BISM

REPORT
INFORMATION
SYSTEMS
AT
CAPGEMINI

Table of Contents
Company background........................................................................................ 2
About the company......................................................................................... 2
Products and Services....................................................................................2

Consulting Services...............................................................................2

Technology Services.............................................................................. 3

Outsourcing Services............................................................................ 3

Local professional Services..................................................................3

Client................................................................................................................. 3
Case facts............................................................................................................ 3
In-house Environment.................................................................................... 3
External Environment..................................................................................... 4
Effectiveness of IS using the four lenses.......................................................4
Decision making using IS...............................................................................6
In-house Environment.................................................................................6
External Environment.................................................................................. 7
Enabling Technologies for Digitisation........................................................7
In-house Environment.................................................................................7
External Environment.................................................................................. 7
IS Strategy and Ethical Considerations.......................................................8
In-house Environment.................................................................................8
External Environment..................................................................................... 8
Business Processes & IS Development........................................................8
Analysis of the effectiveness...........................................................................9
In-house Environment.................................................................................9
External Environment................................................................................ 10
Recommendations............................................................................................ 10
References........................................................................................................ 11

Company background
About the company
Founded in 1967 by Serge Kampf, Capgemini is a French multinational management
consulting corporation headquartered in Paris, France. With a presence in over 40 countries
across the globe with around 1,50,000 employees, Capgemini is one of the largest consulting,
technology and outsourcing companies of the world today. It helps businesses and
organizations to sharpen their competitive edge by providing reliable technical and business
solutions.
A human centered approach to technology is what Capgemini strives for, wherein experts
work together and, through an in-depth study of the business objectives, develop the most
adaptable solutions to fit the requirements. They enable the businesses to respond to market
dynamics quickly and intuitively by bolstering their ability to harness the right technology.
Our job is to make sure that our customers stay ahead in their markets and that their IT is an
enabler, says Lance Friend, Senior Vice President of Dynamic Services in the Infrastructure
Services group at Capgemini. Theyre all dealing with disruption in their markets, and they
need to speed up their pace of innovation and fail fasttry new ideas, abandon what doesnt
work, and move onto the next thing as quickly as possible without losing a lot of money.
All businesses need to evolve with the changing environment and make profound changes in
the way business is conducted and managed. Through consulting and technology products,
Capgemini helps businesses and organizations to sharpen their competitive edge through
various transformation programs and complex IT application development. Being one of the
worlds foremost providers of consulting, technology and outsourcing services, Capgemini
has been using information systems extensively over the years to drive business excellence.
What an organization can achieve is often linked to its IT infrastructure ability. Keeping this
in mind, Capgemini has been constantly investing in development of new expertise and
systems to meet new challenges.

Products and Services

Capgeminis products and services can be grouped under the following four heads:
Consulting Services: Consulting services help different organizations and

businesses to identify, build and carry through transformational programs that will
enhance the growth and sharpen their competitive edge on a long term basis.
Capgeminis consulting services include strategy and transformation, finance and
technology transformation, human resources consulting, supply chain management,
solutions environment, and innovation, as well as marketing, sales, and service etc.

 Technology Services: Technology Services department designs, develops and

implements a wide range of technology projects that involve complex systems
integration and IT application development. Technical services like application
development and integration, IT transformation strategy and architecture, business
information management, infrastructure and security, mobility transformation,
software quality management and testing, and service-oriented architecture services
form a key part of the companys technological services portfolio.
Outsourcing Services: Outsourcing Services department manages the IT
systems for applications and infrastructures of a client (or a group of clients), and
their associated business processes such as Business Process Outsourcing. This helps
organizations to keep up with the technological advancements and focus on their core
competences. The companys outsourcing services consist of application, business
process, and infrastructure outsourcing, as well as green information technology (IT),
service management, and service desk.
Local professional Services: Capgemini delivers professional technology
services to suit local requirements for infrastructure, applications, engineering, testing
and operations. It offers local services such as infrastructure management, high tech
engineering, and onshore/offshore testing.

Client
Incorporated in 1986, Office Depot - a global supplier of office supplies, services and
products. It opened its very first retail outlet in Florida (US). The company used to process
sales through multiple channels, comprising of office supplies stores, contract sales force,
internet sites, outbound telephone account management (sales force), call centres and direct
marketing catalogues. It is all supported by system of supply chain facilities and other
delivery operations.

Case facts
Rarely any business (organic or inorganic) has been able to grow without setting and
achieving its targets for itself. Internal targets equally important as external ones and the case
was no different for Capgemini.

In-house Environment
As organizations expand to drive their top line growth, task of credit management becomes
even more significant for organizations. Just like any other big business conglomerate (with
presence across geographies) engages in M&As, Capgemini also needed to standardize
Finance & Accounting (F&A) operations across its various business units across the world to
meet its cash flow targets. The company at that time needed a solution to give itself a

competitive advantage by improving its cash flows, improve cost savings, helping sustainable
revenue assurance and to reduce required days of sales outstanding.
The company had four essentials to:
Standardize and automate entire collections process
It had to improve the Days Outstanding Receivables (DOR); also wanted to segment
clients and make clear collection strategies for each segment type.
Another key aspect was to improve visibility of disputes solving procedure and
enhance reporting
In order to contribute to spreading cash awareness across the organization, Capgemini
wanted a solution that can address all such challenges, imbibe discipline in F&A, and
make this entire collections process more agile and efficient.
In a nutshell, Standardizing the Accounts Receivables and Collections process and bettering
the cash flows was the primary requirement for leaders of Capgemini.

External Environment
Office Depot (Florida-based global provider of office supplies), sought to change an existing
ERP based collection management platform which was used by its in-house and outsourced
collection teams. As the current product module did not permit collection agents and dispute
resolvers to more productive as the company sought, the company was looking for a new
collections management platform. Also, the management lacked the ability to proactively
monitor its distributed teams performance. So the client (Office Depot) collaborated with
Capgemini to find a solution to its vital business problem.

Effectiveness of IS using the four lenses

Capgemini is one of the most trusted names in the field of consulting and technology as it had
already successfully implemented WebCollect O2C Pro for several clients, the company
decided to use this same technology to streamline and reach in-house operational efficiencies
in the Accounts Receivable (AR) metric. By changing several aspects of this function,
including processes, location mix, governance, competency model, grade/structure and
control measures, etc. In general, any software is required to undergo some number of
changes in order to fit for some other purpose. This was precisely the challenge for
Capgemini.

Webcollect Interface

Decision making using IS

In-house Environment
First and most important thing to be done was to select the adequate technology platform to
be used for streamlining and standardizing purposes. The companys proprietary Global
Enterprise Model (GEM) materialised as the number one choice for this transformation.
GEM is a very useful methodology for streamlining end to end processes in diverse areas like
Finance and Accounting, procurement, supply chain, metering, and customer operations
management. It is a flexible transformation methodology and is known for providing
consistent high performance. It includes Global process model (GPM) known for its best in
class processes.
GEM helps in providing following information,
Grade Mix: They have the right team structure and personnel to perform and
supervise activities
Location Mix: Global delivery networks right configuration to deliver the services
makes it more useful and reliable
Competency Model: It provides the optimum mix of skills and capabilities required to
deliver to the customers
Global Process Model: The processes used are best in class; thus enable transition
and deliver consistent, high performance
Technology: It provides complete set of tools of pre-templated applications to drive
improved efficiency and effectiveness
Pricing: Comprehensive set up options are available to align performance with the
desired business outcomes
Governance: they follow a three-tier structure to align strategy, reporting and
operations to drive performance and outcomes which is completely transparent
Governance also includes Command Centre, which reports back to the customers with
aggregated efficiency and effectiveness metrics. This gives the customers valuable insights
into their day-to-day process across each lever, enabling them to make critical decisions more
quickly and improve their operations substantially.
It is evident that the aforementioned methodology streamlines the processes people and
technology with improved governance. Capgemini made a strong base for knowledge
management system to support the capture and dissemination of knowledge in various
organizations. This is assisting Capgemini in all the levels of decision making layers.
Through grade, location and competency, operational level decision making has become very
easy. Technology, pricing and global process model helps managerial level and strategic level
is supported by the governance and continuous feedback. All the processes are interlinked as
this provides greater platform and new insights in decision making.

External Environment
Office Depot decided to replace its existing ERP based collection management platform with
a single motive of increasing recovery and enhancing the collection performance. They
systematically broke down this need into proactively managing user activity and portfolio
stability. Along with this, they wanted to set and monitor productivity, aging and penetration
targets at individual as well as team levels.

Enabling Technologies for Digitisation

In-house Environment
Clients in different countries were segmented and to each of the segment, different collection
strategies were attached. The solution was carried out through four modules Collections,
Disputes, Light Users, and Reports. To achieve this, Capgemini followed MIS infrastructure
framework to support operations, change and environment.
The Collections module involved proactive and reactive contact with the customer Accounts
Payable department to ensure timely payment of invoices. Along with the customer
segmentation, the module sequenced collection based on various collection strategies. Data at
the back end was maintained through the hybrid cloud.
Research and identification of dispute reasons and recommendations with regards to
resolution was carried out by the research team. It provided a full, centralized visibility of
disputes status and root cause analysis for each and every non-payment.
Collection back office tasks were integrated with Front End customer-facing executives
through the use of Light Users module. The module gave the users access for engagement
staff, and provided real-time insights on account status.
The Reports module was used for transparent, predefined, and scheduled reporting, enabling
real-time progress monitoring.
External Environment
Office Depot assessed and selected Capgeminis A/R Management Platform named
Webcollect O2C Pro, the premier industry resolution for order to cash, planned to streamline
and achieve functional efficiencies in accounts receivables operations. It was preferred
primarily due to its platform-agnostic nature and the fact that it integrates industry best
exercises through hierarchal workflows, in addition to having elastic account treatment
methodologies guiding users through both system driven and manual account and transaction
level follow-ups. The solution supports multi-currency clients and the user interface is
available in several languages. Additionally, Webcollect O2C Pro also offers a paperless
environment that is compatible with any electronic media (pdf, Word, tif, jpg, PowerPoint,
MP3/MPEG audio and video) and also offers a scanner interface for immediate document
capture

IS Strategy and Ethical Considerations

In-house Environment
Capgemini strictly follows the ethical guidelines of information secrecy, governance,
management and compliance. GEM allowed the system with protected password, limited
access and well defined roles, secured data transfers, profiling based on role, efficient control
of user access, and encryption of payment-related correspondence ensured a high-level of
security and concealment of client-related information.
External Environment
The strategies for increasing collections were laid down as:
The web based portal that provided all the required customer contacts and financial
information through an effective user interface
Offering a dynamic task list showing the prioritized list of accounts the

A/R

collectors should concentrate on

Enabling the A/R collectors and managers to submit and approve multiple disputes,
credit memos and adjustments at once
Within the organization , easy sharing of workload and at global level, managing
segments of collection processes
Establishing a seamless front office - back office collaboration and capability
More effectively managing short payments and disputed invoices

Business Processes & IS Development

Automating the Account Receivable and collections process has cut down the number of
open AR positions by 20%. Resulting in a gain in organic free cash flow amounting to 668
million in a single year. The solutions offered cross-organization visibility to users, offering
them with access in one view to across multiple organizations. DOR ameliorated for all
regions where WebCollect was implemented with up to 10 days of step-down in the
respective units. Segmentation of clients, a concentrated approach to data analytics and
collection schemes based on different criteria improved transparency in collections and has
drastically reduced bad debt write-offs. A greater apprehension of clients payment culture
enabled by the WebCollect execution ensured an optimal level of cash estimate accuracy.

Order to Cash- End to end offering

Analysis of the effectiveness

In-house Environment
Earlier, Capgemini used excel-based collection process. Now they have taken a major step in
replacing earlier collection process with an automated process in WebCollect. It uses different
Information System processes, due to which the collection process become much more
structured and equally effective. Due to availability of ready-made templates and scheduled
reports in reporting, a lot of time is saved. These savings lead to reduction in spending time
on actions which dont add any value to the process. They are now able to fully focus on
follow-ups with customers which benefits both the customers and the company. Also,
company realizes more cost savings and return on investment within the first 12 months.
With a strong benchmarking model to analyze business operations, risk is also minimized.
In short, there are many good things happening with Capgemini due to change in technology
and hence using Information Systems, like:
1. Increase in organic free cash flows
2. Improved data visibility
3. Reduction in bad debt write-offs driven by analytics
4. Improvement in KPIs such as Due Upon Receipt

External Environment

Office Depot has evaluated and choosen Capgeminis A/R Management Platform named
Webcollect O2C Pro for its purpose. Being one of the premier industry solution for order to
cash, it is designed to streamline and achieve operational efficiencies in accounts receivables
function.
The reasons behind choosing Capgeminis Webcollect were:
1. Platform-agnostic nature
2. Industry best practices through hierarchal workflows
3. Flexible account treatment methodologies guiding users through both system driven
and manual account and transaction level follow-ups.
The solution supports multi-currency customers and is helpful in conducting the cash
transactions in easier and effective manner. Also, the user interface is available in various
languages which helps the customers in understanding. With this, Webcollect O2C Pro also
provides a fully paperless environment that manages any electronic media whether it is a pdf
or Word or tif or jpg or PowerPoint or MP3/MPEG audio and video. These all are possible as
it offers a scanner interface for immediate document capture.
As a whole, use of Information Systems have enabled Capgemini in providing better solution
to their customers or clients, who in turn try to use this effectiveness in positive manner and
trust in Capgemini with their solutions.

Recommendations

High level encryption is present for data in Capgemini to keep the client data
confidential and protect from leaks and hacks. But owing to the global nature of work,
there can be some compatibility issues due to different languages and different
interpretation of same type of phrases.
o So more intelligent systems should be used to avoid vagueness.
Quality is of paramount importance for a consulting firm. A zero here and there, or a
mistake of million-billion can jeopardize the project. Capgemini uses multiple
reviews and quality checks before finalizing the deck. This is necessary and the
company should strive to continue on this current path
Data analytics has gained significance in the last decade or so. For this, the company
uses lot of tools, mostly of external vendors like Oracle, IBM, etc. However, manual
checks or making logic out of the results should be done to further substantiate the
results.
With growing focus on Big Data and IOT, company should hire more niche engineers
and managers who have specialization in such areas. They can be lateral hires.
o In fact, Capgemini should increasingly use big data to improve internal
parameters like performance management, appraisals, etc.
Capgemini should go for optimal operating models comprising the best locations with
necessary employee expertise and experience which match service expectations of
clients.

The company should have necessary governance and control structures across service
levels. This motivates the employees giving them a sense of fairness across systems
and will reflect in their performance.
o It will also result in better communication between different layers of
employees and management.
To reduce operating costs, the company should use technology solutions that offer the
best value for money
Capgemini should also look at pricing mechanisms that support attaining business
outcomes aligned with overall strategy. This will help in binding clients to long term
contracts.

References
Credit management through Order to Cash BPO, Capgemini Business Process
Outsourcing
Office Depot realigns collection management; Achieves tremendous savings,
Capgemini in collaboration with Office Depot
Company Profile Bloomberg business
Capgemini transforms Order to cash function; Brings home 668 Million in organic
free cash flows Capgemini Finance and accounting
Capgemini enhances its leadership in Finance and accounting BPO through the
acquisition of Vengroff, Williams and associates, Inc. Order to Cash business,
Capgemini Financial News
Knowledge process outsourcing, Capgemini Business Process Outsourcing