Retailer Matalan is extending its reliance on outsourced IT and upgrading its desktop PCs and software systems.

The company has expanded an existing agreement with supplier Capgemini to upgrade its PC systems, to make the most of its tight budgets and improve administrative efficiencies within the organisation.

Capgemini will conduct the upgrade work this summer. It will use the PC and Windows XP software refresh to streamline service delivery to Matalan, reducing the manpower required to meet service levels and using any savings the process generates to provide additional services in the future.

'This project allows Matalan to meet the business's increased expectations within a tightly defined contract designed to keep costs under control,' said Gwen Dunham,
Matalan technical architect manager.

'All our operational IT is now managed by Capgemini, including the new desktop and operating system.'

The upgrade follows a review of desktop technology at the UK retailer's head office, distribution centres and 190-plus stores.

Dunham says Matalan has used Capgemini's project implementation services before, and that the retailer knew it would need access to new skills to support the systems.

Capgemini will replace much of the desktop hardware used by Matalan's 1,600 head office and store-based users, and link PCs to a series of new network servers housed at a datacentre in Rotherham, South Yorkshire.

Server maintenance comes under the existing Capgemini service provision.

Matalan will review its existing application portfolio as the upgrade is completed, to ensure it retains only those relevant to the current business and technical needs before migrating them to the new hardware platform.

Microsoft Windows 2003, SMS 2003, Active Directory, Exchange 2003 and Microsoft Operations Manager 2005 are among the applications that are due to be migrated.