Fujitsu Doubles IT Savings for Groningen Municipality in EUR 71.9 Million Deal

Fujitsu has been awarded a major new Government outsourcing contract that enables the Municipality of Groningen in the Netherlands to enjoy greater cost savings than originally planned. The new contract- worth EUR 71.9 million over six years - is expected to deliver savings of EUR four million in comparison to current operational expenses for ICT services, with the potential for further savings if the Municipality chooses to extend the contract with Fujitsu in 2020.

Fujitsu will co-create services together with the Municipality and two further technology partners: CGI for application management and Voys for telephony. Under the terms of the contract, Fujitsu is taking over the operational management of data center services, providing end user services, as well as managing the Municipality's workstations, print, network and telephone facilities, technical application management, as well as hosting and user support.

The Municipality of Groningen selected Fujitsu after an extensive assessment to determine the best possible combination of price and quality, governed by European Union procurement rules. Groningen's councilors were impressed with the quality of Fujitsu's proposed workplace management and its technical management of applications, as well as anticipated cost savings. In addition, the city identified an important match between the cultures of the Municipality and Fujitsu, with both focused on reliability and long-term vision.

Ton Schroor, Alderman of the Municipality of Groningen, said: "We selected Fujitsu as our new long-term outsourcing partner as it clearly demonstrated the strongest proposals across financial, management and cultural dimensions. The opportunity to deliver more than double the cost savings for Groningen tax payers is important, but it is equally critical that the selected vendor was able to demonstrate the management skills it will bring to the municipal workplace. We also determined vendors' ability for technical management of our applications as we were actively seeking a company culture that emphasizes co-creation, reliability and long-term vision."

Bas de Reus, Managing Director of Fujitsu Netherlands, comments: "Fujitsu is honored to have been awarded this contract by the Municipality of Groningen, which is now the second major Dutch municipality to select Fujitsu as an outsourcing partner¹. Outsourcing services is becoming an increasingly popular approach for government administrations, since it offers the double benefit for taxpayers of greater value for money and improved services. I believe that one of the key reasons we were selected by the Municipality of Groningen is our understanding that, beyond the financial and technical aspects of any agreement, there must be shared values. Fujitsu's vision puts people at the heart of everything we do - we call this Human Centric Innovation - and it permeates our thinking and approach."