AstraZeneca outsources application maintenance

Flexible payment model expected to increase IT spending control at pharmaceutical giant

The outsourcing deal with Infosys is part of AstraZeneca's plan to speed up time to market

Pharmaceutical giant AstraZeneca has outsourced its application maintenance to Infosys Technologies in a multimillion-pound deal intended to provide operational flexibility, lower risk and better spending control.

Business areas such as manufacturing, supply chain, finance and human resources will be covered in the five-year global sourcing agreement. The company said the deal is part of a transformation programme designed to accelerate innovation and time to market and to improve operational efficiency.

"The combination of Infosys' outsourcing expertise, technology leadership and proven record in rationalising and standardising business process were all contributing factors to our decision," said Richard Williams, global chief information officer at AstraZeneca.

The choice of supplier was determined by its understanding of the rapidly shifting dynamics in the pharmaceutical industry, said Williams.

Other attractions of the deal include its provision model, which offers a fixed price for outcome-based deliverables, as well as flexible unit-pricing for managing changes in the scope of the agreement.