktop managed services contract with Computacenter, BAA will be able to make savings in excess of £2.4 million over the next couple of years. It will also be able to improve the flexibility and mobility of its staff, which will help the company address issues, such as airport congestion and crowded offices.

BAA is the world’s leading airport company, with more than 200 million passengers using its seven UK and 11 international airports every year. BAA also owns and operates the Heathrow Express rail service between London Paddington and Heathrow – the world’s busiest international airport – and travel retail specialist Word Duty Free.

It employs more than 12,000 staff worldwide at offices in the UK, USA, Australia, and Italy. These staff rely on technology to help them carry out their work, and, as such, it is a critical element of the company’s operations. IT is not only critical to BAA’s day-to-day operations, but also plays a fundamental role in the future growth and strategy of the business, and its ability to deliver good customer service. As Richard Rundle, BAA’s Group IT Director, explains: “Our goal is to use IT to improve the passenger experience and support the growth of the industry by helping our partners develop their businesses. Our IT decision-making is founded on the company’s strategic and operational ambitions, and we are constantly striving to find ways to use our technology resources more creatively and cost-effectively.”

The need to balance IT innovation and performance with expenditure is a challenge that faces every organisation, and one that must be addressed if operational costs are to be controlled. “There needs to be a very explicit link between the demand for IT and the associated costs and benefits,” comments Richard. “By optimising our business planning, we have been able to expose the links between the money BAA invests in IT and the value it delivers. As a result the company is able to make intelligent investment choices, and our internal clients become more discerning about their IT purchases.”

Maximising IT investments
To help ensure the company gets value for money and maximum performance from its systems and suppliers, BAA takes part in a regular benchmarking exercise with its peers. As part of this process, BAA found that whilst most areas in IT were performing above standard, there was room for improvement in some areas, one of which was desktop services. As Kevin Mercer, BAA’s Service Delivery Manager, explains: “Four different suppliers were involved in managing our desktop estate, which meant there was duplication of effort plus an overlap with some of our internal IT services. Our desktop infrastructure was also based on legacy technology, which was not only inefficient but also becoming more costly and complex to maintain.”

To address these issues, BAA decided to embark on an innovative refresh of its desktop environment and services delivery model. “We took the decision to invest in a server-based computing model, which will ultimately lead to a more efficient and cost-effective desktop environment,” comments Kevin. To help roll-out the new infrastructure across its 19 UK sites and provide ongoing managed services, BAA turned to Computacenter.

“Computacenter impressed us by its understanding of our requirements and ability to deliver excellence in the key areas of flexibility and cost control,” comments Richard. “We felt Computacenter was an organisation we could build a partnership with, and this has proved to be the case.” In April 2003 Computacenter became responsible for a range of services, including technology sourcing, maintenance, asset disposal, and installations, across BAA’s UK estate of around 10,500 desktops/laptops.

Transforming desktop services
The strength of the relationship was reinforced 15 months later, when BAA added second-line support to Computacenter’s list of responsibilities, and extended the existing contract until 2010. “Putting all our eggs in one basket was a big decision, which is why we validated our choice by taking 19 references from members of the Corporate IT Forum,” comments Kevin. “By consolidating our desktop services with a single supplier, we were able to make immediate savings, and this second phase will enable even greater economies of scale.”

As part of the second phase of the agreement, 31 staff transitioned from BAA to Computacenter under TUPE (transfer of undertakings, protection of employment) regulations. These staff are now part of a 50-plus on-site team, which is helping BAA to complete the migration to its ‘web-top computing model’. This involves the roll-out of Microsoft Windows XP, Citrix and Wyse thin clients. More than 60% of the estate is already using the new environment, which is due to be fully implemented by the end of February 2005.

Thanks to the flexibility of the new desktop environment and its web-top computing approach, BAA will be able to address a number of business challenges. As Richard explains: “By providing staff with the means to access information and applications at any time - and from any location - we are able to address problems such as traffic congestion at airports and crowded facilities.”

Delivering value
Flexibility is also a key part of the ongoing managed service, as Computacenter Client Director Stephen Ball explains: “BAA is constantly innovating and evolving its business, so it is essential that we are able to support and keep pace with this change. We therefore flex and scale our skills and resources according to BAA’s changing needs - rather than sticking to the letter of our contract.”

Due to the nature of BAA’s business, Computacenter also needs to ensure its services are continuously available and prioritised according to the different needs of airport staff and departments. As Jo Chambers, Service Delivery Manager at Computacenter, explains: “BAA’s desktop estate is spread across the airport environment, and supports highly visible and critical customer services. It is therefore essential that we are able to respond quickly and effectively, and minimise any risk to business continuity.”

In addition to its work around BAA’s desktop environment, Computacenter also provides network support and maintenance, and sources a range of software and hardware, including HP servers, desktops and laptops. This enables BAA to ensure it spends its IT investment wisely; balancing value for money with risk and strategic choice, which is one of its key strategies. As Jo Chambers, Service Delivery Manager at Computacenter, explains: “Thanks to our multi-vendor relationships, we are able to leverage BAA’s buying power to ensure it can maximise its investment in new technology. We are also able to help ensure that BAA maximises the investment in its existing estate, and leverages IT market developments.”

As a result of these and other cost-saving strategies, BAA will be able to reduce its expenditure by at least £2.4 million over the contract term. Financial savings, however, are by no means the only goals – or benefits – of the desktop managed service. As Kevin confirms: “For the first time in three years, the number of service desk calls has decreased – and we are only halfway through the roll-out. The new environment is much more intuitive for end users, and there is greater central and remote management than before. We therefore expect to be able to make additional savings in this area in the future.”

Strategic partnership
Enhancing IT service and investment management is just one of BAA’s goals, along with embedding IT into wider business decision-making and making traveller processes more efficient. “Our IT strategy is driven by the broader objectives of the business, and we are constantly measuring our performance against these goals,” comments Richard. “We look to Computacenter to help deliver services that will support these business objectives in the long-term. As part of our ongoing relationship, we hope to gain a greater understanding of what Computacenter can offer and how these services relate to BAA’s business goals and strategy.”

Working together to identify potential opportunities is a key differentiator of the relationship between BAA and Computacenter, as Stephen confirms: “We have a very honest and open relationship, which is enhanced by the defined nature of BAA’s IT strategy and objectives. Any problems are resolved collectively and we operate as a single team.”

It is not surprising then that Richard sees Computacenter as a key partner for the future. “We like to work with companies with whom we can truly partner,” comments Richard. “Computacenter is already demonstrating that it can add value, and from our experience so far, we can definitely see our relationship developing in the future.”

 

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