BPI spins off IT services

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BPI president Cezar Consing. FILE PHOTO

MANILA, Philippines—Bank of the Philippine Islands, Southeast Asia’s oldest bank,  has spun off its information technology infrastructure services through an outsourcing deal with IBM as part of its strategy to scale up core businesses faster.

 

At a press briefing on Thursday, BPI president Cezar Consing said attaining “steady and continuous” growth would be the thrust of the 815-branch BPI under his presidency.

 

“We are positioning the bank to support and benefit from the growth of our economy,” Consing said in his first press briefing.

 

Effective Thursday, BPI, which is celebrating its 162nd anniversary this year, started outsourcing IT network and data center services to American technology giant IBM.

 

“It affects 140 to 150 employees who will become IBM employees,” Consing said. “The transition is amazingly smooth.”

 

As IBM will take over BPI’s IT infrastructure activities, BPI’s internal IT team will concentrate on other strategic initiatives. In a separate statement, IBM president Mariels Almeda Winnhofer vowed to provide BPI with “smarter, scalable IT services and capabilities that will enhance and accelerate BPI’s transformation for growth.”

 

“It’s not driven by savings at all… it’s driven by wanting to grow faster,” Consing said.

 

Natividad Alejo, head of BPI’s consumer banking business, said she was looking forward to the partnership with IBM as this would stabilize IT services and allow the bank to focus on core competencies.

 

“Aside from that, it frees up the resources for us to focus on other technology and come up with new innovations. That’s what we’re hoping we can facilitate and accelerate,” she said.

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  • dream_high_Philippines

    This is a very dangerous move from BPI. giving control of the IT operations to a 3rd party vendor for the sake of saving a buck or two. Conzing is now putting into actions what he has seen from his previous employer. To think that other banks are seriously very much concern with security – BPI has gone rouge by actually having 3rd parties access to its operations not to mention accounts and information from customers. wasnt there even someone from its directors who stood up against this??! i’ll be more confident moving to a bank where security and confidentiality is a top priority rather than initiating cost-saving measures like this. no thanks BPI, im out!

  • linobog

    Dangerous move….. in the long run IBM will surely dictate… watch out

  • marienkind

    From the company that brought you BPI “Patay sindi” Trade haha

  • themask celestial

    Im expecting better online service from BPI after this spin-off. BPI Online banking is no longer fun lately. Even calling to their CS hotline

  • kangsongdaeguk

    So with that, are you phasing out COBOL?

    • tanga_hanga_ni_abnoy

      iwan daw CICS

      • Mux

        Maybe going back to DB/2. :)

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